Nascar Fuel Presentation prepared for BP


Published on

Published in: Technology, Business
1 Like
  • Be the first to comment

No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide

Nascar Fuel Presentation prepared for BP

  1. 1. NASCAR / BP Partnership Presentation
  2. 2. <ul><li>Thrilling and exciting entertainment </li></ul><ul><li>A sport that has traditional values </li></ul><ul><li>A sport where fans have a real sense of belonging </li></ul><ul><li>Not just a sport … it’s a lifestyle! </li></ul>...
  3. 3. <ul><ul><ul><ul><ul><li>#1 brand in sports </li></ul></ul></ul></ul></ul><ul><ul><ul><ul><ul><li>#2 sport on television </li></ul></ul></ul></ul></ul><ul><ul><ul><ul><ul><li>#3 in licensed products </li></ul></ul></ul></ul></ul>The Hottest Sport in America
  4. 4. Size and Scope <ul><li>17 of the top 20 sporting events with the largest attendance in the U.S. in 2002 were NASCAR races </li></ul><ul><li>NASCAR races often draw larger crowds than a Super Bowl, NBA Finals game, and World Series game combined </li></ul><ul><li>More Fortune 500 companies participated in NASCAR than any other sport </li></ul>
  5. 5. <ul><li>NASCAR’s Top National Series: </li></ul><ul><li>2,200 Races </li></ul><ul><ul><li>12 Divisions </li></ul></ul><ul><ul><ul><li>125 Tracks </li></ul></ul></ul><ul><ul><ul><ul><li>Across 39 States </li></ul></ul></ul></ul>Size and Scope
  6. 6. Size and Scope States that host NASCAR Events NWCS, NBS, NCTS events
  7. 7. Fans and Demographics
  8. 8. Fans and Demographics 75 Million fans 1/3 of the U.S. population are NASCAR Fans
  9. 9. +19% +60% . . . And Growing. Adult NASCAR Fans (millions) Hardcore NASCAR Fans (millions) Fans and Demographics - Total number of adult fans grew 19% - Hardcore fans grew an incredible 60%
  10. 10. Fans and Demographics <ul><li>NASCAR fans are spending more time following NASCAR in Print, on Television, Radio, and the Internet </li></ul><ul><li>NASCAR Fans are purchasing more NASCAR related merchandise </li></ul><ul><li>Hardcore fans spend over $700 annually on NASCAR products </li></ul>. . . And More Involved
  11. 11. <ul><li>NASCAR is gender neutral </li></ul>Fans and Demographics 40% Female 60% Male
  12. 12. Fans and Demographics NASCAR Fans are broadly spread through nearly all age brackets <ul><li>32% are between the ages 18 – 34 (100 index vs. U.S. pop) </li></ul><ul><li>58% are between the ages 18 – 44 (109 index vs. U.S. pop) </li></ul>60 9% 15% 65 + 115 15% 13% 55-64 100 19% 19% 45-54 124 26% 21% 35-44 100 21% 21% 25-34 100 11% 11% 18-24 Index Fan vs U.S. Pop NASCAR Fans U.S. Pop Age Group
  13. 13. Fans and Demographics NASCAR Fans are middle class and more affluent than the U.S. population <ul><li>42% of NASCAR Fans earn $50,000 + per year (108 index vs. U.S. Pop) </li></ul>89 8% 9% $100,000 or more 100 12% 12% $75,000 to $100,000 122 22% 18% $50,000 to $75,000 132 29% 22% $30,000 to $50,000 80 16% 20% $20,000 to $30,000 68 13% 19% Under $20,000 Index Fan NASCAR Fans U.S. Pop Income Range vs. U.S. Pop
  14. 14. Fans and Demographics NASCAR is a family sport, as there is a greater presence of children among NASCAR fans than the U.S. population Kids love cars! 111 40% 36% % of families with Kids under 18 Index Fan vs U.S. Pop NASCAR Fans U.S. Pop
  15. 15. Source: IPSOS-REID, NASCAR Brand Study, Summer 2001 South 38% Index to total U.S.: 109 Midwest 24% Index to total U.S.: 104 West 19% Index to total U.S.: 90 Northeast 20% Index to total U.S.: 100 NASCAR fans are distributed throughout the U.S.
