The Game: Can Nascar Be Numero Uno With Hispanic Fans, Marketers? - Brandweek

Source: Brandweek
By: Barry Janoff

Juan Pablo Montoya may not be the face of Nascar, but he has certainly become muy importante in the racing circuit's marketing and promotional efforts to bring more Hispanic consumers and sponsors on track.

Among its more than 70 million fans, Nascar says about 9% are Hispanic. According to an ESPN Sports Poll and various league sources, the NBA leads—in percentage—with 16% Hispanic fans, followed by the NFL (13%), Major League Baseball (12.9%), Nascar and the NHL (8.3%). All trail Major League Soccer (35%).

To reach more potential fans, Nascar in 2004 launched a circuit now known as the Nascar Mexico Corona Series; in 2005 it added an annual Nascar Busch Series race in Mexico City. Nascar also has a Drive for Diversity program, which helps to develop African American, Hispanic and women drivers and crew members as well as urban and ethnic marketing efforts. Among the successes here is Jesus Hernandez, who in June signed a deal with Allstate to drive in Nascar Grand National Division races in an Allstate-branded car.

A big part of Nascar's challenge is that many of its fans found motorsports as kids, and later brought in their kids. That connection is in its infancy in Hispanic communities. "We've had local and grassroots efforts, but we're just cutting our teeth in national efforts," said Jim Obermeyer, managing director of brand and consumer marketing at Nascar, Daytona, Fla. He said Nascar took a major step in October when it signed a five-year deal giving ESPN Deportes TV and Deportes Radio exclusive rights to Nascar programming.

"There is a big opportunity to grow their Hispanic fan base, but they want to convert those fans to actual paying customers, not just TV viewers," said Robert Tuchman, CEO at TSE Sports & Entertainment, New York. He said Nascar should seek to hit a 15% fan base in the next 5-10 years. "Hispanic sponsorship budgets will continue to grow and Nascar wants to position itself as a vehicle to reach that market," he said. "Most initiatives here have been via soccer, basketball and baseball, but that will change as the market matures."

Nascar sees vast potential with Montoya, a world-class Formula 1 driver from Colombia who joined Nascar in 2006 (with Chip Ganassi Racing). In March, Montoya won his first Busch series race, in June he won his first Nextel Cup series race and in July finished second (behind Tony Stewart) at the Allstate 400 at the Brickyard Nextel Cup race. Sprint Nextel broke a national Hispanic campaign in June starring Montoya (via The Vidal Partnership, New York) and last month Nascar unveiled an Hispanic push in Los Angeles with Montoya to tout the Sept. 2 Nextel Cup race at California Speedway (Brandweek, July 23). Support as the race nears will include personal appearances by Montoya. He'll also be featured in Nascar in Primetime, a five-part show on ABC beginning Aug. 15.

"About 80% of teens in Southern California are Hispanic, so the potential is tremendous," said Gillian Zucker, president at California Speedway, Fontana. "Everything we now do is bilingual, including press releases, track signage, our Web site. We're also working much more closely with Hispanic media."

Montoya's impact could be felt elsewhere. On race day there may be 40 drivers in action, but each one is part of a larger team that includes pit crews and employees of sponsoring companies. "The odds for anyone to become a superstar driver are slim, but the odds for someone from the Hispanic community to become part of a racing team is more realistic than ever," said Ryan Kurek, CEO at marketing firm Leverage Sports, Charlotte, N.C. "Nascar has been trying for years to become more relevant to minorities. With Montoya they are now culturally represented by a high-profile, successful driver."

As Obermeyer put it, "Our national deal with ESPN Deportes and the success of Juan Pablo will be good for the health of the sport."