Golf Shops Industry Terminology

ABC Analysis

An inventory classification method that segments SKUs into A (vital few), B (middle), and C (trivial many) based on sales, margin contribution, or velocity, to prioritize purchasing, counting, and space.

After the ABC analysis, we cycle-count A items weekly and C items quarterly.|Premium balls and top drivers are A items; novelty headcovers fell into C.|Shift co-op spend to A categories for Q2.

Assortment Planning

The process of selecting the right breadth (categories/brands) and depth (sizes/lofts/flexes) of SKUs by store and channel to meet demand, margin, and space goals across seasons.

Our spring assortment plan adds more 54°/56° wedges and women’s hybrids.|We trimmed low-velocity putter grips to expand in premium balls.|E-comm will carry extended lengths as an online-only assortment.

ATP (Available to Promise)

A real-time calculation of units available for new orders after accounting for on-hand, incoming POs, reservations, and backorders; used to promise delivery dates.

ATP shows 12 left for Friday delivery, so we can accept the custom order.|We cap web ATP to preserve stock for fitting appointments.|Pre-books in EDI reduced our ATP by 40 sets.

AUR (Average Unit Retail)

The average selling price per unit sold over a period; used to assess mix and pricing effectiveness.

AUR on wedges rose $12 after we led with premium grinds.|Bundles lowered AUR in balls but lifted UPT and margin dollars.|Raise AUR with value-adds like free loft/lie tweaks.

Backorder

An order or order line that cannot be fulfilled at the time of purchase due to stockout and is deferred until inventory arrives.

Two left-handed 9.0° drivers are on backorder with ETA next Tuesday.|We called customers to split-ship accessories and backorder the bag.|OEM allocation limits created a backorder spike on the new irons.

BOPIS (Buy Online, Pick Up In Store)

Omnichannel fulfillment where the customer orders online and collects the purchase at a store, typically leveraging in-store inventory.

Convert more traffic by enabling BOPIS on custom-fit shafts.|BOPIS SLAs require pick tickets closed within 30 minutes.|We reserved a bay to handoff BOPIS orders and offer add-ons.

Bounce (Wedge)

The angle between a wedge’s leading edge and the ground when the sole rests on the turf; helps prevent digging and is tuned via sole design and grind.

He needs higher bounce for soft, lush fairways.|Pair the S-grind with mid bounce for versatility.|We explain bounce vs. grind during every wedge fitting.

Co-op Advertising

Vendor-funded marketing allowances (MDF) that reimburse retailers for approved advertising or merchandising activities, usually tied to spend or sales.

Submit co-op claims for the April driver launch window.|OEM co-op funds the front-of-store endcap and local radio.|We track co-op ROI by category and campaign.

Conversion Rate

The percentage of visitors (store traffic or site sessions) who complete a purchase; a core KPI for merchandising and CX.

Fitting-led experiences lifted in-store conversion to 45%.|Chat prompts increased web conversion on putters by 80 bps.|Track conversion by traffic source for promo optimization.

COR/CT (Coefficient of Restitution/Characteristic Time)

Measures of clubface spring-like effect. The USGA now governs drivers using CT (239 µs + tolerance) rather than COR; exceeding limits makes a club non-conforming.

This head is at 238 µs CT—right up to the limit.|We educate staff on CT vs. COR when discussing speed claims.|Non-conforming faces can’t be used in USGA events.

Custom Fitting

A service that tailors club specs (length, lie, loft, shaft, grip) to a golfer’s swing using launch monitor data and trial heads/shafts.

Custom fitting added 18 yards and tightened dispersion.|Our premium fitting includes lie board and gapping analysis.|Fitting notes feed directly into the OEM custom order.

Demo Day

An in-store or on-range event where OEM reps and fitters let customers test and get fit for new clubs, often with special offers.

Book extra bays—TaylorMade demo day is Saturday.|Demo day conversion rates justify the overtime.|We capture leads during demo days for lesson follow-ups.

Drop Ship

Fulfillment model where the vendor ships directly to the customer on the retailer’s behalf, often used for custom clubs or bulky items.

Custom wedges will drop ship from the OEM in 10 days.|We drop ship cart bags when stores are out of space.|Drop ship reduced transfer costs across the chain.

EDI (Electronic Data Interchange)

Standardized electronic exchange of business documents with vendors (e.g., 850 purchase orders, 856 ASNs, 810 invoices), speeding accuracy and reconciliation.

Switching to EDI cut invoice errors in half.|We require 856 ASNs before receiving.|EDI 997 acknowledgments confirm the PO was accepted.

Endcap

A high-visibility display at the end of an aisle, used for seasonal features, new launches, or promos.

Reserve the front endcap for the new Pro V1.|Endcaps drove a 30% lift in glove sell-through.|Update the endcap planogram weekly during peak season.

