The NEXTEL Cup

[Audi_A4]

It's official, WINSTON is out and NEXTEL is in as primary sponsor of NASCAR's top series as of '04

The NEXTEL Cup (http://www.nascar.com/2003/news/headlines/wc/06/19/nascar_nextel/index.html)

[WickerBill]

The four finalists were reportedly Nextel, McDonalds, Visa, and Coke.


One of these things is not like the other. Nextel isn't even in the league of the others. Must've put a LOT more cash on the table.

WB

[Turn7]

How long before everybody involved with Cup cars want to pull thier hair out from hearing that annoying direct connection chirp.

I bet before long the TV partners will be broadcasting the "chirp" every time they pass on in car communications.

This is going to be a very annoying thing.

[Ankf00]

Originally posted by WickerBill
The four finalists were reportedly Nextel, McDonalds, Visa, and Coke.


One of these things is not like the other. Nextel isn't even in the league of the others. Must've put a LOT more cash on the table.

WB
wow, that's passing up quite a few good deals.

[Lizzerd]

Did anyone else notice that three of the four candidates are former CART sponsors?

[chop456]

Originally posted by Lizzerd
Did anyone else notice that three of the four candidates are former CART sponsors?

And ironically, Coke is a formor sponsor of Tony George.

I see this going the way of Northern Light.

[pchall]

I have some doubts about Nextel's ability to survive for the length of the contract.

This could be fun. :)

[Ankf00]

Originally posted by pchall
I have some doubts about Nextel's ability to survive for the length of the contract.

This could be fun. :)

I guess we'll see how many corporate contracts they get out of this :)

[tllips]

Originally posted by Turn7
How long before everybody involved with Cup cars want to pull thier hair out from hearing that annoying direct connection chirp.

I bet before long the TV partners will be broadcasting the "chirp" every time they pass on in car communications.

This is going to be a very annoying thing.

I heard a radio commercial for Nextel this morning that actually touts the sound of that F'n Chirp! I changed the channel. I hate when people use that feature. They talk on their walkie talkie and the whole world has to listen to the entire conversation! :flame: :flame: :flame:

[Classic Apex]

ESPN News had an interview last night about this with some NASCAR lackie (I call him a lackie, because every second sentence he blurted how again this shows just how great NASCAR is).

Anyway, they mentioned that since NEXTEL is the series sponsor for the next 10 years, absolutely NO other telecommunication companies will be allowed to sponsor cars/teams in NASCAR. They even mentioned that one team is currently in negotiations with AT&T to sponsor a current team. The moment the NEXTEL deal was signed, that team was ordered to break the AT&T talks, and it sponsorship by AT&T for that team will NOT be allowed.

Doesn't that violate some kind of free-trade or business statute somewhere?

:confused:

Sounds awfully draconian.

[Warlock!]

Holy ****... $700,000,000.00 over the next 10 years. They said the last few years Winston was puttin' up about $45 million/year for the deal, and Nextel is throwing in another $25 mil/year?!? You think we're NASCAR-saturated now...

:saywhat:

Warlock!

[Wheel-Nut]

Originally posted by Warlock!
. . . You think we're NASCAR-saturated now...

:saywhat:

Warlock!


No ****! $700 million? Where was that Nextel money when they were in CART? Hell, they could BUY CART for maybe 1/4 of that!

[Turn7]

That is 2 million a race. Or if NASCAR's popularity remains steady for the next 10 years $.40 per viewer per week.

[sundaydriver]

Thanks to the Idiotgrandson, CART or the IRL will NEVER see money remotely close to this. :shakehead

[devilmaster]

Originally posted by sundaydriver
Thanks to the Idiotgrandson, CART or the IRL will NEVER see money remotely close to this. :shakehead

Ditto. :shakehead

Steve

[Turn7]

Originally posted by sundaydriver
Thanks to the Idiotgrandson, CART or the IRL will NEVER see money remotely close to this. :shakehead

Actually they do.

For a sponsor to spend $.40 per viewer on a CART or IRL broadcast would mean a season long sponsorship deal in the area of 15 million.

I would think several companies spend that. Players, Ford, Honda, Bridgestone, 7-11, Delphi, Honda, Toyota, Chevy.

I would bet that some of the sponsorship deals average out to more than $.40 per viewer if you got down to brass tacks.

The dollars are there, the viewers aren't.

[Napoleon]

Originally posted by Turn7
Actually they do.

For a sponsor to spend $.40 per viewer on a CART or IRL broadcast would mean a season long sponsorship deal in the area of 15 million.

I would think several companies spend that. Players, Ford, Honda, Bridgestone, 7-11, Delphi, Honda, Toyota, Chevy.

I would bet that some of the sponsorship deals average out to more than $.40 per viewer if you got down to brass tacks.

The dollars are there, the viewers aren't.

Interesting.

I have read repeatedly over the last several years that advertisers are increasing likely to pay a premium for TV shows that pull a broad large audience, because in the highly fragmentary world of TV/cable of today. You would think that NASCAR would pull a bigger number per viewer.

[Jag_Warrior]

Wonder if this means that Alltel will be replacing Marlboro on Penske's sleds in the other series?

[Classic Apex]

Originally posted by Jag_Warrior
Wonder if this means that Alltel will be replacing Marlboro on Penske's sleds in the other series?

In the interview on ESPN News, they said Penske and another team (can't remember who) are exempt and get to retain their current sponsors.

[Turn7]

I would bet it would be Richard Childress with the Cingular sponsored Robby Gordon entry.

[Turn7]

Originally posted by Napoleon
Interesting.

I have read repeatedly over the last several years that advertisers are increasing likely to pay a premium for TV shows that pull a broad large audience, because in the highly fragmentary world of TV/cable of today. You would think that NASCAR would pull a bigger number per viewer.

?? Maybe so.??

This is how I came up with the numbers:

NASCAR

700,000,000 divided by 10 years = 70,000,000 per year.

35 races per year = 2,000,000 payment per race.

5,000,000 viewers per race equates to $.40 per viewer.

CART/IRL

1,800,000 viewers per race (average including intl. which is still a stretch) multiplied by $.40 = 720,000

720,000 multiplied by 21 races = 15,120,000.

If you count just US numbers for TV at 1,000,000 viewers a 15 million dollar season long deal is valued at .72 per viewer. Way more expensive than NASCAR.

Is my logic wrong on placing a value on the dollars per viewer?

[Napoleon]

Originally posted by Turn7

Is my logic wrong on placing a value on the dollars per viewer?

I don't think so. When I have seen information aimed at potential advertisers, like, say, a billboard, radio time or direct mail (all of which I have seen) they often, or always, give a price for a pair of eyes as part of the pitch and I have seen that info strongly stressed when it was low number.

[Classic Apex]

Originally posted by Turn7
I would bet it would be Richard Childress with the Cingular sponsored Robby Gordon entry.

Yes, that's who it was.

Thanks.