Economy
The year 2008 was a dreadful year for corporations as it brought profit losses for their business. Corporations would rather forget this dark time in history plus trust past events do not repeat themselves. During 2008 companies were struggling to stay in the industry. NASCAR, Chevrolet, and Chrysler among others firms could not have prevented what was occurring in the USA economy (Ferrell & Hartline, 2014). There was nothing that could have altered the 2008 recession. However, the NASCAR’s overall co- branding strategy dealing with the marketing affairs seems to be a sound plan, but they lacked diversification in its sponsorship portfolio. NASCAR should have been meeting sponsors from other countries in addition to racing in other nations while the economy was in a downward spin in the United States. Sponsorship is the blood of NASCAR racing (Pruitt, Cornwell, & Clark, 2004). Sponsorship accounts for 50% of NASCARS revenue. With the stakes being high NASCAR might want to diversify its drivers to generate other ethic fans. NASCAR has been criticized for mostly having white Caucasian men on their payroll. The large majority of its sponsors are American companies such as FedEx or Gillette. Other marketing promoters have not being proceived from other countries. Not to mention the France family should allow more
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NASCAR has learned that co-branding is a great marketing strategy that works for their organization. Despite the 2008 recession NASCAR continues to grow and revenue profits.
References
Ferrell, O.C., & Hartline, M.D. (2014). Marketing Strategy: Text and Cases (6th ed.). Mason, OH: South-Western/Cengage Learning
Mexico puts an end to state oil monopoly. (2014). TCE: The Chemical Engineer, (872), 18
PRUITT, S.W., CORNWELL, T.B. and Clark, J.M. (2004) The NASCAR Phenomenon: Auto Racing Sponsorships and Shareholder Wealth, Journal of Advertising Research, 44(3), pp. 281-296.
The driver i picked for my paragraph is Allmendinger, AJ. Aj has 3 sponsors at the moment. Hot pockets, Digiorno, and Kroger. Most of the store and food brands like these partner up with drivers because it gets people to buy their product if they see a driver's name and logo on the product. He earned five wins and third place overall in the 2006 Champ Car season. He then began competing in NASCAR. He has competed in the 24 Hours of Daytona since the 2006 edition for Michael Shank's team, finishing first in 2012, second in 2006 and third in 2013. Reportedly Allmendinger Aj has a bad reputation in the drug tests in NASCAR.
NASCAR has seen great success with branding by differentiating the racing events from other racing series, especially with the overall race experience. Whether a fan attends the live venue, watches from the television, or listens through radio they are able to experience the exhilaration of the racing experience. Fans stand 75 million strong, and are the second highest in television ratings second only to the National Football League (Ferrell, Hartline, 2014). The sense of community within the NASCAR sport encourages a bond among fans and drivers. Driver loyalty is unrivaled, and the emotional attachment to the racing series is the foundation of the brand.
After reading the IndyCar case it is best to start analysing their internal environment. Beginning with the target market for IndyCar which is mostly males between the ages of 25 and 60. Although IndyCar targets an older market they are trying to get a much younger audience by doing things like
The NASCAR driver that I chose to use is Jimmie Johnson. The sponsors that he has include Lowe’s, Sprint, Chevrolet, and Goodyear tires. These are some of his major sponsors that Jimmie Johnson has. Each of these sponsors see value in working with Jimmie because he is one of the best right now, and when people see that he represents those businesses people will want to be customers of that place. Jimmie Johnson is one of the best NASCAR drivers of his generation, some of his accomplishments are that he makes over 10 million dollars a year and he has premiered in the Daytona 500. His potential achievements could be winning the Daytona 500. His accomplishments and future achievements are in common because he is pretty close to reaching his goals.
NASCAR has done a good job with its branding because according to Trendafilova fifty percent of the income comes from sponsorships (Trendafilova, 2014). NASCAR could have adapted to the unleaded gasoline a lot sooner, but this is not the reason for their economic downturn. The truth is that all sports had an economic downturn even coveted college football. The NCAA had to adapt to an un-eventful end of its season by implementing a college football playoff system which increases television rating for the last part of the season. This is important because NASCAR did this well before the NCAA by creating a new playoff system with two wild cards. The trouble is not with NASCAR branding. The trouble lies with the overall economy paired with the
First, when you look at each sport or any sport nowadays, you see sponsor logos in uniform or stadiums. The NFL, depending on the team, has uniforms sponsored by companies like Nike, Reebok, and ext. They also have sponsors, affiliated with the sport like Gatorade, the sport drink used on the sidelines for players or Motorola headsets that each team wears for communication on the field. NASCAR has many of the same when it involves uniforms, but their uniforms have not only the brand of the uniform, but also all the many other companies that help sponsor their team. They also have common sponsors with their sport like Goodyear for tires on all their cars and Hans Device that protects them in a crash. Though when you compare the two NASCAR has far many more sponsors in your face during a race then when watching an NFL game.
