PROGRAM:

Geographic Analysis, Value Segmentation & Application Report

MARKET: Northeast Florida
BRAND: Callaway Golf Company
CONTRIBUTOR: David F. Evans
DATE: Fall 2014

INDEX

Census Area Profiles..................................................................................................................3

Psychographics.............................................................................................................................5

Application......................................................................................................................................7
.
Appendices......................................................9

CENSUS AREA PROFILES (DEMOGRAPHICS & GEOGRAPHY)

After observing the Census profile for the zip code 32082 (Ponte Vedra Beach, St. Johns
County), it is possible to interpret the data in a way that provides evidence for observations
made while living and growing up in this area. One of the most catching demographic is the
populations racial profile. With a population of 209,647, 89.7% of these residents are white
alone. This is an 11.6% greater amount of white people than the rest of Florida. Anyone who
lives or visits Ponte Vedra Beach would agree that the area is heavily dominated by those of the
white race and that it is fairly uncommon to see someone of color in the area. For instance,
there is 11% less African Americans that live in the community compared to the rest of the
state. This is a negative trend, but a true correlation with observations. It shows a lack of
diversity and portrays Ponte Vedra Beach as a society that sees itself as more exclusive than
others. It is also important to look at the average household incomewhich is significantly
higher than the rest of Florida. Ponte Vedra Beachs average household income is $17,000 more
than the rest of Florida. The infamous stereotype for Ponte Vedra Beach is a community of rich,
white peoplethis data correlates with such beliefs and is not viewed as a positive trend.
Continuing the demographic profile, the average age of Ponte Vedra Beachs residents is
consistent with the state. It is a retirement destination for around 17.6% of the population, and
over 50% of the population is between the ages 18-65. From observations, these people consist
of white businessmen and more youthful folk with money.
For as small of community as Ponte Vedra Beach may be, a significant increase in
population was observed over the past few years. From 190,039 people in 2010 to 209,647
people in 2013, this demographic data shows that the community is expanding rapidly at a rate

6.3% greater than the rest of Florida over the past 3 years. From an observational standpoint,
the past 5 years there have brought massive expansions to the area as new neighborhoods
have started to develop at an increasing rate. This data is positive, as it supports an increase in
the development of more youthful family homes being built away from the beach community
that once was the only true residential area less than two decades ago. Contiguous with the
previous data, the home ownership rate of Ponte Vedra Beach is 8.6% higher than the rest of
Florida. This correlates with observations that this is an area where people are looking to settle
with their family, buy a first home, or eve retire. Owning a home typically correlates to
someone having a higher income, which is a trend that has already been observed from the
demographic dataset. The last feature of the Census demographic profile is Ponte Vedra
Beachs education, where 40.7% of the population has graduated with a Bachelors degree or
higher. This is 14.5% higher than the rest of Florida, and correlates with the belief that many
people in the area with successful careers can accredit part of their success to a higher level of
education.
The largest population cohort in Ponte Vedra Beach and the rest of Florida is that of
Generation X. Most people here were born around the 1960s to early 1980s, and create a
relatively mature market. Ponte Vedra Beach and Florida are both seen as more of a mature
market, as people tend to desire quality and a more luxurious lifestyle. This data, however, can
infer that Ponte Vedra Beach is even more of a mature market due to the data presented in the
demographic profile. Overall, the Census hints that Ponte Vedra Beach is a rapidly expanding
city that has a profile of white, youthful, educated and wealthy persons. These trends show that
it is a stable, healthy area, however it lacks significantly in its racial diversity.

