Indianapolis Star

May 19, 2009

by Erika D. Smith

To sponsors, winning not always everything

Danica Patrick's mix of skills, good looks means as much as Victory Lane to her advertisers

 

If the TV cameras end up on Danica Patrick even half as much as they did last year, chances are she'll blow past the competition to become the most valuable driver at the Indianapolis 500.

It doesn't even matter if she wins.

The definition of "valuable" in motorsports -- and with the Indianapolis 500, in particular -- is about sponsorships. The Indy Racing League can't exist without them.

"Sponsorship is what drives our business," said Terry Angstadt, president of the IRL's commercial division.

Drivers and their teams depend on sponsorships to have enough money to race. And the sponsors that plaster company logos on cars and uniforms depend on the drivers and teams to get TV exposure for their brands. The Indianapolis 500 is crucial because so many people watch it.

As one of the most watched sporting events, the race has a high advertising rate, said Eric Wright, vice president of research and development at the sponsorship research firm Joyce Julius & Associates in Ann Arbor, Mich.

It doesn't take a winning driver to have the most sponsors. It does, however, take skill and charisma, looks and potential, Angstadt said.

Which brings us back to Patrick and our rankings of who will be the most valuable drivers in Sunday's Indianapolis 500.

Last year, Patrick placed 22nd at the Speedway, but she still pulled in about $15 million for her personal and team sponsors, according to Joyce Julius.

The logos for her team and personal sponsors, including Motorola, GoDaddy.com and AirTran, spent so much time on TV that they rivaled that of Target, sponsor of winner Scott Dixon's team, Target Chip Ganassi Racing. Target was on TV for 14 minutes; sponsors associated with Patrick and her team, Andretti Green Racing, were on for about 38 minutes.

This year, Patrick is in much the same position, if not a better one. Not only does she still count GoDaddy.com and Motorola among her sponsors, but she's also picked up Boost Mobile.

Primary sponsorships in the IndyCar Series range from $2.5 million to $7 million, though few companies ever cite exact investment amounts.

Bob Parsons, CEO of Web company Go Daddy.com, said Patrick is a rare gem when it comes to sponsorships. She is the first woman to win an IndyCar race, the Japan 300. He described her as talented, exciting, edgy and, of course, "a woman" and "hot."

"I'd tattoo her if I could," he said.

GoDaddy.com has had a relationship with Andretti Green Racing for about three years. Patrick is the only "GoDaddy Girl" on the team, though, and this year, she'll be featured in a TV and a Web commercial.

Parsons said he's not worried about how his company's bottom line will be affected if she doesn't win.

"If you go to the race, any race, it doesn't matter if Danica's finished 10th," he said. "You look at the media and fans, they're all around Danica."

Angstadt agreed. "Because of who she is, what she has done, that's a big deal."

Is there anyone else who can match Patrick's golden touch for sponsorships?

Well, if a study of how much time other drivers' sponsors spent on TV during last year's Indianapolis 500 is any indication, the answer is: not really, according to an extrapolation of the Joyce Julius study.

Rounding out the most valuable drivers in the race last year was Dixon, who along with Dario Franchitti split Target Chip Ganassi Racing's $6.4 million for exposure for sponsor Target. Tony Kanaan came in fourth, bringing in $2.2 million for team and primary car sponsor 7-Eleven. And Graham Rahal was fifth with $2 million for team sponsor McDonald's.

All were still millions of dollars away from matching Patrick in securing TV time for their sponsors.

Still, anything could happen Sunday.

The field of 33 participants is the most evenly matched by time in race history, with just 3.0967 seconds between the top qualifier, Helio Castroneves, and the 33rd.

"Sponsors love to be on leading cars," Angstadt said. "They love to be in that winning circle."