Avantgo Online Case Study Analysis

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Avantgo Case Study Solution & Analysis


NASCAR (National Association for Stock Car Car Racing) is a company performing series of Stock Vehicle racing in United States and acting as an approving body for driving the guidelines for Stock Vehicle Racing. 2) Stock Car Racing by NASCAR is the second biggest viewer sport, with greatest number of sponsors. 1) The other sources of revenue for Avantgo Case Study Analysis includes; 10% of the overall profits from television rights, sanctioning charges i.e. $1-2 million per race, and licencing NASCAR brand to companies.

NASCAR has a closed business culture with the non-interventionist technique. This non collaborative approach brings stress in the sport. The structure of Car of Tomorrow by Avantgo Case Study Analysis, with an intent of security for the motorists, brought different tensions amongst the stakeholders of the sport.
Executive Summary
The interaction audit, conducted in 2010, exposed that regardless of the reality that business highly rely on the communications between its stakeholders, there was no identifiable company interaction strategy. The industry's target customers, direction and goals were all unknown.

The audit pointed out different lacking of NASCAR in regards to lack of internal integration, absence of fan management technique and lack of digital and social media of marketing. The company has complicated environment with independent tracks, chauffeurs and teams. This structure with closed business culture bring numerous obstacles in speeding up a modification. Other partners in environment includes the media networks i.e. tv and radio, and corporate marketers.

Avantgo Case Study Solution audiences was extremely devoted to the sport and the brand names connected with the NASCAR, making it appealing for sponsors and corporate marketers.

Problem Statement.

The company is presently facing the issue of declining rates of participation at racing tracks and rates of tv viewers. This can put a substantial influence on its revenues from sponsors, media rights, and from other sources of earnings.

Situational Analysis.

The business was quite successful till 2005 with its traditional marketing techniques, but soon after 2005 the business starts dealing with various issues including decrease of its fan base. Numerous external along with internal aspects are responsible for the decrease. Internal aspects include; inadequate financial investment in social media and other digital medias of.

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. The family system in America was altering resulting in decrease of impact of married male fan base over their youngsters. In addition to it understandings about automobile was also changing with viewing cars and truck a lorry to reach at point B from point A, instead of as an enjoyable task. Other obstacles for Avantgo Case Study Solution consists of the shift of its fans to other sports as they were improving their fan's experience allowing access to their broadcasts out of the houses through jumbo turns, Wi-Fi gain access to, etc. These all challenges were tending the business to modify its marketing techniques.

SWOT Analysis.


In SWOT analysis, strengths specified as business's qualities which are various from its rivals. These are business's core competencies on which business efficiency or business success based on. Avantgo Case Study Help core proficiencies includes it has rights of determining rules as approving body. Rules and regulations concerning expert stock car racing are dictated by NASCAR like if any group with needed skills and resources can enter into races by following guidelines and policies determined by NASCAR. NASCAR has monopoly it this aspect. Its strengths also consists of that it has title of second biggest viewer sport in the United States with having more fortune 500 sponsors based in US. Its races were utilized to transmit in more than 150 countries worldwide with more than $56 million earnings. The main sources of their profits come from television rights, approving charges, sponsorship and licensing. It has longest season of 10 months and having ownership of three nationwide series i.e. Camping World Truck Series, the Sprint Cup Series and the Nationwide Series. It has likewise large resource of fans and business sponsors. Because of greatest brand name loyalty of fans toward brands advertised by NASCAR, all the events of NASCAR are sponsored by corporates. (See Appendix A).

Weak points.

Weaknesses in SWOT Analysis are thought about as external factors. Weak points consists of the elements that stops business to carry out at required level of effectiveness. Weaknesses of NASCAR includes its close culture which is non collective. They have non-interventionist approach. They generally utilized to form guidelines and other required procedures without intervention of others which leads to poor collaboration. NASCAR develops Cars and truck of Tomorrow without cooperation so result is that motorists did not like that principle. As this is racing sport so covering of sports by media is likewise tough. It was likewise found that NASCAR had no reliable method for company communication. If it occurred off track, they don't understand how to handle problem. Inefficient business interaction leads to that they don't have clear instructions for their long term objectives. They do not understand 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 business or the external aspects on which business is having competitive advantage. NASCAR typically used to rely on traditional media sources like regional newspaper for publicity of its sports. Normally these standard media sources attempt to cover their house group and certain type of occasions. NASCAR also came to know from these traditional media outlets that sport was difficult to cover. Media landscape also altered from traditional to digital landscape. Newspapers went out of business. NASCAR can deal with its capabilities to get optimal possible take advantage of this brand-new digital landscape. NASCAR have underinvestment in digital resources. It can capitalize in social and digital media to get its advantages. Digital rights of NASCAR were likewise sold to Turner Sports. NASCAR used to earn money check of around $15 million each year from Turner Sports. There are number of cons behind this deal. NASCAR had to get approval from Turner Sport if it want to create its Facebook page, twitter account or even mobile application. Turner Sport likewise had rights of each and every single video which is shoot during race at track. If media sources like papers, publications and cable television channels wish to post videos of races on their respective pages then they are needed to pay licensing fees to Turner Sport. So NASCAR can deal with terms and attempt to work out with Turner Sports to get maximum benefits of it. Star power plays really crucial role in creating profits from every sport. It was kept in mind that NASCAR is lagging in this location i.e. star power. For instance when sports fans were asked regarding popular stars and stars then NASCAR motorist was not discovered even in top twenty reactions. So NASCAR can put efforts in this area too for revenue generation. They need to direct their motorists that how they can become sport stars. 4 tactical focuses which are produced by research group can likewise be served as chance for NESCAR. These 4 tactical focuses compares and analysis Avantgo Case Study Help methods.


