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Weighing Change with Established Identity: Holding True to Your Club Charter

Authoring this column provided an opportunity to stop and reflect on my point of view of the club industry of yesterday, today and tomorrow. I took this chance to consider and share how my perspective fits relative to the broad club industry in America. While I understand, and typically support, the modernization of clubs today to appeal to a changing demographic, I am guided, instead, by my historical-based outlook of staying true to one’s founding principles.

Regardless of your zip code, county or country, the most important step a club can take is to ask, does this change hold true to our charter, our identity?

My view of our industry is from a limited perspective, having worked in only two clubs over the past 23 years; both old, well-established city clubs. For the past twenty years, I have managed a 161-year-old-city club founded in the style of classic London clubs: purely for the purpose of social, private affiliation of like-minded individuals and characterized by high selectivity, a cohesive membership and highly personalized services. My club is financially, structurally and functionally healthy; it has no debt and a full membership. Contrary to current trends, our strong standards of decorum include: no casual dress, no website, no cell phones, no cameras and no social media.

Such historically and British inspired clubs are not typical of the American club industry today, and may never have been. The heyday of American club development in the late 1800s and early 1900s came long after English clubs, some of which date back to the late 1600s. Many, if not most, American clubs were founded for different purposes such as golf, country pursuits, profession, etc. Whereas social interaction never fades, other activities can become irrelevant over time. For example, a banker’s club may become incongruous with its community when the financial center of an area moves away.

The American Club

Industry data suggests that the most typical American club is a mid-sized country club featuring golf and family programs. It’s perceived that they face a continuous struggle to provide sufficient value (or perceived value) to their current and potential members. If well managed, these clubs are alert and responsive to industry trends, and quick to make changes that will satisfy current member and potential member interests. With both today’s typical club and the traditional London-style social club in mind, there is much to consider as we look to the future.

Throughout my club experience, one of the most common themes of industry news has been the prognostication of the death of clubs or, at least, clubs as we know them. The media portrays traditional clubs as on the out and the antonym of progress. Within the trade, it seems that forecasts are always about gathering clouds on the horizon and perpetual warnings to run from the past and instead, serve the whim of current members. It seems anything old is bad, and we will all fail unless we sacrifice our uniqueness to operate more like commercial restaurants and resorts.

Nothing I say here is intended to dispute or discount current trends, or the need to perpetually guard against irrelevance. However, I do think our energies will be most effective when put toward reinvigorating and reinforcing our core raison d’etre. Humans are social beings and have a biological need to belong to social groups. Social clubs are an expression of social bonding and our industry has great potential to be as relevant in the future as in the past. In achieving and maintaining that potential, however, we must have the gravitas to know that everything old is not bad and everything new is not necessarily good; that change for the sake of change or for misguided reasons is fruitless. If you are lost and wandering aimlessly, it does no good to keep changing directions. 

Founding Principles

Healthy clubs can and do adapt as challenges and opportunities arise. I argue, however, that such adaptations are only successful when they truly adhere to the club’s core purpose. That is, a club must be able to discern the difference between a founding principle or purpose and the fickleness of contem- porary societal fashion. As I noted in a 2012 Club Director article, a critical club leader skill is to recognize trends that are here to stay.

Equally important, clubs must distinguish true principle and purpose from standards that are either false or foolish. Sometimes, social modes of the day aren’t given appropriate weight due to entrenched values of subsets of club membership, requiring considerable effort and willingness to adapt or change. For example, a club can be true to its purpose of providing excellent golf facilities for its members while giving up a rule (or tradition) of men-only tee times on Saturdays. A club’s charter defines the club and does not change; bylaws, rules and traditions dictate how a club operates and must be subject to change as needed or desired.

Clubs must be clear on their chartered purposes and these purposes must be the foundation of every decision. Ask, will this new service, technology or change of standards enhance our defined purpose? If the “necessary” change does not further the mission or, if it is simply grasping for a panacea against real or perceived ills, it is not in the best interests of the club, even when it brings temporary relief.

A club founded to further a social purpose is foolish to think that taking in outside business is the answer. It may alleviate some problems for the moment, but it will not change the real issue of whether the club’s mission is sustainable. A short-term solution will only lead to disparity in the future as its core relevance diminishes. Eventually, the club claiming to be one thing actually functions as something completely different. We have seen too many clubs get into serious trouble by claiming pri- vate status while effectively operating as public accommodations.

Know Your History

Every club that has survived a period of time has stories to tell of how they adapted to face challenges. Further, when you look back far enough, history really does repeat itself, which is reassuring in a sense. As an example, local newspaper headlines once decried “Sartorial Wars” at my club over the desire of younger members to dress casually for dinner … in 1911. At that time, casual referred to newfangled tuxedos or, worse yet, lounge suits instead of proper tails. The issue of changing dress standards was not unique to my club (then or now) and, clearly, clubs of the period managed to work it out and weather the end of the Victorian era.

Other repeat issues for clubs of any age include: the need to appeal to younger members, the need to renovate, the need for new or expanded services, the need to adjust to current dining practices and even, the occasional need to override entrenched traditions.

I believe that well-governed and well-operated clubs that were founded for clear and relevant reasons will be the most resilient and prepared to succeed in an ever-challenging world. Those whose relevance has waned or whose purpose is in conflict with their behavior are going to struggle and eventually fail and no amount of gimmickry in technology, fashion or fads will save them. In this sense, the oldest, most stogy, most traditional club can have much in common with the newest, hippest, tech-savvy club. Truth be told, the best of the former are watching developments in the latter very carefully. They are tuned in to industry experts, and are prepared to make changes when appropriate. From my point of view, the truly private, purely social club is alive and well in America and around the world. I believe that clubs that are governed well and operated on strong founding principles will continue to thrive and be important to our social fabric—especially if they weigh macro-trends and adapt as needed, based on their founding principles.

Thomas E. Gaston, Jr., CCM is general manager of The Pacific-Union Club in San Francisco and is the chairman of the National Club Association.

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