How Liberty Media can Improve Marketing Efforts for Formula 1

Abstract

Abstract. Formula 1 has managed to keep many generations entertained throughout its existence. However, in the recent years, due to many factors such as the financial crisis, which discourages viewers to watch motorsport, and the owners not adapting a model that has been adapted by many other industries, has led to a decrease in viewership and popularity. Furthermore, Liberty Media’s takeover on Formula 1 means that the motorsport will and has seen many paradigms shifts in the motorsport and so far, there are countless ideas that are yet to be explored. This paper first analyses the Formula 1 industry using Porter’s Five Forces and discusses their role(s) and how they affect or are affected by the motorsports’ current issue. The paper will then discuss how increased efforts in esports, and social media may help Liberty Media to regain lost territory and attain higher viewership count than previous seasons. Furthermore, to be discussed, the current model of Formula 1 and how a revamping and switching to another model may just throw the motorsports into uncharted territories that has potential for growing motorsport and solve the motorsports’ current issue.

Keywords: Formula 1; motorsport; social media; marketing; freemium model; esports; viewership; consumerism