Formula 1 2019 Season - Car Launch Dates
Discussion
Sponsorship.....
Whilst its fun to play the amateur business sleuth, it's worth remembering that all sponsors have to be vetted by the commercial rights owner (Liberty) and, IIRC, the FIA. In other words, measures are taken to ensure they're good for the money and are credible. This came about as a result of several issues in the 90s that caused problems for both the teams and the sport's reputation. The two high profile ones being Booker Publishing (Sauber) and Andrea Moda who purchased the Onyx F1 team with what is now widely regarded as 'Mafia Money'.
Sponsorship is not always about mass-market exposure. In marketing, greater value (and a higher price thus paid) is often found in reaching fewer people but those you do reach being of greater relevance. It's called targeting. In theory, pay-per-view should offer a more attractive proposition to potential sponsors because those that watch via those channels fall into a more precise category than a wider audience of 'casual viewers'.
There's two reasons why big known brands aren't as present as they once were. One is the rate card for all the teams is way out of kilter with what the market will stand. For example, Rothmans paid around £6m for title sponsor of Williams in the 90s. That wouldn't get you a wing end plate on a mid-field team today. And secondly, there are many other options to reach a market that cost less and are more effective.
What F1 is very good for is providing a global platform to create global brand awareness. This is why you are seeing the likes of Rich Energy and ROKit and others investing early into the sport to create awareness and thus demand for a future product and in business, it is more cost effective to pull a product through the supply chain through demand creation than pushing it though (making and then selling it).
Phillip Morris continue to sponsor Ferrari. Although on-car branding doesn't exists to any degree, if you go to parts of the world where smoking remains unregulated, you'll see all manner of promotions, point of sale, packaging and the like that connects the two brands.
Whilst its fun to play the amateur business sleuth, it's worth remembering that all sponsors have to be vetted by the commercial rights owner (Liberty) and, IIRC, the FIA. In other words, measures are taken to ensure they're good for the money and are credible. This came about as a result of several issues in the 90s that caused problems for both the teams and the sport's reputation. The two high profile ones being Booker Publishing (Sauber) and Andrea Moda who purchased the Onyx F1 team with what is now widely regarded as 'Mafia Money'.
Sponsorship is not always about mass-market exposure. In marketing, greater value (and a higher price thus paid) is often found in reaching fewer people but those you do reach being of greater relevance. It's called targeting. In theory, pay-per-view should offer a more attractive proposition to potential sponsors because those that watch via those channels fall into a more precise category than a wider audience of 'casual viewers'.
There's two reasons why big known brands aren't as present as they once were. One is the rate card for all the teams is way out of kilter with what the market will stand. For example, Rothmans paid around £6m for title sponsor of Williams in the 90s. That wouldn't get you a wing end plate on a mid-field team today. And secondly, there are many other options to reach a market that cost less and are more effective.
What F1 is very good for is providing a global platform to create global brand awareness. This is why you are seeing the likes of Rich Energy and ROKit and others investing early into the sport to create awareness and thus demand for a future product and in business, it is more cost effective to pull a product through the supply chain through demand creation than pushing it though (making and then selling it).
Phillip Morris continue to sponsor Ferrari. Although on-car branding doesn't exists to any degree, if you go to parts of the world where smoking remains unregulated, you'll see all manner of promotions, point of sale, packaging and the like that connects the two brands.
HorneyMX5 said:
British and American Tobacco have signed a reasonably sized deal with McLaren. Seems crazy that tobacco sponsorship has been banned for years yet BAT and Phillip Morris still pump millions into F1 sponsorship deals every year.
its all about Vapes now...http://www.bat.com/ecigarettes
StevieBee said:
There's two reasons why big known brands aren't as present as they once were. One is the rate card for all the teams is way out of kilter with what the market will stand. For example, Rothmans paid around £6m for title sponsor of Williams in the 90s. That wouldn't get you a wing end plate on a mid-field team today. And secondly, there are many other options to reach a market that cost less and are more effective.
Are you sure? From what I've read it's the other way around. You could get a full livery deal (like Martini) for the price of a rear wing only a few years ago.
HustleRussell said:
These front wings are too wide and too long. Suspect we're going to see a lot of battles ended prematurely by front wing damage and punctures.
Didn't we say that when the previous large wings came out? Surprisingly I don't recall too many wings falling off (or maybe it's my memory!)Gassing Station | Formula 1 | Top of Page | What's New | My Stuff