  16. 16. Brand Attributes
  17. 17. The NASCAR brand owns powerful, functional and emotional equities Q. How closely do you associate “________” with NASCAR? 57% 52% 50% 50% 48% 48% 47% 46% Athletes that are Regular People Genuine Straight Up Open to All Down to Earth Athletes I Admire Honorable Like a Big Family 80% 78% 69% 66% 64% 64% 62% Intense Competition Skillful Competitor Uniquely American Teamwork Thrilling and Exciting Edge of Seat Action Non-Stop Action Association with NASCAR (% Top 2 Box) Strong Association <ul><li>Heritage </li></ul><ul><li>Drivers </li></ul><ul><li>Applicable/”Relatable” </li></ul><ul><li>“ Stock” Cars </li></ul><ul><li>Fun </li></ul><ul><li>All Teams in All Events </li></ul><ul><li>Power </li></ul><ul><li>Performance </li></ul><ul><li>Speed </li></ul><ul><li>Sponsors </li></ul><ul><li>Ambitious </li></ul><ul><li>Aggressive </li></ul>“ Absolutes” Strong Association + Source: Edgar, Dunn & Company, NASCAR Brand Study 2000 Brand Attributes
  18. 18. Sense of Belonging <ul><li>Regular People </li></ul><ul><li>Honorable </li></ul><ul><li>Down to Earth </li></ul><ul><li>Genuine </li></ul><ul><li>Straight Up/Honest </li></ul><ul><li>Like a Big Family </li></ul>Thrilling & Exciting Entertainment <ul><li>Speed & Power </li></ul><ul><li>Edge of Seat Action </li></ul><ul><li>Skillful Competition </li></ul><ul><li>Intense Competition </li></ul><ul><li>Play Never Stops </li></ul><ul><li>Daring/Courageous </li></ul>Unduplicated Sport Shared Values + Brand Attributes NASCAR is the only sports brand that thrills fans and creates a powerful connection through traditional values they admire
  19. 19. Equities of the NASCAR brand lead to a powerful and unique positioning that combines: “thrilling,” “values,” and “belonging.” “ Thrilling Plus ” NASCAR delivers the most thrilling and exciting sports entertainment, involving fans of the sport with people in the sport who live by honorable, down-to-earth values. This involvement leads to a feeling of belonging in the NASCAR family. - Edgar Dunn (Spring 2000) Brand Attributes
  20. 20. NASCAR has some unique advantages versus stick and ball sports. People Like Me <ul><li>Fans can easily identify with the drivers </li></ul><ul><li>“ Regular” physiques, “Regular” guys, “Role Models” </li></ul><ul><li>In the U.S., there may be no activity more universal than driving an automobile </li></ul><ul><li>Wives and children of the NASCAR family are visible at the tracks and in victory lane celebrations </li></ul><ul><li>Multi-generational sport for both Fans & Drivers </li></ul><ul><li>Family developed & lead sport since 1948 </li></ul>Brand Attributes <ul><li>Auto racing is “Live” for approximately 10 months per year offering fans and sponsors many opportunities </li></ul><ul><li>Teams compete every week for right to race </li></ul><ul><li>Every race is an “all-star race” </li></ul>Driving- Done by All Longest Season Competition Family Participation
  21. 21. Attitudes towards Sponsors and Sponsorship
  22. 22. Fans Celebrate and Embrace Corporate Sponsorship in NASCAR NASCAR drivers could not run their cars without sponsors' support NASCAR is the kind of sport that needs corporate sponsorship I know which companies sponsor NASCAR and its drivers 92% 93% 85% 89% 87% 66% 0% 20% 40% 60% 80% 100% % agree Hardcore Fans Casual Fans Brand Loyalty
  23. 23. Brand Loyalty Fans are 3X as likely to purchase NASCAR related merchandise NASCAR changes the behaviors of consumers
  24. 24. <ul><li>89% of NASCAR fans agree that when a NASCAR logo is associated with a company, that company delivers quality </li></ul>When sponsors connect with our passionate fans, they can influence their buying preferences and decisions. Brand Loyalty
