Doug Cash Joins the BTB Podcast
Doug Cash, founder of CashFlow Tennis, joins the BTB Podcast and discusses how Covid has changed the club industry and what to expect as we head through 2021. Nothing will remain untouched by the virus, says Doug. From the large fitness national chains which have lost up to 70 percent of their monthly dues revenues, through to country clubs which, on the other hand, have been seen as sanctuaries and have raised dues. Every facet of club membership is evolving as Covid declines.
Doug escaped the on-court grind of the industry and moved in to management in which he has worked with over 50 clubs. He received a few calls asking for help back at a time when there were few who knew how large clubs could operate profitably and has never looked back. Moving into the arena of growing the game, Doug has worked with the USTA and the Tennis Industry Association.
Cash, like most management consultancies in the business, recommends that dues and initiation fees should go up on an annual basis. If not, over time, the club will find itself in dire financial straits.
A Pro On Every Court
Doug relates how some clubs in the Northeast are requiring a professional on every court. “You can’t make a court reservation without a pro,” says Doug. Doug sees this as the way forward and will be a function of tennis clubs in the future. “The pro-led hour of court time is so much better in the long run. You hit more balls, you have more fun, you learn a little bit, the pro is a ringmaster… you get more exercise and you don’t have to worry if your fourth shows up.”
Antiquated Compensation Packages Need Revision For This Century
Doug dislikes the antiquated payment and compensation models that currently exist n the tennis industry. As is said widely, the house always wins. If paid through a percentage, an instructor is always hampered by the club’s cut which remains the same percentage, even as lesson and clinic prices go up. Doug believes because of this, there is a scarcity of teaching professionals, with clubs now across the country clamoring for new professionals to meet current and much higher demand. Although compensation is going up slowly due to the lack of supply, Doug feels that raising club dues and initiation fees over the long term can inhibit raises in lesson and clinic rates.
Doug notes that a starting truck driver for Walmart makes $82,000 per annum starting out as a brand new driver. “Very few starting tennis professionals start out at that level,” says Cash who feels that compensation simply starts out too low right from the outset.
Doug is a specialist in creating cash flow within a department. And he gives us a couple of his secrets along the way on the podcast. So click above and have a listen as he discusses how we, as an industry, will need to adjust even more than we have post-Covid. And, if you like our podcast series, please subscribe on Apple, Spotify or wherever you listen to your podcasts.