Whether it’s on a TV broadcast or right at the track, NASCAR is nothing without its racing sponsorships! Think patches on the driver’s fire suits, stickers, and cars overflowing with logos. Every race is brought to you by a brand or a company! Sponsors certainly shell out a large amount of cash for a racing sponsorship. So, have you ever wondered how much? How about what that money is funding? That’s what we are here to tell you!
Although it may not be the first thing on your mind, a large expense for any NASCAR team is fuel! Yep, you guessed it, a racing sponsorship can certainly provide for that. When every team needs to transport cars, and one pit crew to a racetrack, you can never have enough fuel. Not to mention the management, the team’s racing gear and tools, and the driver as well.
Requiring sizable transportation trucks, fuel certainly eats into racing funds like no other. Sunoco sponsors NASCAR and provides free fuel for the car on race day. But you guessed it – it takes more than that! Those cars run more often than just that one exciting day a week. Testing the team’s equipment for safety, speed, and reliability multiple times on a regular week is gas guzzling. For example – they can pay up to around $6.25 per gallon for fuel! When all is done, a full-day testing session will eat through a 55 gallon drum and cost practically $350. No wonder fuel is one of the largest expenses in NASCAR!
Location, Location, Location!
Fans view many brands and logos on a NASCAR racer! Did you know that the location of that logo can vary greatly in price? This type of racing sponsorship may be the most sought after but can also become the highest in cost! While any location of a logo is a great choice for advertising, the logo that appears on the hood is the highest in price. This logo belongs to the primary sponsor, who also gains a say in the team colors and the paint scheme of the car. When it comes to other logos, the rest are negotiable! Responsible for the length of stickers, the spread near the windows and across the fenders, associate sponsors oversee these. Placement and size influence the cost greatly, as the quarter panels tend to be another very expensive area to add your logo.
Unfortunately, NASCAR has begun to tighten the restrictions on how large logos can be and where they can be placed. However, in response to these new rulings, placements of products are gaining new ground at the race-track. For instance, in the pits after a race, sponsors pay drivers to take a gulp of beverage on camera, and even pay crew chiefs to mention the names of sponsors in their interviews. Who knew how many ways there are to utilize a racing sponsorship?
You might be asking yourself, what do the sponsors get in return? A racing sponsorship requires a large amount of money, so sponsors want to see results. The most visible result of a racing sponsorship is certainly the fanbase that comes with NASCAR – over 50 million fans and viewers! Think of that advertising potential and impressions! When you calculate the return on the investment in a racing sponsorship, there are several equations. Some brands and companies count how many seconds that their logo is evidently visible on the screen, multiply that time by the current ad rate, and there is their number! In short, this is how numerous companies decide exactly how much of an impression the funding they put into NASCAR is getting them. When it comes to a partnership with well-known figures such as Kyle Busch and M & M’s, that tends to work out well!
Return on Investment
Although these are only a few of the ways that NASCAR will utilize money from a racing sponsorship, there are several more out there! With a diverse fanbase, companies generally also tend to utilize billboards, the internet, print, and many other ways to get their brand in front of consumers. With so many options for a racing sponsorship, the possibilities to get a great return on your investment are endless!