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The Power of NASCAR

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The Power of NASCAR LEADERS IN SPORTS The Power of NASCAR An Interview with Brian France, Chairman and Chief Executive Officer, NASCAR EDITORS’ NOTE Brian France as- Given that kids don’t play our As you build the fan base, is it impor- sumed his position in 2003 from his sport in school means that it takes us a tant that you continue to build diversity father, William C. France. The grand- while to get people excited about auto within the NASCAR community? son of NASCAR’s founder, William racing. But we are doing the things We are investing significantly in our Drive H.G. France, he has continued the that need to be done and expanding for Diversity program, which is operated by family legacy and firmly positioned our reach through digital and social Rev Racing. This program produced last sea- NASCAR among the most visible and media so we can capture the next gen- son’s NASCAR XFINITY Series Sunoco Rookie successful sports and entertainment eration of Millennial fans. of the Year Daniel Suarez from Mexico, as well properties in the world. France’s ac- This has been the safest era in as Darrell Wallace Jr., an African American tal- complishments have led to dramatic NASCAR history and this season we ent on the rise. We also realize that it has to geographic expansion, financial have seen some of the most com- be organic and performance based, and we growth, and the safest and most com- petitive racing in our history as a don’t have the constant turnover opportunities petitive era of racing in NASCAR’s his- Brian France result of format changes and rules available. Jeff Gordon just retired and he had a tory. Among his achievements, France packages. 20-year career and it’s not uncommon to have a implemented the Chase format – the first elimina- The industry is in a period of collaboration career that long. With only 40 drivers competing tion style playoff format in motorsports; negotiated like never before. This has historically been a in any one year, there’s not much opportunity 10-year deals with FOX and NBC – the largest in challenge to maintain because everybody is go- to break into those talented slots. NASCAR history; secured more FORTUNE 500 part- ing in different directions but we are uniting I always say our goal is to look more like nerships than any other sports league; and most re- everyone to work together for the common goal America so we have to attract everyone in cently announced a historic Charter agreement to of making the best racing in the world even America in our cars, in our pit crews, in the stands provide NASCAR owners with financial stability better. and in our boardrooms. We’re committed to that and the ability to build long-term enterprise value. With so much fan loyalty and sponsor- and that is something we have to continue to grow. France and his wife launched a philanthropic or- ships, this is a strong brand and business. What is the vision behind the Charter ganization, the Luke and Meadow Foundation, to Is that well understood? agreement you announced? drive progress on issues that threaten the health People recognize the size and scope of The goal of the new Charter agreement is and wellness of children. NASCAR but at the same time we are constantly to provide financial stability and a better busi- underserved by the media coverage. Looking ness model for our owners. As a result of the COMPANY BRIEF Born in 1947, NASCAR at us on any given weekend, we’re the largest agreement, 36 Charter members are guaranteed (nascar.com) has grown to become the premier sporting event of the weekend at number one entry into every Sprint Cup Series race for nine motorsports organization. NASCAR sanctions or two by any metrics, yet we may not get as seasons. This provides long-term stability and more than 1,200 races in more than 30 U.S. much coverage as other leagues. But that’s al- owners can now build long-term enterprise states, Canada, Mexico, and Europe. Known ways been the case with auto racing; we’re an value for the first time. This leads to more in- for its passionate fan base, one-of-a-kind elim- underdog but we keep going. vestment from current and potentially new own- ination-style playoff format, development of the Who is the NASCAR fan base? ers and ultimately a better product for our fans. modern sports sponsorship, and commitment We have the most to enhancing auto racing through technology, passionate fanbase NASCAR produces many of the most highly at- in sports and we are tended sporting events in the world. working tirelessly to broaden our appeal. When you look at the state of NASCAR, how We’ve always been strong is the positioning today? more gender neutral We’re in a good place but it’s often missed than any other sport. how competitive the marketplace is in the U.S. We see families mak- and in North America in sports. There are so ing a vacation out of a many leagues here that are well managed and NASCAR event. The av- well entrenched, and collegiate is so strong as erage drive is 200 miles well. Every weekend there is a mega event go- so they’re often going ing on, and that is unlike anywhere else in the to spend a few days world. with us. Everybody can Within that context, we feel really good relate to driving a car, about our current standing and upward trajec- but not everybody can tory. We are coming off one of our strongest relate to 300-pound seasons in 2015 – including our most-watched athletes smashing each finale in a decade. other. 28 LEADERS POSTED WITH PERMISSION. COPYRIGHT © 2016 LEADERS MAGAZINE, INC. VOLUME 39, NUMBER 3 Another piece of the agreement, which will that this is great auto come later, is to control the cost curve for our racing. We believe that owners and that has really never been done in teams, the strategies, big time auto racing. and ultimately the driv- Nobody has been able to really figure out ers should be the ones how to de-incentivize teams from spending un- who decide the winner, limited amounts of money chasing ever faster not just the technology. speeds. We will equalize I wish we’d been able to do it before but those advantages when it’s very hard to achieve and we never saw a we can and that tight- real path to do that in the past, but a lot of smart ens the racing up and people put a lot of work into that. balances the field. How important is it to maintain a cul- What are you do- ture of innovation? ing to enhance the It’s critical because we rely on technology safety of the sport? more than any other sport when we talk about I believe that in- Brian France, NASCAR senior leadership, and the 36 Charter Agreement members (opposite page); the on-track product. This season we unveiled novation can solve 2016 Daytona 500 photo finish – the closest in event history (above) the Digital Dash, which is sharing unprecedented almost any problem. real-time data between the driver, car, and crew. In our case, safety, technology, and innova- into the governance of NASCAR for the first For us to continue to be successful as the tion are combining to create safer barriers, time. The sanctioning body retains the final say underdog, we have to be leaders in technology safer systems, and safer helmets. We’re a huge but the level of collaboration is unprecedented and we can be because it is such an important believer in this process and nobody has led and we are working together. This will allow issue for our car manufacturers. or done more on this issue. We’ve created all NASCAR stakeholders to focus on long-term It’s also important for the millennial fans big gains with innovation in certain areas strategic planning that will grow our sport for to be able to connect to the sport through their that many people thought we could not do. I decades to come. handheld devices. Some people are very un- believe that to be true even for our competi- Is it important that the family culture comfortable about that – they don’t like the tors. There will ultimately be a remedy for just of NASCAR remains? idea that someone will be on a device while about every safety challenge. Our fans generally like the idea that they they’re at the event. We think they’re going to Is there opportunity to expand NASCAR know what we’re about as a family and our have to be open to all of these developments. into new markets? commitment to them is strong. We’re in this for People want to use social media while at live There is, and we have a good footprint the long haul and our corporate sponsors like events and we’re very well positioned for that. in Mexico and Canada. We have distributed the idea of being part of the family thing – that We broke records in 2015 with 1.1 million page some of our events worldwide on TV and we is a bit of America. views and 4.1 billion social media impressions. have taken events to the Far East and other In five years from now, what will be At the start of this season, we announced new places.
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