2. Table of Contents - Introduction - Team Intro and Background - B-to-B Approach - B-to-B Examples - Program Opportunities - Schedule and Markets - Series Information - Television - Series Marketing and Demographics - Layout Examples - Contact Information
3. This is not about racing. This is about utilizing a more cost effective vehicle than the usual marketing communication tools to maximize the impact and return on investment in your company’s efforts to reach end consumers and business partners. This is simply about sales, building brands, market share and distribution. This is about Business to Business and playing matchmaker between manufactures and distributors. And if done right, this is about a program which can be both self funded and profitable for your company. This is about the business behind the racing business. Introduction
4. Team Intro and Background The 2010 Indy Lights program will be a new entry but Movement Arts Competition is not a new team. Movement Arts Competition currently operates as a business unit of Movement Arts LLC. It has over twenty years of experience within the Industry including past part ownerships in several race programs and teams in the Champcar and Indycar series. The team is currently solely owned by its founder and president Matthias Czabok. At this point the following Key team positions have been established: Matthias Czabok Owner - President Matthias raced motorcycle, open wheel and stock cars himself in the past before focusing more on the business side of racing. Throughout his career he was been involved in numerous motorsport programs in F1, DTM, CART, Indycars, Stockcar and Drag Racing. He became a minor part owner in Champcar and Indycar outfit Blair Racing in 2001 and later ran his own programs in the ASA national tour. He is also the majority owner of Movement Arts LLC and several Movement Arts business units such as Matt's Pro and SponsorDisk.com.
5. Team Intro and Background Robert Clesi VP B-to-B Development / Logistics Robert brings a wealth of B-to-B experience and Logistic background to the team with more than fifteen years in developing business and creating Investment funding in startup scenarios. His main responsibilities will be to leverage and network all B-to-B opportunities. Maria Jannace VP Sponsorship Sales and Marketing Maria through her own agency Maxim Sports Management was responsible for the Red Bull driver search which ultimately brought American Scott Speed into Formula One. She also managed British Formula One World Champion and Indycar Campion Nigel Mansell throughout his active career. Mike Wright Technical Advisor - Lead Engineer British native Mike Wright will serve as technical adviser and lead engineer for Movement Arts Competition. Mike worked for manufacturer Lola and Reynard in the past and was the Race Engineer at several Champcar and Indycar teams including Walker Racing, Team PRG as well as Sportscar teams such as Finally Motorsport and Spirit of Daytona Racing.
6. Team Intro and Background Richard Pietz General Manger Race Operations With over 20 years in the racing industry Rick helped to build and run several teams in the past including CDI Motorsports and JTMase Motorsports. Rick will be responsible for the day-to-day race operation out of the teams race shop in Dover NJ. Grant Maiman Driver / Dir. Driver Development Besides driving the # 13 Movement Arts Competition Indy Lights car in 2010, Grant will also serve as the team's Director of Driver Development, helping young talent with their next steps in their careers. Outside of racing, Grant is currently a driving instructor for the Skip Barber Racing School. Grant Maiman was also the winner of the 2002 Red Bull Driver search. Location of Teams Headquarters and Race Shop All business aspects of Movement Arts Competition will be handled out of the team’s headquarters in Exeter Rhode Island. All race operation aspects will be handled out of the teams fully equipped race shop in Dover New Jersey.
