Introduction To Motorsport
Motorsports is the fastest growing sport in the world. It is
watched, in person or on TV, by more people than any other sport
including soccer. Motorsports exudes glamour and drama and is
unquestionably, the ultimate sports and entertainment spectacle.
It is the
pinnacle of high-tech, state-of-the-art machines and the challenge
of man to control them.
That challenge has fascinated us for many decades. Throughout
that time, as today, the drivers are revered for their bravery,
athletic ability, charisma and truly are the personalities that
make the sport so special. The result of this fascination with
speed and spectacle is that motor racing draws a highly desirable
demographic profile. The most recent trends show an increase
in the number of women and families attending the races and watching
at home. Due to its reach and effectiveness, motorsports has
become, in its own right, one of the worlds premier and most
desirable marketing properties. Worldwide, the popularity of
racing has skyrocketed over the last five years. This dramatic
growth has resulted in the development of new racing series as
well as race facilities, which in turn, has brought more racing
to more people and created new fans. Without a doubt, the popularity
of the sport has been assisted by the dramatic increase in televised
coverage of racing events. All the major networks broadcast racing
and in addition channels such as SKY, Eurosport, ESPN, Fox Sports
Network, ESPN2, Sports Channel, Speed Vision and TNN are firmly
dedicated to carrying races as well as the multitude of race
related shows. Motorsports enjoys participation by a wide variety
of supporters. Long gone are the days when racing was solely
supported by automotive companies and related products. Race
weekends are attended by the whos who of
international and US business as well as celebrities from other
sports and entertainment forums. Today, companies from all disciplines
support this sport for a variety of business reasons. Consider
the wide spectrum of products and services provided by the following
companies which participate in racing: Why are they here? Simply
because they are meeting and exceeding their marketing and business
goals through a motorsports platform. Motorsports allows a company
to break through the marketing clutter with creative
promotions that reach a very targeted audience. Whether its launching
a new product, increasing name recognition, vying for the fiercely
product loyal race fan base, or business-to-business reasons,
companies are receiving a return on their investment which keeps
them coming back year after year. This Executive Summary outlines
what
JOHANSSON MOTORSPORTS ("JMS") is all about? It further
explains the benefits
of a properly executed motorsports marketing program and delineates
our teams role with its marketing partners. Reviewing this book
should prove entertaining, but most importantly, it will leave
you with a better understanding of how and why motorsports so
effectively builds business and drives sales.
Ameritech, Anheuser-Busch, Bell South, Beecham Braun, Casa Fiesta,
Casino Queen, Coca-Cola, DKNY, Duracell, First Alert,Gatorade,
GE Capitol, Gillette, Hewlett Packard, Holiday Inn, Kleenex,
Lanier, Marathon, Mercedes Benz, Microsoft, Mobil 1, Motorola,
Nextel Omega, Planters, PPG, Sears.
Genesis of Stefan Johansson Motorsports
For over two decades, Stefan Johansson has been one of the top
drivers in the world of international motorsports. He has been
successful in Formula One, IndyCar and Le Mans style sports cars,
recently winning both the 1997 12 Hours of Sebring (Ferrari)
and the 24 Hours of Le Mans (Porsche). He again drove for Porsche
in the 1998 24 Hours of Le Mans and in other international endurance
events. Throughout his career, Stefan has driven for some of
the most prestigious teams and manufacturers in the world including:
Ferrari, McLaren, Porsche, Mercedes, Toyota, Nissan and Mazda.
Over the years he has accumulated a superlative degree of knowledge
and experience regarding race team operations as well as technical
issues. Stefan remains very active with his driving career and
is constantly evaluating opportunities to use his experience
and knowledge about the
sport. One such avenue is in fulfilling his ambition to own and
run his own race team. In this manner, he brings to JMS over
20 years of racing experience. Stefan has a clear picture of
what he desires in his team. To this end, he is instrumental
in all facets of the team from choosing drivers to designing
the team´s headquarters in Indianapolis. Detail
oriented, Stefan stays in touch with everything and allows little
to pass by. When not overseeing the team or tending to his own
racing career, Stefan is something of a Renaissance man with
interest in art, design, business and music. accomplished painter
with several He is an accomplished painter with several exhibitions
under his belt.
