Mack Henley A Online Case Study Solution

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Mack Henley A Case Study Solution & Analysis


Mack Henley A Case Study Help (National Association for Stock Car Automobile Racing) is an organization carrying out series of Stock Automobile racing in United States and functioning as an approving body for driving the guidelines for Stock Vehicle Racing. The organization was established in 1947, by "Huge Costs" France. NASCAR organize Stock Vehicle Racing occasions in United States with the existence of about 130000 audiences usually in 2005. It likewise broadcast its events in about 150 nations. Stock Automobile Racing by NASCAR is the 2nd biggest spectator sport, with highest variety of sponsors. It has about 500 sponsors contributing billions of dollars in its revenue. The other sources of earnings for Mack Henley A Case Study Solution consists of; 10% of the total profits from television rights, approving fees 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 technique brings tensions in the sport. The building of Vehicle of Tomorrow by Mack Henley A Case Study Solution, with an objective of security for the chauffeurs, brought different stress among the stakeholders of the sport.
Executive Summary
The communication audit, conducted in 2010, exposed that regardless of the reality that the service extremely rely on the interactions in between its stakeholders, there was no identifiable service communication technique. (

The audit pointed out different doing not have of NASCAR in terms of lack of internal integration, lack of fan management technique and lack of social and digital media of marketing.

Mack Henley A Case Study Analysis audiences was highly loyal to the sport and the brand names associated with the NASCAR, making it appealing for sponsors and business marketers.

Problem Declaration.

The business is presently facing the problem of decreasing rates of presence at racing tracks and rates of television viewers. This can put a significant impact on its earnings from sponsors, media rights, and from other sources of income.

Situational Analysis.

Although the company was quite successful till 2005 with its conventional marketing methods, however not long after 2005 the company starts dealing with various problems consisting of decline of its fan base. Several external along with internal aspects are responsible for the decrease. Internal elements include; inadequate investment in social media and other digital medias of.

Fan base of NASCAR consisted of married males with a typical age of 47, which passes their fandom to their children and create generational loyalty. The household system in America was altering resulting in reduction of influence of married male fan base over their children. Along with it understandings about vehicle was likewise altering with perceiving car a lorry to reach at point B from point A, rather than as a fun job. Other difficulties for Mack Henley A Case Study Help 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 homes through jumbo turns, Wi-Fi access, and so on. These all difficulties were tending the business to revise its marketing techniques.

SWOT Analysis.


NASCAR core proficiencies includes it has rights of determining guidelines as sanctioning body. Rules and regulations concerning expert stock automobile racing are determined by NASCAR like if any group with required skills and resources can get in into races by following rules and policies determined by NASCAR. All the events of NASCAR are sponsored by corporates because of most significant brand loyalty of fans toward brand names advertised by Mack Henley A Case Study Solution.

Weak points.

Weak Points in SWOT Analysis are thought about as external elements. Weaknesses includes the factors that stops business to carry out at required level of efficiency. Weak points of NASCAR includes its close culture which is non collaborative. They have non-interventionist approach. They usually used to form rules and other needed procedures without intervention of others which leads to poor partnership. NASCAR develops Automobile of Tomorrow without collaboration so result is that drivers did not like that idea. As this is racing sport so covering of sports by media is likewise hard. It was also discovered that NASCAR had no effective strategy for company communication. They don't understand how to handle problem if it occurred off track. Ineffective company communication results in that they don't have clear direction for their long term objectives. They don't understand that where they want to see this sport in future.
Porter's 5 Forces Analysis

Opportunities in SWOT analysis are external aspects which can be beneficial to business or the external factors on which business is having competitive advantage. NASCAR usually utilized to rely on traditional media sources like local paper for publicity of its sports. Generally these traditional media sources attempt to cover their home team and certain sort of events. NASCAR also came to know from these traditional media outlets that sport was difficult to cover. Media landscape also changed from standard to digital landscape. Papers failed. NASCAR can work on its capabilities to get maximum possible take advantage of this brand-new digital landscape. NASCAR have underinvestment in digital resources. So it can capitalize in social and digital media to get its advantages. Digital rights of NASCAR were likewise offered to Turner Sports. NASCAR utilized to make money check of around $15 million yearly from Turner Sports. There are number of cons behind this deal. For example Mack Henley A Case Study Help had to get approval from Turner Sport if it want to create its Facebook page, twitter account or perhaps mobile application. Turner Sport likewise had rights of every video which is shoot during race at track. Then they are needed to pay licensing costs to Turner Sport, if media sources like newspapers, magazines and cable television channels want to post videos of races on their particular pages. NASCAR can work on terms and conditions and try to work out with Turner Sports to get maximum advantages of it. Star power plays extremely important role in generating incomes from every sport. Nevertheless it was noted that Mack Henley A Case Study Help is lagging in this location i.e. star power. When sports fans were asked relating to popular celebrities and stars then NASCAR motorist was not discovered even in leading twenty actions. NASCAR can put efforts in this area too for income generation. They should guide their motorists that how they can end up being sport stars. 4 strategic focuses which are created by research study team can also be worked as opportunity for NESCAR. These four tactical focuses compares and analysis Mack Henley A Case Study Solution techniques.


