While there is a battle on track, there is just as an important one off it as Formula 1 teams try to entice the biggest brands to become sponsors.
The value of a sponsorship can range from expensive to astronomical and for some teams, it can make or break their season.
With deals worth hundreds of millions of dollars, PlanetF1.com has taken a look at the most lucrative contract for each team.
Williams – Duracell – $6 million a year
While it may be one of the best looking sponsors on the grid, the Duracell partnership with Williams is not one of the most lucrative.
According to GlobalData’s The Business of the Formula 1 2023 research, the deal earns James Vowles’ team $6 million a season which in comparison to Red Bull’s $100 million a year, shows the different levels of sponsorship in F1.
Williams also picked up the Gulf sponsorship from McLaren this season and have already run a special livery to celebrate the partnership.
Scuderia AlphaTauri – AlphaTauri – $15 million a year
Yes that’s right, AlphaTauri’s biggest sponsor is…AlphaTauri. For those of you unaware, the name of Red Bull’s sister outfit is the same as the company’s clothing brand with Red Bull having dropped Toro Rosso for the 2020 season onwards.
The clothing brand, which is based in Salzburg, Austria, pays a reported $15 million per year to be the title sponsor although that deal is expected to come to an end this season as the Faenza team rebrands again for 2024.
In total, AlphaTauri has sponsorship agreements with 15 brands in the 2023 season with other sponsors including former Alfa Romeo sponsor Orlen and Honda.
Haas – MoneyGram – $20 million a year
It was good news for Haas shortly before the 2022 United States Grand Prix when they partnered with a lucrative new title sponsor.
They teamed up with American financial services company MoneyGram in a deal reported to be worth $20 million a year.
It also allows Haas to spend the full cost cap amount which is not something that has always been the case in the past.
Alpine – Best Water Technology – $25 million a year
Known for adding a distinctive bright pink to Alpine’s liveries, Best Water Technology or BWT for short has sponsored the Enstone outfit since it became the title sponsor in February 2022.
For the privilege, the Austrian company reportedly pays $25 million per year and it is a brand already familiar with many F1 fans as they were previously sponsors of Racing Point.
Aston Martin – Aramco – $30 million per year
Aston Martin are unique amongst the current F1 runners in that they have not one, but two, title sponsors. Having agreed a deal with Cognizant in January 2021, the Silverstone team added another sponsor to their name ahead of the 2022 season.
Lawrence Stroll’s team partnered with the Saudi Arabian oil company Aramco in a deal reported by GlobalData’s The Business of the Formula 1 2023 to be worth $30 million a season.
The sponsorship also allows the state-owned firm to purchase 10% of the team should they wish to but they have yet to take up that option.
Aston Martin is not the only F1 entity that Aramco sponsors, with the sport itself agreeing a 10-year deal with the oil company worth a reported $450 million.
Alfa Romeo – Stake – $33 million per year
While the rest of the Formula 1 paddock was getting out of bed with crypto companies, Alfa Romeo/Sauber went the opposite way earlier this year as the Stake brand continued their assault on the sport’s sponsorship market.
As well as sponsoring Premier League team Everton, the Australian crypto gambling firm became the title sponsor of Alfa ahead of the 2023 season in a deal reported by the Sydney Morning Herald to be worth $100 million across three seasons.
Ferrari – Shell – $40 million per year
For a long time, Ferrari resisted any kind of sponsorship but in 1996, Marlboro swapped white for red as they moved from McLaren to Maranello.
That would see the start of a long and successful title sponsorship but when tobacco advertising was banned in 2006, the Marlboro owners Philip Morris International had to find more creative ways to showcase their products. Mission Winnow began to appear on the car in 2018 until the sponsorship came to a permanent end in 2021.
While that deal earned Ferrari a reported $1 billion between 2005 and 2011, these days the figures are less astronomical with British oil and gas company Shell being the biggest provider of revenue.
According to SportBusiness.com, Shell pays $40 million a season to be on the Ferrari car and uniforms.
McLaren – OKX – ‘Hundreds of millions’ across multiple seasons
If there is one thing Zak Brown has become known for, it is his expertise in attracting sponsorships. A look at the McLaren car today compared to the one when Brown first joined demonstrates how bereft the Woking side were of sponsors in the late 2010s.
Things have changed since then with McLaren having no fewer than 47 sponsors.
Of those, it is the cryptocurrency market OKX that is reportedly the most expensive. Exact figures of the deal have not been released but a quote provided to Blockworks suggested the deal was worth “hundreds of millions” of dollars across multiple seasons.
The length of the deal is also not known with OKX having joined McLaren in May 2022. A building at the MTC has also been rebranded to the OKX Thought Leadership Centre.
Mercedes – Petronas – $75 million a season
While Marlboro’s sponsorship of McLaren and Ferrari are some of the most memorable in F1 history, Petronas’ support of Mercedes is reaching a similar level simply due to the team’s success.
The Malaysian energy group partnered with Mercedes upon its return to Formula 1 in 2010 and has been a title sponsor for every one of the Silver Arrows’ eight Constructors’ Championships.
The last round of contract renegotiations took place in 2022 following reports the long-term sponsor may leave the sport but Petronas reaffirmed their commitment to Mercedes with a new deal set to begin in 2026 and focus on sustainable fuels.
According to Forbes, Petronas are paying $75 million a season for the right to have their name plastered over the Mercedes car.
Red Bull – Oracle – $100 million a year for five years
While they tend to just be referred to as Red Bull, the championship-leading team’s full title is actually Oracle Red Bull Racing having signed a title sponsor agreement with the American company in 2022.
The deal with one of the largest companies in the world is the biggest of any sponsor on the grid with Red Bull earning $100 million for five seasons. That value trumps not just F1’s ceiling but also makes it one of the most lucrative deals in sport’s sponsorship history.
As well as the financial benefits, Oracle also supplies the team with both on-track and off-track data which, in the words of Christian Horner, “is an integral part of our success as an organisation.”
The Oracle partnership has also had benefits to Red Bull’s powertrain division with Oracle Cloud Infrastructure providing assistance ahead of their 2026 entry.
This motor sports news item came from: https://www.planetf1.com/features/f1-sponsorship-deals-value-teams/