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Avantgo Case Study Solution & Analysis


Avantgo Case Study Help (National Association for Stock Cars And Truck Automobile Racing) is a company conducting series of Stock Automobile racing in United States and functioning as an approving body for driving the rules for Stock Vehicle Racing. The organization was founded in 1947, by "Huge Bill" France. NASCAR organize Stock Vehicle Racing occasions in United States with the existence of about 130000 audiences typically in 2005. It likewise relayed its occasions in about 150 nations. Stock Cars And Truck Racing by NASCAR is the 2nd biggest spectator sport, with greatest variety of sponsors. It has about 500 sponsors contributing billions of dollars in its profits. The other sources of income for Avantgo Case Study Solution includes; 10% of the overall earnings from television rights, sanctioning fees i.e. $1-2 million per race, and licencing NASCAR brand name to business.

NASCAR has a closed business culture with the non-interventionist approach. The structure of Automobile of Tomorrow by NASCAR, with an objective of security for the chauffeurs, brought various stress among the stakeholders of the sport.
Executive Summary
The interaction audit, conducted in 2010, revealed that regardless of the fact that the business extremely depend on the communications between its stakeholders, there was no recognizable organisation communication strategy. The market's target consumers, direction and objectives were all unknown.

The audit pointed out numerous lacking of NASCAR in terms of absence of internal combination, lack of fan management method and absence of social and digital media of marketing. The company has complicated environment with independent tracks, drivers and teams. This structure with closed corporate culture bring various challenges in speeding up a change. Other partners in community includes the media networks i.e. tv and radio, and corporate online marketers.

Avantgo Case Study Analysis viewers was extremely loyal to the sport and the brand names associated with the NASCAR, making it appealing for sponsors and business online marketers.

Issue Statement.

The company is presently dealing with the issue of decreasing rates of presence at racing tracks and rates of television audiences. This can put a significant influence on its incomes from sponsors, media rights, and from other sources of revenue.

Situational Analysis.

Although the company was rather successful till 2005 with its traditional marketing strategies, however soon after 2005 the company begins dealing with numerous problems including decline of its fan base. Several external as well as internal elements are accountable for the decrease. Internal factors include; insufficient investment in social media and other digital medias of.

Fan base of NASCAR comprised of married males with a typical age of 47, which passes their fandom to their children and develop generational commitment. The family system in America was altering resulting in decrease of influence of married male fan base over their youngsters. Together with it perceptions about automobile was also changing with viewing car an automobile to reach at point B from point A, instead of as a fun task. Other difficulties for Avantgo Case Study Solution includes the shift of its fans to other sports as they were improving their fan's experience enabling access to their broadcasts out of the houses through jumbo turns, Wi-Fi gain access to, and so on. These all challenges were tending the business to modify its marketing techniques.

SWOT Analysis.


NASCAR core competencies includes it has rights of determining rules as sanctioning body. Guidelines and guidelines concerning expert stock cars and truck racing are determined by NASCAR like if any group with required abilities and resources can enter into races by following guidelines and regulations dictated by NASCAR. All the events of NASCAR are sponsored by corporates due to the fact that of greatest brand name commitment of fans toward brands marketed by Avantgo Case Study Solution.


Weaknesses in SWOT Analysis are considered as external aspects. Weaknesses consists of the elements that stops company to carry out at needed level of efficiency. Weak points of NASCAR includes its close culture which is non collaborative. They have non-interventionist method. They usually utilized to form rules and other required procedures without intervention of others which leads to poor partnership. NASCAR establishes Vehicle of Tomorrow without collaboration so result is that motorists did not like that principle. As this is racing sport so covering of sports by media is also hard. It was also found that NASCAR had no efficient method for service communication. They don't understand how to deal with problem if it took place off track. Inefficient company interaction results in that they do not have clear direction for their long term goals. They don't know that where they wish to see this sport in future.
Porter's 5 Forces Analysis

