- Why Are Golf Carts So Expensive? – 10 Contributing Factors To Consider
- Fact -1 # Small Market
- Fact #2 – Target Customers Are Affluent
- Fact #3 – One-Time Purchase
- Fact #4 – Limited Golf Cart Manufacturers
- Fact #5 – No Alternative Product
- Fact #6- High-Quality Parts & Advanced Designs
- Fact #7- Adding New Safety Features
- Fact #8- Designed For Aftermarket Adjustments
- Fact #9- Customized Features
- Fact #10 – Shipping Fees
- How Much Do Golf Carts Cost?
- Final Words
Golf carts are niche products made for affluent people who can afford high-quality products sold at staggering prices. Since golf carts are sold in limited quantities each year the cost of R&D and improvements made are spread across each unit making prices high.
The use of high-quality parts is another reason they cost more. Moreover, golf cart manufacturers focus on the customization of carts and there are a lot of accessories available that only contribute to the steep prices.
There are other factors that contribute to the price. Keep on reading to find out why are golf carts so expensive in more detail.
Why Are Golf Carts So Expensive? – 10 Contributing Factors To Consider
There are so many reasons that contribute to golf cars being expensive that are in ways interlinked. Here’s why golf carts are sold at high prices.
Fact -1 # Small Market
Even though golf carts aren’t limited to golf courses anymore, their market size is still limited. Businesses, sports centers, hospitals, college campuses, airports, resorts, etc. are using them more and more. But still, that’s not enough for manufacturers to achieve economies of scale.
This means that a higher cost of production is spread across a limited number of units, driving the price of golf carts higher.
Fact #2 – Target Customers Are Affluent
Golf is a game reserved for the elite. It’s played by the rich and rich people are willing to pay more for comfort and quality. Because the customers are willing to pay, there is a demand for golf carts even though the price is high.
So, when a golf course buys a large number of golf carts at a high price, it doesn’t hurt their business. Their customers pay enough to cover the cost and leave heaps of profit.
Fact #3 – One-Time Purchase
Golf carts don’t need to be replaced for decades. Since they last for so long, customers have more reason to pay a high price. Just as you are willing to pay a high price for your car. Because there are only so many cars you need.
When perceived as a long-time investment, people are willing to pay a hefty amount.
Fact #4 – Limited Golf Cart Manufacturers
As we already mentioned, the market for golf carts is niche and there are only three key players in the market. With such limited competition, there’s no need for manufacturers to offer competitive prices. They can keep a good profit margin for themselves, driving the price higher.
Moreover, customers also have limited options. They have to purchase from these powerful companies. Because of this, the golf cart market is monopolized entirely by Club Car, Yamaha, and E-Z-Go.
Fact #5 – No Alternative Product
Golf carts are low-speed vehicles that offer functionality and practicality. They have their uses in many places as we mentioned before. There are no other low-speed vehicles that offer the same features as a golf cart.
That’s another reason for an increased demand for golf carts. As we know, increased demand when supply is limited leads to an increased price.
Fact #6- High-Quality Parts & Advanced Designs
The highest quality products are made by the top manufacturers. Their superior quality construction is a way for them to justify and keep their high price. E Z Go cars are especially known for their unparalleled comfort and quality. For that, customers are willing to pay top dollar.
Other high-end competitors also focus on high-quality parts and introducing new technology in order to get a competitive advantage.
Fact #7- Adding New Safety Features
For safety, golf carts are often additionally equipped with brake lights, turn signals, and seat belts. These items are add-ons and you have to pay extra for these installations, causing another price hike.
Fact #8- Designed For Aftermarket Adjustments
Golf carts are designed in a way that customers can upgrade and install different accessories. Building for such adaptability costs the manufacturer more.
Usually, golf carts come with the option of installing extra seats, off-road wheels, lift kits, etc.
Fact #9- Customized Features
You can ask the manufacturer to add more features to an existing model for an additional amount. It can be an upgraded stereo, navigation system, wheel updates, etc.
There are a lot of options your manufacturer will offer you and directly install for you.
Fact #10 – Shipping Fees
Since the manufacturers of golf carts are limited. The chances of having a warehouse close to your location aren’t very high. The farther it is from your location, the more you have to pay for shipping.
It’s also not an easy item to ship, so you can expect to pay a considerable amount to have the cart at your desired location.
How Much Do Golf Carts Cost?
The Cost of golf carts can vary based on whether you’re getting a new one or an old one, the brand, features, and condition.
New Golf Carts
If you buy a new golf cart directly from a dealership, you can expect to pay between $9000 to $18,000. The price obviously depends on the specific brand & type of cart you purchase.
For example, a 4 seater ranges from $9000 to $14,000 and a 6 seater starts at $14,000 and can go a few thousand dollars above that price. For a lifted cart, you can expect to pay $1000-$2000 more.
Street-legal golf carts are becoming increasingly popular. You can get one for $10,000 to $16,000.
As we already mentioned that the best brands that you can trust are E-Z-GO, Club Car, or Yamaha. But they don’t come cheap. Advanced EV, Icon, or Evolution are more affordable brands. They offer good quality at a competitive price. These brands are worth looking into.
Old Golf Carts
There’s also a market for used golf carts. You can buy them from a dealership, which is safer but more expensive, or from private owners. The price varies a lot and can range from $4500 to $13,000.
For a 4 seater, you will probably pay $4500-$9000. 6 seater is more expensive and costs between $8000 to $13,000. Used street-legal golf carts start at $8,000+.
Golf carts are luxury items that are owned by people who have a lot of money to spare in general. It’s a niche market meant to serve the rich and for that reason, top manufacturers aim to compete for quality rather than price.
But there are new players entering the market who have come up with more affordable golf carts making them more accessible to regular people interested in the sport.
However, not only golf carts but everything else surrounding golf is expensive. So, if you are interested in golf you will have to be prepared to spend big.
Get more suggestion articles about golf carts and maintenance.