Callaway CEO Steps Down
Remembering my high school golfing days (1994-1998), I recall saving up my money to purchase the hottest driver, the Callaway Great Big Bertha. It was my first ever golf club purchase. It was a “new” club: Titanium, Larger Head, Graphite Shaft. It was “The” driver. Everyone I knew had a “GBB”, as we called them. Now if you look into most golf bags, you’ll see a plethora of different driver makes. Titleist, Taylor Made, and Nike just to name a few. However, where did the Big Bertha go? What happened to Callaway’s market share in the Metal Wood market?
Well there are many different theories of why we now longer are looking towards the Callaway ERC Fusion Driver, but instead the Taylor Made R7 series or Nike Ignite Driver.
1. Callaway created the ERC driver with a COR that did not comply with USGA rules. Therefore, no one could play them in “tournament” golf.
2. Callaway decided to forgo the “big headed” drivers and move towards a more “midsize” driver head. Unfortunately, golfers today believe that bigger is better.
3. Once Callaway opened the door to enter, they were attacked by Taylor Made Golf which literally paid an arm and leg to get PGA players to use their driver. Now, Taylor Made has taken away much of the market share Callaway once had.
4. The loss of Ely (pronounce “L – E”) Callaway allowed the CEO position of company to move to the former CEO of Lynx golf. And yesterday he resigned, sending the stock price down. (note: link only good through 8/6).
It is probably a tell-tale sign that Callaway is slowly losing its grasp on the golf market. As they say, “whatever goes up, must come down.” Goodbye Callaway!