Opportunities in SWOT analysis are external aspects which can be favourable to company or the external aspects on which company is having competitive benefit. NASCAR usually utilized to depend on conventional media sources like local paper for publicity of its sports. Typically these conventional media sources try to cover their house group and specific type of events. NASCAR also came to know from these traditional media outlets that sport was tough to cover. Media landscape also altered from traditional to digital landscape. Papers failed. NASCAR can deal with its abilities to get maximum possible take advantage of this new digital landscape. NASCAR have underinvestment in digital resources. It can capitalize in digital and social media to get its benefits. Digital rights of NASCAR were likewise sold to Turner Sports. NASCAR utilized to get pay check of around $15 million every year from Turner Sports. There are number of cons behind this deal. NASCAR had to get approval from Turner Sport if it desire to create its Facebook page, twitter account or even mobile application. Turner Sport also had rights of every single video which is shoot throughout race at track. If media sources like newspapers, magazines and cable television channels want to post videos of races on their particular pages then they are required to pay licensing costs to Turner Sport. So NASCAR can deal with terms and try to negotiate with Turner Sports to get maximum advantages of it. Star power plays very important function in producing profits from every sport. It was noted that NASCAR is lagging in this area i.e. star power. For instance when sports fans were asked concerning popular stars and stars then NASCAR chauffeur was not found even in top twenty responses. So NASCAR can put efforts in this area too for profits generation. They must direct their motorists that how they can end up being sport stars. 4 tactical focuses which are created by research study team can also be worked as opportunity for NESCAR. These four tactical focuses compares and analysis Avantgo Case Study Solution techniques.


Economic down turn was experienced in late 2000 which can be hazard for NASCAR due to the fact that if there is economic down turn then people would be having less return on investment. Economic down turn likewise results in increase fuel rates which also impacted NASCAR. Now if NASCAR make considerable financial investments in brand-new sectors which are based on brand-new clients then it may deal with unfavorable remarks from its core fan base.

Porter's Five Forces Analysis

It is essential to comprehend industry in which business is working since NASCAR's bottom line i.e. net profit is greatly depends on this. There are 5 forces that are used to recognize profitability, intensity and appearance of NASCAR business.

Competitive Competition

This force suggests ability of rivals. Groups normally represents sponsors in NASCAR and the medium of marketing is motorists. Therefore it can be said that drivers and race vehicles are rivals. These motorists can break NASCAR if they improved chance in terms of rewards and television exposure. Then viewers can move to those other fascinating cars and motorists, if viewers enjoy other race cars and trucks and chauffeurs more than NASCAR. NASCAR might be having risk from its 2 direct rivals that is Solution 1 and Moto GP. They require to create competitive benefits for motorists so they don't shift to other rivals.
Swot Analysis
Provider Power

If company shifts from one supplier to another, the provider power shows the number of suppliers are offered in market and what is the expense associated with supplier. In this market there is supply monopoly since chauffeurs with required skills and resources are limited.

Purchaser Power

This force is concerning to customers that is it easy for consumers to shift to other products. If there is more switching expense is associated then consumers are less most likely to switch. When it comes to NASCAR clients are its audiences. Due to the fact that audiences will having low switching cost, viewers can switch to other rivals quickly.

Threat of Replacement

Alternatives are referred as alternatives. The substitutes in this case can be other home entertainment indicates like viewers can shift to other sports. So there are wide variety of replacements are offered in this situation which recommends that danger of substitute is high.

Danger of New Entry

It is specified as how it is simple for any company to enter in that particular market. In the case of Avantgo Case Study Analysis risk of brand-new entry is low. If any business needs to enter in this organisation than they have to make heavy investments, because. They need to develop cars and racing tracks and also requires to pay substantial total up to motorists for changing.

