tie yoda indeed
The WSJ has a
piece on Nascar.
I admit that I can't figure out what the Nascar brand means and, by extension, the brands of most of the companies that support it. A few decades ago it was stock car racing - standard American sedans that were tricked out and raced on a simple oval track. Rabid fans had near religious affiliations with the churches of Ford, Chrysler and GM and brands that won races tended to sell to this group. Corporate sponsorship was a no-brainer.
In more recent years the cars have become homogenized and bear little resemblance to the cars of the companies that sponsor them. They physically look the same and huge sums of money have made them exotic beasts with very little technology going back into the cars that normal people can buy.
One wonders where the value is - what is Nascar doing for a brand like Ford or "Tie yoda"? If a car company spends $100M on a serious sponsorship do they get better than $100M in increased profit back? Do they have rational methodologies to measure value, or is this decades old gut instinct?
This is a non-trivial question for the consumer. If a company is losing money on the sponsorship it is coming from their profits. Assuming they don't live on government bailouts forever this increases the cost of delivering a car to you if the sponsorship model doesn't break even.

A lot of sports sponsorship is like this - the connection between the sport and the value of the brand are nebulous. The real reason may be a belief that hearing a brand name mentioned on TV or seeing a decal is somehow magical and of value. Perhaps it takes a non-automotive companies to use Nascar to bring home the bacon.
Perhaps the sport should return to its roots. Modified sedans that anyone could assemble if they wanted. Perhaps it would be a good way to promote emerging technologies - modified plug-in hybrids for example. The team costs could be reduced enormously and perhaps there would be brand value to the sponsor.
The idea of brand, value and sports sponsorships has been on my mind as a friend and I try to find likely small sponsorships. It has been an interesting path and probably will result in a post or two once we are successful. You definitely start to look at companies from a different angle.
lawrence of arabia and girl's basketball
A neat Malcolm Gladwell essay in the May 11, 2009 issue of The NewYorker - the online version
21:45 in General Commentary, Sports | Permalink | Comments (0) | TrackBack (0)