  25. 25. Television
  26. 26. <ul><li>19 Million viewers tune-in each week to watch </li></ul><ul><li>NASCAR Winton Cup </li></ul><ul><li>38 weeks a year </li></ul><ul><li>The longest season in sports </li></ul><ul><li>2nd in all pro sports on television </li></ul>Television
  27. 27. *Regular season events Source: Nielsen Media Research Network Broadcast television ratings* Seasons : NFL (02-03) as of 12/1/02, NWCS (2002), NBA (01-02), NBS (2002), MLB (2002), NHL (01-02), PGA (2002), IRL (2002), CART (2002) Television
  28. 28. <ul><li>NASCAR Winston Cup Series is </li></ul><ul><li>the second largest U.S. sport </li></ul><ul><li>among viewers 18-34 and 18-49 </li></ul>Viewers 18 – 49 (000’s) Viewers 18 – 34 (000’s) Seasons: NFL (as of 12/1/02), NWCS (2002), NBA (01-02), NBS (2002), MLB (2002), NHL (01-02), PGA (2002) Regular season events Source: Nielsen Media Research Television
  29. 29. <ul><li>NASCAR sponsors secured nearly $5 Billion in television exposure </li></ul>*Billions 2000 – 2002 Sponsorship Exposure Source: Joyce Julius & Associates, Inc., Sponsors Report Includes: NASCAR Winston Cup Series, NASCAR Busch Series, NASCAR Craftsman Truck Series Television
  30. 30. Beyond the event broadcasts, NASCAR receives extensive media coverage . . . Media Coverage
  31. 31. Media Coverage In Print <ul><li>Newspapers </li></ul><ul><ul><li>National / Local </li></ul></ul><ul><li>Magazines </li></ul><ul><ul><li>Sports </li></ul></ul><ul><ul><li>Business </li></ul></ul><ul><ul><li>Entertainment </li></ul></ul><ul><ul><li>General Interest </li></ul></ul>
  32. 32. <ul><li> </li></ul><ul><li>One of the top five visited sports sites on the Internet </li></ul><ul><li>Over three million unique visitors each month </li></ul>On the Internet <ul><li>Live coverage of all NASCAR events </li></ul><ul><li>Broadcast on over 550 affiliate stations each week </li></ul><ul><li>Over 250,000 listeners to the NASCAR Radio on XM </li></ul>On the Radio Media Coverage
  33. 33. Media Coverage <ul><li>On Television </li></ul><ul><li>NASCAR is everywhere </li></ul><ul><li>National and Local News </li></ul><ul><li>Saturday Night Live </li></ul><ul><li>NASCAR Week on Wheel of Fortune </li></ul><ul><li>Regis and Kelly </li></ul><ul><li>The Tonight Show with Jay Leno </li></ul>
  34. 34. NASCAR Fans: Fuel Purchase Patterns
  35. 35. <ul><li>The NASCAR fan is highly involved with their automobile </li></ul><ul><ul><ul><ul><ul><li>Owns more vehicles </li></ul></ul></ul></ul></ul><ul><ul><ul><ul><ul><li>Drives more miles </li></ul></ul></ul></ul></ul><ul><ul><ul><ul><ul><li>More likely to own an SUV </li></ul></ul></ul></ul></ul><ul><ul><ul><ul><ul><li>They buy more gas </li></ul></ul></ul></ul></ul>An Automotive Culture
  36. 36. Source: Simmons NCS, Fall 2001 Spring 2002 Fuel Purchase Patterns Own more vehicles Own larger vehicles Drive more miles A Powerful Consumer Segment Index NASCAR Fans vs Non-Fans Non-Fans NASCAR Fans 120* 28.9% 34.8% Household has at least 3 vehicles 141* 20.3% 28.6% Traveled at least 250 miles by road in the past week 164* 5.9% 9.7% Most recent vehicle is a full-size pickup or SUV
  37. 37. <ul><li>. . . and they buy premium fuel! </li></ul><ul><li>NASCAR fans are more likely to purchase mid-grade premium, super premium and diesel fuel </li></ul>Fuel Purchase Patterns
  38. 38. NASCAR The Sport The Game The Competition . . . The Relevancy
