Par4QC It's all going to get more expensive, when it comes from China. They have unleashed the devil over there this week and many factories will be paying a heavy price with workers.
It may well get to a point of nothing coming from there.
Unless we get mired in a significant recession ( which I read is definitely possible ) Nothing is going to get cheaper and if it does it will be because they cut back on production costs. ( if that is even possible). Chinese labour costs are probably going to continue to increase as the country evolves from under the Communist stranglehold.
Transportation costs aren't decreasing. Could OEM's move the labour back here ? Unlikely but maybe closer to home , Mexico ?
Demand for clubs was insane during covid, many weeks even months backlog to get OEM clubs .
this is where component companies could have struck but even then some grips and shafts were impossible to get. one reason PXG did so well is they could turn orders around in 10 days. Our PXG sales were crazy this past summer because of that. We have always been 100% Titleist and always generate big sales for them but we sold 4-5x more PXG and 10x more than our TM fittings did.
It will be interesting to see what transpires with the post covid demand, impact of higher interest rates ( more personal debt) and possible economic slowdown.
While it has changed somewhat recently, golf remains a somewhat elitist game played mostly by those who have money, not seeing those people worry a bout a few dollars more for a driver.