ERP (Enterprise Resource Planning)

The integrated back-office system that manages purchasing, inventory, order management, finance, and reporting.

ERP ATP feeds our e-commerce availability.|We reconciled inventory variances through the ERP.|ERP and POS integration improved OTB accuracy.

Fill Rate

The percentage of customer demand or order lines fulfilled from available stock within a defined service window; a measure of service and inventory health.

Web fill rate dipped during the driver launch week.|We improved store-to-store transfer fill rate to 92%.|Set vendor SLAs for line fill rate on pre-books.

Fitting Fee

The price charged for a professional club fitting session; often credited toward a purchase to drive conversion and value perception.

The $100 fitting fee is credited if you buy today.|Premium fittings justify higher fees and attach rates.|We A/B tested fitting fee vs. free fittings on conversion.

Gapping (Distance Gapping)

Ensuring consistent yardage intervals between clubs across the set so there are no distance overlaps or holes.

Her gapping between PW and first wedge was 20 yards—add a 50°.|We use carry distance gapping from the launch monitor report.|Loft bending fixed the 7/8-iron gap.

GMROI (Gross Margin Return on Investment)

Gross margin dollars earned per dollar of average inventory; gauges how efficiently inventory generates profit.

GMROI on putters rose after pruning long-tail SKUs.|We target 3.0+ GMROI on balls in peak months.|Rebalance OTB toward high-GMROI categories.

Gross Margin

Sales minus cost of goods sold, expressed in dollars or as a percentage of sales; a core profitability metric.

Markdowns cut gross margin rate by 220 bps.|Accessory attachments lifted gross margin dollars.|We negotiated cost to protect gross margin under MAP.

Inventory Turn

COGS divided by average inventory over a period; indicates how many times inventory cycles through—faster turns usually improve cash flow.

Wedges turned 6x annually after the refit program.|Slow turns in juniors tied up open-to-buy.|Set minimum turns by category before reorders.

Keystone Pricing

A pricing heuristic where initial retail is set at double cost (50% initial markup), used selectively depending on category norms and MAP.

Headwear supports keystone; drivers do not.|We keystone accessories but follow MAP on clubs.|Keystone breaks if freight surcharges rise.

KPI (Key Performance Indicator)

A critical metric used to manage performance and decisions. In golf retail common KPIs include conversion, UPT, AUR, sell-through, margin, and NPS.

Weekly KPI stack: traffic, conversion, UPT, AUR, margin.|Bay utilization is a KPI for fitting ROI.|Store bonuses tie to KPI targets.

Launch Monitor

A device (radar or camera-based) that measures ball and club data such as ball speed, club speed, launch angle, spin, path, and face—used for fitting and lessons.

TrackMan showed 2,600 rpm spin; we lowered loft.|GCQuad data confirmed a lie adjustment was needed.|We export launch monitor reports to attach to quotes.

Lead Time

The time between placing an order and receiving goods; includes production, customization, and transit.

Custom lead time is currently 2–3 weeks.|We extended PO lead times ahead of peak season.|Shorter lead times improve OTB flexibility.

Lie Angle

The angle between the club’s shaft and the ground line at address; influences start direction (upright tends left, flat tends right for RH golfers).

He needs 2° upright to center the strike pattern.|Lie board marks showed the toe was down.|We bent the irons flatter to reduce left bias.

Loft

The clubface angle relative to vertical; higher loft generally increases launch and spin and can reduce distance.

Going from 9° to 10.5° improved carry and descent angle.|Strengthened lofts created a gapping issue.|Loft sleeve adjustments fine-tuned trajectory.

MAP (Minimum Advertised Price)

An OEM policy restricting the lowest price a retailer may advertise; violations can lead to penalties or loss of supply.

Hold price at MAP; offer value-adds instead.|The OEM issued a MAP holiday on last year’s drivers.|Audit web pages for MAP compliance daily.

Markdown

A planned or reactive reduction in retail price to accelerate sell-through, clear aged stock, or align with market pricing.

Take a 20% markdown on slow-moving cart bags.|Markdown cadence aligns to the 4-5-4 calendar.|We markdown after the new model lands.

MOI (Moment of Inertia)

A measure of a clubhead’s resistance to twisting on off-center strikes; higher MOI typically increases forgiveness.

This mallet has higher MOI than a blade.|High-MOI drivers reduce dispersion for mid-handicaps.|Fit for MOI without sacrificing swingweight.

NPS (Net Promoter Score)

A customer loyalty metric calculated as % Promoters minus % Detractors from a 0–10 likelihood to recommend survey.

Post-fitting NPS jumped to 78.|We tag NPS comments to training themes.|NPS by store informs staffing and coaching.