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

Porter's 5 Forces Analysis

It is crucial to understand industry in which business is working due to the fact that NASCAR's bottom line i.e. net revenue is greatly depends on this. There are 5 forces that are used to identify profitability, strength and beauty of NASCAR company.

Competitive Competition

These motorists can go versus NASCAR if they got much better chance in terms of rewards and television exposure. If audiences take pleasure in other race vehicles and chauffeurs more than NASCAR then audiences can move to those other fascinating cars and trucks and drivers. NASCAR could be having risk from its 2 direct competitors that is Solution 1 and Moto GP.
Swot Analysis
Supplier Power

If company shifts from one provider to another, the supplier power shows the number of providers are offered in market and what is the cost associated with provider. Due to the fact that chauffeurs with needed resources and abilities are restricted, in this industry there is supply monopoly.

Buyer Power

This force is concerning to clients that is it simple for customers to move to other products. Then consumers are less most likely to change, if there is more switching cost is associated. In the case of NASCAR customers are its audiences. Because viewers will having low changing cost, audiences can change to other competitors quickly.

Threat of Substitution

Alternatives are referred as alternatives. The substitutes in this case can be other entertainment implies like audiences can shift to other sports. There are large range of substitutes are available in this scenario which recommends that danger of substitute is high.

Threat of New Entry

It is defined as how it is easy for any company to go into in that specific industry. When it comes to Avantgo Case Study Help hazard of new entry is low. If any business requires to enter in this service than they have to make heavy financial investments, due to the fact that. They require to construct vehicles and racing tracks and likewise requires to pay large amount to motorists for changing.

PESTEL Analysis


It can not be concluded from case research study that there would be modification in resource allotments. NASCAR had actually got take advantage of lower tax policies which leads to increasing in profits. They made heavy financial investments in the research and advancement. As NASCAR is working in various markets so it requires to deal with various regulations. It is also noted that Avantgo Case Study Solution has faced increased analysis concerning regulative. Every federal government has various top priority so NASCAR has to be prepared for it as concern can be moved to other sector.


Economic elements includes tax rate, currency exchange rate, financial efficiency of that specific business, conditions of labour market, inflation rate and so on. If there is government intervention in the marketing and sales sector, fortunes of the NASCAR and its rivals can be affected. NASCAR can utilize capabilities of employees to create new opportunities and enhance existing opportunities.


Each has different social worths and norms. It assists in understanding regarding society and preference of clients.


In this case of NASCAR it can be kept in mind that companies are greatly spending for research and development. NASCAR should also work on its media rights policy with Turner Broadcasting System.

Vrio Analysis
Legal plays an essential role in every nation because every nation has different legal terms. Avantgo Case Study Analysis requires to be make sure that they secure their legal rights in every county so any company does not damage to its legal rights.


Ecological aspects are likewise important for each business. Because normally governments don't allow those service which can damage to environment. These environmental factors includes laws concerning contamination, environment change, safe garbage disposal, policies relating to insurance and so on. NASCAR needs to make certain that its cars and trucks are not creating contamination more than appropriate level.

7 P's of Marketing


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


Prices technique of NASCAR for its race occasions tickets is based upon the place and significance of the racing events. In addition to race events tickets, NASCAR also charge various service charge to its stakeholders and earns income. For example it charged approving fees of $1-2 million per race on average in 2005.


Marketing method of NASCAR is highly based upon its fan base. A strong fan base share its fandom with others and increase the number of audiences for NASCAR races.


NASCAR have its racing tracks in numerous cities in United States. The most crucial tracks of NASCAR consists of Atlanta Motor Speedway in Georgia, Automobile Club Speedway in California and Darlington Raceway in South Carolina. It tries to perform its races in the majority of the cities in United States to comprehend across the country popularity.


