Tag Archives: Scuderia Ferrari

Formula One: Kimi talks to his Fans on via Instagram

Kimi Räikkönen’s increasing use of social media to engage with fans and critics continued today with the 2007 Champion posting a Q&A session.

Through the post, Kimi talks about his family, touches on his future plans and praises the trophy design selected for the 2018 French Grand Prix.  It seems Gorilla’s and the Iceman go well together!

It’s great to see driver’s taking control of their online presence and engaging with fans in ways in which they deem appropriate.

Thanks to the TheMiezicat for posting the session on YouTube.

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Formula One: Ricciardo to Renault?

 

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Daniel Ricciardo: Time to remove the Red Bull Racing race suit for good?

 

As the 2018 FIA Formula One World Championship heads to Barcelona, silly season is kicking into high gear. At present, when looking towards the 2019 season, the state of play for the likely top four finishers in the Constructors Championship this season is as follows: 

Mercedes: both drivers out of contract

Ferrari: One seat open

Red Bull Racing: One seat open

Renault: both seats open

Being only four races into the 2018 season it may seem a little premature to be talking about 2019, but the events of Baku are likely to play a pivotal role in the decision-making process across the market.

With 99% certainty, it can be expected Lewis Hamilton will or has already renewed his commitment to Mercedes for 2019 and beyond in what will likely be his final contract as a driver in Formula One.  Leaving a single seat with the Silver Arrows. Whilst many have questioned his outright ability to take the fight to his competitors, Bottas has proved to be a reliable second driver for the team. Lewis’ response towards his teammate after being gifted his first win of the year, illustrates a team working in cohesion. Management would have to think long and hard about what they were trying to achieve in looking to replace Bottas. I expect he will be retained for a third season unless Ocon finds himself without a seat at Force India.

Over at the Scuderia, Kimi has been in his final season since he rejoined the team in 2014. Whilst never stella, he again creates an environment in which his teammate can thrive. Arguably he weakens Ferrari’s ability to challenge for the constructor’s championship, but I personally believe he will either be renewed on another single year agreement, or make way for Charles le Clerc, who finally started to prove his strengths with a fantastic performance in Baku. I do not believe Ferrari are considering Ricciardo as a possible partner for to Vettel.

Then to the curious case of Red Bull Racing. In Baku, Max Verstappen and Daniel Ricciardo broke the golden rule of motorsport and took each other out. The incident was a long time coming, after a race in which multiple passes between the two had already resulted in contact, the drivers compromised their own strategies and slowed each other down. With the team standing by their philosophy to “let them race”.  In the short term, I don’t believe this will destroy team harmony, but it went some way to sowing the seed in Riccardo’s mind that a team not willing to favour one driver over the other may not be the team in which he achieves his ambition of securing a world championship. This coupled with the widely expected announcement that Red Bull Racing will switch to Honda power for 2019, which whilst much more competitive with Toro Rosso than it ever was with McLaren may not quite be at the level to compete for championships.

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Renault F1 Team  successfully challenging Aston Martin Red Bull Racing for position during the 2018 Azerbaijan GP

Then to Renault, a team whose 3-year plan to reinvigorate the Enstone facility and rebuild a once championship contending team, is now starting to come to fruition. From 2019 onwards Renault should expect to be challenging for outright wins and comfortably challenge the likes of Mercedes and Ferrari. In Hulkenberg and Sainz the team have a formidable but unthreatening lineup. As the team look to challenge for wins, they need a superstar driver. Could Ricciardo become Renault’s next superstar? As a works team, they are in a position to offer the salary driver of Ricciardo’s calibre should command, and they can offer something no other team can, the ability to shape the team around him. Some will say it would be risky for Ricciardo to give up a race-winning seat for a team which hasn’t won a race in over a decade, but the same could be said for Lewis Hamilton when he walked away from McLaren. Renault presents opportunities Red Bull Racing simply can’t offer.

Should the top four teams be covered by four manufacturers, it would be fantastic to see the top four drivers of the current era; Hamilton, Vettel, Verstappen, and Ricciardo behind the wheel of different cars each with their own strengths and weaknesses.

Daniel Ricciardo racing for the Renault Sport F1 Team for 2019 is my prediction for the big shift this silly season. Sainz may well return to Red Bull fold as a result, but I personally believe he will remain with Renault with Hulkenberg heading to life after F1 and Gasly moving into the Red Bull Racing team.

