Here's What I Would Do If I Were LPGA Commissioner
As Caddy Larry first reported on Sunday - and later reporting has seemingly confirmed - LPGA Tour Commissioner Carolyn Bivens may well be out of a job soon.
The Associated Press has confirmed that several prominent players have likely signed their names to a letter calling for Bivens' resignation. The letter, obtained by Golfweek's Beth Ann Baldry (doing some great reporting on this rapidly-developing story), suggests that the economy cannot be the only factor in causing the severe sponsor problems facing the Tour. It also suggests that a new leader could work to restore wounded relationships with longtime sponsors and create new ones.
I wholeheartedly agree with the assessment of these players. I would also like to become LPGA Tour Commissioner. Since that's not going to happen, though, let me put forth a plan that may well help save the LPGA Tour.
Saving the LPGA Tour requires a recognition by any Commissioner of several factors that limit the LPGA Tour.
First, a commissioner must note that the LPGA Tour is not in any position whatsoever to fight for wages even close to equal of their male counterparts. Weekly purses topping $2 million or $2.5 million are simply not feasible. No matter how you slice it, the numbers do not suggest that there is enough combined fan and sponsor support to buoy such purses - even in a stable economy.
Second, the LPGA Tour has to realize that it is not the PGA Tour. Yes, the PGA Tour has lost one event that we know of, thus far. That does not mean that the attrition rate for the LPGA Tour should or could even possibly be similar. The sponsor base of the two tours is completely separate. Wegmans is not Hewlett Packard. Safeway is not AT&T. The PGA Tour certainly has faced issues related to its financial and automotive sponsorships, but it has mobilized well in response to the challenge. They've hushed problems with bankrupt companies and taken talks private. They have been willing to work with their troubled sponsors in order to carefully plan a succession plan for sponsors or to offer companies additional time to get their act together. With the dual exception of Ginn Companies, the LPGA and PGA Tours do not have similar sponsor sob stories.
To that end, point three is that the LPGA Tour has to model the PGA Tour's flexibility with sponsors. Commissioner Carolyn Bivens has been steadfast - nay, stubborn - in her quest to achieve higher purses, better benefits, and a real pension plan for her players. Unfortunately, that stubborn nature has never waivered in the face of tournament and sponsor push back, or even a slap in the face from the global economic meltdown. Several sponsors that have withdrawn or are very likely to do so have noted that Commissioner Bivens' decision to increase sanctioning fees and administrative fees by five and tenfold have demonstrated a diminished commitment from Daytona Beach to the sponsors and tournaments that have been with the LPGA Tour through it all. The end result is an event like Corning - operating for nearly four decades - shuttering because of new financial demands.
Finally - and this is a harsh reality - the LPGA Tour is arguably the most successful women's sports league in American history. (The WTA doesn't count since it's global in nature.) That means that the most successful women's sports league to date has achieved a one to four or five ratio in pay to their equivalent male counterparts. The goal should still be as close to equal as possible, but a Commissioner has to realize that there are limits. In other words, Ginn was too good to be true and should have been recognized as such.
All of that in mind, the LPGA Tour should be able to plan well for the future based upon what has worked in the recent past.
Arguably, the high point for the LPGA Tour came in the midst of the transition from former commissioner Ty Votaw to present one Carolyn Bivens. The Tour schedule maintained a balanced mix of domestic and foreign events. Any LPGA Tour official has to recognize that mid to small sized markets are really the hallmark of the Tour. If the Tour opts to move the LPGA Championship to New York, it will not get nearly the same attention as it would were it moved to Salt Lake City. Just saying. Corning, Atlantic City, and other events were never to be discarded in favor of tournaments and sponsors peddling real estate investments. Like a wise investor, golf tours benefit from a well-balanced and risk averse portfolio of tournaments and sponsors.
It's ok to follow the money sometimes, but it cannot be done at the cost of burning bridges. Announcing a new television deal in Korea with the company that rivals the title sponsor of that week's event is a bad idea. Canceling a popular event in Atlantic City in order to have an event that was not well supported in its market and sponsored by a fluke real estate investor is a bad idea. These seem so obvious in retrospect, but the examples prove critical in going forward for the LPGA Tour.
In other words - skip a Dubai tournament. It is more likely that there will be more abandoned cars at the Dubai airport than people who can afford to watch golf there.
