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Report: Verizon likely to drop IndyCar title sponsorship after ’18

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One of the under-the-radar elements that’s percolated in the Verizon IndyCar Series paddock this year is Verizon’s activation strategy itself, in its fourth year of its first five-year deal as title sponsor of the championship.

Hulman & Co. CEO Mark Miles, head of INDYCAR’s parent company, told the Sports Business Journal’s Adam Stern while he thinks it’s likely Verizon will end its title sponsorship of the series after 2018, they hope to continue the relationship in a different capacity.

While Verizon got in before 2014, IndyCar was a viable platform for the wireless company to activate in a way it couldn’t in NASCAR, when Sprint was the Cup Series’ title sponsor.

That’s since changed with Sprint’s contract ending after 2016. Verizon still activates within the paddock, working with CSM Sport & Entertainment, but its activation outside the paddock has seemed rather limited this year.

Verizon’s primary point of access or reference point of digital technology has been the Verizon IndyCar Mobile app, which was initially only for Verizon Wireless users but was later expanded to other carriers. That provides some app-specific exclusive content as well as a compilation of written, photographic and video content from IndyCar.com.

Even in the paddock, a Verizon-sponsored “Lunch with Legends” series – where some of IndyCar’s stars from the past had lunch at tracks with fans to provide some exclusive access – was not retained for 2017. Verizon hosted an event at a 5G-outfitted house in Indianapolis this year, prior to the Indianapolis 500, to showcase some of that network capability and virtual reality (VR) technology.

Provided Verizon does not continue as title sponsor past 2018, it would leave the IndyCar series in almost the same situation as prior title sponsor IZOD was in 2013, with a lame duck year.

The absence of a Verizon contract renewal has lurked beneath the surface all year in a year when INDYCAR (sanctioning body) has announced several long-term extensions with key manufacturer partners Dallara, Firestone, Chevrolet, Honda and many of its race tracks.

The competition side of IndyCar has done rather well and has enough momentum with Jay Frye at the head of its President of Competition and Operations for the last two years.

But it’s imperative for IndyCar’s sake its commercial side does as well too, which will make the 2018 season an interesting one from a “how to progress” and find a partner that can truly activate to lift the series’ profile even bigger than it is now.

The title sponsor evolution and the series’ new TV contract, with the current one set to end after 2018, enter as the early leaders in the clubhouse for biggest off-track stories to follow over the winter and into the start of 2018.

F1 2017 driver review: Kevin Magnussen

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Kevin Magnussen

Team: Haas
Car No.: 20
Races: 20
Wins: 0
Podiums: 0
Best Finish: P7 (Azerbaijan)
Pole Positions: 0
Fastest Laps: 0
Points: 19
Championship Position: 14th

Kevin Magnussen’s move to Haas proved to be a win-win situation for both parties through 2017 as they banished the struggles of the previous Formula 1 season.

For Magnussen, the move came after a difficult one-season stint with Renault who despite offering him a way back into F1 after a year on the sidelines were unable to produce a car allowing the Dane to fight far up the order.

Haas had not expected to be able to be that much further ahead, but Magnussen nevertheless immediately offered an uplift in performance after replacing Esteban Gutierrez, who failed to score a single point through 2016.

Magnussen picked up Haas’ first points of the season with a solid drive in China, and was able to capitalize on the bonkers Baku race to take P7, which would ultimately be his best result of the season.

Consistency was a real issue for Haas throughout the year as it continued to have teething problems most new teams encounter, and while Magnussen was more able to drive around the problems than teammate Romain Grosjean, he lacked the ultimate pace of his teammate.

That said, Magnussen’s season highlight came in Mexico, a track Haas expected to be its worst of the season. The ex-McLaren driver qualified on the last row but produced a stunning display to finish eighth, soaking up pressure from Fernando Alonso and Lewis Hamilton late on.

The signs are positive moving forward. Next year should be Haas’ best yet thanks to the stability in the regulations, presenting a good opportunity for Magnussen to prove his star quality.

Season High: Taking P8 in Mexico when Haas expected to be slowest.

Season Low: Lagging home P15 at Spa as Grosjean hit the points.