BoardRoom Briefs November/December 2017

briefs Club = Cult? Does It? Should It?

By Bonnie J. Knutson, PhD.

Cult is a controversial term. It conjures up images of a pack of strong, gruffy-looking, leather-jacketed motorcyclists roaring down the highways and byways.

But cult is also one of those terms that businesses have usurped as part of their brand marketing jargon. But this impression isn’t new. The notion of a cult brand has really been around for a while. Ask any member of “Arnie’s Army.”

What about the avid fan who rushes to the bookstore to buy Oprah’s latest book club title, just because Oprah recommended it? Don’t forget the fervent Cub fans who loyalty supported the team during the 108 years drought between its World Series titles (in the interest of full disclosure, I am a true and loyal “Cubbie”).

Yes, cult brands are not new. In reality, what is new is our realization that every one of us wants to be a cult brand. Your club included.

My old friend, Dictionary.com defines a cult as “a group…bound together by veneration of the same thing.” So let’s relate that definition to your club and ask if that definition applies.

• “a group…bound together…” Check!

• veneration of the same thing.” Check! (Hope so.)

In applying this definition to clubs, a cult club is simply one that is unique and has a furiously loyal membership. The operative word here furiously. Most clubs do boast loyal

members. After all, they have to be at least somewhat loyal or they wouldn’t continue paying dues and assessments every year. But are they furiously loyal. This adjective separates a club from a cult club. Any club can boast of a loyal membership, but how many can boast that their members are die-hard evangelists, that they come often and bring new members into the club’s community.

This passion is what makes a club a cult club. Every board and every club manager dream of elevating their club into cult status, but it takes more than dreaming on the part of the board and management, however. It takes unending effort to strategically develop an internal culture with staff that focuses on creating an external member-centric culture that consistently delivers unparalleled member experiences at every touch point.

As I read somewhere, a cult brand doesn’t sell products or services; it sells a lifestyle. Is that what your club is? Or what is should aspire to be? So grab your leather jacket, don your gruffy look, climb on that bike and head for the open strategy road. Your Bottom Line will thank you! BRB

Table of Contents BOARD Q&A with President Dan McCarthy - P3 Member Experience & the Pillars of Trust - P7 Board Orientation Is Most Important - P11 What Makes an Effective Board Member - P13 CLUB CULTURE Club = Cult? Does It? Should It? - P1 Building a Values-Driven Culture - P5 Nothing But Respect for Us Old Folks, but.... - P9 CLUB TRENDS Clubhouse Trends in 2018 - P5 Wellness Trends in 2018 - P9 Club Board Trends in 2018 - P11 GOVERNANCE Tax Reform and the Club Industry - P7 MEMBERSHIP The Age of Significance & Vision - P3 TECHNOLOGY AI is Making Google Smarter - P13

briefs

NOVEMBER/ DECEMBER 2017 VOLUME 2 | ISSUE 6

BoardRoom Briefs is complimentary to BoardRoom magazine subscribers.

This newsletter offers content that goes beyond the buzz, by surfacing and summarizing important industry information. Each issue will offer practical insights from industry experts with a focus on fit for boards, board presidents and paid management.

John G. Fornaro / Publisher Dee Kaplan / Advertising

Heather Arias de Cordoba / Editor Dave White / Consulting

If you have a story idea, please contact heather@boardroommag.com or call (949) 365-6966.

For more information please visit www.BoardRoomMagazine.com. Interested in advertising, please email dee.kaplan@gmail.com or call (310) 821-0746.

