Chapter Review

Case Study

Changing NASCAR’s Target Market

The National Association for Stock Car Auto Racing (NASCAR) is the sanctioning body of NASCAR races. To remain a relevant sport into the future, NASCAR hired Kim Brink as Vice President of Marketing. Her job is to provide a new focus on youth and multicultural audiences and digital marketing.

In addition, NASCAR hired a new advertising agency, Ogilvy & Mather, known for its sophisticated work for big consumer brands such as American Express and IBM. The agency was given the task of developing a “new brand direction and a new creative platform” for NASCAR.

New Fans

Studies have shown that the average NASCAR fan is a white (80 percent) male (60 percent), who is employed full-time and married. However, NASCAR has a higher share of female fans (40 percent) than many sports.

As one of the largest spectator sports in the United States, NASCAR has an incredibly loyal fan base. NASCAR wants to maintain its current fan base while also attracting a new group of younger and multicultural fans. With the help of its new advertising agency, NASCAR implemented a Five-Year Industry Action Plan to help engage and excite existing fans, while creating new ones.

The first changes in the promotional plan were to include commercials in Spanish, online offerings like nascar.com, and the use of well-known NASCAR drivers in commercials. Drivers also contacted fans and followers through social media and alerted them to watch the new commercials.

A few years ago, attorney Max Siegel became the first and only African-American president of a NASCAR franchise. His intent was to find new, more diverse drivers and fans. He also created a reality show with BET Networks to find the next female or minority driver.

In 2012 Viva La Raza Racing became the first Mexican-owned professional auto-racing team in NASCAR history. It intends to serve as a development program for young Latin American drivers.

NASCAR Mexico Toyota Series is a NASCAR series in Mexico. In 2014 it held a race in Phoenix, Arizona, as part of NASCAR’s plan to attract the American Latino audience. It was a success and is scheduled to be an annual event.

In another attempt to grow the Latino audience, NASCAR worked with Univision, an American Spanish-language broadcast TV network, to put a racing-themed storyline into an existing show. A telenovela series about a female Latino driver, coproduced by Univision and NASCAR, debuted on Univision’s website.

Think Critically

1. Why is NASCAR seeking additional Latino drivers? How does this fit into its overall marketing plan?
2. Are the promotional actions taken by NASCAR unusual? In what ways?
3. What could NASCAR do to increase the fan base of people ages 16 to 25?
4. Was removing the Confederate Flag from NASCAR events a good idea?

250 words, 25 points. Cite references.