In design his talent runs the gamut from creating all the watches
for his H III watch
company to the furniture for the race shop and logos for his
products. His business acumen focuses not only on his US based
businesses such as his European style in-door go-karting track
in Indianapolis which is currently under nation-wide partnership
offering, but also on international concerns. Well liked in the
racing and business community,
Stefan is key in generating world wide business contacts which
continue to expand the JMS networking portfolio.
Goals and Objectives
JOHANSSON MOTORSPORTS goal is to establish itself as the premier
team in every category in which it participates. This includes
not only the results on the race track, but also off the track.
To accomplish this JMS has assembled a group of the most competent
and talented personnel available in the business. Today, every
effort continues to be made
to select the best people in their particular field. In this
quest, JMS searches for top talent from around the world, as
it sees these people as an essential investment in the Team´s
future. Additionally, only first rate equipment and tools are
provided to the Team so that it
can perform its tasks at peak levels. Presentation of the Team
and its members is meticulous with every effort being made to
adhere to the Team´s philosophy and goal of being the most
professional presented company in the business. The same holds
true for the Team´s home base. JMS is headquartered in
a 15,000 square foot state-of-the-art race factory located on
Gasoline Alley in Indianapolis, Indiana. The facility design
clearly expresses the Team´s philosophy and goals. As the
showcase of JMS it was important in its design that the facility
incorporate the same attention to detail as that which is the
focus on the Team itself. Outside of the practical nature of
the facility, its second purpose is to create a confidence in
all who visit, that JOHANSSON MOTORSPORTS is absolutely the best
the racing industry has to offer. All of this is combined to
forward the main objective of JMS which is to win every race
and championship in which it participates. The focus of each
team member is to put forth every possible effort to achieve
this goal. In
turn this attitude will give JMS´s drivers the confidence
that every time they get into the car, they will have the best
prepared equipment at their disposal. The motor racing platforms
for JMS to implement its goals and objectives shall include,
but not be limited to, the Le Mans 24 hour race, the American
Le Mans Series and the European Le Mans
Series. Currently JMS focuses on Le Mans style racing with the
ALMS series. This series
offers premier venues, highly desirable demographics and of course,
intense competition.
Motor Racing Series ALMS
Every year millions of spectators, broadcast viewers and listeners
from around the globe focus on the Sarthe region of France to
witness a 24-hour motor racing event that dates back to 1923.
The 24 Hours of Le Mans tests both man and machine in what is
arguably the world's most prestigious automobile race. In an
effort to expand upon the rich
history and tradition of the 24-Hours of Le Mans, the Automobile
Club de l'Ouest
(ACO), organizers and rights holders for the trademarks and rules
for the 24-hour
race, agreed to license their internationally famous brand name
and rules to successful businessman and entrepreneur Donald E.
Panoz. In addition to the licensing rights, the ACO agreed to
grant pre-qualifying exemptions for the 24-Hours of Le Mans each
year to three class winners in each of the three major territories
(Americas, Asia and Europe).
This represents nine of a total of twelve prequalifying exemptions
for the 48-car starting field. Such an incentive is sure to attract
major teams and manufacturers from around the world. With these
rights, Panoz founded the American Le Mans Series in 1999 with
an eight-race schedule. In 2000, the schedule has been expanded
to 12 races; eight in the United States, one in Canada, 2 in
Europe and the season finale in Adelaide, Australia.
Each race will have a minimum purse of $200,000 with ten percent
of each purse
going to the privateer fund to be distributed at the end of the
season. Prize money from the race purses is distributed exclusively
among privateer teams. Our domestic and international television
and Internet distribution is unprecedented in American sports
car
racing history.
American Le Mans Series
In a survey of American Le Mans spectators held by Peter Honig
Associates: *Almost 30% of fans planned nearly a year in advance
to attend race events *Sports cars, followed by Formula 1 and
IndyCars are the most popular types of racing. At a lower level
is a second group led by Stock cars/NASCAR racing, followed by
drag racing, sprint car racing, other stock car racing,midgets
and trucks. *Nearly 80% of those interviewed liked all three
classes of cars in the same race. This is true for those whose
favorite racing is sports car racing as well as those favoring
IndyCar and Formula1
*The cars are the stars! Most fans rank seeing the cars they
are interested in, together with passing and speed attributes
as the number one point in racing. Manufacturer participation
is next most important, followed by driver interest. *Avid fans,
those attending more races and stock car fans are most likely
to be 35 or older and be married.
