Nike dropping golf equipment (merged)

[Eric05]

Im just shocked to see this information come out. I'm very surprised actually. I loved there clubs, I love my VPC and was very excited to see what they would be changing in the next model.

 

I feel what really kills this industry and why club makers can't make any money. Is because you have other brands, "taylor made" coming out with something new every 3-6 months. Everyone else is just trying to complete. Lets be serious. For the amount of times you see 10+ yards we would be driving the ball 400 yards by now. But by making these clubs every 6 months, every year. All your doing is losing money and not being profitable. It would be better to produce something every 2 years. I feel instead of them leaving completely. That's what they should of done. And they would still be able to focus on what they wanted to do.

 

As for Tiger, Nike wouldn't be were it is today without him. Who knows where he will end up. Heck David Duval left nike to be with scratch. He will be paid a lot of money but honestly. I can't see him in anything else but Nike. He will have a contract with Nike regardless of clubs. Titleist I feel will be a big component to the Likes of Rory and Tiger. Reason being the MB blades are almost very similar.

 

I've always liked there equipment(Nike) and again still shocked. But I will find my way back to Titleist in the future.

[driverwedge]

Tiger back to Mizzy? :)

[Whit1969]

I don't think any of the Nike Staffers are worried about it. Basically outside of TM and Cobra, they could sign an equipment deal with any other OEM and wear Nike gear. That would include Ping, Titleist, Srixon, Bridgestone, and Callaway. None of these are full clothing and equipment companies. I would say that a lot of them wold go to TM, but with them trying to sell, I don't see it happening. You can pretty much bet most of the Nike guys will go back to a Titleist ball though.

 

So this effects Rory, Tiger, Koepka, Chappell, Finau, Vegas, Casy, Moinari and several more for a total of 22 staffers that will be looking for a new equipment company. Maybe Nike will only continue to make clubs for just their tour pros and not for retail???

[coozapalooza]

Anyone who thinks Tiger won't get a gigantic deal with a new company is delusional.

 

So, if you owned a equipment company you would fork over big bucks to a guy who hasn't won a major in over 8 years, had a win in 3 years, had 3 (maybe more) back surgeries, and is 40 years old ? Sorry, I wouldn't want you running my company. :)

 

In all likelihood he will be back next year and even if he's not dominant, you've seen the television time he gets. He has millions of massive fans including myself, many of which pay close attention to the clubs he uses. Many casual golf fans know what clubs he uses. I have friends who golf a just a few times a year and many use at least a couple Nike clubs.

 

Certainly won't get as extravagant as a deal as he has had with Nike, but let me know how your company's strategy of minimizing your press goes.

 

Companies will trip over themselves racing to get his signature.

[BYK]

Hope Nike takes care of the guys at the Oven. 80-90% of the staff was let go effective immediately. The shop guys, MT and DF are still around taking care of athletes through the end of the year. Wonder if Tiger will start his own line of clubs? Really sucks for the R&D guys who relocated families to work at Nike.

 

Man, that sucks. I hope they do take care of these folks

[Lesmond]

Where will all the haters go now?

 

Question of the year!?

 

They all can retire now. Good times.

[Redbird]

Rory back to Titleist?

[wkndhack]

I was not a big fan of their clubs but I do like their bags and some of their balls. Might have to try to grab an Air Hybrid II bag now as I've been after one for a bit.

 

Tiger has made his money, if he comes back, I'd like to see him make one more run playing whatever he does best with, not whoever writes him a check.

 

Between this and TM sale it could be the end of single brand deals for apparel and equipment.

 

Sucks for the staffers, reps, and working folks who are losing their jobs.

 

I wonder if they sell the IP for the good tech and who buys it.

[RICKYBOBBY]

But I thought a lot of people said that Jason Day and DJ were headed to Nike.....

 

They could still sign an apparel deal with Nike. Highly unlikely now though.

 

 

See, i think this is a VERY likely scenario. I think there are many guys on tour that would love to wear the NIKE apparel and shoes but didnt want to play the clubs so they said no thank you. But now they can wear the apparel and shoes and play whatever clubs they want. I think this would be enticing to Day and Johnson. NIKE is thinking of all the TV time those guys will be getting. I honestly believe that NIKE will sign a alot of players and get that logo all over the TV.

[Anser]

Anyone who thinks Tiger won't get a gigantic deal with a new company is delusional.

 

You know he doesn't

 

1) move hard goods

 

2) play

 

right?

[crazy8golfer]

But I thought a lot of people said that Jason Day and DJ were headed to Nike.....

 

With TM separated from Adidas, wouldn't be shocked at all to see one of them sign a Nike shoe and apparel deal...

I don't see why they would do that.

[bladehunter]

cant wait to see who goes to what... this will get good quick... although i see the super villain parsons getting his ink well full of blood ready to stroke off several million to grab several guys and then release a statement saying ' those nike guys couldnt wait to play the best on the planet... we had to turn several down because they werent up to our standards.... each one took a multi million dollar pay cut to be able to play the best" or some other line of Bull

[Eric05]

"Tiger continues to be a staunch and massive brand ambassador for Nike," his agent, Mark Steinberg, told ESPN.com on Wednesday. "Tiger and I will put together a plan on the hard goods side of the business and will discuss working with new companies."