A balanced portfolio does contain some tournaments with purses that do not cross the $1.5 million barrier. These events are necessary to the Tour because of the community and community-based sponsor involvement. They cannot be discarded. The two separate nearly month long gaps in the LPGA Tour could have been filled with reliable, though less than specacular events. What is wrong with Baltimore, Des Moines, or Indianapolis as a mid-level stop? Nothing if the community supports the event and the players - and charity can win.
Relationships are absolutely crucial to the success of the LPGA Tour. That includes relationships with tournament owners and sponsors. Dictacting dramatically increased fees to tournaments while boasting about a television contract with Golf Channel that pays the Tour rights fees sends mixed and alienating messages. These fee increases should have been phased in incrementally - not all at once.
Perhaps increasing player benefits and maintaining chairtable giving are at odds, but they should both be goals of the LPGA Tour. At this stage of the Tour's evolution, one cannot take noted precedence over the other. Bivens certainly pursued a number of things that helped the Tour in increasing player benefits while having no impact on chairtable giving. Photography fees, owning two tournaments, and other deals worked in the Tour's favor. Unfortunately, they were not backed up very well.
The entire job of Commissioner of a golf tour is a balancing act between players, touranments, sponsors, and fans. PGA Tour Commissioner Tim Finchem is a master of striking this balance. Sure, he can be long on words, but he is damn effective. Just ask Wally Uihlein. The LPGA Tour Commissioner has to do the same thing - be willing to bend, but never break, and always come out ahead. Even if coming out ahead is going a little backward.
Do I think that I'm the next Theo Epstein? No. He led the Boston Red Sox to the end of a nine decade curse. But I think that the practical application of a lot of the tried and true values from the LPGA Tour's past, the PGA Tour's present, and other sports can help the LPGA Tour to recover from its current backpedaling and move on from here.
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Comments
Better Without Bivens?
Carolyn Bivens has made a number of mistakes as commissioner, particulary around communications. The LPGA was better under Ty Votaw, but he couldn’t keep his hands out of the cookie jar and it was not as open and transparent an era at the time. There are many challenges ahead. Not so much with the talent and product as much as the promotion of the game.
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by GolferWriterGuy on Jul 7, 2009 12:05 AM EDT reply actions 0 recs
Definitely couldn’t say that Ty was perfect by any stretch. He had his mistakes too. Everyone does. But shedding nearly 10 tournaments in a couple of years – 1/3 of the schedule – is inexcusable.
Email me any comments or questions at ryan@thegolfnewsnet.com.
by Ryan Ballengee on Jul 7, 2009 12:09 AM EDT reply actions 0 recs
here's my response
basically agreeing with you, but looking at a couple of other angles, too:
http://mlyhlss.blogspot.com/2009/07/whither-lpga-or-michelle-wie-effect.html
by The Constructivist on Jul 7, 2009 6:31 AM EDT reply actions 0 recs
"Open and transparent" ???
First off – someone help me find the Obama nerd who coined that phrase – he/she needs to be smacked on the back of the head for that cliche bit of utopioan nonsense (not to mention that it has been ignored from day 1).
Ok – back on topic – the LPGA is a business – the public is not entitled to know everything that goes in a private business. It doesn’t matter that journalists and bloggers believe that they have carte blanche to invade every nook and cranny of a business – they don’t.
Ty Votaw couldn’t keep his hands out of the cookie jar ? Are you talking about him dating and eventually marrying one of the players ? What does that have to do with the day to day running of the LPGA ? One idiot takes a ruling decision on the course and extrapolates it out to Votaw pulling strings to make rules officials give her a decision in her favor. What a pantload.
RB – who are you saying dropped nearly 10 tournaments in a couple of years ? Bivens has lost 7 – only one of which was a breach of contract situation. Businesses going belly up hardly count. Ending contracts with companies that decide they aren’t getting enough return on the investment. They don’t owe the LPGA anything. I don’t recall “nearly 10” tournaments dropping off under Votaw.
Bivens has clearly ticked a lot of people off during her time in office – but these complaints are coming after she was given a contract extension by the Tour. Where were these women before the contract extension ? This is not new news.
"this ball will fit in that fairway"
by courtgolf on Jul 7, 2009 9:26 AM EDT reply actions 0 recs
Court, the distinction of how tournaments are lost really does not justify it.
Ginn was a terrible mistake to begin with – breach of contract two times over. Kapalua got off of the ground with the premise that a title sponsor would be found for this year – breach of contract.