*Sports car fans are more likely to be college educated and have
higher incomes than stock car fans. *Many of the world´s
most prestigious sports car brands intend to compete in the Le
Mans series; BMW, Panoz, Chrysler,Viper, Corvette, Cadillac,
Porsche, Ferrari, Bentley, Volkwagen and Audi. *The Le Mans Series
license is worldwide, and has been granted up to 9 prequalifying
exemptions for the Le Mans 24
Hour event.
Sebring Speedvision 28.9 Million
Fox Sports Net 54 Million
Charlotte NBC 28.9 Million
Speedvision 100.8 Million
Silverstone Speedvision 28.9 Million
Fox Sports Net 54 Million
Nurburgring Speedvision 28.9 Million
Fox Sports Net 54 Million
Sers Point Speedvision 28.9 Million
Fox Sports Net 54 Million
Mosport NBC 28.9 Million
Speedvision 100.8 Million
Texas NBC 28.9 Million
Speedvision 100.8 Million
Portland NBC 28.9 Million
Speedvision 102.2 Million
Atlanta Speedvision 28.9 Million
Fox Sports Net 54 Million
Laguna Seca Speedvision 28.9 Million
Fox Sports Net 54 Million
Las Vegas Speedvision 28.9 Million
Fox Sports Net 54 Million
Australia NBC 102.2 Million
The Motorsports Marketing Platform
A motorsports marketing partnership provides a company with an
opportunity to become a part of the fastest growing and the most
popular sport in the world. Motorsports provides brand awareness
and customer loyalty unlike no other sponsorship venue. Jim Schiemer,
CART Racing Program Manager for Shell puts it best, "[motorsports]
has become one of the leading spectator sports in the country
with growing media attention
given to the drivers, the teams and the sponsors, building enhanced
brand awareness and increased customer loyalty for those companies
involved." The importance of Schiemer´s remarks become
more apparent when one considers that in a competitive consumer
market, a brand associated with motorsports will win the business
over another, all other things being equal, when the customer
has an interest in motorsports. It is widely accepted that on
average, 65% of race fans consciously purchase the products and
services of
the companies that sponsor motorsports. This is a compelling
statistic when one
considers that a full 30% of any cross section of the general
public expresses a strong interest in motorsports. Motorsports
is a powerful multimedia marketing platform which a company can
use to communicate its desired image. A motorsports partnership
provides a
company access to tens of millions of potential customers in
the United States and hundreds of millions world wide that fit
within that company´s demographic profile. Corporate hospitality
and entertainment programs are other ways a company can benefit
from a motorsports program. Again, Schiemer states that, "Shell
hospitality is a way to put your best foot forward for dealers
and jobbers, or potential new customers. They can meet the drivers
and team members, and experience the excitement of getting a
first-hand look behind the scenes in the pits and garages."
Marketing Partner Growth Objectives
JOHANSSON MOTORSPORTS has a vision focused on the future. JMS
knows that in order to develop a solid long term relationship
with a company, it takes time for that entity not only to understand
the many benefits that a motorsports marketing platform can provide,
but just as important, how that platform can efficiently and
effectively be used to
attain its goals. Without this understanding, a marketing partner
may not be able to justify
expending the resources required to continue its affiliation
with our Team. JOHANSSON MOTORSPORTS is looking for marketing
partners who will grow with the Team. JMS provides an option
to marketing partners to start in American Le Mans Series racing
as a way to "get its feet wet" without spending a tremendous
amount of marketing resources.
During such an introduction into motorsports, a company can learn
how to maximize this multimedia marketing platform to accomplish
its goals. Whether its to sell more product, develop business
relationships or build a strong corporate image, this can be
accomplished through motorsports. But the bottom line is knowing
that JMS wants to grow with its marketing partners so that each
will understand the needs and abilities of the
other, thus developing a win/win relationship.
