Sponsorship by gambling companies in F1 is a developing topic that is bringing some change to the motorsport game.
During the early days of the Championship, F1 cars were mostly painted with colours of their countries, and advertisements were limited to only a few small logos from companies like fuel and tire suppliers.
However, things changed in 1968 when Shell and BP left F1, and Firestone started charging for tires. To help generate more income and revenue for Formula 1 teams, they decided to allow advertising sponsorship. This was a significant decision in the history of F1 and led to a lot of new arrangements and deals, including partnerships with casinos and sports betting companies.
Does F1 Need Sponsorships?
Sponsorship is essential for Formula 1 racing, even though it may not be as popular as sports like football or cricket. The sport has a growing global audience, and its brand holds significant value. While there is no shortage of sponsorship deals in Formula 1, the sport has been cautious in the past and avoided partnering with gambling sponsors.
Everything changed in 2020 when Formula 1 decided to try something different and signed its first-ever gambling company as a sponsor.
Why Do iGaming Companies Offer F1 Sponsorships
iGaming companies sponsor Formula 1 for various reasons. One of the main benefits is that it allows them to reach potential customers who are interested in motorsport betting. By partnering with F1 teams, online casino operators can appeal to this target audience.
These partnerships also open up opportunities for online casinos to create motor racing-themed games, which can be enjoyed by players for free or real money.
By partnering with Formula 1 teams, these companies can tap into a fan base that is not only passionate about motorsport but also interested in sports betting. This allows them to reach a large audience while focusing on specific regions that are important to their business. Additionally, they can leverage sports events on television to target specific regional audiences.
In countries where gambling firms face restrictions, a sponsorship deal provides a way for them to advertise and navigate strict regulations. While some may consider this approach questionable, it’s a practical solution given the circumstances.
For example, a well-known casino operator recently signed an exclusive deal to support F1 events in Asia. This allows the operator to showcase its brand during all Formula 1 events in the continent, promoting both betting and racing.
In 2021, Formula 1 entered a sponsorship agreement with 188BET in Asia. This partnership benefits both parties. 188BET gains exclusive access to F1’s betting data, which they can share with bettors to help them make better decisions. The betting company also gets to display its brand through virtual advertisements trackside, reaching Asian viewers.
In return, 188BET pays Formula 1 an undisclosed sum of money annually, which helps the racing organisation expand its operations.
While many are okay with the blending of F1 and iGaming. Critiques have warned that gambling operators could influence the game, leading to a rise of gambling-related problems. We spoke Amelia Smith from onlinecasinosrealmoney.co.nz about these issues and she said the following: In many places, online gambling is not allowed. This makes it tough to hide all the gambling ads on racing cars or at the tracks. When these races are shown on TV, it can feel like they’re breaking local rules by showing unregulated gambling. But Amelia talked to the gambling officials in New Zealand for us. They told us it’s not a problem for them because this is an international issue. These gambling companies also block people from places where they’re not allowed to operate from using their sites. We do not know how this is worked out in other countries.
Overall, these sponsorships provide iGaming companies with the opportunity to connect with motorsport enthusiasts, create specialised games, and expand their reach to new markets.
Current Gambling Partners of the F1
Formula One currently partners with several gambling operators. As the motorsport looks towards getting more revenue, it would allow more advertisers and partners to participate in the future.
PokerStars
In its second year of sponsoring Oracle Red Bull Racing, PokerStars, the top online poker platform, has become the official poker partner of the team. Their brand can be seen on the race suits, driver helmets, and cars of the team. This groundbreaking collaboration between an F1 team and an online poker platform underscores the immense popularity of both industries. The partnership brings advantages to both PokerStars and the F1 team by offering support and exposure to a broader audience.
Aristocrat Gaming
As a major presence in the world of casino gaming, Aristocrat Gaming has successfully obtained an F1 sponsorship. Formula One entered into a multi-year agreement with Aristocrat Gaming, allowing them to offer sports-themed casino games for the Las Vegas Grand Prix. Alongside this sponsorship, they will implement various marketing strategies and promotional materials. Prior to this, Aristocrat Gaming had established a partnership with the NFL and intends to launch slot games with an NFL theme.
Stake.com
Having recently entered the F1 sponsorship scene, Stake.com has quickly left its mark. This platform, which deals in cryptocurrency, sealed a $100 million three-year agreement to sponsor the Alfa Romeo F1 team from the beginning of this year. Stake.com is actively engaged in other sports as well, providing sponsorship for football clubs such as Everton FC, Watford FC, and Gillingham FC. Additionally, they have partnered with the UFC, the prominent organisation in mixed martial arts, as a betting associate.188Bet
188Bet is an official sponsor of F1, with a contract that lasts for five seasons until 2024. This partnership allows the brand to promote the racing event in Asian markets. Their banners at the racetrack have attracted attention, and fans are excited to see more impressive displays this year. The Formula 1 website provides details about the odds for betting on the races at 188Bet.
Potential New Partners for Formula 1
Since F1 began seeking partners and new sponsors, Formula 1 is showing no signs of slowing down. They are exploring collaborations that are already in progress. Here are some potential partners that might interest sports enthusiasts.
Sky Group
Sky Group is a major media and entertainment provider operating in the UK and other countries like Ireland, Germany, Switzerland, Italy, and Spain. Such a prominent company would be a valuable sponsor for Formula 1 races.
The partnership between Sky Group and Formula 1 is not recent news, with a contract in place until 2029. This collaboration aims to broadcast Grand Prix races in HD exclusively for children, as part of Sky Group’s effort to engage audiences of all ages and foster a love for sports.
This partnership is expected to be beneficial for Formula 1, the racing teams, and Liberty Media, the company that owns the commercial rights to the sport. The goal is to target a wide range of customers and cultivate a passion for sports, especially among young viewers.
Final Thoughts
Sponsorships are necessary for Formula 1 races as they provide financial support for the racing teams and offer promotional benefits for the partners. While current sponsors like PokerStars and 188Bet have a strong presence, there are many potential sponsors who may join them. The likes of Casino Deps, Sky Sports are known for their presence in the international gambling community and the media.
Leave a Reply