Business & Design Software (B&D), a wholly owned subsidiary of listed technology company, AST-A (Advance Software Technologies-Abraxas), said recently that it had successfully completed negotiations with cellular provider, Vodacom, to take over as the major sponsor of the Abraxas National Golf Network.
Based on swipe card technologies, B&D`s core product is a national golf handicapping system which is linked to the Internet. Fifty-eight thousand of the 65 000 cards issued and in use by golfers will now carry the Vodacom brand, with 1400 of the remainder being branded by Abraxas.
Jacqui Spence, marketing strategist at B&D, said "With Vodacom being a major supporter of the golfing community in South Africa, this deal is viewed as being an important deal for the good of golf. It should result in improved synergies for the sponsor with resultant positive carryover effects into the support of both the amateur and professional golfing communities."
The product has achieved almost 60 percent penetration nationally, with over 85 percent amongst Central Gauteng golfers, 50 percent in Western Cape, 66 percent in the Southern Cape, 95 percent in Port Elizabeth and 54 percent in Natal.
In clubs the card-based system has been beneficial for preventing fraud by staff, tightening controls and improving management of facilities and finances. When the B&D point of sale (POS) system is used effectively it also means that the clubs can become near cashless environments, making security tighter for club members.
Through their cellular provider, B&D can offer golfers, as a free service, a cellular short messaging service (SMS) to notify players of a handicap change and SMS notification of tee off times. The card could also have extra functionalities added to it in time, which could include full financial capabilities and more.
B&D said that apart from the branding, no sponsor will have access to the confidential databases of the golfer`s details. Spence said; "We understand the sensitivities of golfers with respect to not allowing access to their information, and yet understand that sponsors wish to market to this target group. Although the sponsors have no access to the confidential database, they will be able to market to the golfers through the bi-annual National Golf Network Newsletter and the web site www.handicaps.co.za."
Spence added that the sponsors would benefit from the branding into a lucrative market space and from linking to an innovative company like B&D.
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B&D develops its own software and has been involved in the design, development and installation of a range of golf and recreation club software which has already had great success across golfing mad Southern Africa. Other applications for B&D`s software include tourism and the hotel industry which are South Africa`s biggest money spinners.
The golf card concept was locally developed by B&D`s management who are avid golfers and the system, which is Unix-based, runs on a card-based WAN (wide area network) which was a world first for the lucrative golfing industry.
Abraxas Investment Holdings, the listed information technology (IT) solutions company which recently merged with AST, acquired the entire issued share capital of Business & Design Software in May for a total purchase consideration of not more than R 30 million. The transaction was based on profit warranties over the next two years for the period ending 31 December 2000.