The Motorsports Marketing Partnership
It is important to note that before JMS begins any program with
its marketing partners, an exhaustive analysis of that partner´s
needs is completed. As with racing, a strong marketing partnership
is won back at the workshop and office with proper planning and
preparation. The planning and preparation does not end when the
season begins since we view the relationship with our marketing
partners as an ongoing process. We continuously evaluate the
program to ensure that our marketing partners are achieving their
goals, maximizing their involvement and continually benefiting
from the opportunities that arise through their participation
with JMS. In this manner, special attention is focused on the
following:
*Clearly Defining Objectives
*Creating a Cost Effective Program
*Establishing Guidelines for an Effective
Program
*Delineating an Internal Communication
Policy
Monitoring Program Effectiveness on a
pervenue basis
*Evaluating Potential Opportunities
*Assisting in the Development of a Total
Promotional Package
*Determining Media Strategies
*Continuously Planning and Evaluating
Program.
It is JMS´s goal to offer our marketing partners much more
than simply placing their logo on a winning car. Beyond the above
and upon implementation, the focus with our marketing partners
becomes two-fold: First, to maximize a company´s marketing
resources; and Secondly, to create measurable results‹new
or increased business.
Maximizing marketing resources is JMS´s way of assisting
a company to create a
motorsports program using the least amount of that company´s
market dollars. JMS´s approach creates an opportunity for
a company to become involved with the Team without having to
increase it marketing and advertising budgets. JMS knows how
to identify potential synergistic partners and how to maximize
their benefit as a "cooperative" marketing partner.
This is accomplished through forming strategic alliances with
a
company´s vendors, suppliers, franchises the media and
other companies. This leveraging of relationships increases the
effectiveness of a company´s marketing resources and results
in generating "free" marketing dollars as well as improving
relationships with the
company´s cooperative marketing partners. Measurable results
of a motorsports marketing program come from the forming of new
business relationships and/or the increase in sales of products
or services. JMS provides to a marketing partner
access to its global portfolio of business partners and relationships.This
proves effective ingenerating new business both domestically
and abroad.
Benefits of the Motorsports Marketing Partnership
Motorsports is the number one sport in attracting corporate sponsorship
dollars, with 25% of all sponsorship money being directed to
racing. Why? Because it allows a company to break through the
marketing clutter with creative promotions that reach a very
targeted audience. Motorsports brings to a company a broad market.
Involvement
alone will generate millions of impressions for a marketing partner.
In order to maximize its involvement, JOHANSSON MOTORSPORTS will
assist a company in the development of any race related merchandising
program, which could include but are not limited to:
*Promote a sponsor supplement with a major racing magazine designed
to build lists and establish a company as a major brand name
in motorsports.
*Develop a sweepstakes series that is designed as a self funding
promotional program to build lists and generate floor traffic.
*Provide show cars, again designed to increase floor traffic
and to be used as a general promotional tool.
*Assist in the development of a marketing partner´s team
fan club as a promotional
tool designed to build lists and loyalty.
*Assist in the development of a marketing partner´s team
direct mail program. The goal of this program is to build a loyalty/affinity
program based on developing a lifestyle list.
*Assist in development of authentic sponsor team merchandise.
The goal of this program is to build loyalty and impressions.
*Deliver race weekend event marketing programs for a company
to use as VIP hospitality to build trade relations and top-of-mind
awareness on the part of the buyer and distribution channel executives.
This type of sports based entertainment can avoid the anti-gratuity
policies many companies have.
Business-to-Business Sales
Many of the business-to-business objectives apply equally well
to the business-to-consumer process. The potential marketing
benefits that accrue from the association with a race team can
be focused on maximizing specific business-to-business
relationships and audiences. These audiences are:
*Potential customers
*Existing customers
*Trade press, media and market opinion makers
*The company´s employees and families
*The company´s vendors There are many marketing and hospitality
programs that can be developed to:
*Build a competitive and leading edge image
*Create product and/or market distinction
*Crack hard to reach accounts in a neutral environment
*Trigger buy decisions
*Reward customer loyalty Enhance relationships and promote bonding
with key accounts
*Build a distinct identity with the trade media
*Drive morale and team building
*Build distinct commercial sales programs with a
*Use the JOHANSSON MOTORSPORTS facilities as an unusual and dramatic
customer demonstration, reference and/or meeting site
Information Courtesy of Stefan Johansson Motorsports
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