Mike Ishizaka’s Future Golf Diary Vol. 4: Understanding the Golf of Today through the World’s Largest Golf Exhibition—The Japanese Golf Industry as Seen from the US

The PGA Merchandise Show is the world’s largest golf exhibition, and this year was held between January 22 and 24 in Orlando, Florida. First held in 1954, the PGA Merchandise Show brings together more than 40,000 golf industry individuals from around the world, and attendees to the event can see both the golf of today and the golf of the future. CEO Mike Ishizaka has been attending the event every year since setting up GDO, and in this article we ask him what the exhibition told him about the current state of golf, and how the global golf industry sees the industry in Japan. 

－－Every year you attend the PGA Merchandise Show—What are your thoughts following this year’s event?

I’ve been attending the PGA Merchandise Show almost every year for the past 20 years. Particularly in recent years, I have got the impression that the scale of the event is shrinking. I personally believe that the golf market is on a downward trend, and on top of that, we have moved away from an analog era to a digital era. As a result, the timing of new product announcements has changed, and it is no doubt becoming more difficult to justify the costs involved with exhibiting at a show like this. 

That said, the US is home to the world’s largest golf market, and so I think there are still many ways to avoid downsizing the event. In the US, golf manufacturers will not typically host their own product exhibitions. As such, shows like these continue to be places where buyers and manufacturers can engage in business negotiations. Recently, it feels as though manufacturers are competing to be the first to announce their new products. It could be interesting, for example, for competing companies to simultaneously launch new products at shows like this and host an integrated business negotiation meeting as part of the overall event.  

Moreover, the PGA Merchandise Show is only for industry professionals, and so one possibility is to invite golf fans from the public like they do at the Japan Golf Fair and have guest appearances from professional tour golfers. There could be pro-am tournaments at nearby courses, and events that help boost brand loyalty, for example. There could even be events where regular golfers can try out new products at the show and go on to purchase them on the spot. In any case, it will be important to create an event where all participating companies come together, and where attendees can feel their commitment to enhancing the industry. 

－－These are all very interesting ideas. Moving on, you say that the golf market is on a downward trend, but what do you think the reason for this decline is?

One of the biggest reasons must be the rapid rise of the internet. In particular, social media platforms such as Instagram and TikTok and other online services like YouTube and Netflix have given consumers instant access to entertainment and excitement. As a spectator sport, golf is in a difficult position for the younger generation as the game itself is so long. It might also be that in today’s era, sports that require continuous concentration are lacking in entertainment. 

While the European Tour has introduced new measures such as a six-hole match play tournament to keep people interested, the response from the US has been unexpectedly slow. Elsewhere, although we are seeing some reforms with the introduction of highly entertaining services such as Top Golf, traditions such as memberships and dress codes are still fundamental elements of the sport. For the younger generation to take an interest in golf, it’s important to generate new value in areas like this. It might also be necessary for the industry to step into areas that have previously been unthinkable for golf. 

－－It’s clear that drastic reforms will be required to grow the market. It’s now been more than a year and a half since you moved to the US, and you’ve been involved in the US golf industry through your management position at GOLFTEC, one of GDO’s group companies. How does the US see the Japanese golf industry?  

I currently live in San Diego, California. San Diego is home to the headquarters of the biggest golf manufacturers in the US, and I’ve put myself in a position where I’m quite closely involved with people related to the manufacturer. One thing I’ve realized is that they don’t know much about the Japanese golf market, nor are they making an effort to find out more. 

The Japanese subsidiaries of US-based manufacturers are engaged in thorough business developments in Japan and have the full trust of their headquarters in the US. This is perhaps why manufacturers’ US headquarters are not analyzing the Japanese market in depth. On the other hand, smaller US companies only think about succeeding in the huge US market, and don’t really have a global perspective. 

It is often said that the Japanese market is isolated, and being in the US has convinced me that this is indeed the case. The world is not as interested in the Japanese market as we think. This is not only for golf. For example, while we often hear about news from the US when in Japan, there is almost no news on Japan in the US. 

This is something I noticed at the PGA Merchandise Show, but it’s unfortunate to see just how little presence Japanese manufacturers have in the US. While most Japanese share the same values and Japanese society has little diversity, in the US and elsewhere, diversity doesn’t only mean different races and religions, but also includes values and senses. This applies to the golf industry, too. For Japanese manufacturers to succeed on the global stage, it is important that they understand these differences and are prepared to commit to the cause. 

－－How is GDO going to tackle these tough challenges moving forward? 

In the golf industry in Japan, use of AI and other technologies is significantly behind other countries. If companies in Japan can solve people’s real and diverse needs using technology, Japan still has plenty of room for growth. 

At GDO, in recent years we have been exploring diverse forms of the sport such as snow golf, night golf, and speed golf. Further, we have opened the GDO Golfers LINKS HANEDA at Haneda Airport (*1) and the GDO MatchingLAB (*2) at our Gotanda headquarters to interact with real golfers and uncover their needs. 

At GOLFTEC, we are enhancing the quality of our lessons using technology and are striving to allow people to play the sport with more ease. At practice ranges, which are the first contact point for new golfers, we have introduced Toptracer Range to add the entertainment factor. This is one use of technology to provide new ways of enjoying golf. 

At GDO, 2020 marked our 20th anniversary. To date, we have used the convenience of the internet to make golf more accessible through ease of participation and affordability, for example. Moving forward, we will seek to combine real elements with technology to revolutionize how golf is played and in turn tackle the issues the industry faces. 

*1 GDO Golfers LINKS HANEDA at Haneda Airport : the facility has been closed 
*2 GDO MatchingLAB: service has been ended as of December 19, 2022