2013: The year that will decide it all
IndyCar, IndyCar commentary — By Steph Wallcraft on November 21, 2012 11:26 amI’ve been laying low for the last few days. There’s been a lot of information to absorb.
Many of you have told me over the years that what you appreciate about my writing is that it’s not off-the-cuff and automatically attacking or pessimistic; rather, I tend to look at the big picture of issues and respond to them rationally and fairly. It’s a reputation that I deeply appreciate and take very seriously.
So, with everything that’s been going on lately, I’ve been trying not to be rash. I’ve been taking a step back and doing a lot of reading, absorbing, and processing.
If you haven’t yet read the many exposés released lately on such topics as the rationale behind firing Randy Bernard, Robin Miller’s calling out of the people behind the mess the sport is in today, or the debacle of how HVM got royally screwed with the Lotus deal, you most assuredly should. There’s been a lot more revealed in the last month than we usually get to see on the BS that happens behind the scenes in IndyCar, and it’s been very enlightening.
For my part, I’ve read and considered all of that, and I’ve been following what others have been talking about in the days that have followed, and all of it has led me to one conclusion.
IndyCar is in far deeper trouble than it has ever been in before – and it has very little to do with the firing of Randy Bernard.
Firing Randy didn’t help, of course. He took the heat on a lot of things that in reality weren’t his fault, and the 20/20 hindsight view that we’re afforded now shows that nothing could ever have prepared him enough to do the job he was charged with. That he came into the position with zero knowledge of the racing world and the people who operate within it looked promising from the outset, but the naivety that came with that lack of knowledge ultimately led to his demise.
And at the end of it all, the unceremonious ouster of the most fan-oriented executive IndyCar had seen in years left the sport’s most dedicated more frustrated and incensed than it has been since 1996.
But all the attention on these matters has been nothing but smoke and mirrors. IndyCar has much, much bigger problems on the horizon that not a lot of people have noticed yet.
Numbers were down across the board this year — particularly TV numbers, which are generally taken as the gold standard for the strength of a modern-day sport. Everything stems from the TV numbers: sponsor interest, advertising investment, operating budgets, growth potential.
Randy Bernard was the king scapegoat for this year’s low numbers, with his detractors citing his promise to improve them and his inability to deliver.
But he was given an impossible task. For some reason, few people have connected the low TV numbers to the two extreme factors that changed between 2011 and 2012: a) Danica Patrick left for NASCAR full-time and took a whole lot more fans with her than people within IndyCar anticipated; and b) Dan Wheldon died on track in a heavily promoted season finale — in a way that was often perceived from outside the organization as preventable — and many people never came back.
After 12 months, expecting any one man to be able to orchestrate a rebound in ratings — on a cable network that has a low subscription rate to begin with, no less — is simply asking the impossible.
That’s the TV situation. But what about ticket sales? They’re not so bad, right?
People will always go to Indy. The late ‘90s and early ‘00s proved that. And Long Beach is a pretty safe bet, too. (I’m not convinced that the people who go to Long Beach even care what cars show up so long as they get to drink Tecate and eat smoked turkey legs all weekend.)
But it’s no secret that the reason the smaller ovals have fallen off the schedule these past few years is that people can’t even be convinced to show up for free — hence the oft-lamented leaning on twisties, particularly street courses, to pay the bills.
Unfortunately, I can tell you first-hand that for at least one street race market that’s considered a stronghold, the picture is not pretty there, either.
Take a look at the track map for the 2012 Honda Indy Toronto:
This layout showed promising improvements over 2011. There was a new grandstand added at turn 9 amid consistency elsewhere. It projected slow, steady growth. A lot of people were at least content with it, if not excited about it.
Now, look at the track map for the 2013 event:
All of the general admission seating is gone. The pit-in grandstand is gone. The turn 1 suites are gone. The grandstands at turn 9 and turn 9/10 are gone and have been replaced with a single grandstand at turn 10 (which is not the ideal sightline for that section of the track by far). We’re being told that some of the grandstands are being enlarged and the infrastructure for them improved, of course. But the upshot is still painfully clear.
