February 17th, 2009 
Journo This past week I was flipping through Sports Business Journal when a back page ad caught my eye. The advertisement was for the NHRA. The headline of the ad read like this:
“Economical – marked by careful, efficient, and prudent use of resources [see NHRA].”
The copy goes on to talk about the benefits of sponsorships in the NHRA’s top series saying the sport has 24 events that reach 37 of the top 50 DMAs, with 125,000 spectators per event and a potential audience of 96 million households through ESPN2; it adds “at an economical and fiscally responsible price point it seems too good to be true.”
I found two things striking about this ad: first was that the series was actively promoting team sponsorships; and second I couldn’t help but notice the very obvious jabs it takes at NASCAR. Economical? Fiscally responsible? Could they be saying that a $3 million NHRA Full Throttle Series sponsorship gives you the same or a similar bang for the buck as a $20 million NASCAR Sprint Cup Series sponsorship? You tell me.
The NHRA is not the only one trying to promote the low-cost, high-benefit sponsorships (or taking jabs at NASCAR). Bob Vandergriff Jr, a top-fuel drag racer recently launched the website “SponsorDragRacers.com”. The website works to quash the money myths of motorsports sponsorship.
He too uses much of the website to show how the sport differs from NASCAR. And honestly he makes some good points. The NHRA is far more accessible (anyone who has ever been to an NHRA event can attest to this), cheaper and diverse. It really is a very different experience.
Ultimately, while the NHRA Full Throttle Series is poised for growth in the years to come, it does not provide the exposure NASCAR does. True the sponsorships are cheap and the fans are loyal, but the media presence is scarce and the fan base is about a 1/3 of NASCAR’s. Another thing working against the NHRA is their inability to air live events. This, among other things, is what catipulted NASCAR to where it is today. Because of the format of the events this is just not a possibility.
No matter what your feelings on the sponsorship thing are, it is hard to argue it is not impressive that during tough times the leadership at the NHRA took it upon themselves to help promote the value of the sport and bring sponsors in. Likewise it says a lot for Vandergriff that he has put his time and resources into creating a website that benefits many in the sport, not just himself. You don’t see NASCAR or any of its drivers actively going after sponsors that may not directly benefit them.
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Journo,
Great article, I love watching NHRA and ussually do on ESPN2.
Journo-I have always wondered about this and maybe you can lend an insiders perspective. What kind of relationship do the team’s marketing heads have amongst themselves? By that I mean…consider UPS from MWR to Roush, or Office Depot from Roush to SHR, or CAT from BDR to RCR, etc, etc. and all of jockeying for the sponsorship pkgs. Do teams that lose a deal to another team consider it espionage or just the nature of the business and move on to pursue “better” deals?
Drag racing is one of the most exciting specticles known to man…..in person. I try, but I simply cannot watch on TV.
Drag racing sponsorship can’t even compare to NASCAR sponsorship. The value given to NASCAR sponsors each year by SBJ would dwarf any given to NHRA teams. Especially when it comes to TV.
NHRA cars are seen at a distance on TV while racing and sponsors are very tough to identify, unlike the constant view of a stock car as it goes around a track.
I don’t know the ratings numbers, but I’d be willing to bet that the Camping World Series races top NHRA races in viewers most weekends or at least come close. The crowds at the track may not be as big, but as far as interest goes, they are quite similar.
You would have a hard time convincing me that being on Todd Bodine’s hood would not be a better investment than being on a Top Fuel car or Funny Car.
The NASCAR Truck Series has great racing, and Todd Bodine did a nice job as Lumber Liquidators spokesman. But if I had a $3M ad budget to put into a racing program, and was choosing between a season in trucks or a season one of the better teams in NHRA, I’d choose the latter.
The NHRA is a very good buy for sponsors. The Forces (John & Ashley) are the synonymous with Castrol. Kenny Bernstein is still known as the “Budwiser King”. Warren Johnson has sold many, many parts for AC/Delco.
In the last couple of years, ESPN2 has done a good job of covering NHRA events and has even been able to show live coverage of the final eliminations, which just happen to fit very nicely into a TV-friendly, 2-hour window, with plenty of natural breaks in the action to slot ads. Plus, a weekend of drag racing will draw as many paying fans as two (or three) NASCAR Truck races.
Journo, I find this type of marketing stragity very interesting. Reading the web site he is stating that 3 million will get you the golden goose of sponsorship, he also states that sponsoring a top fuel car for the seasoon is 12-15 million less than NASCAR, the graphics of the UPS top fuel car are shown throughout the web site. My impression is they are saying that NHRA is a much better value than NASCAR. Some of the points he makes are very valid. As a business owner I feel he did a very good job of making his point and making it appear that NHRA sponsorship is a much better value, in other words he says the sponsors get more bang for their buck with NHRA. I seems NASCAR marketing needs to respond with something of there own to counter the NHRA.
Neon- I can’t you give any specific examples off the top of my head, but I am sure some have relationships with other company heads. This is especially true with things like NASCAR’s B2B council and deals teams put together with their own sponsors. As far as sponsors departing a team, I would say you often have angry people and hurt feelings, but everybody understands that is the nature of the beast.
Steve C.- That site certainly does do a good job making the point that NHRA offers great value. I personally don’t understand why NASCAR is not trying to more publically help the teams. I guess it is the difference between the not for profit NHRA and the for profit NASCAR.
Jonathan- I agree with you, the truck series is a good value. You have increasing tv ratings, I believe they averaged in the neighborhood of half a million viewers last season, and sponsorship bargains. Given the right activation it really is worth the money.
JT- I definitely understand what you’re saying. Many sponsors in the series have done a great job linking their company’s with prominent drivers. Like you said Castrol is synonymous with John Force and vice versa. This is another case where if you have the right activation, it is a good deal.
I think the leadership at NHRA has been lacking in the marketing department. What really makes it evident is the top names of NHRA not having a ride or choosing not to ride on the drastically smaller budget afforded them by sponsors this year. Three time Pro Stock Motorcycle Champ Angelle Sampey is with out a ride for the first time in thirteen years. How many times have you seen these drivers in national ads for sponsors such as Suzuki, Army, Bud, just to name a few. Yet look at NASCAR, you see them everyday on national ads. As for the Formula one or Indy racers, another racing sport not seen much of anymore except for Danica Patrick, she is the exception for that sport and brings my point . She is on the national ads and is the only one I see that brings attention to her sport. NHRA needs new direction in marketing not only NHRA, but the drivers and teams as well. We need to see them on TV and newsprint everyday and they need to be household names. Football players are selling jeans and credit cards, yet NHRA is not seen in that arena. I think you can see this point, as I love racing and would hate to see racers such as Angelle go the way of the dinosaur.
I have read all of the responses and everyone has very valid points and some of which I am taking into serious consideration. I am the PR rep/team manager for an actual drag racing driver and I am actively pursuing sponsors. It is not easy because a lot of people do not understand drag racing and thus their knowledge of NHRA is limited, at best. I would love to have my driver become a household name – that is my ultimate goal for him!!! It is hard getting sponsors – especially with the economy the way it is but we are still out there!!! Yes, you have the Forces (Ashley & John), Tom Hammonds (former NBA player) and a host of others who may not have the big names but they are out there none the less for the love of the sport!!! I applaud Bob Vandergriff for putting it out there…