 

from ESPN

[braincramp52]

Anyone who thinks Tiger won't get a gigantic deal with a new company is delusional.

 

So, if you owned a equipment company you would fork over big bucks to a guy who hasn't won a major in over 8 years, had a win in 3 years, had 3 (maybe more) back surgeries, and is 40 years old ? Sorry, I wouldn't want you running my company. :)

 

In all likelihood he will be back next year and even if he's not dominant, you've seen the television time he gets. He has millions of massive fans including myself, many of which pay close attention to the clubs he uses. Many casual golf fans know what clubs he uses. I have friends who golf a just a few times a year and many use at least a couple Nike clubs.

 

Certainly won't get as extravagant as a deal as he has had with Nike, but let me know how your company's strategy of minimizing your press goes.

 

Companies will trip over themselves racing to get his signature.

 

I understand that. But you said anybody would be delusional if we didn't think in your words, he would get a "Gigantic" deal. Companies don't dish out gigantic deals and not expect gigantic returns. Your buddies that play a few times a year aren't the ones they want.

[aspooner]

Well it's good to know that business principles exist in golf as well. LOL. Without a significantly growing number of golfers, how are there so many differentiated companies, based mostly on brand. Most manufacture their products in China for low cost steel and fabrication (labor and pollution advantages), and have different marketing schemes to entice us golfers that their piece of steel, titanium, and now carbon fiber will give us an advantage. However, those of us that want a true advantage get the clubs broken down and/or custom built to suit are individual swings. Not really a candidate for mass production. Not if you really care about your score or you are just obsessed with golf. Now the apparel business? Prime for mass production better margins and profits.

 

If i were Rory, I'd look at the demographic that is most attracted to my brand style, and align an apparel company (Nike a great choice) and equipment company (not sure what the golfing, soccer players love in europe and america) that targets those folks. From a mass production standpoint, Mizuno has the best players irons in my opinion; I don't know about their woods though? Taylor Made and Titleist have the best woods in my humble opinion so I'd look at those two. In any event, if i were he I'd have no contract on putters. He seems to be like the rest of us; sometimes the damn thing just doesn't work anymore, and a change of mind is required.

[crazy8golfer]

Anyone who thinks Tiger won't get a gigantic deal with a new company is delusional.

His best opportunity is with Kool-Aid.

[RICKYBOBBY]

Anyone who thinks Tiger won't get a gigantic deal with a new company is delusional.

 

Im not really directing this at you because you are correct, but the club deal he signs wont matter to the lay-person. They will see that Swoosh on the chest and swoosh/TW on his hat and thats all that will matter. So few people...as NIKE has shown us...care what clubs a person plays. BUT, they will ask for that polo or shoe.

[bartleyg82]

Anyone who thinks Tiger won't get a gigantic deal with a new company is delusional.

 

So, if you owned a equipment company you would fork over big bucks to a guy who hasn't won a major in over 8 years, had a win in 3 years, had 3 (maybe more) back surgeries, and is 40 years old ? Sorry, I wouldn't want you running my company. :)

Michael Jordan hasn't played a basketball game for 13 years and still makes something like $100 million a year in endorsements. Would you say the same thing about him? Personal issues aside, Tiger is the best golfer of this generation and will bring in a ton of money for whoever signs him.

[preiter20]

Not for nothing, but PXG is going to quickly run out of cash too. I don't know anyone dropping $5k on a set of irons that you can't try anywhere. Picking up more pro contracts will only hasten their fall.

 

PXG will never run out of cash. Bob Parsons is a multi-billionaire and will make clubs as long as he wants to.

[pbfoot]

But I thought a lot of people said that Jason Day and DJ were headed to Nike.....

 

They could still sign an apparel deal with Nike. Highly unlikely now though.

 

 

See, i think this is a VERY likely scenario. I think there are many guys on tour that would love to wear the NIKE apparel and shoes but didnt want to play the clubs so they said no thank you. But now they can wear the apparel and shoes and play whatever clubs they want. I think this would be enticing to Day and Johnson. NIKE is thinking of all the TV time those guys will be getting. I honestly believe that NIKE will sign a alot of players and get that logo all over the TV.

 

I HIGHLY doubt anyone was turning down a Nike deal because they didn't want to play the equipment. They make (made) good stuff...I actually am surprised they couldn't make it work in some capacity.

 

And to anyone who thinks Tiger won't get a massive deal you don't understand how marketing works. It doesn't matter if Tiger never plays again (though I'd be shocked if he didn't), someone would pay him huge money just to basically act as a brand ambassador. The real question is whether Tiger would be interested.

[Holy Moses]

Don't know why there would be a huge market for Tiger. His lack of play helped sink Nike Golf, just look at the numbers the last two years. We don't know if Tiger will even play again. I think Tiger signs with a new company this offseason, but it's a one year deal for $5 million with huge incentives.