Image Source: Red Bull Media Pool

 

Formula One: Ferrari QUIT …Ordinary Smoking

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Scuderia Ferrari secured their second victory of the 2018 Formula One World Championship in Bahrain yesterday, with Sebastian Vettel managing to extend the life of the soft tyre compound well beyond the Pirelli advised operating window. The four-time champion converting a two-stop strategy focused on pure pace into a one-stop endurance challenge in response to what many saw to have been a checkmate move from Mercedes with Bottas and a recovering Hamilton pitting for medium compound tyres after Vettel’s first stop. This demonstration of masterful tyre management and dynamic race strategy suggests a thrilling season is in prospect.

After the processional opening race of the season, the eventful Bahrain Grand Prix was a welcome relief for fans and media alike. Overtaking is possible in 2018! Away from the racing, another feature of the 2018 season that continued to grab the attention of commentators was the smoking Scuderia Ferrari and the Ferrari powered customer teams. Technically minded reporters suggest this feature of the 2018 Ferrari power unit is the result of the power unit solution employed by Ferrari to overcome additional restrictions on oil being used as fuel. Through 2017 the oil generating this ‘smoke’  would have been channelled back into the power unit and possibly improved performance, for 2018 Ferrari have elected to channel oil out of the car. Much to the frustration of any competitor lapping behind them.

Whilst the technical explanation is entirely logical, (albeit poorly explained in this article) there is an alternative school of thought around this new feature of Scuderia Ferrari. Ahead of the 2018 season, it was widely expected the scarlet team would feature branding from title partner Philip Morris International’s electric cigarette / vaping division IQOS. In fact livery designer extraordinaire Sean Bull put together this fantastic mockup livery around such an announcement:

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Regional advertising restrictions around products containing tobacco likely put an end to these plans, but curiously around the same time as the 2018 launch, PMI announced an extension of its agreement with the Scuderia. Since 2008, when all tobacco advertising was banned in sports, PMI and Ferrari have sought to bypass these regulations through the use of suggestive images, such as barcodes mimicking the brand name Marlboro or team logos reflecting the Marlboro brand identity, is it possible the new smoking look to the 2018 Ferrari is a form of next level subliminal advertising?

IQOS stands for I Quit Ordinary Smoking. The IQOS device acts as a substitute for cigarettes, giving users the tobacco kick as cigarettes, with reduced health risks. During use, IQOS emits a harmless smoke cloud (seen here). Has Ferrari Team Principle and Former PMI Marketing Executive, Maurizio Arrivabene, created the ultimate subliminal advert for IQOS in developing a car to mimick the characteristics of the product a sponsor is seeking to promote?

Is it time to rename the Ferrari SF71-H  the SFIQOS-H!?!

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Photo credit: Mark Sutton

Formula One: Preparing for the budget cap

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The Liberty Media vision for the future of Formula One Teams is clear. The owners expect 12 commercially viable, profitable, franchises all capable of challenging for race victories. In his role as Managing Director of Motorsports, Ross Brawn, has been mandated with the task of delivering a strategy to ensure this vision is achieved.

12 commercially viable & profitable teams, on paper, sounds fantastic. With the variable of available finances removed, the resourceful nature of F1 teams will truly be put to the test. Outwardly it seems as though there is widespread support from the teams for such a move. Afterall, what business wants to spend more money? With representatives from leading teams including Red Bull Racing emploring Liberty Media to ‘ Save F1 Teams from themselves’ the route to implementing a budget cap should, in theory, be straightforward.

However, As with any commercial decision in Formula One nothing is straightforward. The first major hurdle to overcome is the existing structure around payments and the legacy of disparity. In 2017 Joe Saward explained the complexities around the current structure in this article. The existing structure rewards success and longevity, a something which is not overly inviting to a new team, nor geared towards a midfield team ever being in a position to surprise. In an estimated payment fund of $900M per season, the top 3 teams receive approximately 60% of the revenue, leaving the remaining, currently 7, teams to compete for 40% ($360M) between them. It is estimated that the smallest operational budget in F1 today is in the region of $100M, with only $50M coming from the championship, teams have a significant shortfall to cover.

A more appropriate payment structure would be equal distribution amongst all teams, with a proportional bonus for constructors championship position, similar to that seen in the Premier league as detailed here.  Unfortunately, in order to reach this point, the largest teams, with operational budgets believed to be in excess of $400M per season must agree to a cut in support from the system under which their team structure has been developed. What business would agree to lose as much as 50% of its funding without a clear view of how it will cut costs or increase revenue through other ventures.