Safeway bails on one of the most well supported events and the LPGA can’t find a sponsor for that?
Who would get in with Stanford Financial, knowing that there had been chatter for the better part of a decade that he was producing returns too good to be true?
You don’t announce a TV deal with the competition of that week’s title sponsor.
I agree that the player complaints are late in coming, but the board of directors determines contract extensions. Biv was making some in roads when she got her extension. Now, there is proof that she is not adapting to the market conditions. I think that’s what spurred this letter.
Email me any comments or questions at ryan@thegolfnewsnet.com.
by Ryan Ballengee on Jul 7, 2009 10:11 AM EDT up reply actions 0 recs
“The distinction of of house tournaments are lost does not justify it.” I’m not following you. What does this mean ?
You also lost me in your main article with the paragraph – “Finally – and this is a harsh reality – the LPGA Tour is arguably the most successful women’s sports league in American history. (The WTA doesn’t count since it’s global in nature.) That means that the most successful women’s sports league to date has achieved a four or five to one ratio in pay to their equivalent male counterparts. The goal should still be as close to equal as possible, but a Commissioner has to realize that there are limits. In other words, Ginn was too good to be true and should have been recognized as such.”
“…has achieved a four or five to one ration in pay to their equivalent male counterparts” ?? I’m assuming you mean 1 to 4 or 5 ? And what do you mean that “the goal should still be as close to equal as possible” ? Your first two points above dismiss that idea. If you understand that the LPGA’s financial draw is in no way comparable to the PGA Tour, then “equivalent” pay isn’t even a consideration.
I think your groundwork is very solid – it calls for a bit of humility and rationality in making plans for the LPGA – not the entitlement based mentality that Bivens had a habit of putting in front of people. Vision is one thing – but you have to get people to buy into it, or the vision has no basis in reality and no foundation.
"this ball will fit in that fairway"
by courtgolf on Jul 7, 2009 10:26 AM EDT up reply actions 0 recs
I can see how some of my points can get confusing. Where is Tom to tell me about my poor syntax? :(
First, how a tournament is lost doesn’t really matter because the tournament is lost. Just because Ginn was willing to supply $2.5M purses doesn’t mean that it was right to go with him because the Tour should have known that he was a very risky investment partner. Those breaches of contract are no different than the breach of contract from Kapalua because they couldn’t find a title sponsor for this year. Then why even bother with it in the first place?
You’re right on the syntax of the pay ratio – consider that changed. I still believe that the LPGA should strive for equal pay with their male counterparts, but there has to be a recognition that it cannot happen as quickly as Commish Bivens is hoping. Right now, the financial/biz model just isn’t there to support it. Maybe in 10, 20, 30 years?
Email me any comments or questions at ryan@thegolfnewsnet.com.
by Ryan Ballengee on Jul 7, 2009 10:38 AM EDT up reply actions 0 recs
On one level, I definitely agree with you that losing a tournament is bad…period…usually…if you don’t have a backup plan in place. But I disagree that Ginn was a bad partner – except in hindsight. Ginn was solid – they were good enough for PGA Tour guys to invest in and buy property in their developments. If it weren’t for Slick Willie Clinton pulling the rug out from under the real estate business before sneaking out the back door, and Bush not doing anything more than warning Congress about what was coming – Ginn would still be in business. They were an enthusiastic sponsor with two LPGA tournaments and one PGA Tour event.
Hawaii tournaments are tough. Not enough people live out there to draw big crowds, so ticket sales are fluff. I love seeing good golf in prime time, but they aren’t practical unless TV is willing to back the whole thing – and they can’t compete with karaoke contests, night time soap operas, and date nights. The fact that they lasted as long as they did is amazing to me. If you can’t go behind Tiger’s back and convince the wife that two weeks on the beach is a good thing – then you’re not going to get hubby. After that, it’s all downhill.
Sorry – can’t agree with you on the equal pay idea. This is not gub-mint work. This is a sports tour that depends on sponsorship, marketing, and viewership. If you can’t draw people to the course without giving away half the tickets – and you can’t market a great player – and you can’t convince the majority sports viewer (men) to watch because they don’t watch sports where they can do the same thing the women do – there is no way to get “equal pay.” This isn’t a salary situation where you can say that one league does the same work so they should get the same pay.