Nestle people technique is comprised of providing much better experience to its audiences, its fan base and to all of its stakeholders. People are an essential aspect of Avantgo Case Study Solution A marketing technique as its occasions are the source of home entertainment for crowd. Its individuals method includes efforts to offer better experience to its Fans, Race Drivers, Crew, Occasion Organizers etc., all of which come under people method of NASCAR.


Several company processes are required to perform racing events in an efficient way. These procedures include; proper schedule of time, arrangement for viewers, offering tickets, arrangement of area for sponsors, handling logistics etc. These all processes contribute I building NASCAR image, improving spectators experience and increasing fan base.

Physical Evidence.

Most important physical evidences for the NASCAR consists of the existence of its racing tracks, stock automobiles and racing occasions. Along with it, its merchandising brands consisting of tee shirts, caps, goodies and so on, also function as a physical proof for NASCAR.

Product Life Cycle Evaluation.

The racing events by NASCAR was introduced on June 19, 1949. At the very first phase competitors for NASCAR was low, as the rivals drove the cars and trucks similar to the cars and trucks driven by common individuals.


The very first NASCAR based track, specifically the Darlington Raceway track, was started in 1950 in South Carolina. After the growth of racing tracks the business moved towards broadcasting its races on tv in 1979.

In 1972, William France Jr., ended up being the president of NASCAR and n about 3 decades, he changed NASCAR from a local Sport popular organization into one with international fan base. He initiated a brand-new age of financially rewarding sponsorships and television agreements for NASCAR.


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


The significant causes of decline include the monetary crisis of 2008, which increased the cost of arriving at tracks for viewers due to increasing fuel costs, and the moving of its fan base towards other sports.

Market Segmentation.

The marketplace division of Avantgo Case Study Solution can be divided into 4 sections; Geographic, Demographic, Psychographic and Behavioural. (Dutta, 2018).


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


The group segmentation of NASCAR is likewise highlydiverse based upon the gender, income and age of the customer. Its existing fan base is majorly comprised of male married fans with an average age of 47 years and an earnings around $30-50 thousands. Presently NASCAR is attempting to increase its target market to the young growing population and kinds. To increase the demographic section of its market NASCAR should revise its marketing strategies to bring in more age and lower its costs to enter in the market section with a low average earnings.( htt1).


The mental qualities of the majority of the fans are quite similar. NASCAR has a fan base with a commitment. When in a week, NASCAR fans view it compulsive to purchase tickets and see the races. 71% of them choose to purchase items with a NASCAR trademark name. They are quite extrovert and are willing to mingle with other fans while racing. They desire quality racing with low price at practical area. NASCAR has actually tried to increase the quality of its racing by presenting stage racing, they also have actually attempted to lower prices and make the event more hassle-free by introducing live racing.


Behavioural division of NASCAR is based upon the behaviour of fans in terms of viewing the race live on the tv or by going in the events. Currently, the fans choice is towards enjoying the race at house on tv rather than going, as the consumer experience at NASCAR tracks is not favourable as well as costly.

Target audience.


One of the prospective target audience of Avantgo Case Study Help was Hispanics; the young and growing population of United States. The marketplace segment has fantastic possible for NASCAR as the population was growing at a greater rate and it was expected to become thrice after forty years and the section has increasing wealth rate with about $1 trillion of wealth in 2014. Although, the section reveals affinity with automobile culture, but need a more concentrated marketing towards inviting the sector towards racing.


Kids are likewise among the potential target market segment for NASCAR, as they are more linked socially than other groups. Developing fan base among kids can offer a prospective boost in the variety of fans for racing due to their connectivity. Kids spend most of their times in using mobile phones and playing video games. Car racing video games developed by Avantgo Case Study Help can be a potential source of acquiring attention of kids towards NASCAR track racing. NASCAR's digital features related to kids are not capable of acquiring the attention. NASCAR needs more attention towards customizing and improving its digital functions to attract the kids target audience.

This big expenditure makes the segment potential for NASCAR marketing technique of increasing its fan base. The market sector considers NASCAR as an organization doing not have in producing a multiculturalism environment. NASCAR ought to take numerous steps to enhance the experience of Generation Y consumers in its events.

5 C's of Marketing

5 C's of marketing assists in taking choices regarding marketing. These 5 C's requirements to be evaluated correctly for taking any marketing choice. These 5 C's mean Climate, Company, Collaborators, Consumers and Rivals.


It needs to make PESTLE analysis in order to understand environment or context in which NASCAR is working. PESTLE means political, economic, social, technical, legal and ecological and is mentioned above.


NASCAR is a vehicle racing company with having USP of high quality automobile racing with a global structure. Its sector is sports group and events. Its target market is males in the age group of 15-60 years. Business has closed corporate culture and having non-interventionist method.