CONTRIBUTING WRITERS AND INDUSTRY RESOURCES Peter M. Cafaro / sr. vice president Judd Brown Design / pcafaro@jbd.cc Rick Coyne / CEO, Professional Club Marketing Association / rcoyne@clubmark.com Henry DeLozier / golf management consultant / hdelozier@globalgolfadvisors.com Steve Graves / president, Creative Golf Marketing / Steve@creativegolfmarketing.com Bonnie J. Knutson Ph.D. / professor, The School of Hospitality Business, MSU / drbonnie@msu.edu Frank Lucas, CPA / Tax Senior Manager, RSM US / Frank.Lucas@rsmus.com Mike Phelps / CEO, Pipeline Marketing / mike@pipeline-inc.com Dan McCarthy / president, Mission Viejo Country Club Gordon Welch / president, APCD / gordon@apcd.com Dave White / editor, BoardRoom magazine / whitepks@mac.com

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The Age of Significance & Vision

By Rick Coyne

The vision forward is difficult without the lessons of the past and an understanding of the present. The first thing learned in strategic planning is “where have you been, where are you today and where do you need to be in the future.”

As an industry that has faced several unique challenges over the past decade, many lessons have been learned, many thought leaders have emerged and many clubs have found sustainable growth through recognition of the ever-changing needs of their members and marketplace. In many ways, it was these very challenges that created a new and more stable vision for the industry’s future.

No longer in the homogenous clubs of the ‘60s, today’s club leaders are quickly learning that in order to thrive, clubs must create lifestyle significance for men and women, for families, for golfers and for non-golfers. Maintaining the one size fits all for member activities and services is a recipe for disaster.

of the week, with music and a bar set-up. Bocce ball, managed properly, can generate hundreds of league members, increased food and beverage sales and more engaged members. Pickle ball is emerging as a favorite for young and old members.

As importantly, successful clubs are recognizing that capital spending should be based upon monetizable investments, things that will attract new members, retain those they have, increase usage and ultimately create greater satisfaction and engagement with their members.

SURGE! Satisfaction, Utilization, Retention, Growth and Engagement. It’s the path forward for 2018 and beyond. Let the good times roll! BRB

Look at the various role models we have to light the path; from driving range to Top Golf, from movie theater to “dine-in movies.” The list is endless of great ideas and vision to create new markets and to move beyond the competition. As endless as the list of ideas are the mix of personalities, generations and families that make up our membership.

Many clubs today are experiencing a decline in new golf memberships but an increase in lifestyle memberships. The cause and effect vary, but available time, finances, and family are generally somewhere in the mix of reasons that social memberships are more popular today. With the trend however, comes another challenge, converting these members into golfers.

Some of the many things successful clubs are doing today include happy hour events at the driving range on specific days

Q&A with President Dan McCarthy Dan McCarthy, president of Mission Viejo Country Club, was one BoardRoom magazine’s 2016 Top Private Club Presidents.

Question: What is your view on collaborative governance between the volunteer board and paid management?

Question: In today’s private club how do you see this governance model operating?

Answer: I would cautiously state that I believe in collaborative governance. I say cautiously because in my opinion it is a delicate balance and if not managed closely can get out of balance. If you have board members that are too exuberant in their ideas and actions then it can affect the balance of things and if you have management that doesn’t listen well enough to the needs of the board/members the balance swings the other way. Boards should provide guidance and ideas to the management or GM and then step out of the way for them to execute. To me the operative words in your question are volunteer (board) and paid (management), one is a full-time job and the other is just what it says, volunteer.

Answer: I see the model operating at somewhere in an 80/20 split or maybe 90/10. Good managers are going to want input and feedback from the board so they know they are delivering the product the members want, however boards need to not over reach in their guidance to the point where they are affecting the operations of the club which is really up to the management. So boards would give 10-20 percent input on how the club is/should be running and the 80-90 percent of the task would be left up to the management to implement things operationally. I think currently we, at Mission Viejo Country Club, have come fairly close to striking that balance and I would say things are working very well. BRB

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Building a Values-Driven Culture

By Henry DeLozier

Core values are the fundamental beliefs held most dear by a person or organization. Certain clubs are revered for the clarity and certainty of their core values.

