Formula One Takes the American Sports Scene by Storm, Enticing Fans and Brands Alike
Formula One (F1), the globally renowned motorsport, has made significant strides in capturing the attention of American audiences. With a rapidly growing domestic TV viewership, a widespread global marketing platform, and an enthusiastic live audience, F1 has become a dominant force in the American sports conversation. U.S.-based companies have taken note of this trend, accounting for more than half of the F1 team sponsorship deals.
As the largest annual major sports platform that spans across the globe, F1 is owned by U.S. conglomerate Liberty Media and operated from the United Kingdom alongside ten independent teams. In 2024, F1 will host a record-breaking 24 races, including five in North America, solidifying its regional presence. Last year, over 100 million viewers tuned in to F1 races in North America, doubling the TV metrics from the previous year. This growing regional footprint provides brands with an enticing alternative to U.S.-focused sports.
The extraordinary surge in popularity has propelled F1 to become the fourth-most-watched sport worldwide, following soccer, cricket, and field hockey. With an average TV audience of 60-70 million viewers globally, the 2021 Abu Dhabi Grand Prix witnessed an astounding TV audience of 109 million. Given the potential for 24 such events, it is no surprise that ESPN extended its broadcast deal with F1 from $5 million a year to an estimated $75 million to $90 million annually. Rumors indicate that the upcoming deal will dwarf these figures.
A game-changing move that brought F1 closer to American audiences was the release of Netflix’s docuseries, Drive to Survive. This behind-the-scenes series shed light on the lives of drivers, team principals, and the high-stakes drama that unfolds throughout the season. Drive to Survive not only attracted existing motorsports fans but also captivated a broader audience, unfamiliar with the sport. Since its debut in 2019, the series has been viewed nearly 400 million times globally, with a significant quarter of those viewers from the U.S. Undoubtedly, Drive to Survive has contributed to F1’s status as a cultural trend in the American sports industry.
In terms of live attendance, F1 races in the U.S. have witnessed an enthusiastic audience. The U.S. Grand Prix at Austin’s Circuit of the Americas drew over 430,000 fans for the second consecutive year. Moreover, F1 has expanded its U.S. presence with the highly anticipated addition of the Miami race, with a Las Vegas race expected to further amplify the sport’s economic impact.
F1 distinguishes itself from other sports leagues by associating with innovation and technology. The substantial investment made by each team in two cars for every race creates narratives that go beyond traditional notions of teamwork and results. This resonates well with brands seeking to align themselves with forward-thinking concepts, particularly in the United States. By participating in F1, brands have the opportunity to showcase their products and services to a young, tech-savvy audience, thereby enhancing their image and market positioning.
Brands have various options for partnership within the F1 ecosystem, including deals with F1 as the rights-holder, local tracks, or any of the individual teams. A large-scale deal with F1 offers global presence, while partnering with local tracks allows for targeted regional reach. Moreover, team partnerships provide a range of brand associations, as well as experiential and customer entertainment platforms.
F1 teams have gone beyond the traditional sports realm by engaging with younger and more diverse audiences through various platforms. From industry-first partnerships with TikTok to captivating storytelling and behind-the-scenes content, F1 teams have humanized the athletes and team members, forging emotional connections and communities. These efforts have attracted fans from diverse backgrounds and regions.
The premium hospitality options offered by F1 are unparalleled, providing partners and teams with opportunities to entertain C-level executives, clients, staff, and affluent attendees across multiple marquee events each year. Additionally, progressive F1 teams offer strong Environmental, Social, and Governance (ESG) platforms, highlighting their commitment to issues such as encouraging students to pursue STEM careers and promoting the latest sustainable technologies.
With its ever-growing presence in the American sports scene, F1 and its teams and partners are establishing authentic connections with fans and executives, creating valuable experiences for individuals and brands alike. As geographic and language barriers diminish, the appeal of F1 continues to rise. Formula One, with its leverage of its North American platform, is poised to dominate the sports industry in a way few can rival or ignore.
