The Green Frontier: Golf’s Growing Investment Appeal

For decades, golf was seen as a weekend pastime. Today, it’s evolving into something much larger: a lifestyle that blends sport, social connection and experiences. For athletes and consumers, this means an industry reshaping itself to meet modern needs. For investors, it means access to a rapidly growing market with potential for long-term value.

A recent report by Baird Global Investment Banking highlights what’s driving growth in the industry and how you can take advantage as an investor.

A Growing Player Base

Not only is golf attracting younger players, with the 18-34 age group now the largest of on-course players, but the number of female golfers has risen by a notable 41% since 2019. In 2024, total U.S. participation reached a record 47.2 million, marking a 38% increase over the same period.¹ This surge is changing how companies think about the sport, with brands catering to new audiences’ expectations.

What It Means for Investors: Brands and businesses that connect with these growing demographics, like lifestyle brands and equipment providers, are becoming attractive investments. As golfers search for top-quality experiences and gear, they’re setting a new benchmark for the pricing and value of these companies.

Innovation on the Course

Driven by younger generations’ increasing interest in golf, technology is transforming the golf experience. On-course performance tracking, online booking systems, golf simulators with customizable course terrains, and more, are catching the eye of consumers.

This spirit of innovation is alive across the industry. Take L.A.B. Golf, a leading manufacturer and marketer of high-performance putting equipment and golf accessories: Baird’s Global Investment Banking team recently served as the exclusive Financial Advisor to L.A.B. Golf in its sale to the investment firm L Catterton – helping an innovative brand take its next big step towards growth.

What It Means for Investors: Investment opportunities in companies that are redefining the golf experience through innovation are taking center stage. Whether it’s startups developing advanced simulators, platforms that streamline course operations or innovative tools helping players improve their game, these businesses are tapping into a growing market. And they’re just getting started.

New Venues and Experiences

Golf is no longer confined to 18 holes and a clubhouse. While golf-entertainment venues like Five Iron Golf and PinSeekers blend the sport with dining and socialization, other venues offer shorter course layouts to give busy families and professionals a chance to work golf into their packed schedules. These innovative formats attract new players and investors alike.

What It Means for Investors: Golf-entertainment venues offer diversified and scalable revenue streams through food, beverage and event hosting. This makes them attractive for both private equity and real estate investors. Short-course venues offer similar advantages and have higher per-visit spending, making them a compelling investment option.

Upgrades to the Clubhouse

To attract premium golfers and high-spending members, course owners are swapping daily-fee golf courses into amenity-rich venues featuring fitness centers, spas and fine dining. These renovations lean into the growing demand for lifestyle-focused memberships that go beyond the game of golf itself.

What It Means for Investors: As clubhouses upgrade, investors have the opportunity to capitalize on value-add real estate strategies, leveraging underutilized properties in affluent or underserved markets. Improving clubhouses in well-off areas can also lead to new ways for clubs to grow and welcome more members, ultimately creating more sustainable revenue models.