It is not a coincidence that superior clubs recognize, revere and act on their own distinct core values. Lesser clubs drift from one direction and popular trend to the next. The values of the club are clear for all to see. Some examples of clear-cut values are:

Member Services Innovation – It was Apple that challenged the world to “Think different.” Private clubs whose actions demonstrate value for innovation prosper among “me-too” competitors.

Leadership Excellence – Through more than eight decades, Augusta National Golf Club has been served by six chairmen.

These leaders understood the unique attributes of the Club and labored to honor the high standards on which the Club was founded. Jim James, the respected director of hospitality operations at Augusta National says, “We simply try every single day to be the absolute best we can at everything thing we do. We look at every single day as an opportunity to improve. When we find we are not the best, we are relentless and incredibly focused to make sure that we improve.”

Some clubs post extremely admirable core values. The catch is that the actions of club leaders and management must be consistent with the values claimed. How should a club leader develop and nurture a values-centric culture for the club?

Environmental Sustainability – Patagonia and Ben & Jerry’s are two companies routinely recognized for their constant support of environmental sustainability. Christine Kane, executive director for Audubon International, describes leading a values-driven organization, “Promoting the beliefs and principles behind your organization not only focuses your work, it also helps others to understand it and connect to your passion. Audubon International has sustainable management, environmental education and voluntary certification programs around the world. Since we work in a wide variety of cultures, industries and economies, our nine core principles easily and clearly explain who we are, what we do and why we do it. This results in an immediate, common bond with our members that endures for years.”

Ask and answer the question of all involved “Is this who and what we are?” Be truthful and realistic. Can your club adhere to the description you are giving it?

Choose the people who should be involved. The club needs people who understand the sacrosanct values of the club, such as respect…truthfulness…duty…accountability. Add an independent guide – professional advisors or a person of the cloth – who will focus on ethical values and outcomes; and

There are no shortcuts for creating values and there is always value in continued questioning of the club’s values. Tony Hsieh, founder of Zappos, once stated that the one thing he learned the hard way was in not having established the company’s ten core values sooner. Zappos is revered for the clarity of its value-driven culture so it is never to soon nor too late to validate the cultures of your club. BRB

Trends in 2018

By Peter Cafaro

Time to shine up the crystal ball – what will the “big item” be for clubs next year?

We all already know that today’s…and tomorrow’s members want a resort experience especially with their pool, dining and other “nongolf” amenities. As I speak to myriad boards and committees, I am regularly asked – what should we do? What is right for us?

The important trends that I see taking hold and will continue to strengthen have little to do with a pool, a bar or pickleball.

Rather, the process by which a club gets there. So much of my time is spent in conversation with club leadership about how we did it in the past. So many complaints surfacing in focus groups about “why did we do this?” and “some member did it themselves…cheap!”

Planning and transparency are the buzzwords for 2018. Forget single dimensional projects or decisions made by a select group of members. Opt instead for a well-defined process of page 5

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gathering input from the members, analyzing that input against specific established trends, determine the need for your particular club then devise a plan or process to achieve your pre-determined goal. And do all this out in the open for all the members to see, understand and support (or not!) After all, it is their club.

In taking this approach, especially with hot topics like dress code, fitness and other capital projects, remind the members of their responsibility to their club. Remind them that they joined a club, a social group whereby the golf course and pool make up only the club’s physical assets. What they joined is much more. Members must be regularly reminded that they each have an inherent responsibility to assure their club’s vitality well into the future and to “leave just a little better than you found it! “ BRB

Member Experience and the Pillars of Trust

Tax Reform and Impacts on the Club Industry

By Gordon Welch

By Frank Lucas

The two most important areas of your focus this year are member experience and trust!

The White House and Congress are talking tax reform in 2018.

What does this mean for your private club?

First, all clubs will continue to be gauged by their unique member experiences. What are you planning for your club members? Is it the same old thing they can get from a standard neighborhood club down the street? Or, are you and your staff members planning over the top events and décor that makes a member proud?

