Market Segmentation of NASCAR

Market segmentation aggregates prospective buyers into groups that have common needs and will respond similarly to a marketing action (Marketing the Core, Kerin & Hartley). NASCAR is very difficult to understand in regards to market segmentation. With NASCAR being a nationwide sport, there are many different groups that the marketing team of NASCAR must reach in order to have the sport be successful.

There are four main bases of segmentation; geographic, demographic, psychographic, and behavioral. Geographic segmentation is based on where prospective customers live or work. Demographic segmentation is based on some objective physical, measurable, or other classification attribute of prospective buyers. Psychographic segmentation is based on some subjective mental or emotional attributes, aspirations, or needs of prospective customers. Finally, behavioral segmentation is based on some observable actions or attitudes by prospective customers. (Marketing the Core, Kerin & Hartley)

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First off for NASCAR, they must look at the geographic segmentation of their customers whether it be for ticket sales or people who watch on television. This is a very difficult segment because NASCAR is spread throughout the country with 23 tracks in 20 states ranging from the West Coast of California to the Northeast in New Hampshire. As the sport began, it was mostly a southern sport because that is where it was founded, but over the years, it has expanded greatly. This means NASCAR must market to people who are close to the tracks for ticket sales and to the whole country for those who want to watch on television.

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The demographics of NASCAR is a wide range as well. Fans may differ from North to South, but they are all passionate about the sport. The fanbase is primarily men (67%) with much of the population being aged from around 18-54. Their income is usually lower around the $30,000-$50,000 range with some above and below. One key stat is that one in every five NASCAR fans is a minority.
(http://www.brentsherman.com/PDFS/NASCAR.pdf)

The mentality and emotional attributes of NASCAR fans are pretty similar. Diehard NASCAR fans are usually very compulsive when buying tickets or making sure they see the races every week. They are usually very extroverted and love to communicate with other fans when they are at or watching a race. Lastly, they have the needs of wanting quality racing, low prices, and convenience. NASCAR has tried to increase the quality of racing through stage racing, they have been lowering prices so more people can afford to go to races, and they have tried to make it more convenient to shop at the track and watch the races live.

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Finally, NASCAR must look at the behavior of their fans. It is usually a little expensive to attend a NASCAR race so many of the fans are turning to just watching it on television instead of going to the race in person. This means that the usage rate for television is much greater than that of attending races at the track. NASCAR fans are aware of the product, but are never sure of it when something changes. This is when they need to be educated about the changes and it may take awhile for them to accept them. The customers of NASCAR are usually regular fans and the additions to the fanbase are usually through current NASCAR fans bringing them to the track to watch a race.

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It is clear that NASCAR has to do much analysis about the segmentation market in order to be successful. Looking at the geographic, demographic, psychographic, and behavioral segments, it is seen that the population is different from north to south. The one thing that NASCAR fans all have in common is that they are passionate about the sport they love to watch and attend.