122 replies to this topic

[johnwilliamdavies]

On Inside F1 on the BBC today Eddie Jordan said "don't be surprised if Red Bull take over Audi's position in sportscars". 

[FullThrottleF1]

Anything about the Audi in f1?

[johnwilliamdavies]

Nope. They were discussing the future, and options, for Red Bull. 

[KingTiger]

So they're facing a bill of $4.60 and they're saving 0.002 cents on football sponsorship.

Every little helps!

 

My guess is that it could be so damaging to national, european and global economies (IMF yesterday spoke of world on brink of another recession) that VAG will be helped out of this - governments, banks, investors and corporations will realise how damaging it would be otherwise. 

 

The fact that VW are talking about making cuts that are so insignificant, is rather demonstrable. I think the tab will largely be picked up at European level, there will be a lot of brushing under the carpet and laws passed to quash compensation. 

 

I think any motorsport non VW branded will be largely left intact - VW will only reduce from a brand perspective, to hide behind the proverbial curtain for a couple of years whilst this blows over - not because they really need to save the money.

 

VAG will have to take some huge loans from the European banks to cover the costs and though I assume the interest rates are going to be favorable to VAG, otherwise they'll have to cut many jobs from their core factories which are mostly in Europe. Football sponsorship and motorsport are only part of their marketing strategy, which as a whole isn't very large compared to their other expenses and liabilities.

 

The reach of F1 is not big enough for the stuff VW has to do, to be seen as a reputable company again. The current marketing value of F1 for the sale of cars is overestimated because you only reach a limited target group. Perfect for a drinks company that aims for people who like to take risks, but not for a VW, GM, Volvo, Ford or whatever. For Mercedes and Ferrari it is ok-ish as it is in line with their premium value image.
What VW could do is increase involvement in Formula E and try to make that as big as possible, maybe even in a partnership with Red Bull. It takes most attention away from emissions and pollution and takes the messages right to the public at entertaining meetings in cities around the globe.

 

Thing is nobody cares about Formula E. So they are basically throwing away their money. F1 is at least a decent marketing platform for the large companies that can afford it. 

On Inside F1 on the BBC today Eddie Jordan said "don't be surprised if Red Bull take over Audi's position in sportscars". 

 

If the cost of completely leaving F1 is too high for Red Bull they might transfer some a lot of their racing budget to WEC instead, especially if the Audi/Joest team is for sale. That way they have a presence in both while sticking it to Bernard for signing that stupid deal that ruined F1. They can run a half assed team in F1 funded by "historical" payments only and can also fight for wins in LM to a six digit viewership.

[oetzi]

The reach of F1 is not big enough for the stuff VW has to do...What VW could do is increase involvement in Formula E

I'm graciously assuming you're not in any way serious

[oetzi]

My guess is that it could be so damaging to national, european and global economies (IMF yesterday spoke of world on brink of another recession) that VAG will be helped out of this - governments, banks, investors and corporations will realise how damaging it would be otherwise.

Well, that worked for Glencore

[taran]

I'm graciously assuming you're not in any way serious

 

It seems like a joke right? But Formula E is becoming a very important racing series IMO. It runs in the most prestigious cities and is at the forefront of battery technology. Considering the technical/partnership hookups it has, it has attracted some of the biggest names already. I really believe it will be rivalling Formula 1 in a couple of years because it has more relevant technology, races were the people are, and offers the proper format unlike WEC.

VW could do a lot worse than enter Formula E in a huge splash and try to "earn" their green credentials in the white hot crucible of competition.

[oetzi]

Surely VW entering Formula E now would just get a whole lot of people questioning how green electric cars really are. Which is not really what anyone involved in Formula E is likely to want.

[KatiePI]

It seems like a joke right? But Formula E is becoming a very important racing series IMO. It runs in the most prestigious cities and is at the forefront of battery technology. Considering the technical/partnership hookups it has, it has attracted some of the biggest names already. I really believe it will be rivalling Formula 1 in a couple of years because it has more relevant technology, races were the people are, and offers the proper format unlike WEC.

VW could do a lot worse than enter Formula E in a huge splash and try to "earn" their green credentials in the white hot crucible of competition.

They not go near formula E for long time,it nowhere near big enough and is lightyears behind F1 in reach and revenue.

[oetzi]

They not go near formula E for long time,it nowhere near big enough and is lightyears behind F1 in reach and revenue.

Yeah, and that

Who has ever had Formula E mentioned to them by anyone who's not a racing geek (or a protestor from Battersea)?

Serious question.

[August]

They not go near formula E for long time,it nowhere near big enough and is lightyears behind F1 in reach and revenue.

Audi already sponsors the Abt team in FE.

[highdownforce]

Audi already sponsors the Abt team in FE.

 

Kind of.

[FLB]

Yeah, and that

Who has ever had Formula E mentioned to them by anyone who's not a racing geek (or a protestor from Battersea)?

Serious question.

Work colleagues. I live in Montreal and there are strong rumours the series is coming here.

[pdac]

It seems like a joke right? But Formula E is becoming a very important racing series IMO. It runs in the most prestigious cities and is at the forefront of battery technology. Considering the technical/partnership hookups it has, it has attracted some of the biggest names already. I really believe it will be rivalling Formula 1 in a couple of years because it has more relevant technology, races were the people are, and offers the proper format unlike WEC.

VW could do a lot worse than enter Formula E in a huge splash and try to "earn" their green credentials in the white hot crucible of competition.

 

Go ask a bunch of people in the street if they've heard of F1 - probably most, if not all would answer yes. Then ask them if they've heard of Formula E. I would be surprised if you find anyone, who isn't a follower of motorsport, that would say yes. That's the reach of Formula E.

[taran]

Go ask a bunch of people in the street if they've heard of F1 - probably most, if not all would answer yes. Then ask them if they've heard of Formula E. I would be surprised if you find anyone, who isn't a follower of motorsport, that would say yes. That's the reach of Formula E.

 

And if I go ask a bunch of people in the street of one of the cities Formula E has visited?

[johnwilliamdavies]

I'm in London, and a female F1 hating friend sent me a text asking if I was off to the Formula E race, after she saw they were setting it up in Battersea park. There is no way she is aware of WEC or any other non-Formula 1 series.

 

Putting the Formula E races on street tracks in major cities was a great idea. 

[pdac]

And if I go ask a bunch of people in the street of one of the cities Formula E has visited?

 

I live and work in London and I doubt I could quickly find more than a handful of people that have heard of Formula E, even if I asked the a whole trainful.

[BRG]

Well, if you run a race in a south London park which is only used by local folk for dog walking and jogging, you can't expect it to have much impact.  If they ran a race on Staten Island (or on the Jersey side of the Hudson), most New Yorkers wouldn't notice either.

[MikeV1987]

if only...      link

 

 

[noikeee]

That's a really cool design. Way better than anything the real life marketing departments will put out.

[Disgrace]

If only F1 had race suits like that and all would be well.

[taran]

if only...      link

 

 

 

Could never happen. Red Bull would never give that much prominence to Audi .

[Brackets]

Those pockets could hold a lot of water.