Board Thread:Game Discussion/@comment-176.126.186.78-20171107081119/@comment-28169398-20171107213739

MoisesGabby wrote:

Amrosa wrote:

A Fandoom User wrote: I have always wondered what’s the value of this sponsorship, given the huge cost of it (knowing how much a small sticker costs on the side of a mid-field F1 car) and the fact that 1) LMP1 WEC has a very limited following outside of Le Mans, 2) for whoever is not in the machine tool business, as maker or user, DMG MORI doesn’t mean anything, and 3) potential buyers of machine tools don’t make purchases based on whether they saw the name of the machine tool builder on the side of a WEC car. There are plenty of buyers of industrial products that watch sports. The Aluminum conglomarate ALCOA used to advertise on the NFL. You also have had Defense Contractors, GE Jet Engines, Boeing Airplanes, Catepillar, Komatsu, etc as major advertisers. None of these ads are direct to consumer marketing but are targeted to other executives and government officials that make purchasing decisions.

It is also a prestige sponsorship and one that likely affords them access for their top clients to hospitaltiy tents, team principals and drivers. I do not know how German Corporate Tax law is structured, but in the US, these types of expenditures can be deducted by the companies as expenses.

Also, given Porsche's image as a prestige brand and perennial winner, companies like to have their brands associated with brands of that caliber to get the Halo Effect by association. So that in a nut shell is the value of these sponsorships.

Wait, you don't know how German corporate tax law is structured?

Worked Latin American markets in my day... Europe and Africa always gets handled out of London....