PESTEL Analysis


As NASCAR is working in different markets so it needs to face different policies. It is likewise kept in mind that NASCAR has faced increased examination concerning regulatory. Every government has various priority so NASCAR has to be prepared for it as priority can be shifted to other sector.


Financial elements consists of taxation rate, exchange rate, financial performance of that particular company, conditions of labour market, inflation rate and so on. If there is federal government intervention in the marketing and sales sector, fortunes of the NASCAR and its rivals can be affected. NASCAR can utilize capabilities of workers to produce new chances and enhance existing chances.


Each has various social values and standards. It assists in understanding concerning society and preference of clients.


In this case of NASCAR it can be kept in mind that companies are heavily spending for research and advancement. NASCAR must likewise work on its media rights policy with Turner Broadcasting System.

Vrio Analysis
Legal plays an important role in every country due to the fact that every country has various legal terms and conditions. Avantgo Case Study Solution needs to be ensure that they protect their legal rights in every county so any business does not harm to its legal rights.


Ecological elements are likewise important for every organisation. NASCAR needs to make sure that its automobiles are not generating contamination more than acceptable level.

7 P's of Marketing


The products of Avantgo Case Study Analysis in its item portfolio are; racing events tickets, racing tracks, sponsor's marketing, media rights, licencing NASCAR brand name, approving rules for races and ad-space to business marketers during broadcast of NASCAR races. (Hanlon, 2018).


Prices method of NASCAR for its race occasions tickets is based upon the place and significance of the racing events. In addition to race occasions tickets, NASCAR likewise charge numerous service charge to its stakeholders and earns earnings. It charged approving fees of $1-2 million per race on average in 2005.


Advertising method of NASCAR is extremely based upon its fan base. A strong fan base share its fandom with others and increase the number of viewers for NASCAR races.


NASCAR have its racing tracks in numerous cities in United States. The most important tracks of NASCAR consists of Atlanta Motor Speedway in Georgia, Vehicle Club Speedway in California and Darlington Raceway in South Carolina. It attempts to perform its races in most of the cities in United States to understand across the country appeal.


Nestle people strategy is consisted of providing much better experience to its viewers, its fan base and to all of its stakeholders. People are an essential element of Avantgo Case Study Solution A marketing strategy as its occasions are the source of entertainment for crowd. Its individuals technique consists of efforts to offer much better experience to its Fans, Race Drivers, Crew, Event Organizers etc., all of which come under individuals strategy of NASCAR.


A number of business procedures are required to conduct racing occasions in an efficient method. These processes consist of; proper schedule of time, arrangement for viewers, offering tickets, arrangement of area for sponsors, handling logistics and so on. These all processes contribute I constructing NASCAR image, enhancing viewers experience and increasing fan base.

Physical Proof.

Essential physical proofs for the NASCAR includes the existence of its racing tracks, stock cars and racing occasions. Along with it, its merchandising brands consisting of t-shirts, caps, goodies and so on, likewise function as a physical proof for NASCAR.

Item Life Process Assessment.

The racing events by Avantgo Case Study Analysis was presented on June 19, 1949. The first race was held at Charlotte Speedway in North Carolina. There had to do with 13000 fans present in the race. At the very first phase competitors for NASCAR was low, as the competitors drove the cars similar to the cars and trucks driven by regular people.


After conducting its very first race effectively the company moved towards building its own tracks. The first Avantgo Case Study Solution based track, namely the Darlington Raceway track, was initiated in 1950 in South Carolina. It was followed by establishment of more raceways including Daytona International Speedway, which was opened in 1959. After the development of racing tracks the company moved towards relaying its races on television in 1979. The very first event transmitted on television was flag-to-flag coverage of Daytona.

In 1972, William France Jr., ended up being the president of NASCAR and n about 3 decades, he transformed NASCAR from a regional Sport popular company into one with global fan base. He started a new period of rewarding sponsorships and tv contracts for NASCAR.


