Tag Heuer Reups Partnership With Oracle Red Bull Racing Team
PARIS — Underscoring luxury brands’ growing pursuit of sports sponsorships, Tag Heuer said it is renewing its commitment to Formula 1 by extending its partnership with Oracle Red Bull Racing.
Tag Heuer linked with the team in 2016. The luxury watch group has extended the contract for a “significant” amount of time, though terms were not disclosed.
More from WWD
“It’s the longest partnership we’ve ever signed,” Tag Heuer chief executive officer Frédéric Arnault told WWD, calling it “major.”
“It’s very important to us to be partners with not only a team, but the best team right now in terms of performance…and also in terms of brand fit, in terms of values, passion. It’s also a partnership with people, and especially the drivers.”
Max Verstappen, who just took first place at the Qatar Grand Prix on Nov. 5, and Sergio Pérez, who finished fourth in the U.S. Grand Prix on Oct. 22, are the key drivers.
While the LVMH Moët Hennessy Louis Vuitton-owned Tag Heuer has a history of hosting big events and activations during races such as the Singapore Grand Prix, the group has opted for a quieter presence this year in Vegas.
Arnault will invite key customers to watch the race with the Tag Heuer team up close and personal in the Red Bull garage.
“We cannot be a heavy presence in every race. We choose the right ones that say the right story with the brand,” he said. “We have such a vast history with this universe. For us Formula 1 is a very important part of the brand’s DNA.”
The watch brand has been involved with Formula 1 racing for over five decades. It entered the sport long before the sector became a major marketing field for fashion and luxury brands, a trend that has continued to accelerate in recent years.
“We were among the first luxury brands to embrace and make sports marketing not only a part of who we are, but almost the core of who we are, and we believe it’s a such a powerful universe to be associated with,” said Arnault. He noted they also have strong ties with tennis stars, such as Naomi Osaka, and golf.
Arnault demurred on which watch model is the bestseller for the brand, but noted that the Monaco is doing brisk sales. “It’s among our top bestsellers, and among the watches in which we are seeing the most growth and traction,” he said. It also happens to be the watch that both Verstappen and Pérez wear.
Moving into 2024, the brand will continue its expansion in the U.S., including opening two flagships. They will relocate from their current stores to new spots in the Miami Design District and the Aventura Mall. Tag Heuer will have large activations at the Miami Grand Prix next year, to coincide with the updated presence there.
“We are historically very strong, and the U.S. plays a very important role in our global marketing plan,” Arnault said.
He noted that the watch brand does have a larger Formula One offer, and will be looking at new developments on that product line. “There is something we’ll be working on where our collectors can expect even more exciting watches,” he added.
Best of WWD
