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Does Callaway need a new face?

Posted by Jason Simpson
Jason Simpson
Jason lives for the links. His golfing career dates back to the age 12 when he used to take his grandma's club...
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on Friday, 25 October 2013
in The Golf Business

The face of Callaway is tired, literally and figuratively. I love Phil Mickelson to death as a golfer and a person. He's always willing to stop and sign autographs, converse with the crowd and even cheer on his fellow competitors. You've heard of the man's man, well Phil is the golfer's golfer.

From a business sense, is the Man In Black really the right choice as the face of your company? Callaway needs to get a fresh face or two in its brand.

Over the past decade Callaway's stocks have slowly tumbled to a low of less than $7 per share. Shares some ten years ago went for nearly $32. The trend with its stock doing well has coincided with how Phil is doing. When Phil was doing well several years ago people bought the product and the stock price went up because the company's worth went up. Callaway needs to become multi-faced across all golf markets.

Take Titleist and Nike, they have multiple players they back across the three major tours: LPGA, PGA and the Champions Tour. The sell more product because they have garnered a larger share of the tour market players, thus garnering a larger market share of sales because almost every week a Titleist brand player is winning, it may not be the same player every week, but when the brand is getting wins every week, it sells more product.

The short story is if Callaway wants a bigger market share they need to get some more faces in their commercials and on their brand in general.

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