NASCAR about to feel the chill from Detroit?
25 Comments Quote selected text Published June 25th, 2008 in NASCAR News
It’s no secret that the worst automobile market in 20 years has the Detroit auto companies reeling. It’s in the national news and in newspapers across the country, and it’s often the lead story on network newscasts and prime time business programming. And, of course, it’s prominent on the Internet too. This isn’t just a mild “adjustment” to Detroit’s fortunes, either; rather, it’s a dramatic, fundamental shift in how the business will be played out from here on in. And Detroit finds itself under the gun like never before.
At this very moment key players of the “Detroit Three” are evaluating every facet of their businesses, right down to the last dollar. That means every product program and every promotional/marketing/advertising program – and everything and anything between – is being placed under the microscope and being scrutinized for ways to shrink expenditures. And for the first time in a long time, Detroit’s substantial NASCAR budgets are being included in the process.
In the past, Detroit’s NASCAR programs usually escaped scrutiny at cost-cutting time, simply because the sport was on an upward trajectory and participation was not only a given, it was never even questioned. Well, the climate has changed dramatically, and all of NASCAR’s negatives – declining attendance, declining TV ratings, the dreaded “Car of Tomorrow,” which has destroyed brand recognition and differentiation, the never-ending schedule, and the spike in costs due to the influx of Toyota spending – have the powers that be at the Detroit automakers seriously questioning their NASCAR programs.
How will it shake out? The peripheral programs that NASCAR fans never think about – the track sponsorships, the promotional support programs and other components that go into the Detroit car companies’ NASCAR programs – will be the first to go. Programs that are coming up for renewal now – mid- to late summer being prime sponsorship program renewal/extension/evaluation season – will be the first to be cut.
Then, the national advertising and high-visibility NASCAR-based promotions that have become so ubiquitous on networks such as SPEED will be cut back.
And finally, the actual contacts with the teams will be closely analyzed for value, and this is where it will get very interesting, because these manufacturers could easily just “cherry pick” one of the three NASCAR series (Sprint Cup, Nationwide & Craftsman) to compete in, rather than continue blanket participation, or, there is a very real possibility that at least one of the Detroit manufacturers will pull out altogether – which I’ve been predicting for two years now – even if it means NASCAR becoming a one-make series (Toyota).
At the very least, I can assure you that some of NASCAR’s sacred cow teams – the ones that heretofore would never be considered to be on the block – will be left by the side of the road by the Detroit manufacturers in the interest of saving money.
Suffice to say that the marketing mavens in Daytona Beach will be in for a shock when these Detroit car companies begin to pull back on their NASCAR spending, because they will be ill-prepared for the depth and breadth of the reductions that are coming.
The days of Detroit’s “automatic” involvement in NASCAR are coming swiftly to a close.
And NASCAR is about to feel Detroit’s chill.
How old is this article, or does this guy even watch NASCAR at all?
1. The TV Ratings have been up for just about every race but 2 or 3 this year, and those 2 or 3 the ratings were the same as last years.
2. The COT’s lack of differential between the Manu’s is no different then the lack of difference between the old style body.
3. I don’t mind the long schedule and neither do the drivers, teams, or sponsors who get more exposure. Also think about it, the season is like half way over already, and Daytona doesn’t seem like that long ago.
4. Toyota didn’t spike the cost, the costs were already going up for decades before Toyota even thought about getting involved in the sport. Also if Toyota has tons of extra money to spend on the NASCAR programs then that is there prerogative.
5. NASCAR Will never become a one make series (at least it’s top 3 national ones won’t) And if they do it won’t be because of Toyota. Heck if Toyota is willing to support NASCAR while these other manufactures are willing to drop it, it seems to me like all the more of a reason to support Toyota.
6. A suggestion (not towards the article, but in general) is to open NASCAR up to any manufacture that wants to be involved. The COT is a Spec Main Body shape, the Nationwide COT will also probaly be a Spec Main Body Shape. So let any manufacture come in with any model they want as long as they can build a racing engine to fit the rules. If Ferrari wants to promote the F430 in Cup let them run a COT with a NASCAR legal Ferrari engine and the Ferrari F430 badging on the car. If GM wants to promote the Pontiac G8 or Saturn Aura let them run a COT with a GM Racing engine and Badging for one of those cars.
