Michael Vandiver is Driven to Excellence
By Marie Stempinski
Some people say that today’s slumping economy is knocking the golf industry into a sand trap. But Razor Golf of New Port Richey seems to have found the way to score a hole in one. With a business plan that includes in-house design, manufacturing and fulfillment, creative marketing, a slim workforce and a “give the customer more than he or she expects” philosophy, partners Michael Vandiver and George Baker have seen their business grow and prosper. The company designs and manufactures its own line of golf clubs, and offers clothing, accessories and promotional items. Vandiver said, “Our new driver, ‘The Mutation’, was recently voted the 2009 best product by the International Network of Golf.” He adds that there’s still a huge market for their custom golf clubs, clothing and accessories worldwide.
 LONG DRIVES AND STRAIGHT SHOTS
In addition to drivers, fairway woods, putters, and hybrids, Razor Golf offers a line of golf clothing and equipment and they also provide accessories and promotional items. Thanks to a relationship with LPGA pioneer Jan Stephenson, ladies’ golf clubs, clothing and accessories are also available. “We sell 3,000 golf clubs a year. That’s a lot in this business,” Vandiver said.
BUMPS ALONG THE FAIRWAY
Vandiver admits things weren’t always so rosy. “It’s been 10 years. Honestly, it’s been a long process. Like all small businesses we had some growing pains. Funding and capital were big issues. You have to get creative.” Vandiver explained that the combination of investors who believed in Razor Golf, a lean workforce and some very unique marketing ideas has helped keep the company out of the rough.
“We used to have an 8,000 square foot warehouse with telemarketers, sales reps and administrative personnel. We used to send our products to 700 golf retail stores on consignment, in store or through extended terms and we had a large advertising campaign going. About three and a half years ago we realized we needed to make some changes.
“Today we design, do some manufacturing and fulfill with just three people. We’ve divided the duties into segments and each person is in charge of his own niche. Then we use business partners to help with the types of things we cannot do. For example, we design our own heads, then send that design to a foundry in China. There are only a few foundries in the world who make golf heads. They ship the head back to us and we attach it to the shaft so that it fits the customer’s specific needs.” He added that a firm in Saskatoon, Canada partners with them in the clothing line. “They’re called ‘O In One.’ They develop unique clothing including the shirt with the embroidered hole in the collar to hold sunglasses. Ingenious! We are the distributor.” He added that the Internet has made a huge difference for Razor Golf. “Our website is our biggest marketing tool. We reach people all over the world. We’re capable of providing shirts, hats, golf towels, you name it, all with the proper corporate or tournament logo. We’ve grown into a one stop shopping business. An overnight success that just took 10 years,” he laughed.
 KEEPING YOUR EYE ON THE BALL
Vandiver didn’t begin his career in the golf business, but his background taught him never to lose focus and to always take advantage of an opportunity. “Let me tell you a story,” he said. “In 1985 I was a young stock broker for E.F. Hutton. One day a man with old shorts with paint on them, a cap and old shoes walked in. The broker of the day didn’t want to talk to him so he asked me to take him. Turns out the guy was a multimillionaire from New York. He wanted to trade 15 million dollars in tax exempt bonds for Florida bonds! We got along famously and he became my client. Soon he was referring me to his friends.”
Politics led Vandiver to another opportunity and that led to Razor Golf. “About the same time I was very active in the Pinellas County Republican Party. Connie Mack asked me to be his campaign manager and we decided to ask Charlie Daniels to sing for a fundraiser for Connie. The fundraiser was a big success and when it was over Daniels asked me to work with him on a development he was planning here in Florida. Daniels also has a charity for kids and adults with disabilities and funds it through golf tournaments. That’s how I was introduced to Razor Golf and began to work with the business. In 2002 George Baker and I set up Razor Golf as it is now.”
 WINNING THE BIG ONE WITH MARKETING
Vandiver also told the story of some creative marketing techniques the company has used. “We were always looking for unique ideas. At one point we were contacted by a radio station out of Orlando that ran the Big Show with John Boy and Billy out of Charlotte, North Carolina. That show aired during drive time and was syndicated in 25 states. They wanted us to be a sponsor for the upcoming John Boy and Billy Golf Tournament in Orlando. Part of the sponsorship package included the pre-party. We went with Jan Stephenson. On the way there I got this idea. Why don’t we manufacture a special driver with the tag line, “Drive for the Big Show” and promote it on the radio show? We pitched it. It went over big. We did a revenue share with them and sold one thousand drivers. We also got Charlie Daniels, Wade Boggs and other personalities to call in and pitch the driver. Couldn’t buy that kind of publicity!”
He added that charity golf tournaments are huge marketing tools for Razor Golf. “They ask us to donate a product for the tournament. We send them a give-a-way certificate that can be redeemed for a free product with just a nominal shipping fee. There’s no substitute for someone getting your product for free and then touching, feeling it and using it. We’ve benefited from great word of mouth and loyalty that way. We promote our web site and we get a lot of repeat business. People want more Razor Golf products.”
In addition Razor Golf has revenue share agreements with major golf publications like Golf Tips and Golf Illustrated.
HEADING FOR THE 18TH HOLE
Vandiver says that anyone starting out in business today should go for it. “If you have a dream, an idea, don’t give up.” He added that in today’s lean economy the old business techniques are still the best. Companies should offer a better product or service, make sure it costs less than the competition, promote its perceived value and then supply customer service. “Customer service is paramount,” he said. “The customer is always right. We get so much business from companies who have failed to see that.”
|
