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Transcript

The Business of Speed

In the latest🐿️ interview show, we are joined by former racing driver, Formula One presenter and motorsports marketing 'OG', Matt Marsh.

Blind Squirrel Macro: The Pod (Episode 88).. Audio-only edition embedded below and also available in the usual ‘Blind Squirrel Macro: The Pod’ feeds on the podcast apps.

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It’s Monaco Grand Prix weekend and the 🐿️ sat down with his good friend and motorsport guru Matt Marsh on Friday afternoon to discuss the business of motorsport and Formula One. We also took a quick look at the latest betting odds for tomorrow’s big race.

I hope you enjoy the conversation. I certainly learned a lot. Acorn follow-up note 👇.

Introducing Matt Marsh

After a successful career on the racetrack (Porsche Carrera Cup Asia champion and first driver to represent Hong Kong in the Le Mans 24hr race), Matt was the F1 presenter for Fox Sports Asia (formerly Star Sports / ESPN).

In 2005, Matt founded EDJ Motorsport Marketing, a specialist brand and marketing consultancy focused on motorsports. He is currently based in Singapore, but you will usually find him the F1 paddock on race days.

Podcast Summary (Run time: 37 minutes)

Minute 04 | The Evolution of Formula One’s Business Model

  • Discussion of Bernie Ecclestone’s commercial transformation of Formula One, his focus on high-value sponsors, and the origins of the sport’s current business structure.

  • Ecclestone’s approach to TV rights and team representation, and how these innovations laid the groundwork for Formula One’s modern commercial success.

Minute 8 | Liberty Media’s Revolution and Fanbase Expansion

  • Liberty Media’s F1 acquisition and their focus on entertainment, accessibility, and expanding the fanbase.

  • The impact of digital content, social media, and the Netflix series “Drive to Survive” in attracting younger and more diverse audiences.

  • Growth in global fan numbers, with significant increases in female and 16–34-year-old fans.

Minute 13 | Financial Growth, Team Valuations, and Commercial Sustainability

  • The economic transformation of Formula One under Liberty, including team valuations and the drive for commercial sustainability among all teams.

  • Discussion of anti-dilution fees for new teams (e.g., Cadillac’s entry) and the debate around expanding the grid line up.

Minute 15 | Formula One’s and the US Market

  • How Liberty succeeded in making Formula One popular in the US; the differences in audience size and sponsor appeal between F1 and NASCAR; and the unique global and B2B opportunities F1 offers sponsors.

Minute 22 | Sponsorship, Branding, and Marketing in Modern Motorsport

  • Breakdown of sponsorship tiers and the value proposition for brands in F1, from small ambassador deals to title partnerships.

  • The shift from traditional branding to storytelling, internal branding, and the importance of aligning sponsorships with business objectives.

Minute 26 | ‘Sim’ Racing: Technology, Training, and Commercial Potential

  • ‘Sim’ (simulator) racing, its role as a driver training tool

  • The limitations of ‘Sim’ racing as a spectator or commercial product as compared with other esports.

Minute 32 | Monaco Grand Prix Preview and F1 Punditry

  • Analysis of current odds for the Monaco Grand Prix and Constructors’ Championship, the impact of the race’s new pit stop regulations, and the unpredictability of racing at Monaco.

  • Discussion of this weekend’s intra-team driver matchups; potential race scenarios; and weather considerations.


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