CNN Saturday Morning

November 18, 2006

BYLINE: Betty Nguyen, T.J. Holmes, Jamie McIntyre, Arwa Damon, Elaine Quijano, Ed Lavendera, Joshua Levs, Veronica De La Cruz, Rick Horrow, Alessio Vinci, Mary Snow

HORROW: Yes, I hear you. Let's go to NASCAR.

HOLMES: Let's go NASCAR yes. Well, it's dropping a little bit. The popularity was just going through the roof for years and years. It's kind of hit a point. Has it peaked?

HORROW: Some people say so. I know there were some articles about it. But the bottom line is, they're finishing a TV deal with NBC, and starting another one. The ratings are OK, but a $4.5 billion deal for the next eight years, a 40 percent increase in the rights fees. So let's not cry for NASCAR.Bottom line is corporate America still loves it. They're spending nearly $600 million on sponsoring these deals. Why? Joyce Julius, the firm that talks about these things, $5 billion of exposure. Nextel is spending a billion, Georgia-Pacific and Ford, $300 million of market activity when they do this. Those numbers are big.But here's a great story. Winston Cup was the sponsors of the big time race. The FCC and others said you obviously can't do cigarette advertising. So, you know what they're doing? They have an official sponsorship with Nicorette, to be the non-smoking sponsor of NASCAR.

HOLMES: Nice.

HORROW: That about tells you everything you need to know about NASCAR.

HOLMES: NASCAR worried at all? They don't seem to be sweating it, even though maybe not as many watching.

HORROW: Well, yes, but the bottom line is they're doing a whole lot of things to make sure they expand their demographics. Interestingly, they're spread beyond the Southeast and they're building tracks in Seattle -- they're trying. And in New York to try to get this done.Hispanic, other marketing, international; 150 countries are tuning in for the broadcast of The Chase for the Championship tomorrow, in Homestead. But they're also reaching out to kids, age seven to eleven, 61 percent say they're NASCAR fans. They don't drive the family car. So you movies and cartoons, "Talladega Nights, The Ballad of Ricky Bobby", Will Ferrell's biggest debut. "Cars", the DVD video, just came out in DVD last weekend. My daughter, Caroline, watched it five times and I watched it three.