  39. 39. <ul><li>The best players in the world </li></ul><ul><li>All of the players on the same field at the same time </li></ul><ul><li>Every race counts in the race for the championship </li></ul><ul><li>There are no uneven match-ups </li></ul><ul><li>Door handle to door handle competition </li></ul><ul><li>Your mistake </li></ul><ul><li>your competitor’s mistake . . . your teammate’s mistake . . . can end your day in a second </li></ul>The Game
  40. 40. The Relevancy
  41. 41. <ul><li>In the U.S. there may be no activity more universal than driving an automobile </li></ul>Fans can relate to the activity
  42. 42. <ul><li>To some degree, everyone has experienced the thrill of speed </li></ul>Fans can relate to the activity
  43. 43. <ul><li>There are more Fortune 500 companies in NASCAR than any other sport </li></ul><ul><li>Winston Ford Pepsi-Cola M&M’s AT&T Pontiac Dodge 76 Planters </li></ul><ul><li>McDonald’s GNC Hills Brothers </li></ul><ul><li>Coca-Cola Lowe’s Gatorade Burger King </li></ul><ul><li>Chevrolet UPS Target Alltel Home Depot </li></ul><ul><li>Budweiser Cheerios Visa Goodyear </li></ul><ul><li>Sprint Tide DuPont Burger King </li></ul><ul><li>Frito-Lay Kellogg’s Nabisco Mattel </li></ul><ul><li>Rubbermaid Wal-mart K-Mart Old Spice </li></ul><ul><li>Energizer Drakkar Noir U.S. Army </li></ul><ul><li> U.S. Navy Kodak </li></ul><ul><li>Why? </li></ul><ul><li>NASCAR drives bottom line business building results for these brands </li></ul>
  44. 44. <ul><li>Of the hundreds of business segments found in NASCAR, three clearly stand out as the most relevant and significant </li></ul><ul><ul><li>Cars Tires Fuel </li></ul></ul>Fuel …
  45. 45. <ul><li>Fuel is the single most relevant category in NASCAR </li></ul><ul><ul><li>– Bill France Jr . </li></ul></ul>Fuel …
  46. 46. <ul><li>A unique point of difference </li></ul><ul><li>Product relevance </li></ul><ul><li>Performance based endorsement </li></ul><ul><li>Enormous consumer franchise </li></ul><ul><li>A logical and credible position </li></ul><ul><li>Integral to the success of our sport </li></ul>Fuel …
  47. 47. <ul><li>A logical . . . </li></ul><ul><li> Integral . . . </li></ul><ul><li> Relevant . . . </li></ul><ul><li>Compelling . . . </li></ul><ul><li>Performance-based . . . </li></ul>Component of the sport Video
  48. 48. <ul><li>Speed </li></ul><ul><li>Teamwork </li></ul><ul><li>Efficiency </li></ul><ul><li>Accuracy </li></ul><ul><li>Perfection </li></ul><ul><li>The race is won or lost in the pits </li></ul>The Pit Stop
  49. 49. <ul><li>The height of drama and competition in a NASCAR race </li></ul><ul><li>The subject of intense fan interest and media analysis </li></ul><ul><li>The component of the race given the most comprehensive coverage by the television networks </li></ul><ul><li>A terrific demonstration of precision teamwork </li></ul>The Pit Stop
  50. 50. <ul><li>You Own the Pit Stop </li></ul><ul><li>One of two critical activities </li></ul><ul><ul><li>More fuel </li></ul></ul><ul><ul><li>New tires </li></ul></ul><ul><li>Fuel Can provides for tremendous visibility and focus of activity </li></ul><ul><li>Refueling is the most time consuming component of the pit stop. </li></ul><ul><li>. . . AND speed of refueling determines success </li></ul>The Pit Stop
  51. 51. <ul><li>You Own Pit Row </li></ul><ul><li>A 43 car high speed service station </li></ul><ul><li>The center of every NASCAR racetrack – the 50 yard line </li></ul><ul><li>Extremely visible and intrusive signs mark the entrance and exit of pit row </li></ul><ul><li>The most valuable branding at any NASCAR event </li></ul><ul><li>Pit row becomes a metaphor for your service stations </li></ul>Pit Row
