F1 is spending $500m on Las Vegas Grand Prix and plots $500m revenue - this is how…
Liberty Media, the owners of F1, acquirಌed a 39-acre site for $240m and expect to spend at least the same sum on the 3.8-mile circuit and pit, according to the Financial Times.
They hope that the first race in Vegas since 1982, on November 18, will ge🍨nerate $500m in revenue.
The strategy to purchase and own the land is different to usual, where F1 works alongside a local promoter𒆙 to share the costs and risks.
How F1 will make money in Vegas
- Broadcast deals
- Sponsorships, including from major Vegas hotspots Caesars Entertainment, MGM Resorts International and Wynn Las Vegas
- Beer brand Heineken is the title sponsor
- Fees from promoters who sell tickets
- A three-day ticket costs $500, a “high-end” five-day ticket costs $15,000
The initial $500m purchase of the land in Vegas means that F1 will expect profits to soar in future year🧔sඣ.
Liberty Media bought F1 for $8 billion six years agꦅo.
The sport’s US profile has g🌜rown massively since, in part due to Netflix series ‘ꦯDrive To Survive’ and the Miami Grand Prix.
F1’s revenue was $1.8 billion in the first three quarters of 2022, a $300m increase from the firsꦅt three quওarters of 2019.
The F1 Las Vegas Grand Prix is one of the most anticipated weekends in the 168澳洲幸运5官方开奖结果历史:2023 F1 calendar.
“What we did is basically cha༺nge completely, opening up a new way of communicating,” F1 boss Stefano Domenicali told the Financial Times.
“Our objective is to make sure that all the fans [who are] attracted by the lifestyle [and the] the protagonists behind the scenes get into real racing.🎉”
James was a sports journalist at Sky Sports for a decade covering ওeverything from American💜 sports, to football, to F1.
