[Masters Economics] Augusta National Mystique "Weekly Net Profit of 37 Billion Won"... Including the 'Tiger Effect'

'Guseong (球聖)' Bobby Jones Founded the 1934 Tournament, Gallery Allowed After 3 Years "COVID-19 Revenge Spending Adds"

The Masters heated up even more this year with the appearance of the 'Golf Emperor' Tiger Woods.

[Asia Economy Kim Hyun-jun, Golf Specialist Reporter] "A net profit of 30 million dollars (37.04 billion won) in just one week."

The 'Masters Tournament,' a battle of the masters, does not have a title sponsor. Augusta National Golf Club in Georgia, USA, is the host. Unlike other majors where the course changes every year, it is held at the same location. The prize money is also finalized right after the third round, considering the revenue. This year, the total prize money was set at 15 million dollars (18.52 billion won), with the winner's prize at 2.7 million dollars (3.33 billion won). The money overflows. Income from tickets and other sources amounts to a whopping 130 million dollars (160.49 billion won), and even after generously covering various expenses, 30 million dollars (32 billion won) remains.

▲ "Mystique Marketing and Thank You, Tiger" = 'Golf Saint' Bobby Jones, along with Clifford Roberts, created the course on 450,000 pyeong of land owned by the Augusta Indians in Georgia in 1930. The tournament was first held in 1934, and the name The Masters was given in 1939. Augusta National is known for its difficult membership admission and strict member-centered operation, earning a notorious reputation as a 'snobby club.'

In reality, prominent figures from the US political and business circles wish to join but it is not easy. The 300 members are still shrouded in secrecy. Black members were first admitted in 1990, and female members in 2012. This is the background of the 'mystique.' The same applies to players. At least the 'top 50 in the world rankings' must be entered to participate. It is noteworthy that the 40,000 patron (Masters gallery) tickets were already sold out in 1972.

Ordinary people look for scalpers. Due to the impact of COVID-19, there were no spectators or limited small-scale attendance for the past two years, but now it has fully reopened. The 'Golf Emperor' Tiger Woods' participation heated up the entire city of Augusta, and so-called 'ppikki' (scalpers) holding signs saying 'Tickets Wanted' appeared again at the entrance of the golf course on Washington Road. Scalped tickets cost over 10,000 dollars (12.4 million won). Augusta National has been steadily purchasing nearby land and opening practice ranges, expanding its presence every year.

The Masters allowed galleries for the first time in three years due to the impact of COVID-19, attracting large crowds from the practice rounds.

▲ "COVID-19 Revenge Spending, One Week Net Profit of 37 Billion Won" = Ticket sales approach approximately 41 million dollars (50.72 billion won). This includes 13 million dollars from 325-dollar badges purchased by patrons, 16 million dollars from 150,000 practice round tickets sold Monday through Wednesday, and 12 million dollars from the VIP viewing facility called 'Birkman's Place,' which costs 6,000 to 7,500 dollars per week. There are also food and beverage and souvenir sales. Even if 300,000 visitors spend an average of 30 dollars each, that amounts to 9 million dollars.

Golf course prices are surprisingly cheap. The popular menu item, bell pepper cheese sandwich, has been 1.5 dollars for 20 years, and ham and cheese increased from 2.5 dollars last year to 3 dollars. Experts analyze that "this is also an extension of mystique marketing." Souvenirs sell out quickly. From Monday, crowds flock to the pro shop, sweeping up Masters logo merchandise, and revenge spending after COVID-19 has easily exceeded 50 million dollars. TV broadcasting rights were 30 million dollars as of 2019.

Augusta National rather restrains TV broadcast income. It eliminates cluttered advertisements and selects only a few companies, allowing a maximum of 4 minutes of ads per hour. This is to prevent viewers from being bothered by ads and to let them focus on the game. Closing for six months a year, the course looks like a carpet without a single divot, making it even more outstanding. It is evaluated that "if they wanted, they could earn 100 million dollars." The small city of Augusta, with a population of only 200,000, has been thoroughly immersed in the 'Masters effect' for the first time in a while.