This is not a track map for an event that’s anticipating booming growth, folks.
Remember, too, that Toronto is one of the tracks that will be hosting one of those much-anticipated double-header weekends. It seems that Green Savoree isn’t exactly expecting the change to have fans busting down the gates.
Don’t go looking for track maps from, say, 2005, or even 1998. You’ll just get really depressed.
It’s easy to argue that perhaps Toronto is just a dying market for racing. But that’s very, very far from the truth.
The track formerly known as Mosport — now called Canadian Tire Motorsport Park — was recently purchased by a group led by Canadian tintop racing legend Ron Fellows. It sits a comfortable drive from downtown Toronto — roughly an hour in decent traffic.
I was up there this past summer to check out the ALMS race. The place was packed. There were more people there on ALMS race day at CTMP than on Sunday at the Honda Indy Toronto, easily and clearly. And they were a knowledgeable and educated bunch, too. I walked around a good portion of the grounds during the event, and in every conversation I overheard it was clear that the folks there knew their stuff.
Plus, the grand old track is undergoing a boom. The entire pit lane area is being ripped out and rebuilt this off-season, and with good reason: it’s just been announced that the NASCAR Camping World Truck Series will race there in 2013, its first time on a road course in 13 years. People up here are going nuts.
And Ron Fellows is patting himself on the back. Getting the trucks up here is the first step toward Fellows’s goal in buying up the facility in the first place. Next, he’ll shoot for the Nationwide Series. If he lands a Sprint Cup race, he’s hit paydirt.
But Mosport built its name on its storied tradition of hosting legendary open-wheel racing in the 60s and 70s. The likes of AJ Foyt and Mario Andretti themselves wheeled around the old girl in Indy cars and Formula 1 cars back in the sport’s heyday.
Is there any interest in renewing open-wheel racing at CTMP? Not likely. The place is a death trap for open-wheel cars in its current state (one look at Clayton Corner and the entrance to the Esses confirmed that for me), and no one’s willing to make the infrastructure investments necessary for no apparent payoff.
If Cup comes knocking, you bet those changes will be built, and you bet that people will come. But for IndyCar? It’s not nearly so cut and dried.
Meanwhile, about 90 minutes to the southwest of Toronto, a brand new facility has just been approved for the Fort Erie region of Ontario: Canadian Motor Speedway, a project that will include a 1-mile oval and a 2.6-mile, FIA Grade 2 road course (which means it’s not rated for F1 but it can host any other category). It will be the largest racing facility in Canada, and it’s scheduled to be ready for racing in 2014.
(Now, that is where you’d want to host a double-header weekend!)
On top of that, Toronto’s International Centre plays host to the Canadian Motorsport Expo each February, the largest event of its kind in the country attended by drivers, industry players, and fans over three days.
So, it’s clear that the problem isn’t a lack of interest of racing in the Greater Toronto Area.
It’s a lack of interest in IndyCar.
And the Toronto market is not the only one that IndyCar needs to get seriously worried about in 2013.
Mid-Ohio has been a massive event for IndyCar over the past six years, but no one knows exactly how much of that has been bolstered by the fact that it was a split weekend with ALMS. IndyCar and the Road to Indy will be on its own in 2013 for the first time in the current sanctioning body’s history. There will be no better barometer on the current state of IndyCar than what happens to that weekend. If I were involved, I’d be very worried.
(The Indy Lights will be back joining them on that weekend, by the way — because they got kicked out of the Grand Prix of Trois Rivières, essentially for breach of contract because the car counts were too low to be considered respectable. Let’s not even get started on just how much that extremely broken rung on the ladder to IndyCar isn’t helping things.)
And on the rest of the schedule, there are too many question marks and not enough stable answers. Will Houston come out to support today’s IndyCar? How about Pocono? Can IndyCar keep the viewer interest and momentum it so desperately needs through those massive gaps in its schedule?
