Are you willing to sponsor?
Are you ready to explore the transformative power of athlete sponsorship for your brand? Click here to learn more about how sponsorship can help brands grow and thrive in the exciting world of motorsports.
By Emanuele Venturoli| Posted February 22, 2023 | In Formula 1, Formula1
Differences in the cost of F1 sponsorship
Formula 1 is one of the most widely followed motorsports worldwide, making it a highly sought-after sponsorship opportunity for companies looking to reach a massive audience.
However, as with any high-profile event, the cost of sponsorship can be steep. In this article, we’ll explore the different types of sponsorship costs available in Formula 1 and their associated costs.
F1 Team Sponsorship cost
F1 teams often partner with companies to promote their brand and products. This type of sponsorship includes branding on the car, team clothing, and other team-related materials. It also provides premium hospitality at races and opportunities to create PR and social media content. The cost of team sponsorship varies widely but generally falls in the range of $1 million to $50 million per year.
F1 Team Technology Partnership cost
Another popular form of sponsorship in Formula 1 is technology partnership. This involves a company partnering with a team to provide technology or engineering expertise. The cost of technology partnerships varies, but again it typically falls in the range of $1 million to $10 million per year.
F1 Championship Official sponsorship cost
Companies can become official partners of Formula 1, which provides extensive branding opportunities, including trackside advertising and activation, rights to use the Formula 1 logo, and premium hospitality. The cost of becoming an official partner is estimated to be between $ 5 million and $50 million per year.
F1 Single Race Sponsorship Cost
Sponsoring a specific race is another option for companies looking to get involved in Formula 1.
Trackside advertising, in-circuit billboards and branding, exclusive activation and engagement opportunities are usually part of this kind of deal. The cost of race sponsorship varies, but generally falls in the range of $1 million to $5 million per race.
In conclusion, sponsoring Formula 1 can be an excellent way to promote a brand and reach a massive global audience. However, the cost of sponsorship varies widely depending on the type of sponsorship and the level of exposure and activation desired. Companies should carefully consider their objectives and budget when choosing a Formula 1 sponsorship package, but they can also consult with a Formula 1 sponsorship agency like RTR Sports Marketing for guidance.
There’s more…
In addition to the aforementioned types of sponsorship packages available in Formula 1, there are also other avenues for companies to get involved in this highly popular motorsport. One such avenue is through driver sponsorship. This involves sponsoring a specific driver or drivers and having their name and logo featured prominently on their helmet, and racing suit. The cost of driver sponsorship can vary depending on the popularity and success of the driver, but it can range from $500K dollars to several million dollars per year.
Additionally, companies can also get involved in Formula 1 through hospitality and events. This includes hosting guests in luxury suites and providing them with exclusive access to team garages and pit lanes. Companies can also host events during the race weekend, such as parties and product launches. The cost of hospitality and event sponsorship can vary depending on the level of exclusivity and access provided, but it can range from a few thousand to hundreds of thousands of dollars per event.
The high ROIs of Formula 1 Sponsorship
It’s worth noting that while the cost of sponsorship in Formula 1 can be significant, the benefits can be equally impressive. Formula 1 attracts millions of fans worldwide, and the exposure that comes with sponsoring a team or event can be invaluable. The high level of engagement and media coverage also means that sponsors can reach a highly targeted audience, making it a worthwhile investment for companies looking to expand their reach.
In conclusion, while the cost of sponsorship in Formula 1 can be steep, the potential benefits are substantial. Whether through team sponsorship, technology partnerships, official partnerships, race sponsorship, driver sponsorship, product placement, or hospitality and events, companies can reach a massive audience and promote their brand on a global stage. It’s important to carefully consider objectives and budget when choosing a sponsorship option, but the potential returns make it a valuable investment for many companies.
Picture: Timfilbert, Lando Norris drives the McLaren MCL36 during the 2022 British Grand Prix at Silverstone circuit, Creative Commons Attribution-Share Alike 4.0
Emanuele Venturoli
A graduate in Public, Social and Political Communication from the University of Bologna, he has always been passionate about marketing, design and sport.
Similar category
The online platform where you can discover the latest trends, strategies and insights from the exciting world of sports marketing.
View our blog
April 3, 2025
2025 Formula 1 engine specs
In Formula 1, the engine is not merely a component; it is the heart of the car, dictating performance, efficiency, and the competitive edge. The evolution of F1 engine specs reflects a r[...]
Read More
March 20, 2025
Ground Effect F1: What Is It?
Ground effect has long been a game-changing aerodynamic principle in Formula 1, dramatically altering how cars generate downforce and perform on the track. In this blog, we’ll explore t[...]
Read More
March 19, 2025
F2 sponsorship and F3 sponsorship: a new frontier of opportunity
The world of motorsport is undergoing a profound transformation; the FIA F2 and F3 categories no longer represent simple transitional stages to Formula 1, but true laboratories of excellence,[...]
Read MoreWhy choose RTR Sports Marketing
In an era where it is possible to get anywhere with a click, there is a strong temptation to approach teams and properties directly for sponsorship projects.
By doing so, we are convinced that we are shortening the value chain, saving time and money. However, these DYI methods are anything but risk-free and what initially appears to be a competitive advantage soon turns into a problem that is difficult to resolve. That’s why there are agencies. And this is why you should rely on us for your sponsorships.
