What can NASCAR teach us about packaging?

The first NASCAR race of 2006 was recently held at Daytona and I was surprised by the number of new product sponsors. For years, NASCAR has been a “good boy” thing, however, marketers have finally realized that this is a huge untapped and under-marketed advertising segment.

We have to admit that there are a lot of stereotypes about the typical NASCAR audience. Have you ever heard this description, “red neck, long hair, chews tobacco, smokes cigarettes, good boy?” Well, that used to be true for NASCAR viewers, but auto racing is now one of the few sports that is gaining popularity among all demographics. Face it. Popularity equals advertising revenue and sales.

Two current market groups that NASCAR is targeting to increase viewership are the 50+ generation and women. Previously, little marketing was done to attract these viewers. They were outside the perceived target market. The sponsors used to be automotive companies, auto parts and suppliers, beer, soft drinks, cell phones and, in general, services and companies that were in the male sphere. But now there are plenty of avid NASCAR fans in the 50+ generation, myself included. So far, sponsors haven’t really targeted them as an audience.

When I did some marketing for an IROC driver, I was surprised to see the strength of the fans. One thing that really stood out to me was the brand loyalty of those who supported NASCAR. When a NASCAR driver endorsed a product, it was used by an overwhelming proportion of NASCAR fans; a much higher average brand loyalty than conventional markets.

An interesting campaign that I’ve been following is Crown Royal’s endorsement of NASCAR. The company continues to sponsor the No. 26 Crown Royal Ford Fusion driven by NASCAR NEXTEL Cup star Jamie McMurray. Crown Royal is collaterally branding its campaign with new packaging and launching the Speedway Collector’s Series, a line of limited-edition packs that are customized to highlight the 21 tracks that host races during the 2006 NASCAR NEXTEL Cup season. Crown Royal’s purple bag, bottle label and box will display custom motorsports packaging, including logos of historic tracks like Daytona International Speedway and Talladega Super Speedway. Smart and unique marketing! Most of the product packaging efforts have been limited to cast iron models and replicas of the cars or typical car stuff.

So why am I interested? It’s all in the packaging, of course. In addition to advertising and endorsing a driver, companies are integrating all facets of a marketing campaign and using packaging as a branding tool. If I were a smart marketer, I’d go after underserved segments of viewers, just as Crown Royal has. Although there have been several female drivers who have unsuccessfully tried to break into NASCAR as professional drivers, the women’s market represents 50% of the US population. In my opinion, it hasn’t really been searched for. It would mark a campaign that really hits home with women no matter what their age. Take Dove’s campaign for real beauty as an example. It is being endorsed and supported long after the initial ad campaign was introduced.

So we have come full circle. What does NASCAR have to do with packaging? It’s a hot, growing, and untapped market for those who want consumers to demonstrate their brand loyalty. Does this ring a bell or ring a bell?

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