[coozapalooza]

Anyone who thinks Tiger won't get a gigantic deal with a new company is delusional.

 

So, if you owned a equipment company you would fork over big bucks to a guy who hasn't won a major in over 8 years, had a win in 3 years, had 3 (maybe more) back surgeries, and is 40 years old ? Sorry, I wouldn't want you running my company. :)

 

In all likelihood he will be back next year and even if he's not dominant, you've seen the television time he gets. He has millions of massive fans including myself, many of which pay close attention to the clubs he uses. Many casual golf fans know what clubs he uses. I have friends who golf a just a few times a year and many use at least a couple Nike clubs.

 

Certainly won't get as extravagant as a deal as he has had with Nike, but let me know how your company's strategy of minimizing your press goes.

 

Companies will trip over themselves racing to get his signature.

 

I understand that. But you said anybody would be delusional if we didn't think in your words, he would get a "Gigantic" deal. Companies don't dish out gigantic deals and not expect gigantic returns. Your buddies that play a few times a year aren't the ones they want.

 

I mean, really it depends on what you're considering gigantic. I would bet it will be one of the bigger deals on tour. However, what Nike reportedly gave Rory is not in play for Tiger, nor should it be for Rory again.

 

I'm just saying, I think anyone who doesn't think he'll have a very large club deal is crazy. And I do think he'll have his choice of different manufacturers too.

[jgallant415]

But I thought a lot of people said that Jason Day and DJ were headed to Nike.....

 

With TM separated from Adidas, wouldn't be shocked at all to see one of them sign a Nike shoe and apparel deal...

I don't see why they would do that.

 

Don't see why Nike would do it? Or why Day/DJ would do it?

 

From Nike's perspective - two of the most visible names in the sport become free agents on the shoe/apparel side with TaylorMade no longer attached to Adidas - why wouldn't Nike be interested in getting one or both to wear the swoosh?

 

As for Day/DJ - Nike makes good shoes and apparel, pays a lot in sponsorships, and with Nike out of the equipment business, they can sign without having to switch clubs.

 

Why wouldn't either side be interested in doing a deal?

[RICKYBOBBY]

Not for nothing, but PXG is going to quickly run out of cash too. I don't know anyone dropping $5k on a set of irons that you can't try anywhere. Picking up more pro contracts will only hasten their fall.

 

PXG will never run out of cash. Bob Parsons is a multi-billionaire and will make clubs as long as he wants to.

 

 

And Phil Knight isnt?

[pbfoot]

Not for nothing, but PXG is going to quickly run out of cash too. I don't know anyone dropping $5k on a set of irons that you can't try anywhere. Picking up more pro contracts will only hasten their fall.

 

PXG will never run out of cash. Bob Parsons is a multi-billionaire and will make clubs as long as he wants to.

 

He got that way by being shrewd in business, he's not going to continue to throw good money at bad. Now I have no idea of PXG's finances, but they could very certainly be making money - generally speaking golf is a rich man's game and there is certainly space in the industry for a "luxury" option.

[widow-maker]

It's pretty obvious that making money in the "club" business is pretty difficult. Paying large endorsements to players is ending up to be not a wise investment for the company. I don't think that Bob Parsons can sell enough clubs at $2500+ to take on more staffers. There's only a certain segment of the golfer population that can afford to buy clubs at that price. Taylormade is on fumes with their large stable. If you're not making a profit, how long are you going to keep committing large dollars to players that aren't generating enough to your bottom line.

[Eric05]

Don't know why there would be a huge market for Tiger. His lack of play helped sink Nike Golf, just look at the numbers the last two years. We don't know if Tiger will even play again. I think Tiger signs with a new company this offseason, but it's a one year deal for $5 million with huge incentives.

 

the moment he steps back onto the golf course, the 5 million will go to about 100 Million.

 

Realistically. PXG i feel will/would be the only company to throw a lot of money at Tiger, Who else would be able to afford him? Titleist would be the smartest because its the most consistent with its products.

[dcrocketman]

For the people who worked for Nike golf this sucks. I really this just shows that the mega contracts generally for golf don't relate to club sales.

 

[BigHook25]

I'm surprised it was Nike first, but TaylorMade is next to exit. When they get bought TM clubs will slowly be phased out. I would imagine some of the players will stick with Nike apparel and even clubs for awhile. Eventually, they will get other club deals and maybe move over.

 

As far as Rory goes, he needs a different style putter, not necessarily a different brand. I think he should go to a more mallet style putter.

[jgallant415]

Not for nothing, but PXG is going to quickly run out of cash too. I don't know anyone dropping $5k on a set of irons that you can't try anywhere. Picking up more pro contracts will only hasten their fall.

 

PXG will never run out of cash. Bob Parsons is a multi-billionaire and will make clubs as long as he wants to.

 

 

And Phil Knight isnt?

 

Nike is a publicly traded mega-corporation that has to answer to shareholders. PXG is Bob Parsons's pet project. Not really comparable situations. (Not to mention Knight is no longer involved in Nike day to day operations).