I’ve been following this sport for 23 years now and observed some of the worst political bungles of its century-long history, and I honestly cannot ever remember feeling that things were scarier for open-wheel’s future in North America than they are right now.
***
All that said, it’s not very productive for me to sit here and declare that the sky is falling without offering any solutions. But I think I’ve talked enough for one day.
I’ll be back early next week to toss my hat into the conversation regarding what needs to change to get IndyCar swimming above water again. Here are a few point-form notes to get the brainstorming started:
– The sport doesn’t need cheerleading right now. It also doesn’t need wringing of hands and gnashing of teeth. It needs realism. Baseless cheerleading and wailing both breed ignorance; realism provides the tools needed to find solutions.
– The in-fighting has got to stop. This every-man-for-himself attitude that pervades the paddock will be the death of the whole shebang. IndyCar has one of the greatest motorsport communities going for those who choose to acknowledge it, embrace it, and be a part of it.
– The owners, drivers, and Series officials need to stop acting like the paddock is their own personal country club (to quote a comment I saw on pressdog’s site a couple of weeks ago). IndyCar has been walking around for years with this attitude that it’s much bigger and much more entitled than it actually is. It’s time to stop pretending that you’re fooling anyone and start being more inclusive and fan-friendly. Consumers these days aren’t stupid and don’t take well to being treated like they’re not welcome to participate in what you’re doing.
– As Roger Penske himself said recently, what the sport needs more than anything right now is stability at the top. When The Captain talks, people really ought to listen.
Enjoy your turkey, folks. Let’s chat more next week.
Tags: Verizon IndyCar Series - Administration, Verizon IndyCar Series - Marketing, Verizon IndyCar Series - Scheduling
Boom. Nailed it. Good balance Steph, and importantly, some good examples of what direction IndyCar is headed in.
I tell you what though, I reckon IndyLights needs to be turfed. For real. just can it altogether. Bring in a North-American-based formula that runs to existing GP3 or GP2 rules, and use that as a spring board to Indy.
You could even do it with Formula 3 (puke) and it would be better than the Wonderland Hire Karts running about as Indy Lights.
Yep, Steph, you nailed it. We were supposed to be worried about how things turned out with the new car in 2012…and were pleasantly surprised at an incredibly enjoyable season…and then the wheels came off with RB’s dismissal without a clear plan forward.
The Mid-OH situation will be quite interesting. One would think that Green Savoree’s history would lead them to heavily promote Indycar…but ROI is ROI, eh?
And like Skippy, I think the FIL situation is not very pretty. So few drivers are able to scrounge up full season budgets to run the existing car, and while we can hope for the best, teething problems always cost teams more money in year one. I didn’t make time to watch any FIL races in 2012 for the first time in recent memory…seriously, what would compels even a devoted fan to watch a delayed race with only a few competitive entries? Winning the FIL championship isn’t any guarantee of moving up, and it hasn’t been for quite some time.
One thing I don’t entirely understand is why folks think the paddock is so exclusive. Granted…my original access was primarily via a friend closely associated with a team, but I have purchased my own garage passes too (you cannot beat $100 for a bronze badge at IMS in May if you’re going to Fast Friday and Pole/Bump Days.) What else do folks think should be done to make it more friendly?
Nail, meet hammer! promoters have seemed to go into extreme cost savings mode and that hurts promotion expenditures and other advertising designed to bring in more ticket buyers. It’s almost a self fulfilling prophecy that the less they spend, the less people show and then they spend less the next year.
I would assume that TO might just have as much grandstand seats as last year, just in less but bigger stands. I hope that is the case and it looks better on TV with a few well placed stands that look full.
I also hope to see that MSNSN will expand it’s promotion, maybe be able to get some network NBC ad time, but to get a bigger TV ratings over the season is crucial to the series survivability
You’re right about full grandstands looking better on TV, but there’s no guarantee the grandstands will be or look more full just because they’re bigger (especially if they hold the same amount of seats). And taking out the GA seating that’s been there for years is SUCH a bad PR move. It makes it look like they’re trying to strongarm less committed fans into spending more on grandstand tickets. The sad truth is that many of them either can’t or won’t pony up and as a result simply won’t show up at all.