By the way – the WTA doesn’t make the same money as the mens’ tour except at majors – and the idea that the women do the same work as the men at a major is nonsense. Men play best of 5 set matches – women play best of 3. It is easier for the women to play a major than it is for them to play two regular tournaments in back to back weeks where they have to play 3 or 4 consecutive days. At a major, they play one match, then have a day off.
"this ball will fit in that fairway"
by courtgolf on Jul 7, 2009 11:18 AM EDT up reply actions 0 recs
LPGA
Ryan, this is the best look into the current issues that the LPGA faces today. I agree with much of your assessment but am really curious at what is going on behind closed doors on issues which will probably come out in time. I feel badly for the players of the LPGA who really are just looking to make a living and have a tour much like that of the PGA. I’ve never understood the inequities of compensation for women vs. men but perhaps in the world of golf this concept will work itself out through a better business model at the LPGA; and wouldn’t that be a great result for all involved…
Oh yea, let’s see… Commissioner Ryan Balangee… sort of has a ring to it eh!
bringing new marketing ideas to the forefront wherever I go!
by ballman on Jul 7, 2009 10:39 AM EDT reply actions 0 recs
Hmm – Commish RB – has a ring to it – at least they’ll have solid statistics to work from ! :-) Get the presses running.
"this ball will fit in that fairway"
by courtgolf on Jul 7, 2009 11:21 AM EDT up reply actions 0 recs
Will.....
Commissioner Ryan hire some bloggers to cover and promote the LPGA. I can think of three who may do a good job. Hound Dog, The Constructivist and somebody else.
by Bill Jempty on Jul 7, 2009 11:28 AM EDT up reply actions 0 recs
how about Stephanie Wei ? She was a college golfer-ette, has a great sense of humor, a huge load of enthusiasm for the game, has some really good insiders for input, and adds a chick point of view. Give her something solid to write about and she does good work.
"this ball will fit in that fairway"
by courtgolf on Jul 7, 2009 11:39 AM EDT up reply actions 0 recs
LOL. Thanks, Court, for the vote of confidence. I’d love to help out with promoting the LPGA positively and constructively – perhaps something in the PR/Communications dept would be a good fit – and of course to continue blogging about the Tour. :) I wouldn’t be surprised if instituting something to that extent isn’t something they’ve considered, and who knows, it might happen in the near future.
As for someone to take over as Commisioner (and as much as I think Ryan would do a great job), I think it should be someone who has playing experience, good people skills and a business background. Of course, the independent directors on the Board provide counsel when dealing with the latter side of things. Someone needs to be the primary “voice” of the Tour and I’m interesting in seeing who they come up with…that is, if Bivens were to step down – which seems imminent at this point.
by Stephanie Wei on Jul 7, 2009 2:56 PM EDT up reply actions 0 recs
hey sounds good to me – is there much of a market for Puerto Rican Communications ? :-) You’d have to take that up with Commish RB, but he IS a benevolent demi-god. I’m sure he could make it happen.
Not sure what kind of luck you’d have finding someone with Tour experience AND business experience. I keep hearing Dottie Pepper’s name come up, but she lacks any kind of real business experience, her interpersonal skills need some work, and the way she defers to everything Nick Faldo says, her leadership skills aren’t there, either.
Which way would you prefer if you had to go one way or the other ? Personally, I’ll take a skilled business person – NOT a marketing weasel – who enjoys the game over a Tour player with no business skills.
"this ball will fit in that fairway"
by courtgolf on Jul 7, 2009 4:32 PM EDT up reply actions 0 recs
I’m with you there – “skilled business person NOT a marketing weasel.” I have someone in mind who’d fit the profile…but I’m not going to name anyone…yet.
by Stephanie Wei on Jul 7, 2009 5:02 PM EDT up reply actions 0 recs
By the way..
…I’m REALLY glad you didn’t add another point to your campaign points that you would go shoe shopping and buy some new outfits. :-)
"this ball will fit in that fairway"
by courtgolf on Jul 7, 2009 11:23 AM EDT reply actions 0 recs
I mean, I would feel bad creating my own campaign to become Commissioner, but I’d happily accept the job! And I’d do all of the things that I said the LPGA Tour should have been doing all along! Hiring bloggers is definitely among my campaign promises.
Email me any comments or questions at ryan@thegolfnewsnet.com.
by Ryan Ballengee on Jul 7, 2009 11:50 AM EDT reply actions 0 recs

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