Formula One Group (FWONA): Business Model Canvas [Jan-2025 Updated]

Dive into the high-octane world of Formula One Group (FWONA), where motorsport meets cutting-edge business strategy. This global entertainment powerhouse transforms racing from a mere sport into a sophisticated media and technology enterprise, leveraging 360-degree engagement across digital platforms, broadcasting networks, and international circuits. From the roar of engines to the precision of corporate management, FWONA's business model represents a thrilling intersection of athletic excellence, technological innovation, and global entertainment that captivates millions of passionate fans worldwide.

Formula One Group (FWONA) - Business Model: Key Partnerships

Liberty Media Corporation

Majority shareholder owning 100% of Formula One Group as of 2024. Acquired Formula One in January 2017 for $8 billion. Liberty Media Corporation (NASDAQ: FWONA) serves as the primary strategic partner and parent company.

International Broadcasting Networks

Network	Contract Value	Geographic Coverage
Sky Sports	$1.2 billion (2022-2024)	United Kingdom
ESPN	$75 million annually	United States
Canal+	€250 million per year	France

Automotive Manufacturers

• Mercedes-AMG Petronas F1 Team: Primary technical partnership
• Ferrari: Historical team with significant influence
• Red Bull Racing: Innovative technical collaboration

Global Sponsors

Sponsor	Annual Sponsorship Value	Contract Duration
Pirelli	$80 million	2024-2026
Emirates	$120 million	2024-2027
Rolex	$90 million	2024-2025

Race Circuit Owners and Promoters

Formula One has partnership agreements with 23 international race circuits for the 2024 season, with total circuit hosting fees estimated at $700 million annually.

• Circuit de Monaco: Longest-standing partnership
• Circuit of the Americas (USA): Strategic North American partnership
• Silverstone Circuit (UK): Historic European venue

Formula One Group (FWONA) - Business Model: Key Activities

Global Motorsport Event Management and Organization

Formula One organizes 23 Grand Prix races globally in 2024, spanning 6 continents and 21 countries. Average annual event management cost: $500 million.

Region	Number of Races	Economic Impact
Europe	10	$250 million
Middle East	4	$125 million
Americas	5	$175 million
Asia-Pacific	4	$100 million

Media Rights and Content Production

Annual media rights revenue: $2.1 billion. Global broadcast reach: 1.5 billion viewers.

• Television broadcast rights: $1.4 billion
• Digital streaming platforms: $350 million
• Archival content production: $150 million

Commercial Rights Management

Total commercial rights revenue in 2024: $1.8 billion.

Revenue Stream	Annual Value
Race hosting fees	$800 million
Sponsorship agreements	$650 million
Licensing	$350 million

Marketing and Promotion

Annual marketing budget: $250 million. Global marketing reach across 180 countries.

• Digital marketing: $75 million
• Traditional media advertising: $100 million
• Event promotional activities: $75 million

Digital Platform and Streaming Service

F1 TV Pro subscribers: 500,000. Annual digital platform investment: $150 million.

Digital Service	Subscribers	Annual Revenue
F1 TV Pro	500,000	$75 million
F1 Mobile App	2 million downloads	$25 million

Formula One Group (FWONA) - Business Model: Key Resources

Exclusive Formula One Racing Brand and Intellectual Property

Formula One Group owns the commercial rights to Formula One racing until 2110, valued at approximately $8 billion. The brand encompasses 23 annual Grand Prix events across global locations.

Asset	Valuation	Duration
Formula One Commercial Rights	$8 billion	Until 2110
Annual Grand Prix Events	23 races	Global locations

Global Network of Race Circuits and Infrastructure

Formula One maintains strategic relationships with 24 international race circuits, with infrastructure investments exceeding $500 million annually.

• Total race circuits: 24
• Annual infrastructure investment: $500 million
• Geographical coverage: 5 continents

Advanced Broadcasting and Digital Media Technologies

Formula One's digital media platform generates approximately $650 million in annual digital revenue, with 500 million global viewers across multiple platforms.

Digital Asset	Annual Revenue	Global Viewership
Digital Media Platform	$650 million	500 million viewers

Strong Relationships with Teams, Drivers, and Manufacturers

Formula One maintains contractual relationships with 10 racing teams, representing 20 drivers from global markets.