Collaborations includes distributors, suppliers 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 desire to produce its Facebook page, twitter account or even mobile application.


The client of Avantgo Case Study Analysis are its audiences. They target clients with having age of 15-60 years. Fan base of NASCAR comprised of married males with a typical age of 47, which passes their fandom to their children and create generational loyalty.


The direct competitors of NASCAR are Formula 1 and Moto GP. Groups usually represents sponsors in NASCAR and the medium of advertising is motorists. It can be stated that motorists and race cars and trucks are competitors. If they got better opportunity in terms of prizes and tv exposure, these drivers can go versus NASCAR.

Marketing Techniques.

1. Establishing and Keeping Facebook Page.
One of the prospective target markets segments for NASCAR is Hispanics which is the growing population section of USA however regrettably NASCAR had actually been not able to attract the this targeted sector. In order to bring in the young growing generation the NASCAR ought to market by utilizing social networks like Facebook. It should establish a Facebook page consisting of the information regarding the races and the places of tracks to make the consumer helpful about the core operations of Avantgo Case Study Solution. It must likewise upgrade its Facebook page on everyday basis to offer information about its upcoming events. This would make the target market segment more helpful about business and would result in attracting large fans base.
2. Establishing and Upgrading Accounts of Secret Drivers.
NASCAR drivers has a low star power as compare to gamers of other sports. Its ranks 7th in regards to star power (see Case Display). The significant reason behind it is that, the racers primarily play in groups and are unable to build an essential account and preserve a close contact with fans. The bad contacts with fans result in less attraction of audiences towards the racers and a low star power. Star power is an essential aspect for attracting audiences towards tracks and towards television. The star power for the chauffeurs at NASCARA could be enhanced by creating and upgrading accounts of essential chauffeurs by NASCARA itself. This would get rid of the requirement of requiring chauffeurs to preserve their accounts and would lead to increasing fans attention towards NASCARA motorists.
3. Establishing New Games and enhancing present games for kids.
In order to attract these kids, NASCARA ought to enhance its current racing video games by introducing customization in the cars and trucks i.e. changing colours, selection of speed, introducing group racing in the video game, utilizing better graphics related to the racing tracks and presenting numerous levels in the game. All these modifications in the existing video game would offer much better experience to kids.
Along with it, NASCAR needs to also develop brand-new video games connected to racing like kids racing with kids characters as chauffeurs, cartoon racing with racing between different animation characters with an option of picking the favourite animation character for the kids. These techniques would allow the company to bring in one of its potential target segments.
4. Presenting multiculturalism at occasions.
NASCAR events are comprised of fans with very couple of cultural diversity, due to expense of arrival in occasions, making it unattractive for the clients perceiving sport occasions as social events i.e. Generation Y consumers. As the Generation Y consumers are a potential target market for NASCAR, therefore the company should take specific procedures to attract this possible target market.
5. Improving Client Experience at Tracks.
Due to the fact that on the race day viewers got disappointed, NASCAR must work on facilities and facilities at tracks. Viewers have lots of expectations from NASCAR due to the fact that in very same industry other business are supplying much better services than NASCAR. IF NASCAR don't work on this problem then its fans might shifted to its rivals. According to fans there were not sufficient centers were readily available as compare to other sports service providers. NASCAR must make sure that it supply sufficient centers that consists of cleaned up washrooms, comfy seating arrangement. They must also supply WIFI services and availability of credit cards throughout that track. It needs to be likewise make sure that there are enough jumbo turns put at all required locations. There ought to be also food stalls that offer quality food to viewers. In this method viewers will be having enjoyable experience at the day of occasion. (See Appendix B).

Marketing Spending plan

Marketing budget made on the basis of the above methods for the period of 5 years from 2011 to 2015, reveals the cost related information for the marketing strategies. (See Appendix B). It can be seen that strategy 5 of enhancing client experience at tracks would require highest initial investment and cost and strategy 4 of introducing multiculturalism will require least expensive preliminary investment with least expensive even more each year expense. The company needs to prioritize the resource allocation on these methods on the basis of its available resources and the prospective benefits which the technique would supply.
NOTE: The worths about cost are presumed on logical basis due the absence of figures and truths related to cost in the case study. Inflation rate of United States is presumed to be 10%.

On the basis of deep analysis of the external and internal elements of Avantgo Case Study Help triggering the decrease of television viewership rate and attendance rate at tracks, the above marketing strategies are advised to NASCAR to increase its fan base in long term. These methods would deal with internal factors like bad consumer experience at tracks, insufficient social media marketing, incapable digital medias like video games, absence of culturalisms at tracks etc., in addition to with external factors like moving of fans towards other sports, demographical changes in America and changing family life styles.