Tax reform has been a hot topic across the United States ever since the election of President Trump.

I was recently at two over-the-top events in Florida. They were the most extravagant events I have ever attended.

The next day I was sitting with Michael DiPietro and I mentioned the events. His reply took me off guard. He stated that members of private clubs of that caliber expect over-the-top events every day. The pressure is great, but the outcomes are incredible. Plan your own over-the-top events for your members. Member experience is what keeps them coming back and what makes them proud to be a member of their club.

Secondly, trust is the name of the game! David Horsager stated in his new book, The Trust Edge that the foundation of success is trust, and I believe him! I believe trust is the reason many managers lose jobs. The basics of job security is being honest or trustworthy. It is equally trust, understanding and good communication on the board should expect from you and from themselves.

Horsager lists eight “pillars of trust” and they are: Clarity: People trust the clear and mistrust the ambiguous.

Compassion: People put faith in those that care beyond themselves.

Character: People notice those that do what is right over what is easy.

Competency: People have confidence in those who stay fresh, relevant and capable.

Commitment: People believe in those who stand through adversity.

Connection: People want to follow, buy from and be around friends.

Contribution: People immediately respond to results.

Consistency: People love to see the little things done consistently.

Form close relationships with your board. Be open, honest and don’t be afraid to make mistakes (but own up to them). And GMs must demand clarity, compassion, commitment, contribution and consistency from the board. If you have difficulty communicating with your board call me and I would be happy to share some success stories with you! BRB page 7

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The proposed tax reform could have a direct impact on your club if it includes a reduction in corporate tax rates. The reform is slated to reduce the effective corporate tax rate from 35 percent to 20 percent.

As you may know, exempt private clubs pay tax on unrelated business income, which is comprised mainly of non-member, and non-traditional income. Non-exempt member owned organizations pay tax on both member and non-member income. Non-exempt clubs generally file a corporate tax return (Form 1120) thus pay tax at corporate rates. While exempt clubs don’t file a corporate tax return, they are subject to corporate tax rates.

If the tax reform included a new maximum tax rate for corporations of 20 percent, this could be very beneficial for exempt and non-exempt clubs alike. Clubs could see major tax savings in years where the club has large gains from the sale of land or investments. If you club is considering selling a piece of land or investment with a large unrealized gain, it could be beneficial to hold off another year to see if tax reform gets passed.

If your club is exempt and selling a piece of land which is used in the exempt function of the club, there are tax benefits available to you now provided the land is reinvested in new capital assets within a certain number of years.

The proposed changes could also impact private clubs indirectly, as it appears much of the legislation will have direct impact on individual taxation. Proposed increases in the standard deduction are projected to be $12,000 for single and $24,000 for married filers. This is a substantial increase from the 2017 standard deduction, which are $6,350 for single and $12,700 for married filers.

The framework aims to reduce the amount of tax brackets from seven to three, with the possibility of a fourth higher bracket being added during the legislation process. The new progressive tax rates would be 12, 25, and 35 percent compared to the current rates of 10, 15, 25, 28, 33, 35, and 39.6 percent.

This potential decrease in overall tax to individuals could have positive effects on private clubs as members of the upper class could have more spending cash to use at the club.

While tax reform is still uncertain, it would benefit every club to keep an eye on the situation in order to maximize any potential tax savings. BRB

Nothing But Respect for Us Old Folks, But…

By Steve Graves

Club leaders want to know, “What should we do to retain our older members?” These individuals have been valuable, long-time members of the club.

I have been staying at Marriott properties for the past 25 years.

In the last eight years, I have stayed at Marriott hotels for a total of 1,891 nights. Let that soak in a bit…If that were a prison sentence, I would have been sentenced to approximately 5 consecutive years in a Marriott hotel room!

I hope you would agree that by any form of measurement, I am a valued Marriott hotel guest. Now, as I have gotten older, I am still traveling but not using all of the hotel facilities [fitness center, swimming pool, hair dryer (I am bald!), tennis courts, etc…] as much as I once did.