• Total racing teams: 10
• Total drivers: 20
• Manufacturer partnerships: 6 major automotive brands

Extensive Historical Racing Archives and Data

Formula One's historical data archive spans over 70 years of racing history, representing a significant intellectual asset with comprehensive racing statistics and performance data.

Archive Category	Total Records	Historical Coverage
Racing Archives	70+ years of data	Comprehensive racing statistics

Formula One Group (FWONA) - Business Model: Value Propositions

Premium Global Motorsport Entertainment Experience

In 2023, Formula One generated $2.57 billion in total revenue, with media rights accounting for $1.1 billion. The global audience reached 1.55 billion viewers across 239 territories.

Revenue Stream	2023 Amount ($)
Media Rights	1,100,000,000
Sponsorship	735,000,000
Race Promotion	528,000,000

High-Performance Racing Competition at International Level

Formula One hosted 23 races in 2023 across 5 continents, with teams representing 10 constructors and 20 drivers.

• Total races in 2023: 23
• Number of teams: 10
• Number of drivers: 20
• Countries represented: 21

Cutting-Edge Automotive and Technological Innovation Showcase

Formula One invested $140 million in technological research and development for sustainable racing technologies in 2023.

Technology Investment Area	2023 Investment ($)
Sustainable Fuel Development	45,000,000
Hybrid Engine Technology	65,000,000
Aerodynamic Research	30,000,000

Unique Fan Engagement Through Multiple Media Platforms

Formula One's digital platforms reached 670 million followers across social media channels in 2023.

• Instagram followers: 278 million
• TikTok followers: 132 million
• YouTube subscribers: 94 million
• Facebook followers: 166 million

Prestigious Sporting Brand with Global Recognition

Formula One's brand value reached $3.1 billion in 2023, with significant global market penetration.

Brand Metric	2023 Value
Total Brand Value	3,100,000,000
Global Brand Recognition	92%
Brand Engagement Rate	7.2%

Formula One Group (FWONA) - Business Model: Customer Relationships

Digital Fan Engagement through F1 TV and Mobile Apps

F1 TV Pro subscription as of 2024 costs $79.99 annually. The F1 mobile app has over 5 million downloads across iOS and Android platforms. In 2023, F1 recorded 445 million unique viewers globally through digital platforms.

Digital Platform	User Metrics	Annual Revenue
F1 TV Pro	500,000 active subscribers	$39.9 million
Mobile App	5.2 million downloads	$12.5 million

Social Media Interaction and Content Sharing

Formula One Group maintains significant social media presence across multiple platforms.

Platform	Followers/Subscribers
Instagram	39.2 million followers
Twitter	8.7 million followers
YouTube	14.3 million subscribers

Direct Marketing through Official F1 Channels

Direct marketing channels generate approximately $75 million in annual revenue through merchandise, targeted communications, and fan engagement strategies.

• Email marketing database: 2.3 million subscribers
• Average email open rate: 22.5%
• Click-through rate: 3.8%

Personalized Racing Experience and Fan Communities

F1 Experiences package pricing ranges from $1,499 to $7,999 per event. VIP packages sold annually: 12,500 units.

Experience Type	Price Range	Annual Sales Volume
Standard VIP Package	$1,499 - $3,999	8,500 units
Premium Experience	$4,000 - $7,999	4,000 units

Exclusive Access to Behind-the-Scenes Content

Exclusive content subscriptions generate $28.6 million annually. 175,000 fans subscribe to premium behind-the-scenes content channels.

• Documentary series views: 3.2 million
• Average watch time: 47 minutes
• Content production budget: $12.3 million

Formula One Group (FWONA) - Business Model: Channels

Official Formula One Website

Formula One's official website (www.formula1.com) generates approximately 100 million unique visitors annually. The website attracts 15 million monthly active users and supports 7 different language versions.

Website Metric	Value
Annual Unique Visitors	100 million
Monthly Active Users	15 million
Language Versions	7

F1 TV Streaming Platform

F1 TV Pro streaming service has 500,000 global subscribers as of 2024, generating approximately $50 million in annual subscription revenue.

F1 TV Pro Metric	Value
Global Subscribers	500,000
Annual Subscription Revenue	$50 million

Social Media Networks

Formula One's social media presence spans multiple platforms with significant following:

• Instagram: 39 million followers
• Facebook: 36 million followers
• Twitter: 15 million followers
• TikTok: 12 million followers

International Broadcast Partners

Formula One has broadcast agreements in 180 territories, generating $2.8 billion in annual media rights revenue.