Economic down turn was experienced in late 2000 which can be danger for NASCAR since if there is economic down turn then people would be having less return on investment. Economic down turn likewise results in increase fuel costs which also affected NASCAR. Now if NASCAR make substantial financial investments in new segments which are based on brand-new consumers then it may deal with unfavorable remarks from its core fan base.

Porter's Five Forces Analysis

It is important to understand industry in which company is working since NASCAR's bottom line i.e. net earnings is greatly depends on this. There are 5 forces that are utilized to identify profitability, intensity and beauty of NASCAR company.

Competitive Competition

This force indicates ability of competitors. Teams normally represents sponsors in NASCAR and the medium of advertising is chauffeurs. Therefore it can be said that motorists and race cars are rivals. These chauffeurs can go against NASCAR if they got better opportunity in regards to prizes and tv exposure. If viewers take pleasure in other race vehicles and chauffeurs more than NASCAR then viewers can shift to those other fascinating cars and trucks and motorists. NASCAR could be having danger from its 2 direct competitors that is Formula 1 and Moto GP. They require to produce competitive advantages for drivers so they do not shift to other rivals.
Swot Analysis
Provider Power

If company shifts from one provider to another, the supplier power suggests the number of suppliers are offered in market and what is the expense associated with supplier. In this industry there is supply monopoly because drivers with needed resources and abilities are limited.

Purchaser Power

This force is concerning to customers that is it easy for customers to shift to other products. Then clients are less likely to switch, if there is more changing expense is associated. In the case of NASCAR customers are its audiences. Since viewers will having low changing cost, audiences can change to other competitors easily.

Danger of Replacement

Replacements are referred as alternatives. The substitutes in this case can be other entertainment implies like viewers can shift to other sports. So there are vast array of replacements are offered in this situation which recommends that hazard of replacement is high.

Risk of New Entry

It is specified as how it is easy for any company to go into in that particular industry. In the case of Mack Henley A Case Study Help danger of new entry is low. If any business needs to enter in this organisation than they have to make heavy financial investments, due to the fact that. They require to build cars and trucks and racing tracks and likewise needs to pay hefty amount to chauffeurs for changing.

PESTEL Analysis


As NASCAR is working in numerous markets so it needs to face different regulations. It is likewise noted that NASCAR has faced increased analysis concerning regulatory. Every government has different top priority so NASCAR has actually to be prepared for it as concern can be moved to other sector.


Financial elements consists of taxation rate, exchange rate, financial efficiency of that particular business, conditions of labour market, inflation rate etc. If there is federal government intervention in the marketing and sales sector, fortunes of the NASCAR and its competitors can be impacted. NASCAR can take advantage of capabilities of staff members to produce new opportunities and improve existing opportunities.


Every society is various from each other. Each has various social worths and standards. It assists in understanding concerning society and preference of consumers. Social elements includes traditions, culture, mindsets towards specific services and products, demographics, norms, interests etc. It can be concluded that advertising through other means instead of traditional (i.e. newspaper) can be chosen in this society.


In this case of NASCAR it can be noted that companies are heavily investing for research and development. NASCAR ought to likewise work on its media rights policy with Turner Broadcasting System.

Vrio Analysis
Since every nation has different legal terms and conditions, Legal plays a crucial function in every nation. Mack Henley A Case Study Help requires to be make sure that they secure their legal rights in every county so any business does not harm to its legal rights.


Ecological elements are likewise crucial for each company. Because typically governments do not allow those service which can hurt to environment. These ecological elements includes laws relating to contamination, climate change, safe waste disposal, policies relating to insurance coverage etc. NASCAR requires to make certain that its vehicles are not creating contamination more than acceptable level.

