Red Bull consolidated its position as the dominant team in Formula 1 in recent years. The latest demonstration of its supremacy came with the championship won last weekend by its driver, the Dutchman Max Verstappen.
This current victorious cycle seeks to emulate a second “golden era” of Red Bull in F1, recalling its reign between 2010 and 2013.
The company channeled a significant part of its million-dollar marketing investments into the world of sports, making it one of its main banners.
In addition to his participation in motorsports, The brand has a presence in extreme sports ranging from cliff-diving to BMX, skiing, flying and skateboarding, as well as ice hockey and soccer, also automobile racing.
(Next: ‘There are 8 drivers who could be champions in that car’: does Montoya pull Verstappen?).
The Red Bull empire is under the leadership of Mark Mateschitz, son of the company’s founder Dietrich Mateschitz, and is considered the richest man in Austria.
Red Bull’s business
Red Bull’s business literally took off with wings, with investments in sports arising from the sale of its famous canned energy drink.
Last year, the brand sold more than 11.5 billion units and saw its revenue increase by almost 25 percent between 2021 and 2022, reaching $10.2 billion.
In 2021, the company spent about $1.685 million on sports sponsorships and advertising, equivalent to approximately a quarter of its annual revenue.
The company that attracts brands
Red Bull managed to attract the interest of other companies to advertise their car, the RB19. The team has a total of 38 sponsors, the most notable being Oracle, which last year announced a five-year agreement with Red Bull Racing, worth US$500 million. It is estimated that sponsorships brought the team US$226 million this season. In total, the team is valued at US$2.6 billion and its profits were US$510 million.
(Also: Lewis Hamilton: the incredible collection of luxury cars of Shakira’s close friend).
However, it is not all profits for Red Bull, since this year it had to pay a fine of US$ 7 million for not complying with financial fair play regulations in the 2021 season.
Formula 1 established a limit of US$145 million on the investments that teams can make in their cars, a measure aimed at maintaining equality between competitors.
Mad Max is the star of the competition
The Dutch driver Max Verstappen has become the visible face of the Austrian team. He has won the last three individual Formula 1 titlesdisplacing the multi-time English champion Lewis Hamilton (Mercedes-Benz).
‘Mad Mex’ added US$64 million to his account last year, most of it from salary.
(Read: Juan Pablo Montoya stokes the fire: ‘Formula 1 is much more than Max Verstappen’).
In the advertising field, the pilot has maintained a relatively low profile compared to other elite sports figures, with only a few commercial agreements with brands such as EA (video games), Jumbo (supermarkets) and Viaplay (streaming), which bring him US$ 4 million, according to ‘Forbes’ magazine.
Verstappen’s main source of income comes from the track, where he made his professional debut at age 17 in 2015 driving for the Toro Rosso team, which was later acquired by Red Bull and renamed.
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*This content was rewritten with the assistance of artificial intelligence, based on information published by El País, Uruguay, and was reviewed by the journalist and an editor.
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