NASCAR should create a new racing series while creating a linkage of suppliers, vendors, buyer, and customers through informational, technological, social and structural linkages (Ferrell & Hartline, 2014). Intensive distribution should be utilized to offer as many sales opportunities as possible and gain exposure (Ferrell & Hartline, 2014). The new series should generate interest in new and existing fans while simultaneously converting other sports fans to watch and attend NASCAR events through the use of social media, advertisements, sponsorships, and endorsements.
Do people have to die for things to be changed? In NASCAR they are always looking at safety and standards that are always changing. NASCAR stands for the National Association for Stock Car Racing. NASCAR has been a big part of my life since I was a child. When I was young not only did I watch the races on TV with my family, I would be at the track every week with my racing family, watching at a NASCAR sanctioned track. Racing had become a drastic part of my life at an early age because my mother had passed away. My father wanted to bring the family together at least once a week and do something together. Not only did my family watch racing in TV or on the track we raced ourselves my brother, sister and I raced while my father worked on
Since Mars entered NASCAR as a team sponsor more than 25 years ago, the chocolate company has increased its level of participation in racing. NASCAR fans are 3 times as likely to try and purchase NASCAR sponsors’ products and services. The mission statement of Mars and NASCAR has the common point of making their targeted customers happy providing the best snacks and to enjoy the leisure time watching a sport. Both of them are doing their best to make their customers happy and to reach their targeted
The split between the Indy Racing League and Champ Car was considered a tough and bittersweet “pill” to swallow. The split seems to revolve around a directional disagreement which strayed away from the original vision of the IndyCar Company. Throughout my research, I have found no true definition if the split was completely unsuccessful, but the evidence would definitely suggest this idea. Additionally, when the split occurred, a rift was created among the many supporting fans and the once committed corporate sponsorships (Ferrell & Hartline, 2014). The split did come at a time of strong competition and a declining economy. However, I did discover that during those times of hardship (IRL & CART) focused on specific marketing plans that
I chose Kyle Busch as my NASCAR driver. He is sponsored by Skittles, M&M’s, Pedigree, and NOS. These sponsors feel that it is important to sponsor him because he is a talented racer so he gives them good publicity. With the sponsors on his car and uniform, they are getting advertisement from all of the viewers of the race. His talents are key to this because if people look up to how he is a good driver they will think that using his brands they will be like him. He has won a good amount of races and has proved to be an elite racer. His sponsors don’t match his racing, however, they make people think that if they eat snickers they’ll be like him.
Great post! NASCAR’s partnership with the National Guard was intended to assist the Guard build strong brand awareness in addition to recruits. Per NASCAR, the National Guard spent $32 million on the Spring Cut sponsorship and $12 million for the IndyCar program. Sponsorship funding encompassed at-track and off-site recruiting programs.
NASCAR branding strategy is similar to its overall marketing strategy. NASCAR has adopted a unique and effective way to market its brand towards the public. The strategy includes that NASCAR believes that fans are the most important and they make attracted them by using different techniques. They use to publish different advertisement, reviews, contents, promotion and many other ways to appeal their fans to remain loyal with NASCAR. This strategy results in great success which could be evidence from the huge fan following of NASCAR which has made it the giant of the racing industry. They have used many ways such as digital and web content to market their company and make as many people aware about NASCAR. This is the best way to promote the
The case studies emphasise that all three racing teams focussed on different strategies. Their strategies changed within the environment and circumstances, but what is overwhelmingly evident is that a team needs all the elements to be in synergy and for focus to be on every aspect of the strategy. As the old adage, ‘A team is only as strong as its weakest link.” This means that in order to be successful and to maintain success, you’ve got to get all the elements right, the overall package, the budget, the designer, the engine, the drivers, the organisation and every aspect, from what is deemed most important to the least important, all play an essential part of sustaining a winning
Companies all over the world are in bidding wars to get their name at the top. Whether it's on the hood of a car in a NASCAR race or on the jersey of a soccer team, these companies know the importance of sponsorship. Sponsors come from every corner of the business world and some even make it big if their sponsored athlete makes it big.