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Mack Henley D Case Study Solution & Analysis


NASCAR (National Association for Stock Cars And Truck Vehicle Racing) is an organization conducting series of Stock Cars and truck racing in United States and acting as a sanctioning body for driving the guidelines for Stock Automobile Racing. 2) Stock Car Racing by NASCAR is the 2nd biggest viewer sport, with greatest number of sponsors. 1) The other sources of earnings for Mack Henley D Case Study Help includes; 10% of the total income from tv rights, sanctioning costs i.e. $1-2 million per race, and licencing NASCAR brand to business.

NASCAR has a closed corporate culture with the non-interventionist approach. The structure of Cars and truck of Tomorrow by NASCAR, with an intent of safety for the chauffeurs, brought numerous stress amongst the stakeholders of the sport.
Executive Summary
The communication audit, carried out in 2010, revealed that regardless of the truth that the organisation highly rely on the communications between its stakeholders, there was no recognizable organisation interaction method. (

The audit pointed out various lacking of NASCAR in regards to lack of internal combination, absence of fan management technique and lack of social and digital media of marketing. The business has complex community with independent tracks, motorists and groups. This structure with closed business culture bring different obstacles in accelerating a change. Other partners in ecosystem includes the media networks i.e. television and radio, and business online marketers.

Mack Henley D Case Study Solution audiences was extremely faithful to the sport and the brands related to the NASCAR, making it appealing for sponsors and corporate online marketers.

Problem Statement.

The company is currently dealing with the issue of decreasing rates of attendance at racing tracks and rates of television viewers. This can put a substantial impact on its earnings from sponsors, media rights, and from other sources of income.

Situational Analysis.

The business was rather effective till 2005 with its traditional marketing methods, but soon after 2005 the company starts facing numerous problems consisting of decline of its fan base. Several external in addition to internal elements are accountable for the decline. Internal elements consist of; inadequate financial investment in social networks and other digital medias of.

Fan base of NASCAR comprised of married males with an average age of 47, which passes their fandom to their youngsters and create generational commitment. Other challenges for NASCAR includes the shift of its fans to other sports as they were enhancing their fan's experience allowing access to their broadcasts out of the houses through jumbo turns, Wi-Fi gain access to, and so on.

SWOT Analysis.


NASCAR core competencies includes it has rights of determining guidelines as approving body. Policies and guidelines relating to 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 rules and policies determined by NASCAR. All the events of NASCAR are sponsored by corporates because of most significant brand name commitment of fans toward brand names advertised by Mack Henley D Case Study Analysis.

Weak points.

Weak Points in SWOT Analysis are thought about as external factors. Weak points includes the aspects that stops company to perform at required level of efficiency. Weaknesses of NASCAR includes its close culture which is non collaborative. They have non-interventionist technique. They typically utilized to form guidelines and other needed procedures without intervention of others which leads to poor collaboration. For example NASCAR establishes Car 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 also difficult. It was also found that NASCAR had no effective strategy for organisation interaction. They don't know how to handle concern if it took place off track. Ineffective service interaction leads to that they don't have clear instructions for their long term goals. They do not understand that where they wish to see this sport in future.
Porter's 5 Forces Analysis

NASCAR typically utilized to rely on standard media sources like local newspaper for promotion of its sports. NASCAR also came to understand from these conventional media outlets that sport was difficult to cover. When sports fans were asked relating to popular celebrities and stars then NASCAR driver was not found even in top twenty actions.


Hazards in SWOT analysis are specified as external aspects that can threat to business's success. Because if there is financial down turn then individuals would be having less return on investment, Economic down turn was experienced in late 2000 which can be threat for NASCAR. Earning of individuals would be effected and they would be more conscious in spending their loan. Economic down turn also leads to increase fuel costs which also impacted NASCAR. Since fans of NASCAR used to attend its occasion from long distances. NESCAR had a rule of 65/25/10 for earnings distribution. 65 percent earnings from media rights would be dispersed to race tracks, 25 percent earnings would be dispersed to competing team and remaining 10 percent would be retained by NESCAR which is sanctioning body. Completing group wished to increase their part of revenue from 25 percent because of increase in running cost of a race group and likewise there is decline in the variety of full-season sponsorship. Because they are making huge financial investments to enhance experience of fans, nescar also deals with threats from other sponsors. Which consists of upgrading existing opportunities, developing brand-new opportunities, supplying Wi-Fi facility and also providing other interactive mediums to communicate sports on smart devices. Fan base of NASCAR comprised of married males with an average age of 47, which passes their fandom to their children and produce generational loyalty. The obstacle is that the family system in America was altering resulting in reduction of impact of married male fan base over their youngsters. In addition to it understandings about automobile was also altering with viewing automobile a vehicle to reach at point B from point A, instead of as a fun task. Now if Mack Henley D Case Study Solution make substantial investments in new segments which are based on new clients then it might face unfavorable comments from its core fan base.

Porter's Five Forces Analysis

It is essential to comprehend industry in which business is working because NASCAR's bottom line i.e. net revenue is greatly depends on this. There are 5 forces that are used to determine profitability, strength and attractiveness of NASCAR organisation.

Competitive Rivalry

These chauffeurs can go versus NASCAR if they got better chance in terms of prizes and tv direct exposure. If audiences take pleasure in other race automobiles and drivers more than NASCAR then viewers can move to those other interesting cars and motorists. NASCAR could be having danger from its two direct competitors that is Solution 1 and Moto GP.
Swot Analysis
Supplier Power

The supplier power shows the variety of providers are available in market and what is the expense related to supplier if company shifts from one provider to another. Since chauffeurs with needed skills and resources are restricted, in this market there is supply monopoly.

Purchaser Power

In the case of NASCAR clients are its audiences. Viewers can switch to other rivals quickly due to the fact that audiences will having low switching expense.

Risk of Replacement

Replacements are referred as options. The replacements in this case can be other entertainment means like audiences can shift to other sports. There are wide range of substitutes are readily available in this situation which suggests that threat of replacement is high.

Risk of New Entry

It is specified as how it is simple for any business to enter in that particular market. When it comes to Mack Henley D Case Study Help threat of brand-new entry is low. Because if any business needs to enter in this business than they need to make heavy investments. They need to build cars and trucks and racing tracks and likewise requires to pay significant amount to chauffeurs for changing.

PESTEL Analysis


It can not be concluded from case research study that there would be change in resource allotments. NASCAR had actually got gain from lower tax policies which leads to increasing in revenues. So they made heavy investments in the research study and advancement. As NASCAR is operating in different markets so it needs to face various policies. It is likewise kept in mind that Mack Henley D Case Study Solution has actually faced increased examination relating to regulative. Every federal government has different top priority so NASCAR has to be prepared for it as top priority can be moved to other sector.


Financial aspects consists of taxation rate, currency exchange rate, financial performance of that specific company, 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 competitors can be affected. NASCAR can take advantage of capabilities of workers to create brand-new chances and enhance existing opportunities.


Each has various social values and norms. It helps in understanding regarding society and preference of customers.


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

Vrio Analysis
Due to the fact that every country has different legal terms and conditions, Legal plays an essential function in every nation. Mack Henley D Case Study Help requires to be make certain that they protect their legal rights in every county so any company does not damage to its legal rights.


Ecological factors are also important for each company. Since typically governments do not allow those service which can damage to environment. These ecological elements consists of laws concerning pollution, environment change, safe waste disposal, policies regarding insurance etc. NASCAR needs to make certain that its automobiles are not generating pollution more than acceptable level.

7 P's of Marketing


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


Prices method of NASCAR for its race events tickets is based upon the location and significance of the racing occasions. Together with race occasions tickets, NASCAR likewise charge different service charge to its stakeholders and makes income. For instance it charged sanctioning costs of $1-2 million per race on average in 2005.


Marketing technique of Mack Henley D Case Study Analysis is highly based upon its fan base. A strong fan base share its fandom with others and increase the number of viewers for NASCAR races. The business is not completely relied upon its fan base for its promo and promote through regional radio stations too. The business has likewise embraced the merchandising media of promo, in which the company offers products with its logo.


NASCAR have its racing tracks in different cities in United States. The most crucial tracks of NASCAR includes Atlanta Motor Speedway in Georgia, Car Club Speedway in California and Darlington Raceway in South Carolina. It tries to conduct its races in most of the cities in United States to comprehend nationwide appeal.


Nestle individuals method is comprised of offering much better experience to its audiences, its fan base and to all of its stakeholders. People are a crucial aspect of Mack Henley D Case Study Help A marketing strategy as its occasions are the source of entertainment for crowd. Its people strategy includes efforts to offer better experience to its Fans, Race Drivers, Crew, Occasion Organizers etc., all of which come under people strategy of NASCAR.


Numerous company processes are required to conduct racing occasions in an effective way. These procedures include; proper schedule of time, arrangement for spectators, offering tickets, plan of space for sponsors, managing logistics etc. These all procedures contribute I building NASCAR image, enhancing viewers experience and increasing fan base.

Physical Evidence.

Crucial physical evidences for the NASCAR consists of the existence of its racing tracks, stock cars and trucks and racing events. Along with it, its retailing brand names consisting of tee shirts, caps, goodies etc., also serve as a physical proof for NASCAR.

Item Life Cycle Assessment.

The racing events by Mack Henley D Case Study Analysis was introduced on June 19, 1949. The first race was held at Charlotte Speedway in North Carolina. There were about 13000 fans present in the race. At the first stage competition for NASCAR was low, as the competitors drove the automobiles similar to the cars and trucks driven by common people.


After conducting its first race successfully the company moved towards developing its own tracks. The very first Mack Henley D Case Study Analysis based track, namely the Darlington Raceway track, was started in 1950 in South Carolina. It was followed by establishment of more raceways including Daytona International Speedway, which was opened in 1959. After the growth of racing tracks the company moved towards broadcasting its races on television in 1979. The first occasion transmitted on tv was flag-to-flag coverage of Daytona.

In 1972, William France Jr., ended up being the president of NASCAR and n about 3 years, he changed NASCAR from a local Sport popular organization into one with global fan base. He started a new era of profitable sponsorships and tv agreements for NASCAR.


The maturity period for NASCAR started with the efforts of William France Jr., with the business having vast array of revenue sources. The business has about 500 sponsors with broadcasting its occasions in about 150 countries. The business has a great deal of tracks in most of the cities of United States.


The decline in the company's offerings began after 2005 with average participation rate per race decreased by 22% from 2005 to 2010 and television viewership rate decreased by 30% from 2005 to 2010. The major causes of decline consist of the monetary crisis of 2008, which increased the expense of coming to tracks for audiences due to increasing fuel rates, and the shifting of its fan base towards other sports.

Market Division.

The market segmentation of Mack Henley D Case Study Solution can be divided into 4 sections; Geographic, Demographic, Psychographic and Behavioural. (Dutta, 2018).


The geographical division of Mack Henley D Case Solution is based upon the geographical existence of its tracks in different states and cities in United States, and the television broadcasting of its occasions in numerous countries. 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 huge geographical segmentation provides the company local in addition to global fan base.


The group division of Mack Henley D Case Study Solution is likewise highlydiverse based upon the gender, earnings and age of the consumer. To increase the group segment of its market NASCAR must revise its marketing methods to draw in more age groups and lower its prices to go into in the market sector with a low average income.


NASCAR has a fan base with a loyalty. NASCAR fans perceive it compulsive to purchase tickets and see the races as soon as in a week. NASCAR has tried to increase the quality of its racing by introducing stage racing, they also have actually tried to lower costs and make the event more hassle-free by presenting live racing.


Behavioural segmentation of Mack Henley D Case Study Help is based upon the behaviour of fans in terms of watching the race reside on the television or by entering the events. Presently, the fans choice is towards viewing the race at home on tv rather than going, as the client experience at NASCAR tracks is not favourable along with pricey. This preference makes the rates for attendance lower than the rates for tv audiences. NASCAR needs to alter the behaviour of its fan base by introducing qualitative services at its tracks.

Target audience.


Among the potential target market of Mack Henley D Case Study Help was Hispanics; the young and growing population of United States. The market segment has excellent possible for NASCAR as the population was growing at a higher rate and it was anticipated to become thrice after forty years and the segment has increasing wealth rate with about $1 trillion of wealth in 2014. The sector shows affinity with vehicle culture, but need a more focused marketing towards inviting the section towards racing.


Kids are also one of the potential target market segment for NASCAR, as they are more connected socially than other groups. Automobile racing games developed by Mack Henley D Case Study Analysis can be a possible source of getting attention of kids towards NASCAR track racing. NASCAR requires more attention towards personalizing and enhancing its digital features to bring in the kids target market.

Generation Y.
Generation Y target audience includes those who invested 5 times more resources on discretionary expenditures i.e. buying tickets for racing occasions, than others. This huge expense makes the sector potential for NASCAR marketing method of increasing its fan base. The marketplace segment is likewise easy to technique as 81% of the Y Generation customer utilizes Facebook every day and the use is two times of utilizing television and radio. The marketplace segment views sports as a social occasion, instead of adherence to sport. The market section thinks about NASCAR as an organization lacking in developing a multiculturalism environment. Mack Henley D Case Study Help must take various actions to enhance the experience of Generation Y consumers in its occasions.

5 C's of Marketing

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


It needs to make PESTLE analysis in order to understand environment or context in which NASCAR is working. PESTLE stands for political, economic, social, technical, environmental and legal and is stated above.


NASCAR is a car racing business with having USP of high quality automobile racing with a global structure. Its sector is sports team and events. Its target audience is males in the age of 15-60 years. Business has closed corporate culture and having non-interventionist technique.


Collaborations consists of suppliers, providers and alliances of Mack Henley D Case Study Analysis. It is teamed up with various racing groups which are taking part in racing. It also teamed up with Turners Sport for digital rights. NASCAR used to get pay check of around $15 million yearly from Turner Sports. There are number of cons behind this offer. For instance NASCAR had to get approval from Turner Sport if it want to create its Facebook page, twitter account or even mobile application. Turner Sport also had rights of every video which is shoot throughout race at track.


The client of Mack Henley D Case Study Solution are its audiences. They target customers 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 develop generational loyalty.


The direct rivals of NASCAR are Solution 1 and Moto GP. Teams generally represents sponsors in NASCAR and the medium of marketing is chauffeurs. It can be said that drivers and race cars are competitors. These chauffeurs can go against Mack Henley D Case Study Help if they got better chance in regards to rewards and tv direct exposure.

Marketing Methods.

1. Preserving and establishing Facebook Page.
One of the possible target markets sections for NASCAR is Hispanics which is the growing population sector of USA but regrettably NASCAR had been not able to draw in the this targeted section. It ought to establish a Facebook page containing the info regarding the races and the areas of tracks to make the customer informative about the core operations of NASCAR.
2. Establishing and Upgrading Accounts of Secret Drivers.
Mack Henley D 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 essential aspect for bring in viewers towards tracks and towards television.
3. Developing New Games and enhancing current video games for kids.
Kids invested the majority of their time on playing video games and utilizing mobile phones. Unfortunately, kids playing NASCARA have a worst experience of playing its games. As an outcome, they are less attracted towards the sport. In order to draw in these kids, NASCARA needs to improve its current racing video games by presenting personalization in the automobiles i.e. changing colours, choice of speed, introducing group racing in the game, utilizing much better graphics related to the racing tracks and presenting various levels in the video game. All these modifications in the existing game would supply better experience to kids.
Along with it, NASCAR needs to likewise build brand-new games connected to racing like kids racing with kids characters as drivers, cartoon racing with racing in between different cartoon characters with an option of picking the favourite animation character for the kids. These strategies would allow the company to bring in among its potential target sections.
4. Presenting multiculturalism at events.
Mack Henley D Case Study Solution occasions are comprised of fans with very couple of cultural diversity, due to cost of arrival in occasions, making it unattractive for the clients viewing sport occasions as affairs i.e. Generation Y consumers. As the Generation Y consumers are a prospective target market for NASCAR, for that reason the business must take specific steps to attract this potential target audience. It needs to embrace methods to draw in the consumers far from the tracks area with various culture. The strategy to do so might be supplying unique discount rates on tickets or totally free tickets to audiences coming from a particular distance or from another state. It would increase multiculturalism of the fans and would make Generation Y customers more satisfied.
5. Improving Customer Experience at Tracks.
Mack Henley D Case Study Solution should deal with facilities and features at tracks due to the fact that on the race day viewers got disappointed. Audiences have numerous expectations from NASCAR since in same market other business are supplying better services than NASCAR. IF NASCAR don't deal with this issue then its fans might moved to its rivals. According to fans there were not appropriate facilities were offered as compare to other sports companies. NASCAR must make sure that it provide sufficient centers that includes cleaned bathrooms, comfy seating arrangement. They must also supply WIFI services and ease of access of charge card throughout that track. It must be also ensure that there suffice jumbo turns put at all required locations. There need to be also food stalls that offer quality food to viewers. In this way viewers will be having enjoyable experience at the day of event. (See Appendix B).

Marketing Budget

Marketing budget made on the basis of the above strategies for the period of 5 years from 2011 to 2015, shows the cost related information for the marketing strategies. It can be seen that method 5 of improving consumer experience at tracks would need greatest preliminary investment and expense and method 4 of presenting multiculturalism will require least expensive initial investment with least expensive even more per year cost.
KEEP IN MIND: The worths about expense are presumed on logical basis due the lack of figures and realities connected to cost in the event research study. Inflation rate of United States is presumed to be 10%.

On the basis of deep analysis of the internal and external elements of Mack Henley D Case Study Help triggering the decrease of television viewership rate and attendance rate at tracks, the above marketing strategies are recommended to NASCAR to increase its fan base in long run. These methods would deal with internal factors like poor consumer experience at tracks, inadequate social networks marketing, incapable digital medias like games, lack of culturalisms at tracks etc., along with with external factors like shifting of fans towards other sports, demographical changes in America and changing domesticity designs.