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Is Nascar’s Stunning Decline Now Irreversible?: Part II

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nascarYesterday I wrote about the decline of Nascar:
Lot’s to think about in terms of why there has been such a huge decline in Nascar’s ratings as we enter Daytona 500 weekend. Reporters at The Wall Street Journal analyze Nascar’s decline.

Nascar threw a bash at Kansas Speedway in October to thank Sprint Corp. for being stock-car racing’s top sponsor for 13 years. More than 800 Sprint employees received hot dogs, burgers and seats to a nail-biting race.

One thing was missing: a new sponsor. Despite knowing for two years that Sprint was leaving, Nascar didn’t announce a replacement until December, when it said energy-drink maker Monster Beverage Corp. had won naming rights to the top-tier racing circuit.

Monster paid about $20 million, below Nascar’s asking price of $35 million and nowhere close to the original goal of $100 million, according to television and racing-industry executives familiar with the new contract. A Nascar spokesman wouldn’t comment.

With the first big race of the new season set for Sunday, Nascar’s problems seem to have spun out of control.

I can tell from my experience why Nascar’s ratings are down. It has become boring. The danger is gone. Or at least it’s not what it used to be. It reminds me of the decline of fights in hockey. Fighting is part of the game. Drivers have a way of self-regulating. They don’t need rules committees telling them the right way to drive.

The higher ups have made Nascar too corporate. Selling the sizzle is fine, but at some point there needs to be a race worth watching.

Like most pro-sporting events, the cost for a family of four is crazy. Throw in the cost of dinner and accommodations (RV rental) and it’s mortgage payment crazy.

Top 10 NASCAR Finishes on FOX

 

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E.J. Smith

Editor-in-Chief
E.J. Smith is Founder of YourSurvivalGuy.com, Managing Director at Richard C. Young & Co., Ltd., a Managing Editor of Richardcyoung.com, and Editor-in-Chief of Youngresearch.com. E.J. graduated from Babson College in Wellesley, Massachusetts, with a B.S. in finance and investments. In 1995, E.J. began his investment career at Fidelity Investments in Boston before joining Richard C. Young & Co., Ltd. in 1998. E.J. has trained at Sig Sauer Academy in Epping, NH. His first drum set was a 5-piece Slingerland with Zilldjians. He grew-up worshiping Neil Peart of the band Rush, and loves the song Tom Sawyer—the name of his family’s boat, a Grady-White Canyon 306. He grew up in Mattapoisett, MA, an idyllic small town on the water near Cape Cod. He spends time in Newport, RI and Bartlett, NH—both as far away from Wall Street as one could mentally get. The Newport office is on a quiet, tree lined street not far from the harbor and the log cabin in Bartlett, NH, the “Live Free or Die” state, sits on the edge of the White Mountain National Forest. He enjoys spending time in Key West and Paris. Please get in touch with E.J. at ejsmith@youngresearch.com.

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