7 P's of Marketing


The products of Mack Henley A Case Study Help in its product portfolio are; racing events tickets, racing tracks, sponsor's marketing, media rights, licencing NASCAR brand, sanctioning guidelines for races and ad-space to business online marketers throughout broadcast of NASCAR races. (Hanlon, 2018).


Pricing method of NASCAR for its race events tickets is based upon the place and value of the racing events. Along with race occasions tickets, NASCAR also charge various service fees to its stakeholders and earns earnings. It charged sanctioning costs of $1-2 million per race on average in 2005.


Advertising strategy of NASCAR is extremely 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 various cities in United States. The most essential 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 the majority of the cities in United States to comprehend across the country appeal.


Nestle people strategy is comprised of offering much better experience to its viewers, its fan base and to all of its stakeholders. People are an important element of Mack Henley A Case Study Help A marketing strategy as its events are the source of home entertainment for crowd. Its people strategy consists of efforts to provide better experience to its Fans, Race Drivers, Team, Event Organizers etc., all of which come under people strategy of NASCAR.


Numerous organisation processes are needed to carry out racing events in an effective method. These procedures include; appropriate schedule of time, plan for spectators, selling tickets, plan of space for sponsors, handling logistics etc. These all procedures contribute I building NASCAR image, improving viewers experience and increasing fan base.

Physical Proof.

Essential physical evidences for the NASCAR consists of the existence of its racing tracks, stock cars and trucks and racing events. In addition to it, its retailing brand names consisting of tee shirts, caps, goodies and so on, likewise serve as a physical evidence for NASCAR.

Product Life Cycle Evaluation.

The racing events by NASCAR was introduced on June 19, 1949. At the very first stage competitors for NASCAR was low, as the rivals drove the vehicles similar to the automobiles driven by ordinary individuals.


The first NASCAR based track, specifically the Darlington Raceway track, was initiated in 1950 in South Carolina. After the development of racing tracks the company 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 years, he changed NASCAR from a regional Sport popular organization into one with worldwide fan base. He initiated a brand-new period of profitable sponsorships and tv contracts for NASCAR.


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


The major causes of decrease consist of the monetary crisis of 2008, which increased the cost of getting here at tracks for audiences due to increasing fuel costs, and the shifting of its fan base towards other sports.

Market Division.

The marketplace segmentation of Mack Henley A Case Study Analysis can be divided into 4 segments; Geographic, Demographic, Psychographic and Behavioural. (Dutta, 2018).


The geographical division of Mack Henley A Case Analysis is based upon the geographical presence of its tracks in numerous states and cities in United States, and the television broadcasting of its events in different nations. The business 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 huge geographical division provides the company local in addition to global fan base.


The group segmentation of NASCAR is likewise highlydiverse based upon the gender, earnings and age of the consumer. Its present 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 market section of its market NASCAR ought to modify its marketing methods to bring in more age groups and lower its prices to go into in the marketplace segment with a low average earnings.( htt1).


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


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

Target Market.


One of the potential target market of NASCAR was Hispanics; the young and growing population of United States. The market segment has fantastic prospective for NASCAR as the population was growing at a higher 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.


Kids are likewise among the potential target audience section for NASCAR, as they are more linked socially than other groups. Creating fan base among kids can supply a potential boost in the number of fans for racing due to their connectivity. Kids invest most of their times in playing and utilizing mobile phones computer game. Automobile racing games developed by Mack Henley A Case Study Solution can be a prospective source of gaining attention of kids towards NASCAR track racing. NASCAR's digital functions related to kids are not capable of acquiring the attention. NASCAR requires more attention towards personalizing and enhancing its digital functions to attract the kids target audience.

Generation Y.
Generation Y target audience consists of those who invested five times more resources on discretionary expenditures i.e. buying tickets for racing events, than others. This big expenditure makes the segment capacity for NASCAR marketing technique of increasing its fan base. The marketplace segment is also simple to approach as 81% of the Y Generation customer utilizes Facebook the use and every day is two times of utilizing tv and radio. The marketplace segment views sports as a social occasion, instead of adherence to sport. The marketplace sector considers NASCAR as an organization doing not have in developing a multiculturalism atmosphere. Mack Henley A Case Study Help needs to take different steps to improve the experience of Generation Y consumers in its occasions.

5 C's of Marketing

5 C's of marketing helps in taking decisions regarding marketing. These 5 C's requirements to be evaluated appropriately for taking any marketing decision. These 5 C's represent Environment, Company, Collaborators, Competitors and customers.


