Team sponsorship and teams that might not last the season

[Flavio Galtieri]

Originally Posted by alan1302

I can't see why some people above seem to think that as most of the teams are based in the UK the fact that only Sky show all the live races this somehow affects the sponsorship.

I think it's about time people woke up and noticed that F1 is World Wide sport and not solely about the UK and BBC vs Sky..

Yes it's a word-wide sport, but the UK is an important factor in that mix and anything that reduces visibility, brand awareness and the casual audience is eventually going to filter down to the sponsorship value. It's a numbers game, simple as that.

The BBC vs Sky debate is crucial because what we are really talking about is network TV, free to air, vs a subscription pay to view model. If the cable satellite route wins in Europe and other key markets there will be a substantially reduced viewership which will effect sponsorship value. Initially the Teams may not suffer as a company such as Sky can afford to outbid a free to air channel and so put more into the pot for Bernie to dish out.

Longer term however, the sport will suffer declining interest and sponsors will expect to pay a lot less for vastly diminished ratings. Hard core fans such as those on this forum may well be happy to dish out £480 p.a. to watch 20 Grands Prix. The vast majority of viewers worldwide will simply watch something else.

Just look at the Indycar debacle with cable TV ratings and it's effect on the series popularity and sponsor take-up in the US. The lessons are there if you look.

[wolfhound]

Originally Posted by Flavio Galtieri

Yes it's a word-wide sport, but the UK is an important factor in that mix and anything that reduces visibility, brand awareness and the casual audience is eventually going to filter down to the sponsorship value. It's a numbers game, simple as that.

The BBC vs Sky debate is crucial because what we are really talking about is network TV, free to air, vs a subscription pay to view model. If the cable satellite route wins in Europe and other key markets there will be a substantially reduced viewership which will effect sponsorship value. Initially the Teams may not suffer as a company such as Sky can afford to outbid a free to air channel and so put more into the pot for Bernie to dish out.

Longer term however, the sport will suffer declining interest and sponsors will expect to pay a lot less for vastly diminished ratings. Hard core fans such as those on this forum may well be happy to dish out £480 p.a. to watch 20 Grands Prix. The vast majority of viewers worldwide will simply watch something else.

Just look at the Indycar debacle with cable TV ratings and it's effect on the series popularity and sponsor take-up in the US. The lessons are there if you look.

Well said.
As pay TV now has its foot in the door of F1 how long before the sponsors look to other sports with larger TV audiences, especially if other major markets in Europe go to pay TV.
I wonder if this subject has cropped up in concorde negotiations.

[bella]

Originally Posted by bella

back on topic and i think i might agree with not being totally impressed with lotus f1 now. though it's worth bearing in mind that their current only proper connection with lotus cars is through a similar licensing deal to the one that tony fernandes and his version of lotus had.

i know it's daft to quote yourself but this couldn't have been better timed - lotus f1 have er, abandoned group lotus. but want to keep the lotus name in f1.

hmm. makes you wonder what all the handbags in court were about last year, doesn't it.

[barnettracing]

Most peculiar. For a team to drop a sponsor is very peculiar. I know Group Lotus is in all sorts of difficulties (look at their engine debacle in IndyCar) after they were sold by Proton but things must be very strange at their end.

And how Boullier thinks he is going to keep the Lotus name I do not know!? After all, he is not Team Lotus (which was proved by the High Court to be a separate entity to Group Lotus), his team is Lotus, a name that has a direct connection to the road car manufacturer.

With the engine problem in IndyCar, the lack of any real sportscar programme (what has happened to the GTE Evora this year, or the mooted LMP2 car?) and now this, it really looks like Group Lotus and their ridiculous motorsport plans (Baha was always a loony) are about to come to a shuddering halt.

[TWRv12]

Originally Posted by barnettracing

Most peculiar. For a team to drop a sponsor is very peculiar. I know Group Lotus is in all sorts of difficulties (look at their engine debacle in IndyCar) after they were sold by Proton but things must be very strange at their end.

Makes last year's fight to takeover the Lotus name even more farcical. At Lotus insanity rains.

Rumour has it the next Lotus road car will be called the D'Elusion!

[Flyin Ryan]

Originally Posted by Flavio Galtieri

Just look at the Indycar debacle with cable TV ratings and it's effect on the series popularity and sponsor take-up in the US. The lessons are there if you look.

Completely different kettle of fish. Almost all households here have cable or satellite.

[wolfhound]

Well the first major sponsor has now gone but not quite the one everyone expected.

http://www.autosport.com/news/report.php/id/98628