18 September 2012

Golf Bookings Management - Kauri Cliffs & Cape Kidnappers Case Study

World Leading Courses from New Zealand
as published in 
Gaming & Leisure Magazine

We are fortunate and grateful to have Ryan Brandeburg, Director of Golf at both Kauri Cliffs and Cape Kidnappers participate with us on this article.   Karui Cliffs and Cape Kidnappers Golf Courses of New Zealand are both ranked among the world top 100 by Golf Magazine.  Their accompanying luxury lodges are part of Relais & Chateaux and are listed among the top 25 hotels in the world by Travel + Leisure. 


The courses and lodges have been highly recognized around the world, with many of the reviews found on their websites:  http://kauricliffs.com http://www.capekidnappers.com

Our following discussion with Ryan is to review how he managed their transition from a manual golf booking sheet to a leading golf software system.  The exchange highlights how a properly implemented system can assist even the most unique golf facility in enhancing the customer experience and increasing revenues.

[GL] You have been using the OpenTee / OpenBook system since early 2006.   In fact, implementing these systems was one of your priorities.  What were some of the reasons for implementing these solutions?


[RB]  Although the defining characteristics of the facilities where I have installed OpenTee/OpenBook have been different, the decision to install was simple due to the features of the software and the ease of use.  (OpenTee / Open Book are golf management software systems developed by The Active Network).

In 2006, I began using the software for installs within the golf portfolio of LXR Luxury Resorts, an owned asset of The Blackstone Group, the world’s largest private-equity firm.  These installs were at high-end resort courses with large room inventories and moderate/busy annual rounds. 

At Kauri Cliffs and Cape Kidnappers, we are lucky enough to have two of the highest ranked hotels and golf courses in the world, but with a very low room inventory (22 suites per property) and low volume of rounds…approximately 5,000 rounds per course annually.

Even though the facilities have vast differences, the software is equally beneficial.  At Kauri Cliffs and Cape Kidnappers, we were utilizing pencil/paper for tee times when I arrived in early 2010.   By January 2011 we were fully functional with The Active Network. 

The switch from “notebook” to “network” has had many benefits.  We now house all of our data electronically, so the threat of a spilled cup of coffee ruining weeks of tee time data is eliminated.  Our golf staff, superintendent, front desks, culinary team, reservations staff, and even our owner can now view our tee sheets remotely instead of lengthy email chains to forecast golf rounds. 

We’ve opted to host this solution on an Active Network server in San Diego, USA, but the 6,500 miles of distance hasn’t impacted the system’s performance at all.  With 400 miles between Kauri and Cape, and with a growing company, this hosted solution has assured us that we can access data anywhere, anytime.  Additionally, the opportunity to view historical data and drill down to player types, plus forecast future business is crucial for a seasonal destination such as New Zealand.  The benefits are numerous, but the final point to mention is the ease of use, which translates into quick staff training. 

[GL]  OpenBook is an online booking tool with yield management capabilities.   Yield Management is still underutilized in the golf industry.   Has Kauri Cliffs been able to effectively manage yield with OpenBook?

[RB] Unfortunately, we are not quite to the stage of needing a yield management tool.  At close to $500 per round at Kauri Cliffs and Cape Kidnappers, we allow guests to book and play as singles, twosomes, etc.  It is all about the guest and what helps create a memorable experience.  One of my priorities is to get to the stage that we need to start analyzing our yield and maximizing our capacity on the golf courses!   

I do agree that yield management is drastically underutilized in the golf business, and several owners and operators would learn more about their business model, their pricing strategies, and their operational efficiencies if they did yield manage.  We were working hard to implement yield management techniques when I left Blackstone’s portfolio.

[GL]  Has the booking system been integrated to the Kauri Cliffs website?   How has the course-branded booking system facilitated the booking process?

[RB]  One of the biggest benefits of the system, which I specifically omitted above, is the online booking system.  I only omitted it because it is so valuable it needs to have a dedicated space of its own! 

The ability to brand our booking engine to match our property colors, use our own images, and create verbiage that is in line with our websites and collateral is a major asset.  With two international “destination” courses, we rarely have an opportunity to speak with our customers until they arrive at the gate.  Due to time differences, the cost and difficulty of international calling, and the ease of email, we historically have done the majority of our pre-arrival correspondence with guests via email.

In my early days here, we began tracking emails.  During our peak booking seasons, we were receiving close to 40 emails per day regarding tee time inquiries.  The manpower it took to respond to these emails kept staff away from the guest and stuck behind a computer.  When we drilled down further, we found it took between 6-8 emails to actually book and confirm a tee time.  Once we launched the online booking system, we immediately saw a reduction in the number of emails received, and were able to spend more face time with the guest. 

[GL]   Has the use of OpenBook improved online booking revenues?

[RB]  In our case, OpenBook has created online booking revenues!  We went from 1975 to 2011 in a few short months, and as soon as we went electronic, the online bookings began flowing.  We’ve included the link directly into our Lodge guest correspondence, which has changed our business entirely. 

Given the low volume at our courses, guests were accustomed to showing up and booking tee times on the morning of their intended day of play.  By encouraging them to book in advance, it has allowed us to staff the operations smarter and more efficiently. 

Additionally, the Promo codes have been a positive tool for us, as we can use it to provide “one time” offers to local clubs who we invite to Kauri Cliffs and Cape Kidnappers once per season.  Once again, this eliminates several emails, freeing up staff.

[GL]   OpenTee allows you to maximize rounds by managing crossovers, shotguns, events and group check-ins.  Are those features that have been used at Kauri Cliffs?  Do you have any unique or interesting examples?
                                                                                          
[RB]  I am sure this statement will turn some heads, but a day of 35 players at Kauri Cliffs and Cape Kidnappers is equivalent to a day of 180 at some of my previous courses in the USA

By design, the properties are built to maximize the staff/guest interaction.  We spend more time getting to know our guests and interacting with them than most places I have ever visited.  Additionally, we run a leaner operation, with the professional staff greeting guests upon arrival, providing an orientation, and answering any questions the guests may have.  Our “caddies” serve not only as traditional caddies, but also pick the range, clean carts, help with F&B, and ensure that the guest experience is flawless. 

We are running Micros as our POS, and the integration feature with Active’s software is excellent.  I am confident that our staff is booking the tee time correctly, which means that on the day of play we simply have to pull the information into Micros and the check is created. 

As you can imagine with a demanding clientele, we have several unique situations regarding starting times, small shotguns, 10th tee starts, and overall changes to the tee sheet.  The OpenTee system allows us to make these changes quickly.

[GL]  Has the OpenTee / OpenBook system provided valuable client information and how has that been used?

[RB]  The simple answer here is yes.  We have collected client information that previously was unattainable to us.  The use of system generated email confirmations and online bookings have added substantial names to our database.  We’ve used this to promote golf tournaments at the Lodges, increase the sale of holiday gift certificates, and even to promote junior golf initiatives. 

Additionally, the system gives us the ability to share information between the staffs at Kauri Cliffs and Cape Kidnappers regarding guest preferences, contact details, and special notes to help enhance the experience.  If a certain guest mentioned a preference for Heineken at Kauri Cliffs, we can have a cold Heineken waiting for them upon arrival at Cape Kidnappers.  These small touch points help create the lasting experience we are striving for.

Gaming & Leisure would like to thank Ryan Brandeburg for the valuable information he has shared with our readership.


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