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I am surprised Geely or Hyundai did not try to make a move first. Even if not (recently) in F1, Audi and Porsche already have established racing cred. The association with F1 would prove far more valuable for one of the younger Asian manufacturers looking to elevate their image. Hyundai in particular I don't understand, since they already spend so much on advertising their sporty hatchbacks in car magazines and WRC.
 

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I am surprised Geely or Hyundai did not try to make a move first. Even if not (recently) in F1, Audi and Porsche already have established racing cred. The association with F1 would prove far more valuable for one of the younger Asian manufacturers looking to elevate their image. Hyundai in particular I don't understand, since they already spend so much on advertising their sporty hatchbacks in car magazines and WRC.
It is my impression that Audi have not got nearly the kudos they deserve for their technical brilliance and racing greatness in dominating Le Mans for 15 years. They must be quite jealous of their arch-rival in the road car business, Mercedes, for the huge profile and rebranding success Merc have achieved in F1 over only 8 seasons. I believe that this would be part of Audi's motivation now.
Also, it is probably not a coincidence that the present Chairman of Audi, Markus Duesmann, was at one time head of the BMW Formula One powertrain group.
 

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I wonder why the "marketing need". What percent of people give a darn about F1 performance. It basically has little to no relevance to the actual cars.

I couldn't care less about a company's performance in F1 in actual purchase decisions. At best it's one of those "oh yea, it's nice they did well there" type of things.
 

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I wonder why the "marketing need". What percent of people give a darn about F1 performance. It basically has little to no relevance to the actual cars.

I couldn't care less about a company's performance in F1 in actual purchase decisions. At best it's one of those "oh yea, it's nice they did well there" type of things.
I'm not saying that they're correct, but Mercedes and other presumed authorities have estimated the 'advertising value' to Mercedes-Benz of F1 in recent years to be between $1.6B and $4.5B - per annum. (I believe the basis of those sums is the number of seconds that a Mercedes car or driver is shown on TV or in social media multiplied by the number of viewers per second multiplied by the presumed value per second per viewer. Of course the people who proffer these calculations tend to be the same ones in whose interest it is for clients to keep advertising through the recommended media.)
If the management believe those numbers, they're going to keep doing it.
 

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I wonder why the "marketing need". What percent of people give a darn about F1 performance. It basically has little to no relevance to the actual cars.

I couldn't care less about a company's performance in F1 in actual purchase decisions. At best it's one of those "oh yea, it's nice they did well there" type of things.
It's about exposure. The closer to the front, the more exposure you get.
 
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I wonder why the "marketing need". What percent of people give a darn about F1 performance. It basically has little to no relevance to the actual cars.

I couldn't care less about a company's performance in F1 in actual purchase decisions. At best it's one of those "oh yea, it's nice they did well there" type of things.
You think people buy Koenigsegg's because they plan on going 280 MPH, or because they showed they can? Do you think showing the performance of the top level cars sells bottom feeder cars? Absolutely. It doesn't matter the market, if you show your best doing the best, people equate theirs to somewhat the same level of quality. True story, in my audio business my top level stuff sells the bottom rung stuff for that reason. They can't afford the top, but the bottom has the same logo on it, even if they aren't even comparable. Ferrari doesn't sell a buttload of merch because people think the merch is fantastic, they sell it because of a "winning" brand image.
 

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You think people buy Koenigsegg's because they plan on going 280 MPH, or because they showed they can? Do you think showing the performance of the top level cars sells bottom feeder cars? Absolutely. It doesn't matter the market, if you show your best doing the best, people equate theirs to somewhat the same level of quality. True story, in my audio business my top level stuff sells the bottom rung stuff for that reason. They can't afford the top, but the bottom has the same logo on it, even if they aren't even comparable. Ferrari doesn't sell a buttload of merch because people think the merch is fantastic, they sell it because of a "winning" brand image.
Yea, if I get a Koenigsegg, I plan and doing near 280. Same with my Macca. But I get your point/meaning.

As is often the case, I, apparently, am not their target demographic. As always, YMMV.
 

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This rumour is gaining again, still nothing official though:


Following on from news that Audi and Porsche were keen to join F1, our intel now suggests the deal is as good as done. CAR understands that the agreement– waiting to get the thumbs up from the Volkswagen supervisory board – will see Audi and Porsche will enter top-league motor racing in 2026.

The plan is now for Audi to team up with the McLaren motorsport division and also take over Woking’s automotive arm.

 

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Thanks for sharing! The info was very enlightening regarding all of the moving parts that have led up to this point.


Kevin P
Supercar Garage - The McLaren Specialist
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* Home of the flying McMedics... The only mobile McLaren Specialist! -We come to you!
 

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Discussion Starter · #98 ·
Current value. I think future value will be in the road division. The question is whether it'll come at the price of watered down cars.
Making the transition from a very low volume (100’s) specialty car manufacturer to a 10K/year SuperCar manufacturer (+SUV) is a very difficult thing to accomplish, add a pandemic into the mix …..
 

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Making the transition from a very low volume (100’s) specialty car manufacturer to a 10K/year SuperCar manufacturer (+SUV) is a very difficult thing to accomplish, add a pandemic into the mix …..
Right, but there's really no other reason for VW to buy them unless they plan to make it profitable, or maybe sell and keep the F1 team. With the right marketing, I don't see why it shouldn't be possible to compete with Ferrari, though obviously it's going to take time and money.
 
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