“Our Fanbase Will Migrate…”: NASCAR’s $7.7 Billion Media Deal’s Success Hinged on Many Unknowns After Topsy-Turvy 2024 Season

As the curtain fell on the 2024 NASCAR Cup Series season, a new chapter awaits with the dawn of fresh broadcasting rights for the sport. The stock car racing fanbase has evolved distinctly from its heyday in the late 1990s and early 2000s, yet financial stakes continue to climb yearly, despite an overall drop in numbers.

The colossal $7.7 billion media deal is set to fatten the purse for drivers and the teams going forward. However, the bounty comes with a wrench: joining the broadcasting stalwarts FOX and NBC Sports are newcomers Amazon Prime and Warner Bros. Discovery via TNT Racing.

This diverse blend of traditional broadcast across five channels, cable, and digital streaming platforms is a big gamble for NASCAR, a sport known for its traditionalist values and following

Viewers will find themselves hopping from one channel to another, switching stations approximately every ten races. Despite this, the organization is willing to roll the dice, buoyed by a near-35% surge in media rights revenue. The lucrative arrangement has also persuaded new media players to promote races airing on other channels.

Meanwhile, Steve Phelps and Joe Gibbs Racing president Dave Alpern are on the same page, believing the widespread availability of these channels in most homes will smooth over any potential bumps. As Phelps succinctly expressed:

“We believe that our fanbase will migrate to Amazon Prime. We’ve got well into the 70s the percentage of NASCAR fans who have Amazon Prime. So that, to me, bodes well, and I think we’re going to prove that streaming will be an important element for NASCAR racing well into the future.”

In addition to the challenges of channel-switching, NASCAR has weathered significant criticism this year for its sluggish officiating, mainly for the late deployment of decisions and cautions in several races. Moreover, rain played the spoiler in various NASCAR races including the Daytona 500, pushing NASCAR’s marquee event from Sunday to Monday and precipitating a 27% plunge in viewership right from the start.

Similarly, other key races like the Coca-Cola 600, Clash at the Coliseum, and the Chicago Street Race also faced sharp declines in viewership numbers, all thanks to inclement weather.

Adding to these obstacles, NASCAR finds itself embroiled in a legal battle with Michael Jordan‘s 23XI Racing and Front Row Motorsports. The allure of Jordan’s name undoubtedly drew a significant number of sponsors and fans to NASCAR. Should he decide to back out or if NASCAR fails to renew their partnership, the financial and viewership fallout could be substantial.

NASCAR’s new facility might pose another problem

Back in December 2023, the curtains were pulled back on a state-of-the-art production facility nestled next to NASCAR’s R&D Center in Concord, North Carolina. The hub boasts 3 studios, 8 control rooms, and 4 announcer booths, gearing up to handle live event production for the Xfinity Series by 2025. Teams and drivers will also have access to this facility.

There is however a potential snag in its location — a mere 9 minutes from Charlotte Motor Speedway. This proximity means that announcements and commentaries will happen from a broadcast booth rather than directly from the track. Fans argue that the setup could create a disconnect, much like the situation with the Trucks Series on FS1, where commentators are not physically at the races they narrate.

Despite NASCAR’s efforts to revamp and reinvest in its presentation to better serve its audience, these changes haven’t been met with unanimous applause from the fans.

It remains to be seen how stock car racing evolves during these changing times, especially with all that is currently to be decided for its future.