Broadcast Metric	Value
Territories Covered	180
Annual Media Rights Revenue	$2.8 billion

Mobile and Digital Applications

Formula One's official mobile app has been downloaded 10 million times across iOS and Android platforms, with 3 million monthly active users.

Mobile App Metric	Value
Total App Downloads	10 million
Monthly Active Users	3 million

Formula One Group (FWONA) - Business Model: Customer Segments

Global Motorsport Enthusiasts

Total global Formula One fan base in 2023: 503 million viewers worldwide

Region	Percentage of Fans
Europe	42%
Asia	33%
Americas	18%
Rest of World	7%

High-Net-Worth Individuals

Average ticket price for premium F1 experiences: $3,500 per person

• Typical annual income: $500,000+
• Primary demographics: 35-55 age range
• Average spending on F1 hospitality: $15,000 per event

Corporate Sponsors and Partners

Sponsorship Tier	Annual Investment
Title Sponsors	$40-75 million
Official Partners	$10-30 million
Technical Partners	$5-15 million

Automotive Industry Professionals

Total automotive industry professionals engaged with F1: 78,000 globally

• Research and development professionals: 45%
• Engineering specialists: 35%
• Technology innovators: 20%

International Sports Fans

Global sports viewership for F1 in 2023: 1.1 billion cumulative viewers

Media Platform	Percentage of Viewership
Television	62%
Digital Streaming	28%
Social Media	10%

Formula One Group (FWONA) - Business Model: Cost Structure

Event Production and Logistics

Annual event production costs for Formula One in 2023: $500 million

Cost Category	Annual Expense
Track Setup and Preparation	$120 million
Transportation of Equipment	$85 million
Venue Infrastructure	$95 million

Media Rights and Content Creation

Total media production budget for 2023: $350 million

• Broadcast technology infrastructure: $120 million
• Content production teams: $85 million
• Digital media platforms: $65 million
• International broadcasting equipment: $80 million

Team and Driver Compensation

Total team and driver expenses in 2023: $750 million

Expense Category	Annual Cost
Team Base Budgets	$450 million
Driver Salaries	$300 million

Technology and Infrastructure Maintenance

Annual technology investment: $250 million

• Racing car technology development: $150 million
• IT infrastructure: $55 million
• Telemetry systems: $45 million

Marketing and Promotional Expenses

Total marketing budget for 2023: $200 million

Marketing Channel	Annual Expenditure
Digital Marketing	$75 million
Traditional Advertising	$55 million
Event Sponsorships	$70 million

Total Estimated Annual Cost Structure: $2.05 billion

Formula One Group (FWONA) - Business Model: Revenue Streams

Broadcasting Rights and Media Contracts

In 2023, Formula One's broadcasting revenue reached $2.572 billion. The current global media rights contract with various broadcasters is valued at approximately $500 million per year. Key broadcasting partners include:

Region	Broadcaster	Contract Value
United States	ESPN	$75 million annually
United Kingdom	Sky Sports	$120 million annually
Germany	Sky Deutschland	$55 million annually

Sponsorship and Advertising

Sponsorship revenue in 2023 totaled $689 million. Top sponsorship categories include:

• Technology sponsors: $210 million
• Automotive sponsors: $185 million
• Financial services sponsors: $144 million
• Consumer goods sponsors: $150 million

Race Promotion Fees

Race promotion fees generated $653 million in 2023. Breakdown of fees by region:

Region	Total Promotion Fees	Number of Races
Middle East	$248 million	5 races
Europe	$276 million	9 races
Americas	$129 million	4 races

Ticket Sales and Event Revenues

Total ticket and event revenue in 2023 was $412 million. Average ticket prices and attendance:

• Average ticket price: $325
• Total annual attendance: 1.55 million fans
• Highest-grossing event: Monaco Grand Prix ($42 million in ticket sales)

Digital Platform Subscriptions

Digital platform revenue reached $187 million in 2023. Subscription details:

Platform	Subscribers	Subscription Revenue
F1 TV Pro	350,000 subscribers	$105 million
F1 TV Access	250,000 subscribers	$82 million