7. B-to-B approach B-to-B approach Following the Industry direction where race budgets more and more are created through distribution or Business to Business programs, Movement Arts focus will be to secure 2010 and future funding for race operation mainly through those channels and not solely through Sponsorships. The advantages of our race programs are our capabilities in utilizing synergies with other Movement Arts business and activities. We are uniquely positioned to leverage the distribution power of potential team partners with our product development and manufacturing capabilities as a marketer of several end consumer products we produce or represent. Furthermore teams are encouraged to participate in any business to business opportunities that may exist with both league and other team sponsors. bNet meetings exist at the IndyCar Series level for sponsors to network and build quality business to business relationships and is currently being explored as an option for Firestone Indy Lights participants. Official sponsors of the Firestone Indy Lights include:
8. B-to-B example “Distribution” Disclaimer: Movement Arts LLC at this point is not associated in with any brands or companies shown in the example below. Shown brands and companies are just used to illustrated how business – to – business distribution deals could be constructed to generate funding for proposes racing program. Distribution of Matt’s Pro Skin Care Products Matt’s Pro allocates majority of cross profit manufacture margin for program funding Primary Partner FASTENAL Includes additional Distribution Partners in program
9. B-to-B example “Purchasing” Disclaimer: Movement Arts LLC at this point is not associated with any brands or companies shown in the example below. Shown brands and companies are just used to illustrated how business – to – business purchase deals could be constructed to generate funding for proposes racing program. Purchases services and goods necessary for resort operation Primary Partner MOHEGAN SUN provides program access to resort suppliers in exchange for competitive purchase conditions Allocates net savings for program funding
10. B-to-B example calculation B-to-B Example Using Movement Arts own brand Matt’s Pro Skin Care Products as an example of how operational funding can be created through B-to-B distribution deals. A potential distributor partner such as privately held Example Inc. with over 525 gas-convenience stores located across the southeast agrees to distribute Matt’s Mechanics Pro products. In exchange of the guaranteed order volume retailer receives the primary sponsor position in the Indy Lights program without any additional budget requirements. Example Retailer: Example Inc. Customer Store Locations total: 525 in 12 southeastern states Est. # of stores product will be carried: 525 Product: Matt’s Mechanics Pro Working Hand Care 16 oz Pump Bottle Product Advantage: Matt’s Mechanics Pro Working Hand Care is expressly designed to support hard working hands in the workshop environment. Helps protect the skin and support the healing of cuts and dry skin. No similar branded competitive product currently in Example Inc. C-Store markets. Targeted Customer: Impulse buy product, automotive oriented, Do-it-yourselfers, Outdoors customers Retail Price: $ 5.95 for 16 oz Pump Bottle Matt’s Mechanics Pro Working Hand Care Estimated first Order Shipment: November 2009, Sales cycle estimated 9 weeks in 09, 52 weeks in 2010 Estimated Order Volume: One case(12 bottles) per store per week. Total of 4,725 cases in 09. Total of 27,300 cases in 2010. Wholesale Purchase Price: $ 3.4808 per bottle Estimated Retailer Profit: $ 140,000 (9 weeks sales cycle) in 2009, $ 682,000 in 2010 (52 weeks sales cycle) Promo, Shipping, Support: Up to 5% of wholesale price per bottle to be negotiated Access to Indy Lights program: Free access to Primary Sponsor position (Value of US$ 495,000)
11. Assoc. Partnership Value of US$ 85k to 125k+ Program Opportunities Budget levels Involvement in the program includes exposure areas on the race vehicle, team transporters, equipment and cloth as well as driver suit. The program is split into four different budget levels as followed: (Prices are baselines and may change based on partner requirements) Primary Partnership Value of US$ 495k to 550k+ Major Partnership A Value of US$ 185k to 250k+ Major Partnership B Value of US$ 145k to 185k+
12. Schedule and Markets 2010 Firestone Indy Lights Schedule Date March 27 or 28 Streets of St. Petersburg, FL April 10 or 11 Barber Motorsports Park, AL April 17 or 18 Streets of Long Beach, CA May 28 Indianapolis Motor Speedway, IN June 19 or 20 Iowa Speedway, IA July 3 or 4 Watkins Glen International, NY July 17 or 18 Streets of Toronto, ON-CAN July 24 or 25 Edmonton AL-CAN Aug. 7 or 8 Mid-Ohio Sports Car Course, OH Aug. 21 or 22 Infineon Raceway, CA Aug. 27 or 28 Chicagoland Speedway, IL Sept. 4 or 5 Kentucky Speedway, KY Oct. 1 or 2 Homestead-Miami Speedway, FL
13. Series Information Firestone Indy Lights Series The Firestone Indy Lights is the official developmental series for the IndyCar Series and Indianapolis 500. Since its inception in 1991, the Firestone Indy Lights has served as a stepping stone and support series for owners, teams, drivers and sponsors to get to the IndyCar Series. Among the drivers who have advanced to the IndyCar Series and the Indianapolis 500 are well known names such as Helio Castroneves, Marco Andretti, Tony Kanaan, Scott Dixon and IndyCar Series superstar Danica Patrick. All Firestone Indy Lights events are run in conjunction with the IndyCar Series providing teams and sponsors access to such main events. All Firestone Indy Lights events are broadcasted tape delayed on versus every Monday after the event weekend. The mixture of Street and Road Circuits combined with Ovals make the Firestone Indy Lights Series a perfect training ground for teams and drivers as well as a spectator magnate through the diversity of different tracks.