Convincing; Red Bull Racing, Scuderia Ferrari, and Mercedes Grand Prix to agree to this change will be one of the key tasks ahead of Ross Brawn through 2018 and 2019 if a new system is to be introduced under the new commercial vision for the sport in 2020.

The task is far from simple, the infrastructure of the top teams has been built around a mindset of a limitless budget. If a budget cap of $150m per season were to be introduced in 2020 with no consultation from the teams, it would be almost impossible for the top teams to comply. From a personnel headcount perspective alone a team such a Mercedes Grand Prix, with in excess of 1400 employees, if an average salary of $50,000 is applied, the team commit 46% of its budget to salaries before considering building a car. Without modifying the current team structure, introducing a budget cap within the next 3 seasons, unless Liberty Media expect teams to make more than 50% of their workforce redundant, is not feasible.

On a more positive note, there are indications that the top teams in question are preparing for the change. A budget cap in Formula One will not mean that the likes of operating entity such as Mercedes Grand Prix or Red Bull Racing will be limited to an expenditure of $150M per season, rather their allocation of resources to F1 will see this limit applied.

As a result, it is highly likely that diversification will be a key element to the future of F1 Teams. Over the past decade, McLaren and Williams have established an industry-leading position in the application of engineering solutions developed to improve performance in motorsport being incorporated into manufacturing processes and commercial entities.  For these teams, this third-party business will likely continue to grow. it is, however,  unlikely Ferrari or Red Bull Racing will view this as an appropriate use of resources or brand credibility.

Instead, expect the very top teams to move towards expanding their foothold in other forms of motorsport.

  • Mercedes Grand Prix has already made steps in this direction with the announcement of a commitment to Formula E team from season 6 of the championship. This alongside the development of the Mercedes Project One, which to many is a clear indication of Mercedes ambitions to return to Endurance Racing. A return which with LMP1 regulations under review and the prospect of the reinvigoration of the FIA Global Engine strategy, Mercedes are well positioned to find success.

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Credit to Sean Bull Design for the concept Mercedes Formula E livery 

  • Similarly, Red Bull Racing through their partnership with Aston Martin has acknowledged an interest in taking the Valkyrie racing, and under guidance from Ross Brawn will no doubt be seeking to bring the Toro Rosso team entirely in-house.

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  • McLaren has taken the decision to take control of their GT programme, and have already explored further engagements in championships including Indycar following the positive coverage generated through the one-off partnership with Andretti Autosport at the Indy 500 in 2017.

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  • Ferrari continually talks of a return to Endurance Racing, and could, similar to Red Bull Racing consider a strategy of an in-house B-team with which budget cap compliance could be achieved.

In conclusion, political posturing between the top teams in Formula One, Ross Brawn, and Liberty Media throughout the 2018-19 seasons will likely overshadow on-track performances. Fans of the sport should take any empty threats from top teams to walk away from the sport as just that. Empty threats. The financial implications of such a move make the option unviable. Instead, teams will double down on motorsport, getting involved with more championships, with the eventual winner being the fans.

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Formula One: Scuderia Ferrari IQOS

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Following yesterday’s article in which the prospect of Scuderia Ferrari carrying IQOS branding was explored, designer Sean Bull got in touch to share his vision of a possible 2018 livery for the Scuderia.

Philip Morris International, as title partners of Ferrari, will likely seek to include IQOS naming rights within a partnership announcement in order to maximise coverage and brand exposure. As such the team may well be referred to as Scuderia Ferrari IQOS, following the previous Scuderia Ferrari Marlboro naming convention.

Sean‘s concept livery harks back to Ferrari livery style of the early 90’s using black as a secondary colour throughout the design. The use of black on the front and rear wing would likely appeal to the team’s designers, with the fine detail of aero intricacies being more difficult to make out in rival team ‘spy shots’.

It remains to be seen if Philip Morris International will seek to promote its e-cigarette business through Ferrari in 2018, based on fan response to the rumour, the move would be positively received.

Click here to check out Sean on Twitter for more motorsport livery work.

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Formula One: Missing Sponsors

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As the clock struck midnight on December 31st 2017, many sponsorship relationships throughout the F1 Grid reached their conclusion. In the coming weeks and months, numerous new agreements will be announced at both a team and championship level as attention focuses on the season ahead. For myself as a lifelong fan of the business of Formula One, now aspiring to develop a career in this side of the sport, this period between commercial contract expiry and new contract announcements can be fascinating.

No team will encourage media to make a story out of the end of a partnership, so don’t expect any press releases confirming a departure, instead head to the partner’s section of the website of the team you follow and see if you can spot the brands or names suddenly missing from the list.