The maturity duration for NASCAR began with the efforts of William France Jr., with the business having vast array of income sources. The company has about 500 sponsors with relaying its occasions in about 150 nations. The business has large number of tracks in the majority of the cities of United States.


The significant causes of decline consist of the financial crisis of 2008, which increased the expense of getting here at tracks for audiences due to increasing fuel costs, and the moving of its fan base towards other sports.

Market Segmentation.

The marketplace segmentation of Avantgo Case Study Help can be divided into 4 sectors; Geographic, Demographic, Psychographic and Behavioural. (Dutta, 2018).


The geographical division of Avantgo Case Solution is based upon the geographical presence of its tracks in various states and cities in United States, and the tv broadcasting of its events in numerous nations. The business has 23 tracks in about 20 states of America and has tv broadcast through various Medias i.e. TNT, ESPN, ABC and Fox, in about 150 countries.This vast geographical division offers the business regional along with worldwide fan base.


The demographic division of Avantgo Case Study Solution is likewise highlydiverse based upon the gender, earnings and age of the customer. To increase the market segment of its market NASCAR should modify its marketing techniques to draw in more age groups and lower its costs to go into in the market sector with a low average earnings.


The psychological characteristics of most of the fans are quite similar. NASCAR has a fan base with a commitment. As soon as in a week, NASCAR fans view it compulsive to acquire tickets and see the races. 71% of them choose to buy items with a NASCAR brand. They are rather extrovert and are willing to join other fans while racing. They desire quality racing with low rate at hassle-free location. NASCAR has actually tried to increase the quality of its racing by presenting stage racing, they likewise have actually attempted to lower rates and make the occasion more hassle-free by presenting live racing.


Behavioural division of Avantgo Case Study Analysis is based upon the behaviour of fans in terms of enjoying the race live on the tv or by entering the occasions. Currently, the fans choice is towards enjoying the race at home on television instead of going, as the customer experience at NASCAR tracks is not beneficial along with expensive. This preference makes the rates for presence lower than the rates for television viewers. NASCAR has to change the behaviour of its fan base by introducing qualitative services at its tracks.

Target Market.


One of the potential target market of NASCAR was Hispanics; the young and growing population of United States. The market segment has great potential for NASCAR as the population was growing at a higher rate and it was anticipated to become thrice after forty years and the sector has increasing wealth rate with about $1 trillion of wealth in 2014.


Kids are likewise one of the possible target market sector for NASCAR, as they are more connected socially than other groups. Producing fan base amongst kids can supply a potential boost in the variety of fans for racing due to their connectivity. Kids spend the majority of their times in playing and utilizing mobile phones video games. Car racing video games developed by Avantgo Case Study Help can be a possible source of getting attention of kids towards NASCAR track racing. NASCAR's digital functions related to kids are not capable of gaining the attention. NASCAR needs more attention towards customizing and enhancing its digital features to attract the kids target audience.

Generation Y.
Generation Y target market consists of those who invested 5 times more resources on discretionary expenditures i.e. acquiring tickets for racing occasions, than others. This substantial expenditure makes the segment capacity for NASCAR marketing technique of increasing its fan base. The marketplace section is also easy to method as 81% of the Y Generation customer uses Facebook every day and the use is two times of using tv and radio. The marketplace sector views sports as a social occasion, rather than adherence to sport. The marketplace section considers NASCAR as a company lacking in developing a multiculturalism environment. Avantgo Case Study Help ought to take various actions to enhance the experience of Generation Y customers in its events.

5 C's of Marketing

5 C's of marketing assists in taking decisions relating to marketing.


It requires to make PESTLE analysis in order to comprehend climate or context in which NASCAR is working. PESTLE means political, economic, social, technical, legal and environmental and is mentioned above.


NASCAR is a car racing company with having USP of high quality vehicle racing with a global structure. Its sector is sports group and occasions. Its target market is males in the age group of 15-60 years. Company has closed business culture and having non-interventionist approach.


