Global Edition

Callaway continues six year run

9.00am 7th March 2003 - Corporate

Company (NYSE:ELY) has announced that — for the sixth consecutive year — it is the #1 seller of woods in the United States. According to official figures for the full year 2002 compiled by Golf Datatech, which monitors retail sales in the United States, Callaway Golf continues to set the pace in both units sold at 21.6% and revenues earned at 28.3% in the highly competitive woods segment of the golf equipment market.

Completing Callaway Golf’s 2002 golf club sweep at retail in the US, Golf Datatech figures show that Callaway Golf also is the #1 seller of irons in units with 16.1% and in revenues with 27.9%; and that Callaway Golf’s Odyssey brand is #1 in units at 40.3% and revenues at 48.7% for putters. The United States is the largest golf equipment market in the world.

“We are pleased to once again be recognized as the golf club manufacturer that is most preferred by consumers in the US, as reflected in their actual purchases at retail,” said Ron Drapeau, chairman, CEO and president of Callaway Golf Company. “We think these results directly reflect our fundamental goal as a company, which has always been to make golf products that are truly more rewarding to the average golfer than our competitors‘ products.”

The statistics compiled by Golf Datatech reflect sell-through of golf products to consumers. Thus, they are an indicator of actual sales rather than simply an accounting of inventory that has been delivered into the marketplace but not yet sold-through to the consumer. Callaway Golf has ranked #1 in woods and irons revenue earned for each year since Golf Datatech began collecting retail data in the US in 1997. Odyssey has been ranked #1 in revenue since the rankings began. Callaway Golf’s sustained six-year run as the #1 golf club manufacturer is believed to be unprecedented in the industry.

“This annual ranking of revenue and units is the true yardstick of sales and of sustained market success,” said Patrice Hutin, executive vice president of global sales and advertising. “Right now, in a chaotic woods market, some of our major competitors have a majority of their market share being generated by closeout product and we see that inventory growing at retail. The Golf Datatech figures demonstrate that Callaway Golf and Odyssey deliver to retailers the best combination of sell-through volume and inventory turnover for current product.”

In late 2002, Callaway Golf introduced the Great Big Bertha II Titanium Driver and had immediate success on the PGA Tour and other professional tours around the world. This added a level of interest at retail during the normally slow part of the season. Through the WGC-Accenture Match Play Championship last weekend, the Great Big Bertha II Pro Series has become the single most popular driver model on the PGA Tour, followed closely by the standard Great Big Bertha II.

“We believe this level of interest on the PGA Tour and other professional tours will continue to bring a level of excitement to this new great driver,” Drapeau said.

Callaway Golf Company www.callawaygolf.com

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