Case 11 Lecture Notes
NASCAR: Can’t Keep a Good Brand Down
Case 11 NASCAR: Can’t Keep a Good Brand Down*
Synopsis: This case discusses NASCAR’s successful branding strategy and how it became
one of the top sports in America. The history of NASCAR is reviewed, followed
by an overview of NASCAR’s marketing and branding strategies. Despite its
unparalleled success, NASCAR has faced a number of challenges and criticisms
over the past decade, most notably the loss of revenue stemming from the 2008
recession. The case examines many of the challenges that NASCAR must address
if it is to sustain its branding juggernaut and retain its top spot in the motorsports
arena.
Themes: Branding strategy, branding alliances, brand image, pricing strategy, integrated
marketing communication, sports marketing, differentiation, social responsibility
Case Summary
In the past 60 years, the National Association for Stock Car Auto Racing, better known as
NASCAR, has become the top auto-racing series in the United States and the number one
spectator sport in America. It has also become well known for its branding alliances, with drivers
sporting everything from coffee to deodorant logos. The sport is currently comprised of three
national series: the NASCAR Nationwide Series, the NASCAR Sprint Cup Series, and the
NASCAR Camping World Cup Series, along with some regional and international series.
Although primarily a U.S. sport, NASCAR has held races in Mexico, Canada, Australia, and
Japan. It currently sanctions over 1,500 races on 100 tracks in 39 U.S. states and Canada.
NASCAR’s popularity soared over the past ten years, partially due to extensive media coverage.
Drivers like Jeff Gordon and Dale Earnhardt, Jr., have become heroes of the auto racing industry,
and many NASCAR drivers have made appearances in movies and television. NASCAR’s
growth has been so dramatic that it is now second only to the National Football League (NFL) in
popularity. Despite its immense success, the sport has had to overcome challenges in its 60-year
history and will likely have to face many more because of declining attendance and other
difficulties such as diversity, safety, and its impact on the environment. Still, its strong brand
image and brand alliances with other companies will likely keep the sport afloat through these
tough times.
Teaching Overview
This case gives students an opportunity to learn about branding from a company that is a shining
example of an organization that successfully embraces the branding mantra. Throughout its 60
years of existence, NASCAR has developed and implemented a branding strategy that
encompasses a wide range of marketing initiatives. Brands are built on powerful emotional
* Michael D. Hartline, Florida State University, prepared this teaching note for classroom
Case 11 Lecture Notes
NASCAR: Can’t Keep a Good Brand Down
connections through an extremely wide variety of touch points. NASCAR delivers these
connections through event marketing, emotional branding, brand communities, customer
understanding, brand drivers, differentiation, co-branding, and the understanding that once a
brand has been created, it must be monitored and allowed to continuously evolve.
However, in spite of NASCAR’s highly successful branding strategy, the future of NASCAR is
uncertain. The most recent economic recession has hit NASCAR hard. The majority of sports are
suffering as sponsors pull their endorsements. Yet for NASCAR, which depends so much on its
brand alliances and partnerships with other companies, the pullout of sponsors has had an even
greater impact. Automaker support has been a crucial component to NASCAR’s success, and as
the financial situation of key automakers remains in doubt, so does their funding of NASCAR
events. Still, experts foresee that manufacturers will continue to play a major part in NASCAR.
The lower attendance at NASCAR events is also borne of the recession. As consumers strive to
save money, discretionary spending on entertainment is one of the first budget items to be cut.
NASCAR has taken a proactive stance toward the issue by lowering ticket and concession prices,
changing the racing structure, and working with communities to offer incentives to get fans to
travel to the events. Whether these actions will be successful remains to be seen, but the intense
brand loyalty of fans certainly lies in NASCAR’s favor.
SWOT Analysis
Internal Strengths
• NASCAR is the #1 motorsport and the #1 spectator sport in the United States
Internal Weaknesses
• Dominating control by the France family worries many drivers, sponsors, and fans
• Struggles of the Big Three automakers weakens NASCAR
External Opportunities
• Numerous Fortune 500 companies continue to look for targeted marketing opportunities
Case 11 Lecture Notes
NASCAR: Can’t Keep a Good Brand Down
External Threats
• Economic conditions threaten the spending power of sports fans and corporate sponsors
• Many companies are dropping or curtailing sports-related sponsorships
Problem/Decision Statement
Throughout its history, NASCAR has been successful by integrating multiple marketing
initiatives into a well-organized branding strategy. Part of this strategy dealt with partnering and
co-branding with other companies. At the same time, NASCAR has successfully differentiated
Strategy Alternatives
1. Create a Regional Racing Series—As NASCAR has now grown beyond its Southern
roots, the company could promote a regional racing series that would create more fan
interest and natural rivalries among regions. This could potentially interest other types of
sponsors, and could be a natural tie in with NASCAR’s smaller racing series.
Case 11 Lecture Notes
NASCAR: Can’t Keep a Good Brand Down
Strategy Recommendations
Implementation Issues
For any of the strategic alternatives selected, the key implementation issue will be the control of
the France family. The needs of the drivers and team owners are also an important consideration.
Teaching Questions
1. Evaluate NASCAR’s branding strategy in relation to its overall marketing strategy. Could
NASCAR have done anything differently to insulate itself against the economic
downturn?
It is hard to argue with the overall success of NASCAR’s branding strategy. However,
students should be encouraged to consider other elements of the marketing program (after
2. Conduct a strategic SWOT analysis for NASCAR at this point in its history. What
opportunities are available for NASCAR to take advantage of given its many significant
strengths?
3. What strategies do you recommend to counter the criticisms leveled against NASCAR?
Should the company become more involved in sustainability initiatives? If so, how might
that be tied in with NASCAR’s branding strategies?
This is a tough question to answer because going further down the road toward
Case 11 Lecture Notes
NASCAR: Can’t Keep a Good Brand Down
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NASCAR are very much concerned with sustainability issues. And, NASCAR does not
want to earn a reputation for being bad for the environment. Perhaps NASCAR could
showcase alternative fuels at race events or even promote the world’s first race for
alternative fuel or electric vehicles.
4. What strategies can you offer to move NASCAR to the next level in its evolution? How
can the company maintain, or even increase, its sponsor and fan base?
Some suggestions are given in the Strategy Alternatives section of this teaching note. An