BUSINESS OPPORTUNITIES: Putting Pros

As members of the baby boomer generation approach retirement and seek to improve their outdoor living spaces while maintaining an active lifestyle, landscape contractors should consider offering an amenity this group may seek: synthetic putting greens.
 
During the mid-1990s, Ted Greiner was looking for a specialty service to differentiate his company in an increasingly competitive landscaping climate. “We chose putting greens and water gardens because there was no competition back then,” says the president of TJB in Hamden, Conn. “It has since changed, but it’s still a wonderful market to be in,” says Greiner of synthetic putting green installation, a service that he says yields profit margins in the 50- to 70-percent range.
 
At the request of a customer about six years ago, Jay McMullen, president of All State Landscape/Southwest Greens of The San Fernando Valley in Mission Hills, Calif., began offering synthetic putting greens. “We felt that a synthetic turf and putting green business would be a good addition to the services we provide,” he says of his full-service firm. “It tends to appeal to the customers who love golf – the baby boomers looking for something fun in their yard or families with kids who golf and are looking to sharpen their game.” Today, synthetic putting green and turf installation adds about $300,000 to the company’s top line. McMullen expects the service to grow 10 to 15 percent this year.
 
GOOD TO KNOW. Contractors looking to get into the synthetic putting green installation business should understand the differences between the two main types of turf on the market – polypropylene and nylon, Greiner says. Polypropylene, which costs about $2 to $3 per square foot, is cheaper from a raw materials standpoint, but takes longer to install because it requires the installation of infill, which is sand, slag or silica sand that’s swept into the surface of the green to control ball speed. Nylon is more expensive from a raw materials standpoint – $5 to $6 per square foot – but doesn’t require as much labor because it’s not necessary to sand the greens.
  
Which material is “better” comes down to personal preference, says Greiner, who installs both polypropylene and nylon greens for $18 per square foot plus $100 per hole. He is able to charge the same rate for both types of greens because the difference in material costs and installation times offset each other for a sufficient profit margin.
 
The pricing standard for synthetic putting greens is to charge by the square foot, Greiner says, because “customers don’t want you to tell them it’s going to cost between X and X – they want to know exactly.” He emphasizes the competitive pricing in this area of business. “In some parts of the South, installers are lucky if they can get $8 to $10 per square foot. It just depends on the market.”
 
In the Los Angeles area where McMullen installs polypropylene greens, synthetic putting greens go for $11 to $17 per square foot. He adds there’s a wide range of product quality and manufacturer service in this sector, and encourages contractors to do their research.
 
The first few years McMullen offered putting greens, he struggled with supplier relationships. McMullen had difficulties with product orders and deliveries. One time, the materials he ordered took three months to be delivered; another time, the manufacturer sent him turf that had been punctured by a forklift during shipping.
 
“We also had quality problems with turf that was supposed to be all the same height, but the heights were inconsistent, which made it a non usable product,” he says. At the time his company was only installing “a handful” of putting greens per year, but these supplier issues nearly cost him a few of those jobs and his reputation in the market.
 
Two years ago, with four years of putting green experience under his belt, McMullen decided his business would be best served by purchasing a putting green/synthetic turf installation franchise. There is a number of such franchise systems available, with initial investments ranging from $50,000 to $150,000.
 
Though many landscape contractors find success in tackling this service independently, McMullen believed the support of a franchise with its manufacturer-guaranteed products was the right answer to his numerous supplier problems.

INSTALLATION INSIDER. Today, McMullen’s firm installs two to four putting greens per month. The key to success, he says, is a skilled crew that’s experienced in properly compacting soil, carefully cutting the fringe and installing the turf so there are no gaps that interfere with the way balls roll on the green. In addition, polypropylene turf requires “brooming” in the infill material. Adding infill is optional for nylon greens. “Installation that lacks attention to detail can create very unhappy customers,” McMullen says. His crews receive training through the franchise system’s headquarters.
 
