eGolfVillage Fuel Syndicate Case Study

Collective Purchasing Power for Golf Courses

 

1. Executive Summary

Fuel is one of the largest recurring operational costs for golf courses. The average 18-hole course consumes roughly 70,000 gallons of fuel annually, combining gasoline for mowers, carts, and maintenance vehicles with diesel for tractors and heavy equipment.

Through eGolfVillage’s Syndicated Fuel Program, participating golf courses can access volume-discounted wholesale pricing on gasoline and diesel by aggregating their annual fuel demand under a single cooperative contract.

Membership in eGolfVillage — grants access to the syndicated fuel contract, sustainability tracking tools, and participation in other bulk-buy initiatives across turf supplies, equipment, and community partnerships.

2. Membership Overview

Program Annual Fee Primary Benefit
eGolfVillage Membership TBD Access to syndicated bulk fuel contract and shared sustainability reporting tools
Optional Add-Ons Variable Group purchasing for fertilizer, seed, sand, golf carts, and renewable fuel credits

eGolfVillage operates as a “community & commerce” platform for the golf industry — combining purchasing power, loyalty rewards, and sustainability tracking.

3. Fuel Use Benchmarks

Course Type Gasoline (gal/yr) Diesel (gal/yr) Total (gal/yr)
9-hole 18,000 – 26,000 13,600 – 19,600 ~40,000
18-hole ~39,900 ~30,200 ~70,000
27-hole 60,000 – 76,000 45,000 – 57,000 ~120,000

The 50-course cooperative combines an estimated 3.5 million gallons of annual demand, qualifying for near-wholesale pricing.

4. Syndicated Bulk Contract Model

Concept:
Each eGolfVillage member course contributes its projected annual fuel volume into a collective procurement pool. The aggregated demand enables eGolfVillage to negotiate tiered bulk pricing directly with regional distributors or refineries.

Key Mechanisms:

  • Aggregated Demand: 50 participating courses = ~3.5M gallons/year

  • Centralized Negotiation: eGolfVillage acts as the purchasing cooperative for all members

  • Local Delivery: Each course receives deliveries directly from contracted suppliers

  • Digital Dashboard: Tracks savings, invoices, and emissions data

  • Sustainability Metrics: Optional carbon offset participation and renewable diesel adoption

5. Financial Impact

Assumptions

  • Average 18-hole course uses 70,000 gallons/year

  • 50 courses → 3.5 million gallons/year total

  • Retail price: $4.00/gallon

  • Syndicated bulk price: $3.50/gallon

  • Membership fee: per course per year

Results

Metric Value
Combined Annual Volume 3,500,000 gallons
Per-Gallon Savings $0.50
Group Savings (annual) $1,750,000
Average Savings per Course $35,000
Membership Cost per Course $500 (est)
Net Benefit per Course ~$34,500
5-Year Cumulative Group Savings $8.75 million

The $500 estimate annual membership investment yields ~70× ROI in direct fuel savings alone, not including additional bulk purchasing or sustainability benefits.

6. Implementation Roadmap

Phase Timeline Key Actions
1. Enrollment & Data Collection Month 1 Courses join eGolfVillage; submit annual fuel usage & storage data
2. Volume Aggregation Month 2 Combine all member forecasts into 3.5M-gallon procurement pool
3. Supplier Bidding & Negotiation Months 3-4 Solicit bids from distributors/refiners; negotiate wholesale terms
4. Contract Execution & Launch Month 5 Finalize supplier agreement; activate direct deliveries per course
5. Ongoing Management Month 6+ Track deliveries, measure savings, publish group sustainability reports
6. Expansion & Diversification Year 1+ Extend to fertilizer, seed, sand, and renewable diesel programs

7. Example Regional Cluster

Region: Colorado, Utah, and Wyoming
Courses: 50
Combined Fuel Volume: 3.5M gallons/year
Negotiated Rate: $3.50/gallon fixed for 12 months
Total Group Savings: $1.75 million/year
Average Course ROI: 70× membership fee
Green Commitment: 10% biodiesel blend adoption by Year 2

8. Visuals to Include

(Insert in Google Docs or Slides for presentation impact)

  1. Bar Chart – Fuel use comparison: 9-hole, 18-hole, 27-hole

  2. Pie Chart – Aggregate 3.5M-gallon contribution by course type

  3. Savings Graph – Retail vs. Syndicated cost over 5 years

  4. Process Flow Diagram – Steps: Membership → Aggregation → Negotiation → Delivery → Savings → Reporting

  5. Regional Map – Showing 50 participating courses across the Mountain West

9. Future Expansion

  • Renewable Fuels: Introduce B20 biodiesel and renewable diesel blends.

  • EV Transition Fund: Use part of savings to fund electric mower & cart conversions.

  • Carbon Offsetting: Offer group carbon-credit participation for sustainability marketing.

  • Syndicated Supply Extensions: Expand to lubricants, fertilizers, golf carts, and sand.

10. Conclusion

Through eGolfVillage’s $500 estimate annual membership, golf courses gain access to:

  • Wholesale-level fuel pricing

  • AI-powered procurement tracking

  • Sustainability and emissions reporting

  • Collaboration with neighboring courses for community impact

Collectively, 50 courses can save over $1.75 million annually in fuel costs alone — transforming fuel from a cost burden into a community-driven advantage.

eGolfVillage Membership = $500/year → $35,000+ average savings.
This is the power of syndicated buying and cooperative commerce in golf.

 

Sample Participation Contract

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