PSYCHOGRAPHICS
The PRIZM Segmentation Systems data for the zip code 32082 (Ponte Vedra Beach/St.
Johns County) provided a set of 5 different profiles. They are defined as follows: Big Fish, Small
Pond (Appendix 2.1), Gods Country (Appendix 2.2), Gray Power (Appendix 2.3), New Empty
Nests (Appendix 2.4), and Traditional Times (Appendix 2.5). The summary of all 5 profiles shows
that the population primarily consists of middle to upper scale segments, but primarily of the
upscale segment. As a whole, these segments create an older and mature market, which does
not have kids. Overall, these descriptions align with the overall Census profilehinting towards
an upscale community composed of Gen X and the final years of the Baby Boomers. This
correlates with my beliefs, and I have personally experienced all 5 of the segments through my
time as a resident in Ponte Vedra Beach.
Big Fish, Small Pond is probably the most accurate segment profile, describing them as
upper class, college-educated professionals that lead a small-town community. Ponte Vedra
Beach is in fact a small-town community, and a haven for those interested in joining golf clubs,
spending money freely, and displaying their success. Another is that of Gods Country, which
encompasses a segment of older folk who once lived in a big city that fled to the countryside
(beach in this case) to own a spacious home and enjoy an upscale lifestyle. This fits the
description for much of Ponte Vedras older population, as this segment lives in mostly
oceanfront property that was purchased before the prices began to rise some years ago. Gray
Power reflects the lower-end segment, yet they are still a midscale mature market. There are
many neighborhood developments that house this segment at an affordable cost to own a
house. Lastly there are the segments of New Empty Nests and Traditional Times. Both of these

segments average an age in the fifties, and have recently began to enjoy an empty nest lifestyle
after sending their grown-up children out of the house. These two segments have an upper-
middle income, are homeowners, and love to spend their money on travel now that they have
the time. Both segments are very accurate and relevant to Ponte Vedra Beach in my opinion.
Such segments owned many houses around mine, and oftentimes these houses would be
vacant for periods of time as the couples traveled. Also, these couples would have children that
were typically a few years older than me. From my observations, I believe the PRIZM data
presents a very reliable summary and description of the area. In fact, it is as accurate of a
description as I could provide myself after having lived there for 11 years. In summary, these
profiles cover the 5 most common segments found in Ponte Vedra Beach. Upscale/midscale in
an older/mature is the best way to summarize the area. Although these 5 segments may seem
relatively similar by description, after living in such a community for a lengthy period of time,
they are very distinct profiles within a non-diverse population.

APPLICATION (ROUGH STRATEGY & MEDIA PLAN)

A brand that would be relevant to this location would be Callaway Golf Company. Based on
the findings from the Census and PRIZM data, it is clear that there is an upscale, older and
mature influence in the area. The segmentation strategy is defined by demographics,
geography and psychographics. It is Gen X and some of the Baby Boomers that are most
important to target. With that being said, golf is an upscale sport by most definitions. Ponte
Vedra Beach is home to the PGA headquarters and many golf clubs and courses, so many of the
residents play golf regularly, if not daily. These people are retired, near-retirement and enjoy
playing the sport whenever there is time. They are typically men, and live an upper mid
lifestyle. The target market is mature, and appreciates the quality of a product, and the luxury it
provides upon consuming it. Callaway is situated at the upper-end of golf brands, and
positioned as probably the most luxurious. The target market is a mature adult male, with an
age ranging between 45-65. On the weekends, if they are not at the beach, they will more than
likely be found on one of the many golf courses found in the region.
With the target market in mind for Callaway, now there must be a media plan to reach this
particular segment. The most effective media types would include online videos and Internet
that are placed strategically through the most consumed sites by this segment, which would
include websites like the Wall Street Journal and Golf Digest. Additionally, broadcast TV would
be very effective as it is the most consumed form of media by Gen X. To supplement these two,
there could also be Callaway print advertisements ran through upscale magazines and
newspapers. This media would be paid, as most of these media types require monetary
spending. Given that this segment is upscale and the market is mature, this media plan could

effectively target these persons by reaching into their most consumed media outlets in a way
that positions the Callaway brand as a luxurious good that is worth spending their valued
money on. This plan will increase sales through positioning the physical product in stores
relevant to this market. It will also raise brand awareness as positioning the brand as the most
essential and luxurious one in the golf product market. With this, it is essential to reach these
people when they are most exposed. Timing around major golf tournaments such as Ponte
Vedra Beachs PGA Players Championship and other nationwide tournaments are effective
times to run the various media types. More specifically, the ads should range all-year round in
Ponte Vedra Beachas its a warm-weather climate and always possible to play golf. Overall, a
golf brand has a strong potential in Ponte Vedra, or could be very successful if positioned
correctly within a similar target market.

APPENDIX 1.1

APPENDIX 1.2

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APPENDIX 2.1

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APPENDIX 2.2

12

APPENDIX 2.3

13

APPENDIX 2.4

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APPENDIX 2.5

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