A well-publicised partnership expiration is that of the relationship between Santander and Scuderia Ferrari.  A partnership many believe will be replaced by the promotion of long-term team partners Phillip Morris introducing e-cigarettes to Formula One with the brand IQOS. If true, e-cigarettes could represent a high-value sector of sponsors for F1 moving forward, assuming advertising challenges can be overcome, and OEM’s including Mercedes and Renault are comfortable with the association.

Intriguingly, whilst Santander has been removed from the Scuderia Ferrari Website, it remains on the McLaren (no longer McLaren Honda) website. Santander, whilst no longer a brand represented on the McLaren livery have been partnered with the Woking based team since Alonso first joined the team in 2007.

Can you spot any other team websites with mysteriously missing partners? There are some out there which may surprise…

Formula One: Underestimate me at your peril – Marchionne to F1

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Underestimate me at your peril. The resounding subtext pointed in no uncertain terms towards Chase Carey and Formula One from Sergio Marchionne at the launch of Alfa Romeo’s title partnership relationship with the Sauber F1 Team this weekend. 

The long rumoured return of Alfa Romeo to Formula One with the Sauber F1 Team was finally confirmed earlier this week. The announcement of the return was closely followed by an invitation to the worlds motoring media to attend a press conference in Milan. On the face of it, the objective of this event was to confirm 2018 Sauber F1 Team drivers Charles Leclerc and Marcus Ericsson with Antonio Giovinazzi taking on a 3rd driver role and to unveil the 2018 livery theme. What transpired was a master class in negotiation from Chief Executive Officer of Fiat Chrysler Automobiles (FCA) Sergio Marchionne.

After a period of observing, tinkering, and to some extent grandstanding, the final races of the 2017 Formula One season have seen Liberty Media begin to share their vision for the future of Formula One. Until now, key protagonists set to be impacted by this vision have largely kept their views to themselves or at least limited opinions to isolated sound bites. Sergio Marchionne and FCA, have now firmly stuck their head above the parapet to makes themselves and their views clear for all.

Elaborate team and sponsor launches are something which for many had been consigned to the history books with the vast majority of team unveiling now taking place minutes before pre-season testing on a chilly pitlane in Barcelona. Yet this weekend saw the team finishing plum last in the championship host over 400 media representatives from all over the world at the Alfa Romeo Museum situated just outside of Milano launch a sponsorship less than one week after the end of the season. With media from the US being flown in First Class with 48 hours notice, it would be conceivable to say that the budget of this single event exceeded the marketing and activation budget of the team for the entire season. Sergio Marchionne wanted an audience for his message, and he wanted his audience to leave the event singing his tune.

In addition to the media contingent, Sergio Marchionne and FCA invited newly reappointed FIA president and former Scuderia Ferrari Team Principe Jean Todt to attend and speak at the event, alongside Formula One CEO Chase Carey, with Sauber F1 Team owner Pascal Picci. So with the stage set, Sergio Marchionne opened the event, in Italian, focusing on the great news of Alfa Romeo returning to Formula One. This was followed by Mr Todt waxing lyrical about the passion of the brand and its significance with motorsport. Chase Carey then took to the stage to applaud FCA for bringing Alfa Romeo back to Formula One, he acknowledged their history in the sport and spoke of his enthusiasm for their return. Then the big reveal, driver line up confirmation and an indicative view of the team livery.

What followed was pure mastery. Sergio Marchionne returned to the podium for a few more words. In the space of 10 minutes, he politely panned the Michael Buffer COTA show, make clear FCA & Ferrari did not want to be part of a ‘dumbing down’ of Formula One, asserted the sport should be focused on technology over entertainment, and what could be the knock out blow, “our partnership with Sauber is until 2021, if we don’t like the direction the sport is taking at that point, we will leave and we’ll take them with us”

This rhetoric was delivered not only to a room full of media, but squarely at Chase Carey seated directly below the rostrum at which Sergio Marchionne made his speech.

Following this, team owner Pascal Picci and team principle Frédéric Vasseur returned to the stage for an open Q&A session. I would not like to suggest any questions were ‘planted’ but the position of FCA strength ahead of any negotiations with Formula One over the future of the sport was highlighted at every available opportunity.

Of course, Chase Carey and Liberty Media did not get to where they are today by chance, I have no doubt they have more than a few tricks up their sleeve as they head into negotiations with Formula One teams over the future of the sport. Sergio Marchionne has simply set the tone of future discussions and made it very clear he is more than happy for any discussion to be made in full view of the media and the Formula One fan.

