Why social media should not be your main point of contact is just one of the topics covered in this week’s final 2024 edition of the Business of Being a Race Driver. You will also find out how Monster Energy selects teams and athletes to sponsor, get details on the PMH Powering Diversity Scholarship and why a solo personal injury lawyer can’t deduct the costs of car racing as a marketing activity.
The Business of Racing
As you are no doubt aware if you are a regular reader, hardly a week goes by without me posting a video by Enzo Mucci. Why? Because he knows what he is talking about and always offers actionable tips and advice for the young race driver. Here is a recording of his end of year AMA.
I have said many times that race drivers should not rely solely on social media for their marketing and fan outreach activities as they are surrendering control of their data and story to a third party who could change the rules at any time.
Marketing Strategist Eddie Garrison expands on this in his Linkedin post Why Your Business Can’t Afford to Fully Rely on Social Media. “The reality is, social media is a powerful marketing tool, but it’s not infallible. Platforms experience outages, algorithms change, and trends shift. If your entire business strategy is built around social media, you’re playing a risky game. It’s time to take control of your brand’s future with tools and strategies you own.”
In the video above, Joe “Monster Joe” Parsons explains how Monster Energy selects teams and athletes to sponsor. Monster Joe was interviewed by Alex Striler at the 2024 Off Road Sponsorship Summit on August 20, 2024.
LawinSport explains how athletes can monetize their brand with a practical approach to brand endorsement agreements. This should not be considered legal advice but merely informational. Every situation is different so please make sure you consult an attorney before signing any such agreements.
“While athletes may hope to enter endorsement agreements swiftly, it’s important to understand the key provisions of a brand endorsement agreement to ensure they are appropriately remunerated for their work and are able to adequately protect their image.”
Read the complete article at LawinSport here.
In a recent episode of the xraised podcast, Jeff Swoboda speaks about sponsorship and innovation and building brands through racing. You can listen here.
The Costs of Racing
Parella Motorsports Holdings (PMH) has opened applications for the 2025 class of the PMH Powering Diversity Scholarship. Now entering its fifth year, the program continues to build a more diverse field while empowering drivers from a variety of backgrounds to participate in PMH-owned race series.
With seven series under the PMH banner, drivers are able to utilize the assistance to race in Sportscar Vintage Racing Association (SVRA), the Trans Am Series presented by Pirelli, Formula Regional Americas Championship (FR Americas), Formula 4 United States Championship (F4 U.S.), Ligier JS F4 Series (JS F4), International GT (IGT) or Prototype Sprint Series Association presented by Hankook (PSSA).
In addition to providing financial assistance in the way of waived race entry fees or free promoter test days, the program aligns recipients with a team of executives and mentors, while providing them with a variety of media and fan engagement opportunities.
“We’re thrilled to continue helping young drivers in their racing careers through the PMH Powering Diversity Scholarship,” said Tony Parella, CEO of PMH. “With this support, we’ve seen drivers win races and championships, but more importantly, we’ve seen graduates move on from our PMH-owned series to find even more success in their careers. I look forward to seeing who joins us as part of the Class of 2025, and I look forward to watching the progression of their careers for years to come.”
Drivers looking to join the PMH Powering Diversity Scholarship Class of 2025 are encouraged to visit SpeedTour.net/Scholarship to apply. All applications must be submitted by January 15, 2025.
More details can be found here.
The ROKiT British F4 Championship certified by FIA will introduce a new class for the 2025 season. The Challenge Cup is designed to help drivers who cannot commit to a full ten round championship in the UK’s premier single-seater series.
To be eligible for the Challenge Cup, drivers will be limited to competing in a maximum of seven pre-selected rounds that form the main 10 event championship. Prior to the start of the season those competing drivers must nominate their chosen rounds at which they wish to race.
More details can be found here.
I wrote about this last July but the ruling has been recently affirmed by an American appeals court. A solo personal injury lawyer can’t deduct the costs of car racing as a marketing activity. Full details can be found in the ABA Journal here.
Author: Mark Boudreau
Mark is the publisher of Motorsport Prospects. As a lawyer, he applies his legal background and research skills to assist race drivers by showcasing the resources they need to make their motorsport careers happen.
