Callaway Golf: Preparing for the global economy
by Glen Erickson

With current economic conditions in North America, and indeed around the world, golf equipment manufacturers are paying increasing attention to the bottom line.

Whether it’s revisiting the costs associated with building the golf clubs we use, or analyzing how sales and marketing monies will be spent, rest assured the powers that be are well aware that conscientious decision-making is the order of the day.

Thomas Yang has been the Senior Vice President, International for Carlsbad, California-based Callaway Golf since July of 2006 and is responsible for developing and executing Callaway Golf's international strategy. Prior to his current position, Yang served as Senior Vice President of Global Consumer Products for International of Starbucks Corp.

Yang is confident that Callaway Golf is ready to respond to the current economic climate.

"Fundamentally, we react and feel we understand consumers and what they are looking for," Yang explained in an interview with BCgolfguide.com. "The result is our product line that satisfies the high to low handicap players. Both 2007 and 2008 were our best years ever.

"Over the past three years we have implemented cost savings strategies of about $53-million in areas of engineering improvements, vendor and distribution improvements. Of course, we don't know yet what impact the current economic conditions might have. But for 2009, our product line is very strong and early indications are that it has been well accepted by consumers."

While Yang was in attendance at a Callaway Golf hosted event at the Vancouver Golf Club in March, it would have been easy to speak to issues concerning only the North American economy. But Yang spoke briefly to the global situation."We have developed programs that are relevant to different cultures and markets around the world," Yang said, confirming the company is firmly focused on a global vision.For years, Callaway Golf has maintained a high profile stable of touring professionals, including the likes of Annika Sorenstam, Phil Mickelson and Ernie Els. Yang says the company will continue to maintain a significant presence on the professional tours.

"For 2009, we have signed Stuart Appleby," Yang said. "It amounts to signing the right people at the right time." The professional tour presence will always be evident among the major equipment manufacturers, but Yang says Callaway Golf is also committed to the golf professionals and off-course retailers at the grassroots around the world.

"We believe in partnerships and their success is our success," Yang said. "They understand our product. We are also committed to spending the time and money necessary to train people. These people also believe in brand affinity, not just the product itself. Certainly a positive purchase experience will build loyalty."

Callaway Golf has positioned itself near the forefront of custom fitting technology, which has emerged across the country in recent years. The OptiFit System, introduced in 2006, continues to be improved and offers numerous shaft and clubhead combinations. Curious golfers can visit the Callaway Golf Performance Centre in Richmond, B.C. The Two Eagles Golf Course and Academy in West Kelowna is also equipped to coordinate custom fitting sessions.