Nascar Case
Essay by brueht • October 24, 2012 • Case Study • 848 Words (4 Pages) • 1,318 Views
SWOT Analysis:
Strengths:
* Industry leader in auto racing
-75 million fans
* Brand and fan loyalty
* Abundant financial resources
* #1 spectator sport in America (Race attendance up 19% over past decade)
* Strong corporate sponsorship (Budweiser, Best Buy, Home Depot, 3M, etc.)
* Use of Co-Branding
* Extensive use of multiple media outlets (Internet website, television, radio, video games, magazines, social media, etc.)
-Broadcasted in over 150 countries in over 30 languages
* Variety of races offered about 1200 races on over 100 tracks:
(Sprint Cup Series, Nationwide Series, Camping World Truck Series, International Series, and other Regional Series)
* Internet based "fan council" used for conducting surveys (12,300 members)
* Second highest rated regular season sports on TV
* 8 year $4.5 Billion TV contract with FOX, TNT, and ESPN
* Mandatory safety requirements
* Differentiation Strategy (marketing, race experience, Hollywood, Chase for the Cup Playoffs)
* NASCAR has merchandising rights for watches, clothes, chairs, tables, grills, hats, clocks, flags, doormats, blankets, auto accessories, sunglasses, and food products (Over 3 billion in sales annually
* New Green Initiatives-(LEED Certified buildings, tracks made of recycled parts, and more environmentally safe cars)
* "Drive for Diversity Program": Ethically diversified company, and increasing woman drivers and crew members
* "NASCAR Day": Charity event held Friday before May's Sprint Cup Race. Raised more than 4.5 million for NASCAR Foundation Charities
* Ability to respond to 3 year decline(08'-10') using low-cost strategy(lowered cost of tickets, concessions, and worked with hotels to reduce prices for fans)
o Increased TV Views by 9.7 percent in 2011
o Attendance improved an average of 8,941 per race in 2011
o Increased 18-34 year old fan base by 20 percent in 2011
("Nascar's TV ratings," 2011)
Weaknesses:
* Races last 3.5+ hours
* Effectively targeting NASCAR to every fans needs
-Problems holding onto NASCAR origins while at the same time promoting successful changes fans will like
-Negative attitudes from southern fans about changes to NASCAR
-Allowing blue-collar to still be able to afford races
* Lack of environmental responsibility (216,000 gallons of fuel used per season)
* Lack of diversity (few minority or woman drivers)
* Increased clutter of sponsorships at the race tracks
* Decline in attendance and TV ratings from 08'-10'
* Too much control from France family
o A descendent of William France has been CEO ever since company was founded
Opportunities:
* Strategic placement of tracks and races to get close as possible to target markets
* Sign new TV contract (current
...
...