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When the Public Investment Fund of Saudi Arabia launched LIV Golf in 2022, the reaction from the golf world was pure disbelief and confusion. A new tour, backed by sovereign wealth, offering excessively high contracts worth tens of millions to players who had spent their careers climbing the ranks of the PGA Tour. Saudi Arabia understood exactly what it was doing. It wasn't trying to build a better golf tour. It was trying to buy a seat at the table of one of the wealthiest a

When Roger Federer announced a partnership with On Running in 2019, most headlines framed it as another celebrity collaboration. A Swiss legend backing a startup Swiss shoe brand truly meant that something was cooking behind the scenes. And in fact, that reading missed what was actually happening. Federer wasn't signing a sponsorship deal, he was taking equity in the startup. Two years later, On Running was listed on the New York Stock Exchange at a valuation of around $11 b

Sponsorship in Formula 1 looks very different today than the past eras, both in terms of who is investing and how much they are paying. As the sport’s global audience expanded and diversified, the commercial aspect grew accordingly. This post explores how that growth has affected the initial sponsorship economics, and why contract valuations have risen so sharply in the recent years. In 2016, the world renown media company, Liberty Media bought F1. One of the first things th

Formula 1 is far from being only a motorsport; it is a global business machine. With nearly two billion virtual spectators per season, and hundreds of thousands of fans attending each race, it truly creates an outstanding atmosphere in each city hosting the races. But how much does hosting a race actually benefit a city, and economically, is it always worth the cost? The most evident benefit is the flow of consumer fan spending. Most fans travel internationally to attend spec

In professional golf, top players are far more than athletes. They are strategic business assets. The individual nature of golf allows top players to generate greater brand exposure, as they are constantly visible on camera. As a result, the financial influence of elite golfers on the brands they endorse can be deeper and more sustained than in many other sports. Unlike team sports, golf places the athlete and their sponsors right in the spotlight. Compared to Formula 1, the

Among the most complex collaborations in international sports are Formula 1 sponsorships. They are strategic marketing investments intended to provide global exposure, brand prestige, and measurable commercial returns, as opposed to simply placing logos. Careful planning, negotiation, pricing strategy, and detailed performance analysis all influence the relationship between F1 teams and business sponsors. The Sponsorship Process The sponsorship process begins with strategic f