I recall working at DSG ten years ago, that golf balls had almost no mark-up. It was the item we made virtually nothing on. I believe it was a 10% margin on the most expensive balls (ProV1.)
Those marketing budgets and tour contracts must cost an awful lot of money.
Had a good friend who owned a reasonably nice golf shop for several years, from the early-late 2000's. He always said that he made next to nothing on named brand equipment and balls, but gloves, apparel, bags and accessories were his big margin items.
Not uncommon.
He got out right before eBay made it impossible to stay afloat, not to mention the Golf Galaxy that was due to open a few years down the road 2010(?).
Don't know how many privately owned golf stores remain open today, but there can't be many.
Small operation pays close to retail for their inventory. Chain store and whomever could do volume could negotiate "credit" with the OEM upon committing on certain volume.
Base for cost to the small shop is not the same as to the chain store.
Yes, golf balls are tough to make profit on. The Proshop makes more by selling the golf balls by the sleeves.
This is the company that is listed as the "manufacturer" of the Kirkland Signature ball. Per the USGA conforming ball list. Not sure as to how they became the "manufacturer", instead of the distributor. Could it be the USGA clamped down on this, and caused the K-Sig demise? Curious.
http://www.smglobalkorea.com/en/about_us
More discussion fodder.
I was digging around for information on Nassau Golf earlier in the thread (website, Facebook page) and they brag about their golf balls and the fact they are manufactured in South Korea. That is interesting that a 'strawman' was listed on the USGA application. There have also been references that the 'big boy eoms' were having their legal staff look into the whole KSig phenomena.
If ksig helped open more eyes then that is def good....But I don't think they(ksig) will make one bit of diff with the big OEMs and there price structure. The only retailer that does not offer sales are Titleist other than around xmas....Every other ball you can get % off, closeout, clearance etc. Quite frankly if one pays full retail for any ball other than Titleist, then they are an idiot.
What I've learned from this is that are a lot of delusional Costco members with respect to what the ksig means to the golf ball industry, especially the big guys; and their are way more people than I ever imagined that would hoard a golf ball.
Everybody has a friend who works at or is connected to Costco, I have two friends who have products distributed by them. They all have or have heard a story about this ball, no two stories are the same .
Lots of BS being circulated.
Costco has a market cap that Is greater than all the golf companies combined , any rumours of them being pushed around or bullied are rediculous . They could eat up any of them with a small nibble and crap them out .
ode .But I don't think they(ksig) will make one bit of diff with the big OEMs and there price structure. T
What I've learned from this is that are a lot of delusional Costco members with respect to what the ksig means to the golf ball industry, especially the big guys; and their are way more people than I ever imagined that would hoard a golf ball.
Yes and no.
No one was trying to change the industry single handed. No Superman wanna be there.
The consumer WILL dictate the price line as their eyes are open now. Whether the golf ball returns to the Costco offering or not is none essential. Even at a higher price than the ridiculous $29.99 / 24 golf balls, the consumer will probably in general not going to fork over their money without a question mark.
There will always be those whom will take the Titleist golf balls in their coffin, it's a free country. One can do what pleases them with their money.
Whatever Costco might stand to gain from continuing the Ksig, it won't be a drop in the bucket compared to the everyday consumables and other bulk items they sell. They're not interested in overtaking the golf ball market, that's not who they are.
Outside of message board warriors and golf blog enthusiasts, I'd wager most golfers haven't even heard of the ball.
I bought a nice rug from there last week for $139. Same style rug from a local flooring business was $299. I also have a Sam's Club membership and prefer some of their things over Costco, like paper towels, toilet paper, etc. Their Member's Mark line at Sam's is actually quite decent.
Costco just happens to be about 20 minutes closer.
What's BJ's?
OK, was getting worried for a second 