Actually the only reason the TV ratings are up is because people are sitting in their seats at home instead of the seats at the track. The 36 weekend schedule is really too much and every driver out there would like to cut it down to 25 to 30 races and throw in a couple of all star events. The COT is a big dud but its safer and we all are for that no matter what the motown 3 say. They are more upset that Toyota is winning everything than anything else. The saying what wins on Sunday sells on Monday is a joke because I meet hundreds of fans of Dale and Tony and they drive Fords and Dodges. so no loyality there. so say goodby to factory support and lets race with hemis
You mean some teams might loose factory support, maybe under preforming teams? Now where have I heard that before? Let me think…. Well i am sure it will come to me later.
I think that they are pissed because of the pace cars and trucks are Toyotas, The tracks have Toyota banners all over the place.Toyoya has the biggest fan displays for the fans every week. WOW NASCAR is bringing this on themselves.
NASCAR is not the FIA they do not control the advertising banners at the track.
Things could be worse than a one manufacturer series. The competition between Spies and Mladin is pretty entertaining, and there are more potential winners in NASCAR than the 18. Even though BMW is making a presence in F1 this year, it’s still pretty much a two horse race, and still enjoyable. I say enjoy it all while we can, because the race industry as we know it is going the way of the white buffalo, or at least the way of petroleum-based fuel. How does “Drivers, start your alternate fuel or solar power or hydrogen cell eco-friendly engines!” sound? Maybe soap box derby will enjoy a few programs on SpeedTV.
P.S. Yes, I know AMA Superbikes might be going away because of Suzuki’s dominance, but that doesn’t mean we all agree.
Sam wrote:
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You know it came to me! I have read that on three different sports sites and I have quoted those sites! So, if teams like dei don’t start performing they might loose some more money.
Here is a note about Factory Support.
According to NASCAR Rules all teams whether factory supported or not must run headlight/taillight/grille decals and the Model decal is optional, however all teams that are Not factory supported (in any way) do not run the manufactures badge. And the only teams this year that I have seen like that are the 46 and 08.
All Chevy teams that have competed this year (or attempted to compete) have had Manufacture support, as well as all Ford teams and Toyota teams and Dodge teams except the two mentioned above.
There are a few Nationwide teams that do not have factory support like the 4(had then lost), 14, 22 (had it then lost it), 28 (started without but gained it), 52, 61(when Ford), 73, 81, 84, 90, & 91.
There are a few trucks too, but most of the trucks receive some sort of factory support.
Yeah I’m bored…. l0l
Fisha695 wrote:
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Martin Truex Jr.: Dale Earnhardt Inc. driver Martin Truex Jr.’s name has been tied to several teams in the past six months, but the word is the New Jersey-born driver will be staying at DEI, with a huge contract and superstar status.
Although it has been denied, several sources close to the situation insist that DEI had been informed by partner Chevrolet that the organization had to do everything possible to have a marquee driver signed for 2009 or face the loss of direct support by the manufacturer, possibly forcing it into a closer alliance with RCR than just engines.
DEI had been facing an uphill battle trying to keep the U.S. Army on board, especially after there had been a strong pitch for the sponsorship by Bill Davis Racing.
BDR is just one of many teams vying for the high-profile military sponsorship.
However, all signs continue to point to the military branch staying with DEI and sponsoring Aric Almirola.
This is just one of the articles i have read lately that say that dei must retain truex!
It’s saying they must retain him pretty much, but if they loose him and get somebody else who is about the same or better they’ll keep full factory support.
Oh and all they are talking about is loss of GM Wind Tunnel Time, and loss of invitations of GM Events.
LETS FACE TOYOTA HAS RAISES THE BAR, TOYOTA PRETTY MUCH HAS UNLIMITED FUNDS. THEY ARE GOING TO SPEND EVERY DIME THEY ACN TO TAKE OVER. LOOK AT ALL THE MONEY THEY ARE SPENDING IN F1 AND THEY ARENT EVEN IN CHAMPIONSHIP CONTENTION. TOYOTA HAS CHANGED THE WAY THIS SPORT WILL DO THINGS. LETS FACE DETROIT HAS SOLD OUT THEY HAVE HARDLY ANYTHING MADE IN AMERICA ALL THE PARTS THEY USE ARE FROM OVER SEAS, THE CARS AND TRUCK DONT LAST AND THE RESALE VALUE OF DOMESTIC VEHICLES IS HORRIBLE. THE SLANT EYES HAVE STEPPED UP TO THE PLATE WITH A GOOD PRODUCT AND ITS EFFECT ARE BEING FELT IN NASCAR.
