Friday, December 25, 2009

Great Book for Christmas


Merry Christmas from the Indy Idea.

My favorite gift that I received this morning is the book, "More than a Game," by Michael MacCambridge. The author tells the story of pro football's rapid ascent to Number One among U.S. spectator sports.

Everyone who makes decisions for the Indy Racing League should be required to read this book. The rise of the NFL in the television era was no accident. The process was planned and managed by the great commissioner, Pete Rozelle.

I'll stop there because Little Roggespierre is requesting that I put batteries in his new R-C Hot Wheels Team 7-Eleven Indy car.

Roggespierre

Thursday, December 3, 2009

Comcast to take control of NBC Universal



The worst kept secret in media M&A is finally confirmed. Comcast will purchase a majority stake in NBC Universal.

This is very good news for the IRL because it virtually ensures that Versus will be carried everywhere and by everyone (including DirecTV). Comcast will bundle Versus with more popular cable networks such as USA, CNBC and MSNBC. DirecTV can not seriously consider removing those channels from its lineup. Therefore, it will be forced not only to carry Versus, but also to assign the IRL's fledgling cable partner a decent channel number.

Translation: Comcast is prepared to spend $13.75 billion in order to acquire bargaining power with regards to negotiations with its customers and suppliers. Conversely, the IRL is preparing to select yet another single IndyCar chassis, thereby forfeiting its own bargaining power and that of its teams. The IRL will likely make the same mistake with regards to engine selection.

The IRL could learn something from its television partner. Regrettably, history suggests strongly that it will not.

Roggespierre

Monday, November 30, 2009

Edmonton IndyCar event loses $3.9 million

This can not bode well for temporary racing circuits in the IndyCar Series. According to the CBC, the 2009 Rexall Edmonton Indy lost $3.9 million. The good news is that this is an improvement compared with 2008, when the Edmonton IndyCar event lost $5.2 million.

For those who are keeping score, that's $9.1 million in government funds that have been flushed down the toilet in just two years. If IndyCar were to attract a substantial television audience, then the money might be justified as an investment.

Unfortunately, that is not the case. The Edmonton Indy earned a 0.4 cable rating on ESPN in 2008 and a .24 cable rating on Versus in 2009.

U.S. television viewers have spoken. There is very little demand for this event.

The math is not difficult. The municipal and provincial governments have backstopped $9.1 million in exchange for a grand total of approximately 700,000 U.S. television viewers over two years. That's $13 per viewer.

If Edmonton were a profit-seeking enterprise, then it would have no choice but to follow Richmond out the door. When the contract expires following the 2010 Edmonton Indy, I suspect that we should anticipate the same conclusion.

Roggespierre

Lack of U.S. Stars Killing Indy Event

The problem is not unique to IndyCar racing.

Mark Ambrogi of the Indianapolis Star reports that the city will likely lose its professional tennis tournament. Declining crowds, a dearth of sponsorship, and little hope for a television deal are the proximate causes.

But the real culprit is a lack of star U.S. competitors.

I vividly recall attending this event when it was the U.S. Clay Court Championships. I joined thousands of fans that crowded their way into an outer court to watch Jimmy Connors take on a brash but promising young American, John McEnroe.

Unfortunately, history alone can not sustain the event. Middle American tennis fans have determined that the present-day value proposition is irrelevant.

The two most recent champions of the Indianapolis Event are Gilles Simon and Robby Ginepri. Apparently, fans greeted these undoubtedly highly skilled competitors with a collective shrug.

Sound familiar?

The not-for-profit promoter of the Indianapolis tennis tournament is powerless to affect change. The same can not be said for IRL Management. It has chosen to abandon the non-technical aspects of product development.

The IMS Board and its chosen managers will have only themselves to blame both if and when a similar story is written about another once-great institution.

Roggespierre

Monday, November 23, 2009

IndyCar's Griffin takes own head

The Indy Racing League has lost another experienced, talented professional. It appears as if Public Relations Chief John Griffin decided to take his talents elsewhere.

Who can blame him, given that his boss effectively called Griffin out for failing to promote the IRL's roster of unwanted "stars". Never mind that Angstadt, Barnhart and Cotman gave Griffin Goulash and expected him to compete with cheeseburgers for sales to U.S. racing fans.

Public Relations can not make people like the food. And John Griffin did not forget how to do his job when he left NASCAR to work for the IRL.

I like and respect John Griffin. He did his job well. It is regrettable that his bosses did not and do not understand exactly what that job entails (and what it does not).

The not-so-widely released press release is below in blue.

Roggespierre

For Immediate Release

GRIFFIN STEPS DOWN FROM INDY RACING LEAGUE

INDIANAPOLIS (Nov. 20, 2009) - Indy Racing League Vice President of Public Relations John Griffin has submitted his resignation, effective Dec. 18.

"John has been a valued part of our organization and he will be missed," said Terry Angstadt, president of the commercial division of the Indy Racing League. "His creativity and passion for the sport brought publicity for the IZOD IndyCar Series to a whole new level. We wish him the best of luck."

Griffin joined the Indy Racing League as vice president in 2002, overseeing all aspects of the IZOD IndyCar Series and Firestone Indy Lights public and media relations program as well as strategic communication. During his tenure, Griffin developed and implemented public relations strategies for several historic events including the unification of open-wheel racing, Danica Patrick's first win and the series IZOD entitlement announcement earlier this month.

"I appreciate my time here at the Indy Racing League where I have made many great friends and want to thank Terry (Angstadt) and Brian (Barnhart) for the opportunity," said Griffin. "I really think the time is right for me to entertain a new challenge, particularly something that would allow me more quality time with my kids."

Before joining the Indy Racing League, Griffin worked for NASCAR with his professional career also including stops with World Cup USA 1994 and the Major Indoor Soccer League.

A replacement for Griffin has not been selected.