The global golf ball market size was valued at USD 1.11 billion in 2017 and is projected to register a CAGR of 2.7% from 2018 to 2025. Promotion of golf tourism, construction of new golf courses, and rising consumer disposable income are some of the key market drivers. Governments across the world organize tournaments, workshops, and construction of professional golf courses to encourage tourism. This is also attributed to market growth over the forecast period.
Technological advancements in equipment and products are expected to positively impact market growth. For instance, the Seamless Cover Technology (SCT) allows creation of a non-uniform joint around the ball. It enhances aerodynamics and accuracy. They have lesser aerodynamic drag, which allows golfers to achieve longer distances with their shots, even with minimum movement and spin.
Golf has been positioned as a lifestyle sport with an added element of prestige. It presents a sense of competition and an avenue for physical exercise apart from being a source of entertainment. Several countries encourage tourism by organizing golfing events to attract both international and domestic tourists. Moreover, the sport is being used as an outlet not only for recreation but also as a part of community and regional development. Thus, enhanced favorability of the sport among the population is anticipated to drive the demand over the forecast period.
However, the market has witnessed a decline in terms of the number of rounds played and adoption of the sport in developed countries such as Canada, the U.S., and parts of Europe. This decline is attributed to the diminishing interest for the sport among the youth owing to the long duration of time spent in completing a single game. Moreover, high initial capital investment is anticipated to adversely affect the growth.
On the basis of product type, the market can be trifurcated into 2-piece, 3-piece, and 4-piece. The 4-piece segment led the global market and exceeded USD 500 million in 2017. Preference by professional golfers owing to greater stability and lower spin is anticipated to drive the segment growth. However, they are costlier than their 2-piece counterparts as they offer supplementary advantages such as greater aerial stability and control over the ball.
The 2-piece segment is anticipated to expand at the fastest CAGR over the forecast period. These balls are suitable for amateur golfers as they are more affordable. It is regarded as one of the most popular products among novice golfers owing to its lower cost and durability. An increased adoption by amateur players and rising recreational facilities across emerging markets are expected to boost growth of 2-piece series.
Golf is increasingly becoming popular as a leisure activity in recent times, owing to rising disposable income of the middle-class population, construction of new golf courses, and substantial government investments and initiatives for the promotion of tourism for this sport. Numerous resorts and hotels around the world are developing miniature golf courses to attract more patrons and are also organizing holidays and trips featuring this sport as the main attraction, thereby endorsing it as a leisure activity.
Moreover, 9% of the global travelers comprise junior golfers that have created a niche market for leisure golf providers to offer miniature versions of the sport at a relatively lower cost. Resultantly, the market in leisure application segment is anticipated to register considerable growth over the forecast period.
The professional golf segment dominated the market in 2017 and is expected to attain a market size exceeding USD 800 million by 2025. High popularity and substantial investment by various organizations, governments, and other investors are accredited to this expansion. Several golf associations are collaborating by organizing numerous events with the objective of promoting the sport among the youth. For instance, LGPA*USGA Girls Golf program has witnessed a significant hike in participation with enrollments surpassing 70,000 in 2017.
In the past couple of years, a number of similar programs have been initiated across the world encouraging adoption of golf as a professional sport among the youth. Competitions, both professional and amateur, for instance, the PGA Tour, U.S. Open, and the Masters, require the use of various types of golf balls, which creates additional demand. This is ultimately expected to contribute to the overall growth of golf ball market.
North America held the dominant market share of over 35% in 2017, owing to the presence of over 17,000 golf facilities out of which approximately 13,000 are public whereas 4,000 are private clubs. Furthermore, the region is saturated with several key players such as Nike, Inc.; Callaway Golf Company; Dixon Golf, Inc.; and Bridgestone Golf, Inc. Europe is anticipated to indicate steady growth owing to the presence of substantial real estate and a proliferating tourism industry. The region had 7,233 golf facilities as of 2017.
Asia Pacific is expected to register the highest CAGR owing to the growing population, disposable income, and extensive urbanization.The region is estimated to have over 6,600 golf courses with another approximately 180 new projects currently in development. It accounted for over 27% of global market share in terms of revenue in 2017. Furthermore, China and India have secured a place among the top 20 countries in facility development with 383 and 267 facilities respectively in 2017.
The market is highly competitive owing to the presence of prominent players such as Callaway Golf Company; Dixon Golf, Inc.; Mizuno Corporation; Bridgestone Golf, Inc.; Sumitomo Rubber Industries, Ltd.; TaylorMade Golf Company, Inc.; and Acushnet Holdings Corp. among others.
In recent years, it has been observed that adoption of golf as a sport and leisure activity is increasing in emerging markets, especially Asian countries such as China and India. Rise in disposable incomes and an improved standard of living accompanied by a greater emphasis on leisure activities are anticipated to propel this growth.
Companies are undertaking collaborations with resorts and hotels across the globe to develop golf facilities and to offer equipment in a bid to promote the sport. They also focus on engaging in mergers and acquisitions as a part of their business strategy to foster growth. For instance, in 2017, Callaway Golf Company acquired OGIO International, Inc. and TravisMathew, LLC. These acquisitions enabled the former to secure their position in international markets and augment their product portfolio to emerge as a market leader in the equipment market.
This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends from 2014 to 2025 in each of the sub-segments. For the purpose of this study, Grand View Research has segmented the global golf ball market report on the basis of product, application, and region: