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Why Brands Are Racing to Put Their Logo on an F1 Car

  • Writer: Reza Mamodhoussen
    Reza Mamodhoussen
  • 19 hours ago
  • 3 min read

Why Every Brand Suddenly Wants a Logo on an F1 Car


Formula 1 has spent the last several years transforming from a niche motorsport into one of the hottest properties in global marketing, and 2026 is shaping up to be the year that transformation becomes undeniable.


Total global sponsorship spending in the sport is expected to exceed 3 billion dollars for the first time this year, up 15 percent from 2.5 billion dollars in 2025, according to Ampere Analysis (TheStreet, SportsPro). For a sport that not long ago struggled to shake its reputation as an aging, tobacco-funded niche, that kind of growth curve is a remarkable turnaround.


From Tobacco Money to Tech and Luxury

The composition of F1's sponsor base has changed just as dramatically as its size. Where motorsport money once came primarily from tobacco companies and carmakers, the 2026 roster is increasingly led by banks, payment networks, streaming platforms, and fashion houses (Shikenso). Technology brands in particular have become the dominant force behind the sport's growth, surpassing 565 million dollars in sponsorship investment and led by companies like Hewlett Packard Enterprise and Oracle, which together represent nearly a quarter of the technology sector's total spend in the sport (StreamTV Insider).


Sports apparel has also found its way onto the grid in a big way, with spending in that category up 75 percent over the past two years and Puma and Adidas alone signing new team deals worth a combined 140 million dollars with McLaren and Audi (SportsPro).


Even more telling is the arrival of brands that would never have considered motorsport sponsorship a decade ago. LEGO, LVMH, Charlotte Tilbury, and KitKat, now the official chocolate bar of Formula 1, have all entered the sport's sponsor ecosystem in recent seasons (Because of Marketing).


Why the Audience Shift Matters So Much

The brand list has changed because the audience has changed first. F1's global viewership grew from roughly 450 million in 2013 to 827 million by 2025, and the demographic makeup of that audience has shifted even more dramatically than its size (Because of Marketing).


Female viewership climbed from just 8 percent of the audience in 2017 to approximately 40 percent by 2024, a shift that has directly opened the door to sponsor categories, like beauty and lifestyle brands, that never would have considered the sport a fit for their audience before (Because of Marketing).


In the UK specifically, brand-tracking firm Tracksuit found the British Grand Prix now sits at 76 percent awareness, outperforming cultural institutions like Glastonbury and Royal Ascot, trailing only Wimbledon (Because of Marketing).



The US Market Is the Real Growth Engine

Nowhere is F1's expansion clearer than in the United States, where sponsorship spend from US-based companies has jumped 68 percent since 2023 (SportsPro). PepsiCo signed on as an official partner in 2025 as part of a multiyear deal, part of a broader wave of American brands entering the sport for the first time (eMarketer).


ESPN's average audience for a Grand Prix race has climbed to 1.3 million viewers, a 135 percent increase over 2018 figures, and the sport is entering a new chapter in the US market as Apple TV becomes its American broadcast home for the 2026 season (Scuderia Fans, StreamTV Insider). Two new manufacturer-backed teams are joining the grid this year as well: Audi, taking over Sauber's entry, and Cadillac, backed by General Motors, marking the first major American manufacturer entry into F1 in decades and opening a fresh wave of liveries and paddock real estate for brands still looking for a way in (SponsorUnited).


A few numbers help explain why sponsorship dollars are following the audience so aggressively:

  • A 20 million dollar title sponsorship spread across a 24-race season works out to roughly 833,000 dollars per race weekend, translating into a remarkably low cost per thousand impressions compared to traditional television or digital advertising.

  • Total spend on team title sponsorships alone is expected to exceed 500 million dollars in 2026, with Mastercard reportedly paying around 100 million dollars annually for its deal with McLaren.

  • Oracle has reported measurable increases in search traffic for its cloud services following its Red Bull partnership, a sign that F1 sponsorship is beginning to deliver trackable business outcomes rather than pure brand awareness.


What It Means Going Forward

F1's evolution offers a useful lesson for marketers watching from other sports: audience growth, especially growth into new demographics, tends to arrive well before the sponsorship dollars catch up to it. Brands that moved early, tech companies chasing a younger, global audience, and luxury and lifestyle names chasing F1's newly diversified fan base, are now sitting on some of the most visible sponsorship real estate in global sports.


As Cadillac and Audi join the grid and Apple TV takes over US broadcast duties this year, expect the pace of new sponsor announcements to keep climbing right alongside the sport's audience numbers.


Sources: TheStreet, SportsPro, Shikenso, Because of Marketing, StreamTV Insider, eMarketer, Scuderia Fans, SponsorUnited

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