  52. 52. <ul><li>Not just a sponsor </li></ul><ul><li>Not a borrowed interest, nor an artificial association </li></ul><ul><li>An absolutely critical ingredient for the success of the sport </li></ul><ul><li>An integral part of the game </li></ul><ul><li>As footballs are to the NFL . . . </li></ul><ul><li>And baseballs are to MLB . . . </li></ul><ul><li>Fuel, tires and cars are the components </li></ul><ul><li>that bring the sport to life </li></ul>Fuel…
  53. 53. The Opportunity
  54. 54. <ul><li>Total Exclusivity </li></ul><ul><ul><li>NASCAR </li></ul></ul><ul><ul><li>All of the cars </li></ul></ul><ul><ul><li>All of the drivers </li></ul></ul><ul><ul><li>All of the teams </li></ul></ul><ul><ul><li>All of the events </li></ul></ul>Official Fuel of NASCAR
  55. 55. <ul><li>Exclusive use of the NASCAR mark and the Series Marks </li></ul><ul><li>Official fuel of NASCAR </li></ul><ul><ul><li>Official fuel of the NASCAR Winston Cup Series </li></ul></ul><ul><ul><li>Official fuel of the NASCAR Busch Series </li></ul></ul><ul><ul><li>Official fuel of the NASCAR Craftsman Truck Series </li></ul></ul>Official Fuel of NASCAR
  56. 56. Official Fuel of NASCAR <ul><li>BP will have the right to advertise and publicize its’ fuels as the Official Fuel of NASCAR via television, radio, print and the Internet. </li></ul>
  57. 57. Brand Loyalty When I see a NASCAR logo on something, I know it will be a quality product If I see a NASCAR logo on something, I am much more likely to buy it than I am to buy a similar product that is not NASCAR related % NASCAR fans who agree Source: Edgar, Dunn & Co., NASCAR Licensing Study 2000 The Power of the NASCAR Mark - Quality - Purchase Intent
  58. 58. <ul><ul><ul><li>The NASCAR logo communicates quality to 75 Million consumers. </li></ul></ul></ul><ul><ul><ul><li>72% of NASCAR’s fan base indicate that they are more likely to buy a brand bearing the NASCAR mark, than a similar brand without the mark. </li></ul></ul></ul><ul><ul><ul><li>A huge opportunity to differentiate your brand in a very competitive “commodity” business. </li></ul></ul></ul>Official Fuel of NASCAR
  59. 59. We can deliver that powerful mark to each and every one of your retail locations. - Official Fuel of NASCAR - Official Pit Stop of NASCAR Official Fuel of NASCAR
  60. 60. Exclusive right to driver names and likenesses Official Fuel of NASCAR
  61. 61. <ul><li>Unrestricted use of teams and race cars </li></ul><ul><li>in all forms of advertising </li></ul>Official Fuel of NASCAR
  62. 62. <ul><li>Exclusive branding on fuel delivery systems </li></ul>Exclusive Branding…
  63. 63. <ul><li>PLUS. . . </li></ul><ul><li>A comprehensive brand integration package… </li></ul><ul><ul><li>NASCAR Drivers’ uniforms </li></ul></ul><ul><ul><ul><li>-NASCAR Winston Cup Series </li></ul></ul></ul><ul><ul><ul><li>-NASCAR Busch Series </li></ul></ul></ul><ul><ul><ul><li>-NASCAR Truck Series </li></ul></ul></ul><ul><ul><li>NASCAR Team uniforms </li></ul></ul><ul><ul><li>NASCAR Officials Uniforms </li></ul></ul><ul><ul><li>NASCAR Competitors car </li></ul></ul><ul><ul><ul><li>-NASCAR Winston Cup Series </li></ul></ul></ul><ul><ul><ul><li>-NASCAR Busch Series </li></ul></ul></ul><ul><ul><ul><li>-NASCAR Truck Series </li></ul></ul></ul><ul><ul><li>NASCAR Pace Cars </li></ul></ul>Official Fuel of NASCAR
  64. 64. <ul><li>The Hottest sport in America </li></ul><ul><li>The #1 spectator sport in the country </li></ul><ul><li>The #2 sport on television </li></ul><ul><li>Category Ownership of the purchase influencing </li></ul><ul><li>NASCAR bar mark </li></ul><ul><li>Complete brand integration into the sport </li></ul><ul><li>A logical and relevant position </li></ul><ul><li>Absolute and Total Exclusivity </li></ul><ul><li>The most relevant category in the sport </li></ul>Official Fuel of NASCAR
  65. 65. The Opportunity of the Decade