OEM (Original Equipment Manufacturer)

A brand that designs and produces golf equipment sold through retailers, e.g., Titleist, Callaway, TaylorMade, Ping.

The OEM cut allocations on the new driver.|Negotiate co-op and ship windows with each OEM.|OEM custom order forms feed our ERP.

Omnichannel

A unified retail approach delivering a consistent experience across store, web, mobile, and social, with shared inventory and services.

Enable BOPIS and ship-from-store to drive omnichannel sales.|Unified carts let fittings convert in-app at home.|Omnichannel returns boosted customer satisfaction.

Open-to-Buy (OTB)

A forward-looking purchasing budget that balances sales plan, on-hand, on-order, and markdowns to control inventory levels.

OTB is tight—delay reorders on C-class SKUs.|We added OTB to chase wedges after the demo day spike.|OTB reviews occur weekly in peak season.

Planogram

A visual schematic dictating product placement, facings, and adjacencies to maximize sales and brand standards.

Update the glove wall per the new planogram.|Endcap planograms rotate every two weeks.|Compliance audits score stores on planogram execution.

POS (Point of Sale)

The system that processes transactions, applies promos, captures customer data, and decrements inventory; often integrated with ERP.

POS shows UPT by associate in real time.|Scan UPCs to reduce ringing errors at POS.|POS feeds daily sell-through dashboards.

Putter

The club used primarily on the green; common types include blade and mallet, with different alignment aids, toe-hang, face inserts, and MOI.

He putts better with a face-balanced mallet.|We added alignment lines per customer feedback.|Merchandise putters by stroke type and head shape.

RMA (Return Merchandise Authorization)

A vendor-issued authorization and tracking number for returning defective or incorrect goods for credit or replacement.

Open an RMA for the damaged stand bags.|Attach photos to the RMA request to speed approval.|RMA credits hit next month’s statement.

Sell-Through Rate

The percentage of inventory sold over a period, often units sold divided by units received or on-hand; gauges item velocity.

Wedge sell-through hit 70% in four weeks.|We target 80% sell-through before new model arrivals.|Slow sell-through triggers markdowns.

Shaft Flex

A rating of shaft stiffness (e.g., L, A, R, S, X) affecting launch, spin, and timing; fit based on speed, tempo, and delivery.

At 95 mph, he fit into a stiff flex.|Going to R-flex increased launch and carry.|We stock X-flex only in select weights for better fit.

Shrink

Inventory loss from theft, damage, administrative error, or vendor fraud, tracked as a percentage of sales.

Shrink rose after glove peg hooks were moved.|Cycle counts and CCTV reduced shrink by 40 bps.|Tag high-theft SKUs with spider wraps.

SKU (Stock Keeping Unit)

A unique identifier for a specific product variant (item/brand/model/size/loft/flex), used for tracking inventory and sales.

Create a new SKU for the 54°/12° M-grind.|Duplicate SKUs caused inventory mismatches.|We list web-only SKUs for long-length shafts.

Smash Factor

Ball speed divided by club speed; a measure of impact efficiency. Typical driver smash for amateurs is ~1.40–1.48.

Smash improved from 1.41 to 1.46 with center strikes.|Lower loft raised smash but spiked spin—trade-offs apply.|We use smash to show gains from proper fit.

TrackMan

A leading radar-based launch monitor and range solution providing precise ball/club data, simulation, and fitting tools.

TrackMan Combine is a great lesson upsell.|Outdoor TrackMan sessions validate spin in wind.|We export TrackMan reports into CRM follow-ups.

Trade-In Value

The credit offered for a customer’s used clubs applied toward new purchases; often guided by trade-in value indexes.

Trade-in covered half of his new irons.|We quote trade-in values during fittings to close sales.|Promo: 10% bonus on trade-ins this weekend.

Turn Rate

The frequency inventory sells through within a period at the item or category level; often used interchangeably with inventory turns.

Ball turn rate doubled after fixture change.|Set a minimum turn rate for wall space allocation.|Low turn rate SKUs move to online-only.

UPC (Universal Product Code)

A standardized 12-digit barcode used for product identification and scanning; improves accuracy at POS and receiving.

Scan UPCs to avoid ringing the wrong flex.|ASN labels must include UPCs for cross-docking.|Mismatch between UPC and SKU caused shrink.

UPT (Units per Transaction)

Average number of items sold per transaction; a proxy for attachment and cross-sell effectiveness.

UPT rose after we trained wedge add-ons.|Bundles and impulse fixtures increased UPT to 2.3.|Track UPT by associate for coaching.

USGA Conformance

Compliance of clubs and balls with the Rules of Golf (USGA/R&A), including conforming grooves and CT limits; required for competition and many fittings.

Verify heads on the USGA conforming list.|Non-conforming wedges are for practice only.|We educate customers on conformance before league play.