• Do you think they owe it to me to give me lower priced rooms?

• Do you think they should do something because of my years of being a ‘good guest?’

Do you think they are petrified of me not staying at a Marriott if they do not financially come forward to retain me as a guest?

The short answer: heck, no! Marriott is not worried about losing me as a patron. They have me. Certainly, they want to keep me but not through the concept of giving me lower priced rooms simply because of my age. What they do need to do to

maintain my relationship with them and continue to offer superior customer services; update their hotel rooms and lobby area; remain consistent with their food and beverage operation; and offer free Wi-Fi and upgrades when available.

Consequently, this issue is front and center right now at most clubs nationwide. And, in my judgment, way too much time is being spent in the boardroom attempting to retain older members through pricing. Private club leaders should be spending much more time on strategies to “back fill” their membership base with young members that will replace the older members that will eventually leave their club, and not on the age old “80/90/100 rule” to receive lower dues.

I assume that when Marriott executives are having conversations about “retention and recruitment of hotel guests” they are concentrating on the younger hotel guests and how they can lure them to their properties, so they can spend over 1,800 nights, plus additional spending, over the next 25 years. They need not spend very much time on strategically planning on how to keep me as a patron. They had me at “my pleasure, Mr. Graves!” BRB

Fitness and Wellness Trends in 2018

By Rick Ladendorf

So, what’s trending in health and wellness inside and outside the gates of the private club?

Google wellness trends and you will find hundreds of top ten lists that include everything from fitness apps, functional drinks, healing spices, wellness retreats, in-house medical and physical therapy, uber-ization of spa and massage services, functional fitness, infrared saunas, acupuncture, Reiki massage, meditation, cryotherapy, and even CBD infused natural beauty products. Many of these trends are a direct response to one simple problem that a typical member faces each and every day…Inflammation.

In addition to pain caused by playing too much golf or tennis, scientific research finds that major medical diseases including Alzheimer’s disease, autoimmune diseases, heart disease, cancer, and lung ailments such as asthma are potentially caused by a chronic inflammatory process in our bodies. So, it makes sense as club managers to focus our attention on foods and spa services that cater to reducing or eliminating inflammation. The three top trends that address the pain and suffering caused by Inflammation include: Trend #1: Infrared Saunas are replacing traditional saunas and personal Infrared Saunas are showing up in locker rooms of many private clubs nationwide. There are over 1,000 diseases and health conditions that have been helped by Far Infrared page 9

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Thermal Therapy. In fact, 45 minutes of infrared light is said to detoxify your body of environmental toxins seven times more than a traditional sauna, and it can burn more than 600 calories.

Trend #2: Fighting inflammation with food is quickly becoming a major health priority—and for good reason, considering inflammation is linked to everything from bloating and acne to life threatening illnesses. Turmeric, Ginger Tea, zoodles (zucchini noodle), cauliflower rice, nut milks and vegan cheese are substitutes for inflammatory ingredients like gluten, grains, and dairy.

Trend #3: Cannabidiol or CBD. A growing body of scientific research shows CBD has the power to reduce anxiety and stress, lower inflammation, relax the body and mind, and subtly lift the mood, CBD is also showing up in skin-care brands. CBDs are not likely to be sold at most private clubs anytime soon, but it definitely a trend that is exploding outside the gates of the private club.

In conclusion, taking care of our members health will increase usage, spend and engagement which will in-turn improve retention as members will play more golf and tennis, use the fitness facilities and dine at the club more often. BRB

Club Board Trends

By Gordon Welch

It’s been a year of significant change for club boards tasked with guiding their clubs through these waters. From expanding skill sets to greater accountability for clubs, here are the top trends that will make the biggest impact on club boards.

