A car that races in the NASCAR Cup Series is essentially a big billboard in the eyes of the companies that sponsor it. They place multiple decals on it to reach the millions of people who watch the event every weekend.
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The primary sponsor is usually the one with the largest decal and the most invested in a team. The secondary sponsor is given a smaller space and a third category, the contingency sponsor, is given an even smaller space.
These contingency sponsors are those who supply the car with its basic parts and pieces in return for a tiny spot on the front end of the car to display their brand name.
At one point in the history of the sport, it was mandatory to feature these companies on the car. But that situation changed with the years. A primary sponsorship is also now a multi-million dollar affair. Not every company can afford it.
Those who don’t want to sign large checks can still cater to the racing audience for a fraction of the cost by signing contingency deals. This used to be a healthy practice, but NASCAR got away with it slowly over the last few years. Veteran reporter Bob Pockrass explained the reason on X, “They stopped contingency programs on Cup cars to give that area to the teams to sell how they wished.”
They stopped contingency programs on Cup cars to give that area to the teams to sell how they wished. https://t.co/luQJ6ZBSMF
— Bob Pockrass (@bobpockrass) September 27, 2024
It also made sense from the promotion’s point of view that the brands that were paying for the majority of the car get a larger space to advertise than they were at the time.
Back in 2008, there were as many as 30 contingency sponsors. A couple of these companies were EA Sports and Coors Light. They offered teams that had their stickers on rewards for each race. This was an added incentive for teams to put the decals on their cars. It was no small win for the drivers either. In 2005, Kasey Kahne earned over $200,000 from contingency rewards.
Carl Edwards explained the role of contingency sponsors, “These sponsors are ‘official status’ sponsors with NASCAR, and if we run their decal on the car, we have the opportunity to win contingency money. They present money for being the pole winner, leading the most laps, leading at the halfway point, and, of course, winning the race.”
Its importance can further be understood from the words of NASCAR’s senior vice president of Industry Services in 2015, Jill Gregory, who said, “The NASCAR Contingency program is rich in history and participating sponsors have direct access to our teams, connection with our loyal, passionate fan base and prominent visibility in our sport.”
The era of contingency programs is certainly a time long lost now. With sponsorship continuing to be a major issue in the sport, NASCAR might find solutions lurking in a potential return to the older methods of revenue generation.