Advertisers Race For Model Consciousness In NASCAR’s Daytona 500

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Watching NASCAR races with my father is a household custom.

However now that I’m an advert tech journalist, that custom has advanced (or shall I say devolved) into me peppering him with questions on on-track model sponsorships. (Sadly, he’s simply in it to benefit from the race.)

NASCAR’s Cup Sequence kicked off on Monday with the Daytona 500 race, an annual alternative for paid model sponsorships and prime time advert spots airing on FOX (or, for cord-cutters, Fubo and Sling TV).

Naturally, NASCAR’s Daytona 500 race attracts a lot of automotive, insurance coverage and oil manufacturers. Toyota and Progressive have been this yr’s sponsors. However it additionally pulls in manufacturers from nonendemic verticals, resembling quick meals and CPG, that wish to increase model consciousness and consideration by capitalizing on rapt viewer consideration.

Display time

However manufacturers are beginning to do extra than simply slap artistic on the perimeters of a race automotive.

To be honest, one motive for that’s as a result of there’s no telling which vehicles will find yourself in flames from a collision that removes them from the race early on (which occurs fairly frequently).

This doesn’t mesh nicely with what advertisers need, which is to have a presence all through the period of the race.

Automotive corporations, together with Chevrolet, Ford and Toyota, sponsor NASCAR groups, whereas different advertisers decide to help particular person racers. Both possibility provides advertisers a distinguished on-screen presence past branded automotive shells. Sponsors get their model emblem displayed close to the corresponding racer’s title upon point out through the broadcast, and their logos are additionally displayed on rotation above the scoreboard on the high of the display screen.

Past the manufacturers talked about above, this yr’s sponsors additionally embody Wendy’s, Chili’s, Busch Lite, Monster, Goodyear, Mahindra Tractors, eBay Motors (sure, that’s a factor), AdventHealth, Ally Monetary and auto and residential insurance coverage firm Gainbridge.

Staying within the circuit


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Nonetheless, model sponsorships don’t take away from the worth of 30-second spots to advertisers all through a dwell sports activities competitors.

Notably, there was a ton of overlap between manufacturers that sponsored the race and those who ran commercials all through Monday’s broadcast, generally a number of instances.

Why? As a result of analysis suggests that pairing a traditional 30-second spot with some type of model integration throughout programming will increase model carry. Busch Lite, Coca-Cola, Ally Monetary, Ford, Toyota, eBay Motors, Goodyear, Chili’s and Wendy’s all paired their airtime with commercials.

Sporting sports activities rights

The Daytona 500 race can also be a superb place for NASCAR to advertise upcoming races and for FOX to promote its programming slate for different sports activities leagues, such because the United Soccer League and WWE Smackdown (which FOX airs … for now).

And talking of different sports activities occasions, programmers are in sizzling competitors for airing rights – together with for NASCAR races like Daytona 500, although its rankings have been ticking down through the years. Final yr’s Daytona 500 had 8% fewer viewers in comparison with 2022.

Rankings can drop when races are postponed attributable to climate, as an illustration, which is why this week’s Daytona 500 race, initially scheduled for Sunday, befell on Presidents Day. There are additionally different causes for NASCAR’s rankings decline, together with criticism that NASCAR is altering its picture to enchantment to a mainstream viewers and thereby alienating its core Southern fan base. (Too dangerous. Mainstream audiences enchantment to advertisers.)

However NASCAR races nonetheless usher in a large quantity of advert income for broadcasters. In response to Sportico, FOX made $24.3 million in advert income from final yr’s Daytona 500.

Quickly, nonetheless, it appears FOX must share its airing rights with extra distributors.

At present, NBCUniversal has rights for races within the latter half of NASCAR’s Cup Sequence. However in November, NASCAR signed a seven-year $7.75 billion deal that provides TNT (owned by Warner Bros. Discovery) and Amazon’s Prime Video as rightsholders.

Though it’s nonetheless unclear how precisely the airing rights will probably be divided, what is clear is that, as cord-cutting continues, linear broadcasters and streamers alike are racing at full throttle for the rights to air tentpole sports activities competitions – and for his or her portion of advert income.

And so, the recommendation that Dwayne “The Rock” Johnson gave drivers on Monday afternoon might additionally apply to programmers and advertisers searching for to money in on dwell sports activities: “Within the proud spirit of America [and the millions of people tuning in from their couches] … Begin! Your! Engines!” 🚦

I might need added in that bit in regards to the couches. 😂

Are you having fun with this text? Let me know what you assume. Hit me up at [email protected].

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