Facilitating Sponsorship Channels in the Business Model of Motor Sports

Journal of Marketing Channels, 19(3), pp.173-192, 2012

18 Pages Posted: 11 Sep 2013

See all articles by Joe Cobbs

Joe Cobbs

Northern Kentucky University - College of Business

Melissa Hylton

University of Massachusetts Amherst

Date Written: 2012

Abstract

Basic business models consist of identification of customers, analysis of the customers’ needs, and plans for efficiently delivering solutions to such needs at a profit. The business model of motor sports has evolved to prominently feature corporate sponsorship as a B2B exchange mechanism that supplies the motor sports organization while offering sponsors a promotional channel for their marketing message. As a result, racing series managers and teams are often simultaneously positioned as a buyer and seller in relation to their corporate sponsors. This argues that the sustainability of this business model rests with the propensity for motor sports organizations to consistently deliver value to both B2C and B2B firms and minimize potential role conflicts. The in-depth interviews of industry professionals, which are analyzed in this research, highlight how actors in Formula One and NASCAR serve as channel facilitators (i.e., middlemen) to connect buyers and sellers within the motor sports sponsorship network.

Keywords: business model, motor sports, Formula One, NASCAR, sports marketing, sponsorship, B2B Marketing Channel

Suggested Citation

Cobbs, Joe and Hylton, Melissa, Facilitating Sponsorship Channels in the Business Model of Motor Sports (2012). Journal of Marketing Channels, 19(3), pp.173-192, 2012. Available at SSRN: https://ssrn.com/abstract=2322541

Joe Cobbs (Contact Author)

Northern Kentucky University - College of Business ( email )

Highland Heights, KY 41099
United States

Melissa Hylton

University of Massachusetts Amherst ( email )

Department of Operations and Information Managemen
Amherst, MA 01003
United States

Register to save articles to
your library

Register

Paper statistics

Downloads
48
Abstract Views
260
PlumX Metrics