The three P’s of Formula One: Points, Penalties and Prizes – Paddock Magazine

The 2017 Italian Grand Prix served to highlight once again that current Formula 1 regulations around grid penalties for exceeding…

Source: The three P’s of Formula 1: Points, Penalties and Prizes – Paddock Magazine

Formula One: Champagne returns to the F1 podium!

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The eagle eyed F1 fan may have noticed a new name featuring at the Monaco Grand Prix podium, that name, Carbon Champagne. As the name suggests, Carbon Champagne fits perfectly into the world of Formula One, with a unique carbon fibre surround crafted for  the premium champagne.

After Mumm Champagne transitioned motorsport involvement from Formula One to Formula E, a decision covered in detail here, Formula One Management partnered with sparkling wine brand Chandon. As followers of this website and  JWGP on Twitter, drivers and teams referring to Chandon as champagne had been a continual pet peeve of mine. With this in mind I applaud Formula One Management for bringing a true champagne back to the podium celebration.

Entering into partnership with Carbon Champagne represents a curious strategic development from Formula One Management and possibly hints towards an evolving business strategy. Carbon Champagne fits into the super premium drinks segment both in terms of quality and price point. A single bottle of Carbon Champagne costs between 10 and 20 times that of the podium product it replaces. This partnership perhaps reflects Formula One’s ambition to ensure the sport retains it’s status as the pinnacle of motorsport through association with brands unattainable to the typical fan. It is clear the sport is walking a tightrope seeking to broaden the appeal of the sport and grow the audience, whilst maintinaing and perhaps elevating its premium nature.

Typically the relationship between a champagne partner and a sports championship is more expansive than the three bottles drivers receive during podium celebrations. As a minimum, a champagne partner can expect to see all championship hospitality requirements to be purchased through this relationship. Beyond increased brand awareness earned through Formula One association, this sale will provide a clear return on investment for the brand against any sponsorship fee agreed. With Carbon Champagne this relationship could prove challenging due to the super premium price positioning of the product. Put simply, it may be challenging for Carbon Champagne to be made available within Grand Prix hospitality without increasing ticket pricing, a move unlikely to be well received by patrons of such said hospitality.

The Carbon Champagne Formula One partnership is one of the first under Liberty Media Management, however long the partnership lasts, it represents a clear statement of intent from Liberty Media. Decisions around championship partners will be made to build brand equity not dilute it.

Formula One: Time for Mercedes to go Aggressive?

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The 2017 Russian Grand Prix looks set to be the race in which Scuderia Ferrari cement their status as the dominant force in the World Championship. Having won two of the first three races of the season, the Scuderia’s pace was unquestionable yet many felt AMG Mercedes Petronas still held an ultimate performance advantage.

However with Ferrari having locked out the front row in qualifying for the first time since 2008 at a circuit which Mercedes have dominated in recent years, it is becoming clear that the boys in red have overtaken the silver arrows in terms of out and out pace. Since the introduction of the current power unit regulations, ignoring a few erroneous races, Mercedes have been the dominant force. The team has adopted an approach in which only an inter team battle is considered as a threat. In so doing, in a bid to ensure equality amongst drivers, race strategies have been safe and mirrored on both sides of the garage.

With a genuine threat from Ferrari for the overall  2017 World Constructors Championship clear, has the time come for this to change? At this point in the season Mercedes and Ferrari are the only team capable of challenging for race wins. Red Bull Racing being the next closest team were 1.8 seconds of the pole lap time in Russia. In this situation the challenging team, in this case Mercedes have two choices; acknowledging the lack overall race pace, they could take adopt the same approach as Ferrari in qualifying and the race, with the hope that driver skill or mistakes will elevate performances, or they could switch to an aggressive strategy, splitting their drivers tyres compound section in the hope of interfering with Ferrari.

For Mercedes to maximise an interference strategy the team should have sent either or both Hamilton and Bottas out into Q2 on Super Soft tyre compounds, with Ferrari qualifying on Ultras softs. This move would have safely taken them through the session and allowed them to run much longer in the first stint of today’s race. In electing not to do this Mercedes opportunity to interfere with Ferrari today will be limited to a strong start, or adopting a two stop approach over the expected one stop norm.

Moving forward, in order for Mercedes to challenge for their 4th successive constructors championship they must adapt to the new norm and consider irregular approaches to race strategy. Simple accepting, ‘the second row was a the best we could expect’ is not good enough from a championship winning team.