Let me tell you what happens in NASCAR if you lose your American Companies.
There will be no NASCAR
Fans are walking away from this sport in big numbers due to the rising gas prices, the economy, the COT which doesn’t replicate the consumer version, letting Toyota in and letting them have a little better engine package than the rest, and the older fans that have followed all the drivers that have retired in the last couple of years and rising ticket prices.
The tracks have been giving away free hot dogs, hamburgers and drinks with the purchase of tickets just to try to get people to come. NASCAR is slipping and it might not rebound and that was what the meeting was about. Mike Helton asked the drivers please don’t say anything more negative about the COT or anything that a fan could perceive as a negative, we cant afford to lose anymore fans
This sport is in trouble , look at the unsponsored cars in all the series, look at Craftsman pulling out and Budweiser being sold to a foreign company.
What does Bud being bought by a foreign company have to do with NASCAR/
As far as the free food with tickets, that’s the only way I’d ever eat track food, because IDK about you, but personally I’m not spending $5 on a Cheeseburger or $7 on a 20 cup of lemonade.
As far as the COT, when I look at the COT and look at the street car, the COT resembles it more then the old car does. Look at the old car, With the front grille opening just about draggin on the ground and the bodies all twisted with a big 8 inch spoiler standing up on the back of it. Not look at the street version of those cars, they don’t look anything close to the old car.
About the whole Toyota coming in an driving fans away. I always have to kind of laugh about that because the people that come out and publicly say Toyota shouldn’t be in NASCAR because they are not an American company. Well last time I checked there is a big big section of the MLB Roster that is not “American” either and heck Baseball is the American Pastime. But I guess it’s easier to discriminate against a company that is willing to spend money into our economy then it is people who are willing to earn money and send it home to their families in Cuba or Puerto Rico.
Fisha695 wrote:
Alot, fans are loyal to their brands, and as a fan and a BUD drinker I am mad that my beer wont be a American company anymore and it use to be that sponsors in NASCAR were all American companys.
And when was the last time you paid $5. for a cheeseburger, I have been paying $7. at the track and that price has been that way for ahwile.
And I dont think the COT resembles any street car, from the front splitter to the rear wing they dont look like my Impala SS.
A-B has been a publicly traded company for awhile, and ever since it has been it’s no longer been an “American” company because people from all over the world own little bits and pieces of it.
I haven’t bought a Cheeseburger at a NASCAR track for awhile, it’s just easier to go out to your car in the parking lot, fire up the little propane grill and cook a burger in 2-3 minutes. l0l
As far as the car comparisons, I’ll put together two pictures, one will be the COT compared to the Street Version, and the other will be the Spoiler car compared to the street version, heck make that 3 pictures, the third one will be the Trucks compared to the street version.
I AGREE BUT I THINK TOYOTA BEING HERE IS GOOD THEY HAVE UPPED THE ANTE, BUT AT THE SAME TIME THEY HAVE FAR MORE FUNDS THEN THE AMERICAN COMPANIES. AS FOR THEM NOT BEING AMERICAN THATS RIDICULOUS LIKE FISHA SAID WHAT IN AMERICA IS STILL MADE HERE I CAN TELL YOU THAT LITTLE FORD OR CHEVYS ARE EVEN MADE HERE ANYMORE,IM WILLING TO BET ALL THE STUFF WE BUY AT THE TRACK ON RACE DAY ISNT EVEN MADE HERE IN USA, THE DRIVERS ARENT EVEN AMERICAN ANYMORE ITS ALL GOING TO HELL. I SAY WE GO BACK TO THE GOOD OLE DAYS WHERE DRIVERS DIDNT GET DEVELOPMENTAL DEALS AND THEY HAD TO WORK THERE WAY UP THROUGH THE SHORT TRACK RANKS AND ALL HTESE SO CALLED OPEN WHEELERS WHO ARE GETTING THERE JOBS FOR THERE NAME AND THE GUYS BORN AND RAISED HERE WHO HAVENT BUSTED THERE ASS IN SHORT TRACKS ACROSS THE USA ARE GETTING OVER LOOKED
ROWDY BUSH wrote:
whats with the caps, if you move your left pinkie over where it says caps lock you will be back to normal. we didn’t need anyone to up the ante, thing were fine the way they were. and Chevy’s are made in North America meaning Canada, the US, and Mexico. and most of the stuff you buy at the track, lets see, shirts and caps from VietNam, Indonesia, die cast from China and Taiwan. as far as short tracker not getting a chance theirs Joey Logano, Landon Cassill, Brad and a bunch of others that are coming up.
