Golfsmith International Inc. will introduce its first retail operations outside the U.S., in South Korea, the fastest growing golf market in the world. This new agreement with GOLFZON Co. is another step in Golfsmith’s global strategy aimed at forging partnerships around the world as the company continues to leverage its brand assets internationally. Golfsmith will reinvest the income generated from this new partnership back into its core U.S. business where the company continues to gain momentum and market share.
The Memorandum of Understanding combines Golfsmith's international influence along with GOLFZON's knowledge and presence in South Korea where a majority of golf is played indoors on golf simulators. With a dominant share of over 84 percent of the golf simulator market, GOLFZON supplies its products to over 4000 indoor screen golf courses across South Korea. This alliance with Golfsmith will enable GOLFZON to open full retail stores with the best brands in golf like those found in Golfsmith's stores throughout the United States.
“With three million golfers already in South Korea our agreement with GOLFZON further signals Golfsmith's global strategy to build relationships that develop, manage and market Golfsmith and its brands,” said Golfsmith Chairman and CEO Martin Hanaka. “GOLFZON's keen understanding of the South Korean golf market and its solid customer base make them a strong partner in one of the biggest golf markets in the world. It's exciting to see an established brand like GOLFZON move from an interactive simulator gaming environment into a fully operational retail environment under the Golfsmith banner.”
GOLFZON's CEO Kim Young-chan shared Hanaka's optimism. “GOLFZON has been highly successful bringing together golf and technology in South Korea. We now look to Golfsmith’s successful retail golf model in the U.S. to bring their expertise to the South Korean golf retail industry.”
Under the terms of the agreement the new stores will be branded Golfsmith and operated by GOLFZON.
