This week on The Business of Being a Race Driver I bring you social media reposting tips, 5 ways to service your sponsors, reach vs engagement, the value of research and more including some available drives.
Sponsorship and Marketing-Related Tips and Tools You Can Use
Social Media Tips
Megan (Meyer) Lingner is not only a champion drag racer but a social media marketing pro. I have linked to her tips and techniques in the past because she understands what racers need. In How to Repost Your Social Media Content Like a Pro she looks at how to properly repost content, and just as importantly, where to do so. Well worth the read.
Servicing Your Sponsors
Sponsors need to be serviced and this goes beyond the typical meet and greet or VIP paddock club access. In Can’t Keep Up? 5 Ways to Simplify Sponsorship Servicing, Power Sponsorship looks at 5 key things that you must to to keep your sponsors happy.
Reach vs Engagement
Last week I linked to an excellent post by Sport Dimensions called 4 Stakeholders of Value in Motorsports Marketing which I highly recommend you read. But first, have a look at their latest post which adds some important detail regarding the difference between Reach and Engagement.
The Value of Research
As you are no doubt aware, the search for sponsorship involves a lot of research. You need to understand the business of the companies and individuals you approach with your sponsorship deck and be prepared to answer their questions as to how sponsoring you will fulfill their business needs. One of the things that you should get into the habit of doing is reading the business press and not just that which directly relates to motorsport (like my weekly Business of Motorsport News). You need to be aware of the bigger picture and here is an example.
Here are two articles that caught my eye about the growing revenue in the retail luxury market. News like this should get you thinking about how you could approach a company in this growth industry and how they may benefit from being associated with you. One is from the Quartz website and one is from Forbes and both cover the luxury retail goods market and the record revenue of a few companies in that segment. Nothing may come of this but it is never a bad idea to at least delve a bit deeper and see how or where these companies, or one of their distributors, dealers or similar business, could fit into your sponsorship plans.
- (Quartz) The luxury sector in general is looking fine. Hermes reported full year results today, showing a 33% spike in revenue from 2019, and recent earnings reports from LVMH and Kering, globally the two most dominant luxury groups, saw record revenue in 2021. The former saw revenue jump 44% compared to the year before and Kering rose 35%, both well over 2019 levels.
- (Forbes) It’s a good time to be a luxury powerhouse. Earlier this week, LVMH announced record results for 2021, reporting a 44% revenue increase compared to 2020. Rival Kering also saw double-digit growth, propelled by the success of its fashion houses.
The Costs of Racing
Acquiring and maintaining sponsors is key to allowing you to obtain the budget that you need to go racing. What that budget is used for is to pay for the costs of racing. Everything from series fees to insurance to car parts and racing-related equipment are expenses you will need to face. That is what this section is all about.
- No Money Motorsports have a great race harness buyers guide. As they like to say: “Get a comfortable, safe harness for Track Days and racing, without going broke.”
- Honda Performance Development have announced the F4 U.S. and FR Americas championship prizes for the 2022 and 2023 seasons. “As a partner to the Formula 4 United States Championship (F4 U.S.) and the Formula Regional Americas Championship (FRA), HPD and Honda Motor will continue to support the FRA champions through a scholarship valued up to $600,000 as well as an engine supply agreement for participation in the 2023 and 2024 Super Formula Series. Additionally, 2022 and 2023 F4 U.S. champions will receive a $25,000 cash prize and a 303-horsepower HPD version of the Honda Civic Type-R turbocharged K20C1 motor for their racing activities during the subsequent FRA season.”
- When you are deciding on what series to race in, a lot of factors go into the decision. Racer.com looks at how the IMSA Michelin Pilot Challenge’s Bronze Cup influenced two gentleman drivers to go back to racing with IMSA.
- Global Racing Team has a variety of offerings for every development level and budget, from Arrive and Drive to full season packages. Seats available in the Formula Race Promotions F1600 and F2000 Championships. SCCA Competition or Pro License required. Interested? Contact them through their website for more info www.global-racing-team.com.