I agree. I also have to ask about the success of the Free Friday. It seems the crowds are still quite sparce, even if people get in for free. I wonder if the money Honda pays for the day might be best put into spending for promotion and advertising?
I’ll be there next year and see first hand, but I hope it is at a turnaround, or like you say, this might be the beginning (or middle) of the end of the “Molson” Indy that we used to love and adore.
Really good post. A good dose of realism is needed. Hopefully this new dude at H&G will bring it, I’ve no idea what he’s like but he seems successful in other areas almost as much that you wish he was INDYCAR CEO not the main parent company. I have little confidence in Belkus but maybe he needs directing. Let’s see what they do.
Sad to see the Toronto Indy scaling back. As one of the landmark races of the season it is one of the bellweather events, a place we’re told is full of open-wheel diehards. If that’s struggling then anything can. And as you say there’s clearly a market for racing in the region. Is ALMS on a better TV package than IndyCar in Canada? Are the Indy prices too high?
The important part is the last section. Even viewing remotely from another continent I can tell the people in that paddock have quite an attitude. The same thinking is VERY common in European series. ‘We’re racing for us not you, we just let you watch, for a fee.’ The attitude of superiority. As long as they’ve got their shiny new personal sportscars and admirers they’re happy. The country club line is perfect. This stuff needs to end. Even golf is starting to realise that.
While I agree with most of your article, I am not sure where you or Pressdog get the idea that the Paddock is fully of people acting like it is their private country club. Indycar is a business and for many team owners this is their living….people need to remember these guys have a job to do.
Indycar has one of the most open and fan friendly Paddocks in motorsport. Just because a team is not at the fans beck n call does not make them snobby. I watched a fan get mad because a driver would not give him an autograph during a practice session…he felt the driver should have dropped everything for him.
Pat W – It is obvious you have never attended a race…Indycar drivers are some of the nicest in motorsports. I have not witnesses any entitled attitude from anyone.
Julie, you’re absolutely right that there’s a portion of the paddock that gets it and is very accessible and fan-friendly. That’s not the portion I’m talking about, though. I’ll get more into the portion that’s concerning to some of us in a post next week. Thanks as always for your input!
I wasn’t necessarily talking about the drivers.
You nailed it again, Steph. I’m planning on going to Toronto next year. I’m really glad now I’m not waiting anotherr year. I just reurned from F1 in Austin. It was well promoted, fan friendly, and a great venue filled with passionate, knowledgeable fans. IndyCar can learn from them. They need to pay attention to what others do. Can’t wait for your next post next week.
Agree strongly that both Pollyanna positivity and doom and gloom are equally harmful. I confess my interest in IndyCar is at its lowest point ever right now.
In spite of the fact that the on-track racing and competition was much improved last year, I still don’t have confidence in Indycar leadership as we look forward to next year.
Indycar needs to invest in itself, promote itself and improve itself so that it could attract an audience in this age of many diversions. I sense that this leadership thinks they can just “be” and fans will support them. I don’t see that they are being proactive in any way. If they ain’t tryin’ why should I?
Steph:
Addressing your points one by one:
Toronto-I understand that you live there-I don’t-and therefore, you have a better sense than I do about what might be going on there. However, unless you have spoken directly to Kim Green or Kevin Savoree-who run Green/Savoree Promotions, the company that promotes the Toronto, Baltimore and Mid-Ohio races-any comment about what the change in the grandstand layout means is speculation and conjecture. Until there is an official comment, I’ll leave my comments as is.
I too am aware of and question how INDYCAR will do without ALMS at Mid-Ohio.