I would have to agree with Howie on this one he has pretty much hit the nail on the head as far as I feel and most of the race fans I talk to at the tracks feel the same way. And the one thing Howie mentioned is my (and a lot of other peoples) biggest complaint the motor rule change that NASCAR put in place over the off season, insted of forcing Toyota fix there motor program by them self NASCAR changed the rules and gave the toys the most HP and torque on the track. THe change didnt effect the Fords or Dodges much but hurt the Chevy’s. Now dont get me wrong I dont care what makes run NASCAR as long as the rules are fair but to give Toyota that kind of help when they have more than enough money to fix the problem them self makes me wonder what is going on and does not look good on NASCAR.
Ok I didn’t make these but here are 2 pictures I’ve found.
The first one compares the Spoiler car, the Street car and the COT versions of the Charger, the second pic compares teh street and race versions of the F-150. The COT DOES look more like the street car.
http://hostingbytes.us/images/1/3320623.png
http://i2.cdn.turner.com/nascar/2008/news/features/05/20/inside.research.development.center/trucks.510.jpg
If Kyle runs away with New Hampshire their wont be anyone going to Daytona, no one wants to see this week in week out. Daytona Bch C of C are reporting record motel rooms available for the weekend at 30- 60% off. that’s bad for a race that you usually cant get a room for except in Orlando. and the track has plenty of tickets too.
THE REASON THE HOTEL ROOMS ARE DOWN HAS NOTHING TO DO WITH KYLE IF IT DOES THEN PEOPLE ARE FAR MORE IMMATURE THEN I THOUGHT, HAVE YOU THOUGHT THE REASON DAYTONA ISNT BOOKED YET IS BECAUSE OF GAS, PEOPLE JUST FLAT OUT CANT AFFORD WHAT THEY USE TO. IF YOU NOTICE WHEN NASCAR WAS ITS PRIME WAS BOUT 2 YEARS AGO THEY HAD THE HIGHEST TV RATINGS AND THEY HAD SELL OUT RACES AND NO PROBLEMS THATS WHEN THE ECONOMY WAS ITS BEST NOW THE ECONOMY IS FALLING SO ARE TICKETT AND MERCHANDISE SALES, I KNOW WHEN I WAS OUT RICHMOND I HEARD PEOPLE MORE THEN ONCE SAY THEY HAD TO STOP DRINKING EARLY CAUSE THEY HAD TO DRIVE HOME CAUSE THEY COULDNT AFFORD A ROOM, ALSO I KNOW PEOPLE WHO TOW CAMPERS AND TAKE RV’S AND NOW THEY ARE TAKING CARS OR PEOPLE WHO ARE NOW WORKING WEEKENDS JUST TO GET EXTRA MONEY JUST TO OFFSET THE COST OF OTHER EXPENSES NOW
Rowdy please dont type in all Caps. It doesnt make your opinion any more correct and is just plain annoying just makes Me want to skip by your posts. Thanks!!! As far as gas prices go ya they are hurting some people but I own a boat shop and most people are still using there boats just as much as before they are just cuttilg back on other things to make up for the money diffrence, I’m sure it will be somewhat the same way with the NASCAR fans that truly love going to the tracks to see a live race, they will still go and cut back somewere else. I am still doing the 8 races that I have done for the last 20 plus years.
this article is right
No one thought the IRL would ever have one engine
supplier and look what happened
Anonymous wrote:
No when Tony and IMS created the IRL I figured they’d eventually go to a Spec series, it was CART/Champ Car that no body ever though would go to a Spec engine.
But hey Spec racing ain’t all that bad, some of the best racing I’ve seen lately has been in the Spec Miata and Mazda MX-5 Cup series.
looks good on those Daytona motels.they have been ripping the fans off for the last few years.