"Where Did All the Golfing MZ Generation Go?"... Golf Wear Brands One by One 'Withdraw'

Maison Kitsune Golf Withdraws After Just One Year
Mid-Priced Brands Hit Hard by Declining Golf Participation
Golf Wear Market Shrinks by 8% Last Year

The golf wear market, which experienced explosive growth during the COVID-19 pandemic, is now facing a cold wave. As the MZ generation (Millennials + Generation Z) who took up golf during the pandemic have rapidly withdrawn following the transition to an endemic phase, mid-priced golf wear brands are also withdrawing one after another. This year, with increased economic uncertainty due to the impeachment political turmoil and the inauguration of the second Trump administration from the beginning of the year, there are forecasts that more brands may exit the golf wear business.

According to the distribution industry on the 23rd, Maison Kitsun? Golf, launched by Samsung C&T in the first half of 2023, decided to end the brand within a year of its launch and withdrew from major Lotte Department Store locations last year.

Hansae MK's main golf business divisions, LPGA and PGA, have reduced the number of stores from 28 to 20 and are strengthening online sales. Kolon FnC, which has operated the Jack Nicklaus brand for over 30 years, decided to transfer the operating rights to a third party through a 'sub-license.' In addition, brands such as Mackageon by Global Sea's Tolbist and Smart Score, and LF's Random Golf Club have also either closed or downsized their businesses.

The closure of golf wear brands is happening rapidly as the golf industry declines. The golf wear market saw explosive growth at an average annual rate of over 20% since 2021, as the 20s and 30s generation flocked to golf courses, which posed a lower risk of infection than indoor activities during the COVID-19 pandemic. However, from 2023, the departure of young golf players combined with an economic downturn has significantly reduced golf demand.

As a result, the golf wear market, which reached 4.25 trillion KRW in 2022, is estimated to have shrunk by more than 10% to 3.75 trillion KRW the following year, and further contracted to 3.45 trillion KRW last year.

Notably, most of the brands deciding to close are mid-priced. High-end brands, which target 'dedicated golfers' who enjoy golf regardless of economic conditions, have been less affected, but mid-priced brands, whose main customers are relatively budget-conscious MZ golfers, appear to have taken a direct hit.

The limited distribution network is also analyzed to have influenced the closure of mid-priced brands. Mid-priced brands mainly operate through dealerships and have fewer distribution channels to release inventory compared to high-end brands. High-end brands have diverse sales channels such as department stores, outlets, and online platforms, whereas mid-priced brands have had limited online investment. Additionally, unsold inventory has been continuously discounted, significantly reducing dealership profit margins, which likely led to closures.

A department store industry insider stated, "During the COVID period, golf boomed mainly among people in their 20s and 30s, leading to the emergence of many golf wear brands targeting young customers, but as COVID ended and the bubble burst, these golf brands are facing difficulties," adding, "Demand from existing golf users continues mainly for premium golf brands."

The fashion industry expects a surge in brand withdrawals this year. There is a forecast that the economy may worsen compared to last year, continuing the downward trend in the golf market. A golf wear industry insider said, "Sales of winter season products this year were not good. Starting next month, the 2025 spring and summer season golf wear will be launched in earnest, and we expect that those who find it difficult to endure will start withdrawing after observing sales trends."

Some brands are focusing on customer acquisition by renewing their brands. LF-operated Hazzys Golf and Daks Golf are upgrading designs and materials to build a premium brand image. Descente Golf has renewed its brand by introducing performance-focused products, and Le Coq Golf targets young golfers in their 20s and 30s with casual products.