Individual accountability: Club board members will be measured by more than just financial performance, but also for their personal effectiveness, diligence and contribution to the club. Thus, it will be necessary for board members to evaluate the security of their personal and professional communications, and exercise best practices designed to protect the integrity of sensitive information, and ultimately, their personal, and the club’s reputation. As a member of the Association of Private Club Directors there are wonderful resources through the BoardRoom Institute. A learning module is available for you and your board regarding how to protect the integrity of sensitive information and ultimately, your personal, and the club’s reputation.

Diverse board members wanted: Club boards have often been criticized for lacking diversity and modern skill sets needed to compete in today’s fast-paced and technology-driven private clubs. Boards will need to change by attracting more women to the boardroom; attracting skill sets such as technology and security and commit to the adoption of technology in the entire club, including the boardroom.

Greater accountability calls for improved collaboration: Club boards must also have more transparency and collaboration to make key decisions. As the level of accountability grows, there will need to be a better line of communication between the club’s board and the club’s management. Through collaborative

governance your club will benefit from a more effective operation, clear communication to staff and members and trust.

Cyber security becomes a board problem: Club boards will need to strongly consider adding individuals with cyber security experience. Cyber security is perhaps the single biggest risk to clubs today. With security cracks impacting business around the world daily, many private clubs are not ready for battle. To help prepare, clubs will need to make it a priority to enhance public-private partnerships and use third party providers to leverage their networks. This will help solve fundamental problems like lax security, knowing where data is located and how new regulations may impact the club. Your members are key targets in their own industries. Keeping their private information secured is critical and it is your responsibility to assure members are protected.

Political changes enter the boardroom: President Donald Trump promises to bring about a variety of changes to foreign policy, domestic practices and corporate governance. Clubs will need to keep an even closer eye on how they will be impacted.

This will undoubtedly be a transformative year for many clubs and the boards that govern them. While time will tell how each of these trends will impact your board, I’m willing to bet that those that continue to evolve and adhere to industry best practices will outperform those that stick with the status quo. BRB

Board Orientation Is Most Important Private clubs operate as businesses and undoubtedly in recent years, there’s been a growth in the professionalism and training of professional staff. Sometimes it’s difficult to say the same for boards.

Board members are part-time volunteers, who, while they may mean well, often have little understanding about the operation of a club, and the parameters of responsibility, behavior and limits of power. Often there’s a lack of clarity of roles for both the board and its individual members. The board sees itself, and unconsciously acts, as the management of the club.

This is a major reason why a board orientation each and every year, with an outside facilitator, is so vital. It’ll help the board make diligent, insightful policy decisions during a term of office.

Boards must fully understand the club’s culture, its core values, the club’s mission and vision, and long-range strategic plan, and what that long-range plan means – a continuing commitment from the club’s board. Board members must be leaders, not interventionists, or second guessers. Club boards should act like responsible corporate boards: set policy and monitor performance and financial operations. Successful boards are the result of a true team effort of skilled management and page 11

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dedicated members working toward common goals with the board creating a positive atmosphere encouraging management at all levels to be productive and focused.

Continuity is also vitally important. General managers cite two ingredients of smooth relationships between boards and staff.

First is continuity of leadership, both volunteer and paid.

Frequent turnover in either group hinders progress and disrupts the flow of operation. Secondly, a stable work environment for professionals and a staggered rotation for board members helps assure continuity while minimizing disruptions in policy and performance. So, while many issues rise and rise again, much of the problem solving traces its roots to a club’s board of governors. The board enhances the operation of a private club, establishes policies, gives management the ways and means to enact the policies, encourages transparency in its dealings and finds ways for people to connect with each other.

And that truly is the essence of a private club.

BRB

THEY CHOSE US, WHY WOULDN’T YOU? 90 New Families

120 New Families

93 New Families

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Lake Arrowhead Country Club Lake Arrowhead, CA

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Artificial Intelligence is Making Google Smarter

By Mike Phelps

Artificial Intelligence is bringing big changes to SEO. Here’s a quick overview and some suggestions for your club’s website.