It requires to make PESTLE analysis in order to comprehend environment or context in which NASCAR is working. PESTLE stands for political, financial, social, technical, ecological and legal and is specified above.


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


Collaborations consists of distributors, suppliers and alliances of NASCAR. NASCAR used 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 customer of Mack Henley A Case Study Analysis are its viewers. They target consumers with having age of 15-60 years. Fan base of NASCAR consisted of married males with a typical age of 47, which passes their fandom to their children and produce generational loyalty.


Groups normally represents sponsors in NASCAR and the medium of advertising is drivers. These chauffeurs can go against NASCAR if they got better chance in terms of rewards and television exposure.

Marketing Techniques.

1. Establishing and Preserving Facebook Page.
Among the prospective target audience sectors for NASCAR is Hispanics which is the growing population sector of U.S.A. but regrettably NASCAR had been not able to bring in the this targeted section. In order to attract the young growing generation the NASCAR must market by utilizing social media like Facebook. It needs to establish a Facebook page containing the details relating to the races and the places of tracks to make the consumer helpful about the core operations of Mack Henley A Case Study Analysis. It needs to also upgrade its Facebook page on daily basis to provide info about its approaching occasions. This would make the target audience section more informative about business and would result in attracting large fans base.
2. Establishing and Upgrading Accounts of Secret Drivers.
Mack Henley A Case Study Solution drivers has a low star power as compare to gamers of other sports. The bad contacts with fans result in less destination of audiences towards the racers and a low star power. Star power is an essential aspect for drawing in audiences towards tracks and towards television.
3. Establishing New Games and improving existing video games for kids.
In order to draw in these kids, NASCARA must enhance its existing racing video games by presenting modification in the cars i.e. changing colours, selection of speed, introducing group racing in the video game, using better graphics related to the racing tracks and presenting various levels in the game. All these modifications in the present game would offer much better experience to kids.
Along with it, NASCAR ought to also build new games related to racing like kids racing with kids characters as drivers, animation racing with racing between various cartoon characters with a choice of choosing the favourite cartoon character for the kids. These techniques would allow the business to bring in one of its potential target segments.
4. Presenting multiculturalism at occasions.
NASCAR occasions are made up of fans with really few cultural variety, due to cost of arrival in occasions, making it unattractive for the customers perceiving sport occasions as social occasions i.e. Generation Y customers. As the Generation Y customers are a possible target market for NASCAR, therefore the business must take specific steps to attract this prospective target market.
5. Improving Consumer Experience at Tracks.
Because on the race day viewers got disappointed, NASCAR ought to work on infrastructure and amenities at tracks. Because in same market other companies are supplying better services than NASCAR, audiences have lots of expectations from Mack Henley A Case Study Analysis. IF NASCAR don't work on this issue then its fans may shifted to its competitors. According to fans there were not appropriate centers were available as compare to other sports suppliers. NASCAR should make sure that it offer appropriate centers that consists of cleaned up restrooms, comfy seating arrangement. They should also supply WIFI services and accessibility of charge card throughout that track. It must be also make sure that there suffice jumbo turns placed at all needed locations. There must be likewise food stalls that offer quality food to audiences. In this method audiences will be having enjoyable experience at the day of occasion. (See Appendix B).

Marketing Budget

Marketing budget made on the basis of the above methods for the duration of 5 years from 2011 to 2015, reveals the cost associated information for the marketing methods. (See Appendix B). It can be seen that strategy 5 of enhancing client experience at tracks would require greatest preliminary financial investment and cost and strategy 4 of introducing multiculturalism will require lowest initial investment with least expensive further annually expense. The company needs to focus on the resource allowance on these methods on the basis of its offered resources and the possible advantages which the strategy would offer.
NOTE: The values about expense are presumed on logical basis due the lack of figures and truths associated with cost in the event research study. Inflation rate of United States is presumed to be 10%.

On the basis of deep analysis of the external and internal factors of Mack Henley A Case Study Solution triggering the decrease of television viewership rate and attendance rate at tracks, the above marketing techniques are suggested to NASCAR to increase its fan base in long term. These strategies would manage internal factors like bad client experience at tracks, inadequate social networks marketing, incapable digital medias like games, lack of culturalisms at tracks etc., as well as with external factors like shifting of fans towards other sports, demographical changes in America and changing family life styles.