Collaborations consists of distributors, providers and alliances of NASCAR. NASCAR utilized to get pay check of around $15 million every year from Turner Sports. NASCAR had to get approval from Turner Sport if it want to develop its Facebook page, twitter account or even mobile application.


The consumer of Avantgo Case Study Analysis are its viewers. They target clients with having age of 15-60 years. Fan base of NASCAR consisted of married males with an average age of 47, which passes their fandom to their youngsters and develop generational commitment.


Groups generally represents sponsors in NASCAR and the medium of advertising is drivers. These chauffeurs can go against NASCAR if they got better opportunity in terms of prizes and tv exposure.

Marketing Methods.

1. Preserving and establishing Facebook Page.
Among the potential target audience sectors for NASCAR is Hispanics which is the growing population section of U.S.A. however regrettably NASCAR had actually been unable to bring in the this targeted segment. In order to attract the young growing generation the NASCAR ought to market by using social networks like Facebook. It must establish a Facebook page containing the details regarding the races and the areas of tracks to make the consumer useful about the core operations of Avantgo Case Study Solution. It should also update its Facebook page on daily basis to supply info about its upcoming events. This would make the target audience segment more helpful about the business and would result in drawing in big fans base.
2. Establishing and Upgrading Accounts of Secret Drivers.
Avantgo Case Study Analysis motorists has a low star power as compare to gamers of other sports. The poor contacts with fans result in less tourist attraction of audiences towards the racers and a low star power. Star power is an important element for bring in audiences towards tracks and towards tv.
3. Establishing New Games and enhancing current video games for kids.
In order to bring in these kids, NASCARA must enhance its current racing video games by introducing personalization in the vehicles i.e. altering colours, selection of speed, presenting group racing in the game, using much better graphics related to the racing tracks and introducing different levels in the game. All these adjustments in the present game would provide much better experience to kids.
In addition to it, NASCAR ought to also develop new games associated with racing like kids racing with kids characters as drivers, animation racing with racing in between numerous cartoon characters with a choice of picking the favourite cartoon character for the kids. These methods would enable the business to draw in one of its possible target segments.
4. Introducing multiculturalism at events.
NASCAR occasions are comprised of fans with extremely couple of cultural variety, due to cost of arrival in events, making it unattractive for the consumers perceiving sport occasions as social celebrations i.e. Generation Y customers. As the Generation Y clients are a prospective target market for NASCAR, for that reason the company ought to take certain steps to attract this potential target market.
5. Improving Client Experience at Tracks.
NASCAR needs to work on infrastructure and facilities at tracks since on the race day audiences got disappointed. Viewers have lots of expectations from Avantgo Case Study Help since in exact same market other business are providing better services than NASCAR. IF NASCAR don't work on this concern then its fans may moved to its competitors.

Marketing Spending plan

Marketing spending plan made on the basis of the above techniques for the period of 5 years from 2011 to 2015, reveals the cost related data for the marketing techniques. (See Appendix B). It can be seen that method 5 of improving consumer experience at tracks would require highest preliminary investment and expense and technique 4 of presenting multiculturalism will need lowest preliminary investment with lowest even more per year cost. The business must prioritize the resource allocation on these methods on the basis of its readily available resources and the possible benefits which the strategy would provide.
KEEP IN MIND: The values about cost are assumed on rational basis due the lack of figures and realities connected to cost in the event study. Inflation rate of United States is assumed to be 10%.

On the basis of deep analysis of the internal and external factors of Avantgo Case Study Help causing the decline of tv viewership rate and presence rate at tracks, the above marketing techniques are advised to NASCAR to increase its fan base in long term. These strategies would manage internal factors like bad client experience at tracks, insufficient social networks marketing, incapable digital medias like games, absence of culturalisms at tracks etc., along with with external aspects like moving of fans towards other sports, demographical modifications in America and changing family life designs.