01 cover sbi 152.indd - FIFA/CIES International University Network
01 cover sbi 152.indd - FIFA/CIES International University Network
01 cover sbi 152.indd - FIFA/CIES International University Network
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MOTORSPORT:<br />
MOTORCYCLING<br />
Of these, only MotoGP races<br />
will be shown live on the BBC’s<br />
main free-to-air channels, with<br />
the rest shown on their interactive<br />
service and online. Additional<br />
<strong>cover</strong>age of MotoGP races will<br />
also be available on the hugely<br />
successful BBC iPlayer.<br />
Filling the gap<br />
In France, the AB Groupe and<br />
Eurosport France signed for<br />
three years 2<strong>01</strong>1, with the digitalterrestrial<br />
channel NT1 taking all<br />
18 MotoGP races while cablesatellite<br />
channel Eurosport France<br />
screening practice and qualifying<br />
sessions and all three races live<br />
on Sunday. Likewise, in Germany<br />
DSF committed to 170 hours of<br />
<strong>cover</strong>age per year.<br />
From a sponsorship point of<br />
view, MotoGP can also look back at<br />
the end of 2008-09 with at a roster<br />
of new partners. The credit crunch<br />
came at a time when motorsport<br />
was still weaning itself off tobacco<br />
money, and new categories of<br />
partner - betting, insurance,<br />
finance and most recently, energy<br />
drinks such as Monster - have<br />
helped fill the gap.<br />
But there does remain a gap,<br />
something Dorna Sports have<br />
never been afraid to acknowledge.<br />
Part of the answer may lie in cost<br />
cutting. But cost cutting is a trigger<br />
issue for MotoGP. Slash budgets to<br />
suit the new economic reality and<br />
the series runs the danger of losing<br />
its bleeding edge image, narrowing<br />
the gap between MotoGP and<br />
Superbikes, its perennial rival.<br />
The annual cost for a<br />
manufacturer team in MotoGP<br />
varies between 5 million and<br />
10 million per annum and<br />
beyond. The smaller, privately<br />
owned teams budget for up to<br />
2 million. For Superbikes, team<br />
costs are considerably lower due to<br />
harmonisation of parts and tyres,<br />
and the fact they race on-road bikes<br />
rather than prototypes.<br />
One obvious place where cost<br />
cuts may come in is in the riders’<br />
contracts. Along with Rossi,<br />
the front of the MotoGP grid is<br />
dominated by Jorge Lorenzo, Casey<br />
Stoner and Dani Pedrosa - all tied<br />
to multi-million Euro contracts.<br />
But from fifth place down - there<br />
is often twenty seconds between<br />
fourth and fifth place - the salary<br />
cuts might be deep.<br />
“The riders were paid crazy<br />
amounts,” says Herve Poncharal,<br />
team owner of the Monster Tech<br />
3 Yamaha team, who suggests the<br />
market, rather than legislators, will<br />
deal with the issue.<br />
The riders that are coming to<br />
the end of their contract in 2009,<br />
he says will see sharp falls in<br />
fees. ‘Apart from the Untouchables<br />
- it will be 50, 60, 70 per cent<br />
down. That will be a big, big<br />
saving. We always talk about the<br />
bike, but the riders department is<br />
sometimes bigger than the cost of<br />
the bike.”<br />
As Formula One has shown,<br />
with the Brawn GP team in<br />
particular leading the way,<br />
lowering costs means that the price<br />
demanded of sponsors for title<br />
partnerships, the key commercial<br />
revenue stream for most teams, is<br />
lowered, raising hopes of drawing<br />
a broader constituency of brands<br />
into the sport.<br />
This is something that should<br />
perhaps be the aim of both<br />
MotoGP and Superbikes.<br />
As ever, broadcast exposure<br />
will be critical in determining<br />
sponsor revenues and in October<br />
2009, Infront Motor Sports,<br />
the commercial rights owner of<br />
Superbikes, struck an important<br />
and wide ranging TV deal with<br />
Eurosport Group, which gave the<br />
pan-European broadcaster the<br />
TV and digital rights to the FIM<br />
Superbike World Championship<br />
(SBK) for the 2<strong>01</strong>0, 2<strong>01</strong>1 and 2<strong>01</strong>2<br />
seasons. The deal includes the<br />
support classes FIM Supersport<br />
World Championship and FIM<br />
Superstock 1000 Cup.<br />
This pan-European agreement<br />
includes all 59 territories <strong>cover</strong>ed<br />
by Eurosport which promises<br />
an increased number of live<br />
broadcasts and that 24 out of 26<br />
races will be shown live or delayed<br />
on either Eurosport or Eurosport 2.<br />
Superbkes - Getty Images Sport<br />
“We have not only signed a very<br />
significant TV agreement with<br />
Eurosport, but also secured<br />
additional media <strong>cover</strong>age across<br />
Europe and Asia during the last<br />
two years,” explains Stephan Herth,<br />
executive director of Summer<br />
Sports, Infront Sports and Media.<br />
“The sponsorship market has<br />
been slower, but is looking brighter<br />
for 2<strong>01</strong>0 although our targets for<br />
hospitality remain conservative.”<br />
Hospitality matters<br />
The hospitality side of the<br />
business, he says, is a real point of<br />
difference for Superbikes, allowing<br />
VIPs to get very close to the teams<br />
down in the pit. This informality is<br />
attractive, and broadens the appeal<br />
of the sponsorship.<br />
On the key difference between<br />
motorcycling’s top two series,<br />
Herth says. “MotoGP is more<br />
about R&D while Superbikes<br />
is about marketing for the<br />
manufacturers, that’s why all major<br />
brands are in the series, compared<br />
to say four of the manufacturers<br />
who remain in MotoGP. For the<br />
manufacturers, World Superbikes<br />
offers greater benefits in terms of<br />
a direct link between what fans see<br />
on TV and the type of bikes they<br />
can go and buy on the high street.<br />
“The great advantage we have<br />
is that we have seven major<br />
manufacturers in the series, which<br />
is a tangible sign that they see<br />
value in Superbikes.<br />
“For MotoGP, Rossi is very<br />
outstanding and the TV rights<br />
market responds quickly to<br />
personalities,” says Herth,<br />
“Without local heroes it makes<br />
the job of selling media rights<br />
more difficult. It is up to Dorna<br />
to find a new Rossi, and that is a<br />
formidable challenge.<br />
It certainly is and with the man<br />
himself, aged 29, stating, “I will<br />
ride until I’m 31 or 32 at most,”<br />
earlier this year, the curtain calls<br />
on the great rider’s career will be<br />
watched closely by a varied group<br />
of stakeholders, from fans and<br />
rival team members, through TV<br />
executives and sponsor directors<br />
through to the rights owners of<br />
both MotoGP and Superbike series.<br />
SportBusiness <strong>International</strong> • No.152 • 12.09 61