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AMA motocross is not NASCAR

August 28th, 2007 · No Comments · Industry, Politics of Riding, Racing

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amavsnascarI frequently make reference to NASCAR when discussing MX/SX racing, MX/SX governance, and the general business of motorsports. And just as frequently someone rolls their eyes and remarks “Motocross is not NASCAR.”

Yep. I got that. You see, it’s pretty obvious. After the NFL, NASCAR may be the most popular sports business in the US. It’s inarguably the most popular motorsport. MX/SX is not. NASCAR enjoys legendary, life-long fan loyalty. MX/SX does not. Despite the fact that NASCAR’s growth rate is slowing, NASCAR events can still draw anywhere from 90,000 to 240,000 attendees. MX/SX, well, you know.

I definitely get it. The question is, do you? Do you think there might be a reason the Greatest Of All Time is leaving MX/SX to try and get into NASCAR? Do you understand that there just might be some valuable lessons to learn by studying a motorsports organization as effective as NASCAR? Do you grasp the fact that MX/SX, while definitely unique in content, may not be unique as a business? In fact, it just might have more in common with NASCAR, F1, CART, etc. than we’d like to admit. And maybe, just maybe if we ran MX/SX more like a dedicated motorsports business we’d be able to solve some of the issues that seem to plague the sport.

So maybe we should stop being pissy and actually take a careful look at what NASCAR, F1, etc. do well and see if we can learn something about how to make our own sport better. Keep in mind that NASCAR, as a private corporation, doesn’t publish much info about its internal structure and operations so what follows is based on my own observations over the years and what I can find on web sites. You’re welcome to send in corrections and clarifications.

One Leader, One Mission

One key characteristic is structure. NASCAR is not a committee. It’s a corporation and it’s run by one man, just like any other major corporation. For years it was Big Bill France. France was bigger than life and made all the decisions. In 1972 he passed the torch to his son Bill France Jr. who oversaw the organization’s phenomenal growth through the ‘80s and ‘90s. The following is from wikipedia but it’s pretty accurate from what I remember:

After serving as vice-president for six years, he became the head of NASCAR when his father Bill France, Sr. retired on January 10, 1972. [2] The International Motorsports Hall of Fame describes the transition: “Other than the founding of NASCAR itself, Bill Jr.’s appointment to leadership is probably the most significant event in the history of the sanctioning body.” [4] NASCAR went from a Southern regional sport to a national sport during his tenure. [4]

(By the way, according to wikipedia Bill Jr rode off-road motorcycles and competed in enduros in the ‘60s, going so far as to enter the Baja 1000 on a bike in the early ‘70s. I don’t have any validation for this point.) F1, arguably the second most successful motorsports franchise, has Bernie Ecclestone in a similar capacity.

Another characteristic is simplicity of mission. NASCAR has three racing divisions – Nextel Cup, Busch Grand National, and Craftsman Truck. They also encourage participating teams and tracks to provide support, via driver participation, promotion, etc. for lower levels of racing such as ARCA and dirt track events. But whatever NASCAR does, it is designed to capture fans, grow the sport, and increase revenues from racing. There is no distraction. NASCAR does not have a government relations committee to fight seat belt laws. It does not run museums to preserve the history of the automobile – NASCAR race cars and drivers, yes. But not the automobile. And while NASCAR creates fan events and promotions away from the track they are all single-mindedly directed at getting people to the races. There are no generic road rallys and car shows.

Having said that, the France family controls a number race tracks, including Daytona International Speedway and Talledega Speedway, via their controlling interest in International Speedway Corporation. But pretty much everything NASCAR and the France family does is focused directly on the growth, operation, and improvement of racing.

One mission, one leader, no competing priorities. If we look at other successful motorsports organizations we can see that the successful ones share the singleness of mission characteristic. The single, iconoclastic leader appears to be both blessing and curse. Tony George has, arguably, been the downfall of the IRL. But I can’t find any example where running a racing organization by committee led to lots of success.

All business, no politics

Another interesting characteristic is revenue. NASCAR doesn’t sell memberships or seek out corporate donations. Corporate sponsorships, yes. But not donations. NASCAR sells a talent-based product – racing – to a mass market audience. This hasn’t always been the case, but it is now. That’s the way it works in F1, CART, IRL, and pretty much all the big car series, too.

