Did you know Warren Buffett plays golf?
Golf is played by 10% of all Ultra High Net Worth individuals (people with at least 30m assets), according to bbc.com. That's slightly higher than the about 9% of Americans who play golf, according to the Professional Golfers' Association of America.
Why do some rich people play golf? Golf is a prestigious sport connecting people informally while competing with each other leisurely even at different levels due to the handicap system. Based on BusinessInsider, 37% who played golf combined their love of golf with business, and 45% of wealthy golfers were members of a private golf club and the rest hoofed it at local public clubs.
Rich People Playing Golf
Bhushan Joshi, a Pune, India-based director of financial services consulting with consulting company Capgemini, said, "Golf is the most popular sport in his country. It’s a social game and one where the wealthy can mingle with other rich individuals. It’s also still a favorite pastime among business executives, no matter the country,
It’s the best way to connect with people informally. You make a lot of friends playing a sport that’s considered to be prestigious.
Donald Trump once said, "Let golf be for the rich elite".
You have a lot of money if you are a member of Augusta National. Warren Buffett once said to Fortune at age 80,
“Lucky to break 100 would be a very generous appraisal of my current abilities,”
Why play golf?
For people without any knowledge to gain a network into the riches, golf allows one to kickstart that journey while playing a sport. The expensive barriers to entry, equipment lessons/practice, greens fees, some courses with exclusivity make it a sure way to find people with disposable income.
This creates more self-selection on the golf course since people tend to travel where their social circles travel; wealthy people play because it's a game their wealthy friends play, while less wealthy people who can afford it don't play. After all, their friends aren't playing.
It is also suitable for all ages, imagine Warren Buffett playing at 80. As long as you can walk, you can play golf. Whether you are unfit, did not train for many years, you can still play as long as you can afford golf.
What are the benefits of golf?
It's safe: Unlike biking and skiing (other sports that rich people are into), the probability of getting injured while playing golf is extremely low.
How much does golf cost?
Not only are you possibly dishing out thousands of dollars on the latest and greatest clubs, but there are also lessons, driving range fees, footwear, hats, gloves, bags, rain gear, training aids, and you're paying anywhere from about $50-$500 and up for one round of golf!
Do you need to take lessons?
It's also exclusive because golf is really difficult to pick up and play, so you need to spend time taking lessons, which excludes a lot of decently well-off adults who couldn't play as kids.
How much does a golf lesson cost?
A large bucket of balls at the range will be about $18.00, and the average hour-long lesson is about $55.00. With the price tag for membership dues being in the thousands of dollars, and additional fees charged per round for some, it's pretty reasonable to assume, and believe, that golf is a game for the rich.
Where Can I Play Golf?
The small putting practice tool is available cheaply. For a full golf swing, you are limited to either private or public courses. And unfortunately, there are no free courses that you can go to and play like you can on a tennis court.
Usually, you will have to go to members' only clubs or Country Clubs. The courses are usually well-manicured, and sand traps that are not like hitting into wet cement.
Many golf courses are open to the public and don't require you to be a member of the country club to play.
How much does a new golf club cost?
A brand new set of irons will probably set you back in the range of $1000.00. Add to that a new driver for about $400.00, a putter for $200.00, wedges, and a bag, and the basic equipment alone is around $2,000.00.
What about the golf courses?
With that said, however, there is a multitude of public courses that aren't half bad, and more or less reasonably priced.