Dale Jr.’s Retirement Means NASCAR is Seeing Red
By Alex Herbst
With Dale Earnhardt Jr. retiring at the end of 2017 from NASCAR Cup Series competition, the sport’s downward spiral seems likely to continue.
The big news that was plastered all over social media, news sites, and even your local evening broadcasts was not about the great rain-delayed Bristol race or the exciting new stage racing format for stock car racing. Instead, it was about a continuing pattern that is very concerning for the health of NASCAR, a near constant loss of veterans to retirement.
First, it was Jeff Gordon in 2015. Then, Tony Stewart left in 2016. Carl Edwards shocked the sport by leaving before the 2017 season. And now, Dale Earnhardt Jr. will be stepping out of the #88 Chevy at the end of this season. The exodus of veterans has been tied by some to the drops in attendance and ratings NASCAR has seen in recent years, but now series executives are likely bracing for an even more significant drop.
Any business does not want to see their figures drop into the red, suggesting declines in profitability or success. NASCAR is already in the red compared to years past on the television and attendance fronts, plus decreasing sponsor agreements highlighted by the low numbers for the Monster Energy Cup sponsorship deal. Now add that the sport is about to lose its most popular driver, and everyone has a reason to be worried.
As reported by SportsBusinessDaily’s Adam Stern on Twitter, Dale Earnhardt Jr. represents a very large part of the merchandise industry for NASCAR:
.@JRMotorsports VP Joe Mattes said last year that @DaleJr has represented about 25% of annual #NASCAR merch sales relative to other drivers.
— Adam Stern (@A_S12) April 25, 2017
Losing the most popular driver in stock car racing will more than likely lead to a serious drop in merchandise sales. And like previous big names who left the sport, they will likely take some of their fans with them too. Despite Stewart and Gordon remaining involved with the sport, many of their followers no longer watch stock car racing. Unlike in other sports, where fans will root for teams, in motorsports individuals connect with a driver usually, and when that driver is gone, they have two choices – choose a new driver or move on from the series.
What does this mean for 2018 then? Unless someone can attract the fans of Dale Earnhardt Jr. (a very daunting task), expect more fans to start tuning out. And that pattern is unlikely to change based on the sport’s current trajectory. More drivers like Matt Kenseth, Ryan Newman, and Kasey Kahne have retirement on the horizon as well.
Related Story: Dale Earnhardt Jr. Retiring After the 2017 Season
But is there a way that this unfavorable tide can be cut off? Perhaps a continued strong effort by the young guns of NASCAR, like Kyle Larson and Chase Elliott have begun here in 2017, can help. A strong infusion of sponsor support and more activation from Monster Energy with the Cup Series could benefit the sport too.
What do you think of Dale Earnhardt Jr.’s retirement? Do you think his fans will stick around and keep watching NASCAR? Who is the next driver to call it quits? Leave your comments below on this latest big story from stock car racing.