The major auto manufacturers don’t have a seat at the voting table when NASCAR makes policy decisions. Oh, they vote with their dollars. But they vote in a very different way. NASCAR’s job is to find the right mix of audience and exposure to make sure the auto makers want their name associated with the sport. But NASCAR doesn’t worry much about what the automakers think about their policy decisions. And they don’t worry about whether or not their racing program results in direct sales of cars by the Big 3 (and now Toyota.)

NASCAR has also really come to terms with the idea that the drivers are talent, and it treats the drivers in that way. Driver accessibility for the fans is phenomenal. Driver protection is also big on NASCAR’s list, as a talent-based business can’t survive if the talent winds up in hospitals all the time.

And now, the world of AMA MX/SX

So how does all this stack up against MX/SX as run by the AMA? First, I admit that we cannot compare MX/SX to today’s NASCAR in some key categories. The size of the sports makes a big difference in the way corporate relationships, sponsorships, TV deals, and revenue are managed. But NASCAR has not always been the 900–lb gorilla of motorsports. 35 years ago NASCAR was at best a regional attraction with about the same TV coverage as motocross. We’d see the Daytona 500 and a couple of other key races a year, just like we’d see the USGP on Wide World of Sports. In fact, in the heyday of the Continental Motosport Club and Trans-AMA motocross may have actually had more active participants and total fans than NASCAR. But that sure isn’t the case anymore, and it’s perfectly reasonable to ask what happened.

Quite a bit has been written about the AMA’s entry into motocross, the competition with the CMC, and some of the conflicts in the early days of the sport. I don’t want to rehash history and debate motivations about why the AMA got into motocross. The reality is that the AMA did assert control over the sport by the mid-‘70s and has retained it ever since. So for better or worse, whatever motocross has (or has not) become in the past 30+ years has to be laid at the feet of the AMA. And motocross, which is at least as exciting as stock car racing, has clearly not become as big as NASCAR.

So what’s the difference? Well, the AMA is run by committee. They have a president but it’s not the same as a for-profit CEO. The typical non-profit is subject to a lot more restraint and the Directors are lot more active. That’s intended to provide consensus and representation and “fairness” because non-profits don’t have the same success metrics as for-profit enterprises. The primary decisions of the AMA are made by a committee of 12 Directors, 6 member-elected and 6 corporate. (Source: AMA Code of Regulations.) Ever try to get 12 people to agree on anything? Right.

NASCAR’s mission is to run races and make money. The AMA’s mission is, ostensibly, to “pursue, promote, and protect the future of motorcycling.” NASCAR doesn’t have a slogan. You couldn’t hear it anyway over the roar of the engines. The AMA’s slogan is Rights, Riding, Racing. So let’s take score:

One leader, one mission: NASCAR 1, AMA 0

According to the AMA History page, the organization traces its roots back to a New York motorcycle club around 1900. But the real origins of the modern AMA were in 1920 when the Motorcycle and Allied Trades Association was founded. This group of motorcycle manufacturers and tradesmen needed a way to grow their market, so they created some committees to go out and organize events at which they could promote their motorcycles. That is the guiding philosophy of the AMA til this day.

The AMA allows any motorcycle-related business to become a Corporate Member and each such member gets one vote at any Corporate meeting. That means Honda, Suzuki, Kawasaki, Yamaha, H-D, BMW, etc all get seats at the table when major AMA policies are decided. Do you really think NASCAR would have grown to be the largest sports entity in America if Ford, GM, and Chrysler (all of which are teetering on bankruptcy, btw) had been making decisions for Bill France? Hell no!

Since it’s guiding principle is to protect the market for motorcycle sales the AMA does not understand why it should treat its racers as talent. The AMA fences off pit areas and makes most riders off-limits. With rare exception any public appearance, PR training, or accessibility is left completely to the rider or his team. The AMA demonstrates little, if any, respect for riders once they have collected the annual fees. In fact, it’s quite likely that most racer/members of the AMA are members only because they have to have a membership to race. Let’s take score again:

All business, no politics: NASCAR 1, AMA 0
Total : NASCAR 2, AMA 0

So I get it. AMA MX/SX is definitely not NASCAR. No sir. And we are all the poorer for it.

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