Indy Lights: This clearly needs attention. There were as few as 10 cars at some Lights races last year. Whether that’s due to the economy, the cost of competing, the sense that Lights drivers have that they may not ever move up to INDYCAR, or some other reason, clearly to me Indy Lights is broken, and it needs a serious fix.
I will give credit where it is due, however. Rather than doing what 99% of INDYCAR’s “fans”-at least those who are on internet message boards constantly whining and complaining about EVERYTHING without providing any potential solutions to the issues-you have stated that you will write a post offering some ideas on how to address the issues INDYCAR has. I look forward to that.
Let me head off one criticism at the pass. I am not an INDYCAR fanboy. I do not believe that everything is okay and all will be well if we just click our heels and wish three times. I am certainly aware of the issues the series faces. However, I also tend to trust those at 16th and Georgetown more than I do any “fans” or bloggers. Why? Because the latter THINKS and BELIEVES that they know what is going on, but the reality is you don’t know anything for a fact. Only those who are actually in the series know the truth. And when it comes down to truth or speculation, innuendo and conjecture, I ALWAYS come down on the side of truth. Even if that puts me at odds with the unwashed masses.
I appreciate you sharing your thoughts, as always.
It seems to me that you’re saying you’d rather get your information from people whose job it is to fabricate positive spin and make you feel good about things. That’s your prerogative. I don’t blame you. It’s certainly the easier road.
But I’ve been lied to enough times that I tend to think canned PR quotes don’t often add anything to a discussion in which the facts are evident on their face.
Again, I prefer realism over cheerleading, especially now. PR quotes will always be cheerleading — that’s what they’re for, to smooth over the bumps and make things seem better than they are.
If that’s how you prefer to operate, you’re more than welcome to join the “shut up and enjoy the racing” team. I’m too invested for that, so I’d rather look at things frankly and unclouded by spin and help contribute to finding solutions if I can.
who’s “truth” are we to believe? chip’s? visions? bernards? penskes? millers? indycar’s? other owners? disgruntled fans?
I’m all for truth, justice and the American way, dude, but truth is subjective.
I believe the new car is not pretty at all. IndyCar needs sexy back. Nothing has been done to promote the drivers. The on track competition was very good.
How many cars were at Trois Rivieres this year that caused the oust in Lights? What is the minimum by contract? With Vautier winning the Mazda $ and not getting a IndyCar seat, it’s a troubling sign. He needs to advance properly. Karam going to GP3 is not a good sign either of the ladder.
I believe the sponsors need more activation in main stream media. When did you last see a Target ad with Dario or Scott on TV?
What would have to happen to consider 2013 a success?
Some really great stuff here by author & reader .
These days when in doubt I always ask myself , what would “Steve Jobs” do… ?
– It would be dramatic , it wouldn’t be by committee …
Indycar doesn’t need a CEO , it just needs a architect ……..
[…] Posts 2013: The year that will decide it allMark Miles to become CEO of Hulman & CompanyAn open letter from Jeff BelskusWith Bernard gone, […]
If I read only your title and have to decide, then it is over.
Captain Deep Dive said (during the Miles reveal) that esssentially ’13 is status quo. Not good enough, sorry, thanks for playing Jeffy, here are your parting gifts…
I’m looking strictly big huge wide-angle picture here.
The details of whether 2013 TV ratings went from .3 to .5 (WOW a whopping 60% increase) and the ‘effective reach’ of that programming, or how many hits the Indycar.com website generates, or debating the costs of throwing in a track tenderloin w every ticket purchased, DOESN’T MATTER.
Simply, the racing product, while being better than it has been for at least a decade (which is merely an uptick from the bottom), IS NOT one that sparks the interests of millions of people outside the Indy 500.
This is the issue and one that needs addressed YESTERDAY/last month/two years ago/6 years ago/ad naseum.
BIGGEST PICTURE: Indycar has 2 options:
1. Build a model that can survive on 500k fans (which it basically working toward right now).
2. Start over ASAP and build a model that can sustain 5 million fans year-round.
There is little habitable space that is sustainable for a sport between those 2 numbers.
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