Recent improvements in artificial intelligence (AI) like machine learning and natural language processing are making search engines smarter and more human-friendly. While this may sound ominous, it’s actually a huge opportunity for ambitious clubs to increase their Google rankings. Google results now take into account a bucket of considerations like your location, search history, favorite websites, and what other users click on for a similar query. AI improvements mean ranking factors can change from query to query, as Google’s algorithm change (called “RankBrain”) now learns from how people are clicking on the search results, and decides on the most relevant factors to take into account for each search.

What this all means is that Google now attempts to understand the context of content on websites. So rather than older factors like keyword density, things like content relevance, context, and value are now more important ranking factors.

Here are three things clubs should consider: Visual content: Video and images are as important as ever and will continue to have an increasing influence on SEO. Not only does Google favor YouTube videos in search results (Google owns YouTube), they’re also getting better at analyzing what visual content is about. Make sure your videos are hosted on YouTube and include a relevant description and tags, and save all videos and images using optimized filenames (name the video file something that makes sense).

Content: Google is now smart enough to know if you are stuffing as many keywords as possible on your webpages. In fact, the

best option is to steer clear of too much website copy. Long paragraphs of copy should be eliminated (nobody reads them anyways). Instead use scannable “chunks” centered around a few core topics that are written with a specific audience in mind.

Voice search optimization (e.g., Siri, Alexa, etc.) suggests a using a more conversational tone in your web copy, but for clubs that’s not always appropriate or necessary given the relatively commercial nature of voice search currently.

Relevance & Context: Google now prefers websites that are highly relevant as a means to satisfy searcher intent. This means that websites are quickly evolving to resemble ‘microsites’. Fewer pages, simpler navigation, heavier visual content, fewer words, and a much narrower focus to a specific audience. For clubs, this means what you leave off your website is becoming as important as what you include. This will not only help Google’s new RankBrain learn the niche you’re in, but also narrow your competitors’ pool, because Google will compare your website only to others from your niche, so you’ll have higher chances of ranking and getting traffic.

In short, a smarter Google means that a lot of the traditional SEO tactics are closer to becoming obsolete. Short-term strategies that try to trick and outsmart algorithms won’t work.

It means paying less attention to website design, and doubling down on great copywriting and engaging visual content. Focus on delivering relevance to a specific audience, and let Google work out the rest. BRB

What’s Makes an Effective Board Member?

How can you find directors desirous of encouraging cooperation and working for the general good of your private club? What does it really mean to be ‘an effective board member?

It’s patently clear with club boards that a board of directors is only as effective as its weakest member. This is especially true if a board member is the “weakest link” because of their own choosing…i.e. lack of commitment, little or no pre-board meeting preparation, being a disruptor or a failed team player. Make no mistake, someone choosing to be the weakest link is a reality for many private clubs. Think about it…who fits the bill?

How many evenings or board meetings have been frittered away with little being accomplished because of ineffective board members? This is where it all begins…where the board members have to be on board. The focus has to be on what we call “stewardship”, where the objective is strong focused decision-making coming from well prepared, effective board members constantly guiding and providing leadership and stewardship for your private club. The stewardship and process of being an effective board member begins long before becoming a board member. These individuals are part time volunteers, who may mean well, but often have little page 13

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understanding about the operations of a club and lack clarity of roles for both the board and its individual members. This is a major reason why a board orientation each and every year is so vital. So that the club’s general manger and staff can provide vital information about the daily operations, strengths, weaknesses, challenges and opportunities. It will help in the process of developing effective board members who in turn will help the board make diligent, insightful policy decisions.

Well-qualified candidates are a strong first step toward guaranteeing an effective board member and integration of well-qualified members into the board environment is vital if they are to be successful and contribute to the long-range health of the club. It’s also vital to expose newcomers to the club’s structure, systems, policies and procedures so they can readily assimilate and contribute in a much shorter time period. At least this gets you new board members off to a healthy start each year. BRB