Save time and money
When first approaching a sponsorship or sports marketing project, it is difficult to know immediately which stakeholders are correct, what the decision flow is, and what the right timelines are for each process. Sports is a very specialized field of action, and fitting effectively into its paths can take a lot of time and therefore money. We, on the other hand, know referents and spheres of action and know who to talk to, when and how. So you are also more effective.
The right information, the right choice
Sports is an immense passion, and for our heart colors we would be willing to do anything. But business is a different business, and it is important to make the best possible strategic decisions based on independent research, statistics and reliable data. A sports marketing and sports sponsorship agency like RTR has an objective, 360-degree picture of the scenario and can tell you what is really best for you: which sport, which athlete, which team. This is because we possess a great deal of data and information on ratings, segmentation and attitudes. Because the numbers don’t lie. Never.
Activations are the beating heart
Activations are the real heart of sports sponsorship. Without them, there remains only a blank sticker on a motorcycle, car or uniform and no contact with the public, no emotional connection, no impact on the bottom line. Then how do you do it? It certainly won’t be the teams or the athletes who will help you leverage sponsorship and enjoy the many marketing rights you have paid for. To bring out the best in a sports marketing project you need an agency that knows how to use sponsorship to engage the fanbase on the Web, to reach out to Shopping Centers, to organize hospitality, to develop B2B and B2C opportunities, and to get “your” athletes in front of millions of potential consumers.
Objective measurements for a certain return
Would you ever go to the dealer who sold you the car and ask if the competitor’s car is better? No, of course. So, how do you expect to get firm measurements of the effectiveness of your sponsorship if you do not rely on someone super partes? At RTR, we have always worked with independent third-party agencies that allow us to know the return on any exposure of your brand on TV and in the media. In addition, we believe in calculating ROI as the ultimate measure of your success-so we can tell you for every penny you spend how much you are making.
Sit back, relax, we’ll take care of it
We have been involved in sports sponsorship and sports marketing for more than 15 years. We are consultants in the sense that our goal is to maximize your investment, but we are also an agency that manages the project from start to finish. We have been doing this since 1995 with passion and professionalism, following three principles that have become cornerstones of our business: independence, verticality and transparency.
I would like to highlight the fact that one of the qualities of RTR is its great ability to approach the sponsorship scenario strategically, together with its passionate attitude, its amazing enthusiasm for solving problems, and its high level of professionalism.
Gianluca Degliesposti
Executive Director Server&Storage EMEA
Eurosport is truly delighted with its business relationship with Riccardo Tafà, who has become extremely popular, thanks to his detailed knowledge of the sports marketing sector and his highly diligent attitude to work.
Francois Ribeiro
Commercial Director
Passion and Expertise are the features that I have found in RTR since the very beginning. Serious and reliable professionals but also very helpful, nice and open-mind people, willing to listen and compare different ideas. All the values in which RTR believes make this agency a partner, not just a supplier, a partner with whom we have had the opportunity to achieve significant commercial results in term of success and image.
Luca Pacitto
Head of Communication
We have been working with RTR Sports Marketing for over 10 years. The objectives and the programmes of collaboration continue to be renewed and to grow with mutual satisfaction. I believe RTR is a team of great professionals led by Riccardo Tafà, who I consider a manager of exceptional skills and with a great passion for his work.
Lucio Cecchinello
Team Principal
I have known and worked with Riccardo Tafà since 1995 when we collaborated for the first time on a project for the Williams Formula 1 team. Several clients followed. After leaving Williams to work for Gerhard Berger then owner of the Toro Rosso F1 Team, I turned again to Riccardo to seek his help in finding a tool supplier for the team and Riccardo duly obliged with an introduction to USAG, a partnership with Toro Rosso which endured for five years. I recently started a new role as Group Commercial Director for the renowned Andretti Autosport organisation and I find myself working with Riccardo once again on a number of interesting projects. Why has this relationship with Riccardo endured ? He’s smart, knows the commercial side of sport inside out and back to front and he’s honest and trustworthy. Riccardo Tafà is a “doer” not a “talker”: in over 20 years I have never had a dispute either with him or with a company that he has introduced and each partnership introduced by Riccardo has delivered quantifiable ROI to rights holder and sponsor alike. I can think of no better testimonial of Riccardo’s diligence, knowledge, contact base and hard work than that.
Jim Wright
Group Commercial Director
Recent posts
The online platform where you can discover the latest trends, strategies and insights from the exciting world of sports marketing.
View our blog
April 14, 2025
MotoGP and brand tech: why technology loves speed
A natural marriage: technology and MotoGP MotoGP is not just about speed, borderline overtaking and adrenaline. It is also one of the most advanced technological platforms in the world. Every[...]
Read More
April 8, 2025
Sponsorship vs endorsement: differences and examples
Sponsorship and endorsement are two marketing strategies designed to boost brand awareness and drive consumer engagement by leveraging different types of partnerships. While sponsorship build[...]
Read More
April 4, 2025
Prime Video Sponsors Kyle Larson’s “Double” Ambition
Amazon Prime Video is making a bold statement in the world of motorsport sponsorship by stepping in as the presenting sponsor for Kyle Larson’s unprecedented attempt to conquer two of a[...]
Read More