What’s New at NASCAR?

This is the Statt Mann Baby. Time to Scatt a little bit.

You wonder what’s going on at NASCAR.

NASCARlogoA report this week said dozens of employees were let go. Sports Business Journal said the layoffs amounted to less than five percent of NASCAR’s workforce.

Unless you’re one of the “dozens,” this may not be much of an alarm. NASCAR doesn’t need a lot of people in the home office to conduct business. Much of its work force shows up at the racetrack to run the weekend events.

But when you send people home that’s always cause for concern. Connect some dots in the business picture. NASCAR isn’t in the racing business as much as it’s in the advertising business. Its product is audience.

NASCAR sells ratings or eyeballs and butts in seats to advertisers who want to sell something to those eyeballs and butts. If there are fewer eyeballs and butts, the billing invoices are smaller.

Smaller income means less money to spend on everything including salaries.

And still, NASCAR won’t change the way it builds its ultimate product. Odd times.

Peace.

 

January 13, 2019

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