Wednesday, August 1, 2007

Et tu, PGA of America?

I like to think that I am at least aware of cultural trends, but perhaps I am missing out on the craze to have a nonprofit sponsored by a multinational corporation. The PGA of America is the latest to announce that they are selling out to the man - that man being the Royal Bank of Scotland Group. Yesterday, the PGA announced that RBS will become its first Official Patron. What does that mean? According to the press release, that means:

Each PGA Official Patron is recognized with unprecedented visibility and marketing exposure at the PGA's highest-profile Championships. RBS designations from 2007-09 in the PGA Official Patron program include:
  • Official Patron and Bank of The PGA of America
  • Official Patron and Bank of the PGA Championship
  • Proud Supporter of the 2008 Ryder Cup
I'm not sure why the redundancy there, but that's ok. And I would hope that for whatever amount RBS is pony-ing up for the distinction that they're a damn proud supporter of the Ryder Cup. I suppose this is along the lines of UBS being the Official Financial Partner of the PLAYERS CHAMPIONSHIP OMG!!!!2111!. Sorry, got a little carried away there.

But just when you thought that's all RBS was getting... wait! There's more!

Among the activities and sponsorship opportunities that RBS will have in the program are:
  • Serving as the exclusive presenting sponsor of the PGA Championship History Exhibit, which will be making its first on-site debut at the PGA Championship, Aug. 6-12, at Southern Hills Country Club in Tulsa, Okla.
  • Serving as a co-presenting sponsor of PGA Play Golf America Days, and at similar activities that incorporate the PGA Professional brand of golf instruction in key financial centers and markets in advance of PGA Championships and Ryder Cups.
  • Supporting the PGA Championship, Ryder Cup and PGA Grand Slam of Golf through substantial media commitments.
It sounds like the PGA is expecting RBS to buy up a whole lot of ad time in exchange for plastering their name and logo all over a number of PGA exhibits.

This relationship with RBS and the PGA of America falls into line with recent activities of the USGA to form partnerships with American Express and Lexus. It is new territory for these golf organizations to turn to the corporate world for a little fungible money to run their operating activities.

There is not very much inside data about the value of any PGA of America investments - although they are owners of a host of golf courses (including Valhalla). There is also less data, as compared to the USGA, concerning their operational financial figures.

Still, if I am against one, I am against all. I think getting corporate America involved with golf's most long standing guardian organizations is a mistake. It seems to cheapen the value of them because they are, in essence, for sale. It cheapens the value of the major championships.

Then again, there is a counter-argument to this. It is a valid one, too. Every PGA Tour event is sponsored by a major corporation. The Masters has three corporate partners. The Open Championships for women and seniors have presenting sponsors. Corporate involvement in golf is nothing new for all of these nonprofit organizations that mostly do good work.

The trend is overwhelming, though. As someone who abhors the implication that organizations are for sale, this news causes me a lot of dismay and concern. I love that my hometown Baltimore Orioles have not sold their stadium's naming rights.

Am I off base here? Is corporate money at the PGA and USGA a bad thing as I portray it? Or, is it alright in moderation - so long as it does not become the driving force of the organization?

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