14. Television Firestone Indy Lights Series on Versus Attracted to the IndyCar Series and Firestone Indy Lights for its focus on competition, further authenticating a key attribute of VERSUS, the channel focuses its efforts on fewer sports, thus enabling it to provide much greater depth in programming and promotion. The channel is owned by Comcast Corporation, the nation’s leading provider of cable, entertainment and communications products and services. Key points to note: VERSUS is the exclusive cable television home of the National Hockey League (NHL), the Tour de France, Professional Bull Riding (PBR) as well as college sports from conferences such as the PAC-10 and Big 12. A recent brand study illustrated that the network had high awareness among all sports viewers. The VERSUS name, slogan and manifesto all rated very favorably with sports fans and weekly viewers are highly likely to recommend the network to others. VERSUS was one of only two sports networks in more than 70 million homes which showed Household Impressions growth in 2007, while the majority of cable sports networks were down, including ESPN and ESPN 2. The network showed a 42% increase in men 18-34 from 2006, ranking second among the 26 cable networks in more than 70 million homes that saw growth in 2007.
19. Online and Mobile Marketing Indycar.com The Firestone Indy Lights Series was integrated into the IndyCar.com home page early 2009. This will improve the exposure of series, teams, drivers and sponsors through page views and unique visitors. Nearly 8 million unique visitors through have visited IndyCar.com until September of 2008. Indycar Mobile Firestone Indy Lights featured in 2009 IndyCar Mobile campaign During the 2008 season, program generated over 100k visits to the mobile platform in one month period. During the Month of May released Live Timing and Scoring on IndyCar Mobile, pioneering this technology. Real-time video from events featuring green flag starts, crashes, checkered flag and highlights. Captured user data via fan polls and opt-in quick registration before entering the mobile site.
20. Marketing Opportunities Indycar.com program activation opportunities Brand Exposure Team sponsor brands are seen by millions of loyal consumers each week, on everything from pit boxes and team uniforms to the cars and trucks themselves. Wherever IndyCar and Firestone Indy Lights is seen, sponsor brands gain valuable exposure as active participants in the action. Driver Endorsements and Appearances Drivers become ambassadors for the company’s brand and their likeness and endorsement can be used to enhance the sales process. Advertising and Promotions Many team sponsors incorporate their sponsorships into their general marketing programs. Promotions, sweepstakes and targeted communications all allow team sponsors to attract Firestone Indy Lights fans (and non-fans alike) in exciting new ways. Hospitality Each team owner and driver is entitled to access to the IndyCar Series Paddock Club each race weekend. As a participant in Firestone Indy Lights, a team owner and driver may also bring one guest each per race weekend.
21. Marketing Opportunities Key Brands currently involved with Firestone Indy Lights Team Sponsorships
23. Contacts Movement Arts Competition Team Headquarters 190 Wolf Rock Road Exeter, RI 02822 Phone: 401-667-4961 Fax: 401-244-7722 Email: [email_address] Web: www.macompetition.com Team Race Shop 85 Franklin Road, 5B Hamilton Business Park Dover, NJ 07801 Phone: 973-361-2970
