IndyCar has started working with CSM Sport & Entertainment to help find a new title sponsor for the series, which suggests that the search to replace Verizon is not near completion.
The open-wheel series has about six months left until the start of the 2019 season, when the telecommunications giant will vacate the role it has held since 2014, after replacing Izod.
Mark Miles, president and CEO of Hulman & Co., which owns IndyCar and the Indianapolis Motor Speedway, recently said that the search is on schedule. But IndyCar engaged CSM on the project just recently, leading to questions about how far along the process is. As the calendar turns to September, many companies will start to lock in their following year’s marketing budget.
“We’re working on engaging them to extend our reach further, faster,” Miles wrote in a text message last week when asked about working with CSM. “[I’m] still very positive about the title sponsor opportunity and other sponsor opportunities.”
Verizon’s deal was valued at $10 million annually, split between $5 million on rights and $5 million on activation. After seeing upticks in key performance indicators since its last title sponsorship sale, IndyCar went to market seeking $10 million to $15 million annually in rights fees alone. However, as the 2018 calendar year moves toward the final quarter, IndyCar may have had to adjust expectations.
Miles has been pitching the deal alongside Rod Davis, chief revenue officer of Hulman Motorsports, and IndyCar has also been working with media partner NBC Sports to identify prospects. Bringing in CSM’s motorsports division, which formerly was Just Marketing International, adds new resources to the search.
CSM will take the lead on the search, and the fee structure of the deal was unclear. CSM’s clients in motorsports include Verizon, Crown Royal, Total, TicketGuardian and Eli Lilly.
