W hen I first learned about Topgolf I was beyond skeptical. Let me get this straight…You are going to build multi-million dollar outdoor “bowling alleys,” but rather than rolling balls on the ground, you are going to elevate people on a triple-decker range and expect them to hit a golf ball? Why in the world would that be popular? Golf is a niche sport and is extremely difficult for the average adult to learn. If you are looking for investors, I am out!
Now we know why I am not a venture capitalist! Boy was I wrong. Topgolf has not only been a successful business, it has led to a surge in new “off-course” golfers. In fact, according to the National Golf Foundation, “off-course” golfers now outnumber the traditional green grass variety. And the growth isn’t stopping. In 2023 Topgolf revenues grew to $1.76 billion! That is an increase of over 14% from 2022. How is this possible?
I am the last to answer, but I do have a theory. What I failed to recognize was the captivating power of “shot euphoria.” There is something fundamental in our DNA that ignites when we propel a ball in the air toward a target. Topgolf smartly built multi-level hitting bays that elevate the customer off the ground giving the illusion of flight to even the worst golf shot. And when reasonable contact is made, golf has the added advantage of using a lever that sends a ball great distances. Add some cold beer, spicy wings, and a few friends and you have yourself a multi-billion dollar business.
I really should have known better. The first time I hit a ball in the air, I was hooked. The ball didn’t fly more than 10 yards but the feeling of lift-off was love at first-flight. Apparently, I am not alone. A few million other people must receive a similar joy from the simple cause and effect of launching a ball into the sky.
While I might have missed out on an amazing investment opportunity, I could not be happier to see the success of Topgolf. If there is anything we need in the year 2024 it is things that bring us together. Whether it is Topgolf, an indoor golf café or the good old-fashioned green grass version, golf unites us by presenting us with a shared challenge. Unlike so many other sports that pit us against one another, in golf, we share the simple objective of directing a ball toward a target. This challenge can be enjoyed by people of all ages, shapes and sizes. We may all be different in many ways, but I think we can all agree that watching a ball fly through the air is downright cool!