Greiner, who never had formal training but learned through trial and error over the last 17 years, agrees that impeccable installation is necessary for customer satisfaction. He emphasizes the importance of high-quality seaming, or the process of joining two pieces of synthetic material together, much like in carpet installation. “The contractor can do the seams himself, but I highly recommend subbing it out to someone who installs carpet,” he says. When Greiner first started installing putting greens, he paid a carpet installer $7 a running foot to do seaming; today, he has an ex-carpet installer on staff. “It sounds like a lot until you realize how important it is and if the customer isn’t satisfied with the seams once you’re done with the installation, there’s not much you can do about it then.”
 
Installation, depending on the material, crew size and site challenges, ranges from several hours to several days. An experienced TJB crew can install a 12- by 24-foot green in three hours. “That’s where you can be after 17 years of experience,” Greiner says.
 
Some contractors compare putting greens to paver installation and cross-train their crews in both services because base preparation and some of the required equipment is similar. “Installing the base is a lot like doing walkways and patios, but it’s easier because you don’t have to be so concerned about the grade,” Greiner says. “The bumps make it more challenging for the golfer.”  
 
From an equipment-purchasing standpoint, McMullen says a lot of hand tools and small equipment are required, including shovels, specialized brooms, cutting materials and leveling devices. Most of these items are available through synthetic turf suppliers, he says. The larger equipment, which some landscape firms already have, includes sod rollers and compactors. Depending on the type of machines a contractor chooses to purchase, the equipment-related up-start costs range between $10,000 and $25,000, McMullen estimates.
 
SALES OPPORTUNITIES. The high-end nature of putting green installation is one reason it’s an attractive service for many contractors. Offering putting greens pairs well with water features, which is why Greiner constructed a display garden that showcases both products. “The wife looks at the water garden and the husband looks at the putting green and he says ‘Honey, let’s make a deal,’” Greiner says. People like to touch what they’re buying, especially when they’re spending thousands of dollars, he says. The majority of backyard putting greens TJB installs are either 12- by 24-feet or 15- by 30-feet, which places the price tags around $5,000 to $8,000.

In addition, Putting green contractors can add sales by offering maintenance services. Though synthetic turf is frequently marketed as “maintenance-free,” that’s not necessarily the case with synthetic putting greens if clients want to keep them in tip-top shape. Polypropylene putting green installers recommend resanding the greens to ensure the ball rolls correctly. “It’s required every one or two years, depending on the customer,” McMullen says. McMullen’s company offers service calls each year on a time and materials basis. “We call to check in after a year to make sure they’re enjoying their putting green and see if they need service,” he says. The visit takes two to four hours depending on the size of the green, he says.
 
In the Northeast, moss, mildew, algae and mold can be a problem, especially on greens installed in shady areas. To combat these issues, TJB will treat its customers’ greens with an algaecide/fungicide product on a time and materials basis. There are several products available for this type of treatment, Greiner says. He encourages contractors to check with the manufacturer and/or test for colorfastness for up to six months in “real life” conditions before applying any such products on their customers’ greens.
 
Another maintenance offering is a sort of “spring cleanup.” TJB crews visit several clients each spring to reset, clean or replace cups; touch-up bunkers, eliminating weeds if necessary; recompact the green and add more infill material if the client requests a “faster” green. TJB also performs this service on a time and material basis.
 
Selling specialty services like synthetic putting greens also offers the opportunity for contractors to get creative with their marketing campaigns. One of the most successful ones Greiner conducted – which has sold about 150 jobs over the years – was to collaborate with the golf pro at a local golf course. “Tell him you’ll give him a 10 to 20 percent kickback for every green he sells for you and let him recommend you to his golfers.” Greiner says. “Or better yet, see if you can install a display outside the pro shop and put up a sign that says ‘Free putting courtesy of XYZ Landscape – see the pro shop for details.’
 
Greiner adds, “Just make sure that green is perfect.” LL