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Making Money From NASCAR Merchandise

Making Money From NASCAR Merchandise

Those who have entered the NASCAR merchandise world have discovered that there is plenty of money to be made in this market. The week after Dale Earnhardt, Jr. announced that he was leaving DEI, Inc. proved exactly that, with a 107% surge in sales bearing Junior?s No. 8. At NASCAR merchandise websites or NASCAR stores, you can find Earnhardt themed merchandise such as NASCAR apparel, NASCAR clocks, and of course NASCAR shirts that bear his signature, number, or team colors.

Almost everyone was surprised when people began the quick snatching up NASCAR jerseys and other merchandise after Dale Earnhardt, Jr?s press conference announcing his move from DEI, but they shouldn?t have been. Junior has been popular a really long time. In fact, it is estimated by some that Dale, Jr. drives as much as 40% of all NASCAR merchandise sales. That?s nearly double what runner-up Jeff Gordon?s sales are!

How much do NASCAR drivers profit when NASCAR apparel with their faces and numbers are sold? Typically merchandise sales are split three ways between driver, car owner, and sponsor but most companies are not saying exactly what their agreements are. DEI, for example, has purportedly made $30 million a year from Dale Earnhardt, Jr. merchandise. It is anyone?s guess what Dale, Sr. merchandise nets the company.

Another large part of the market?s sales is NASCAR die cast cars. There is a wide range in price and collectibility, from toys for your children to cars that will continue to grow in value over the years. Die cast enthusiasts like to collect all of the Nextel Cup driver?s cars and now with the season?s first move being announced, Earnhardt?s No. 8 car will be the hottest on the market.

Now more than ever, NASCAR is beginning to market to people that were not previously targeted by the sport. With more than 40% of NASCAR fans being women, merchants are now starting to specifically reach out to women buyers with their lines of NASCAR hats, NASCAR gifts, and of course NASCAR clothing. NASCAR general merchandise has long been targeted at middle class, white men. This demographic is most definitely still there but as NASCAR awakens to its newest fans, so does the merchandise market. Ladies lines of NASCAR jewelry and ladies NASCAR jackets are now created with women in mind.

An interesting trend that NASCAR merchants are seeing is that quite a large amount of their sales are being purchased as corporate gifts. Managers in large corporations are not only buying race tickets for their clients but they are also purchasing NASCAR flags and NASCAR collectibles are using these are ways to say thank you for business. It?s also not uncommon for a company to purchase a block of tickets and reserve several hotel rooms to let employees use during a race weekend.

David Stargel is the publisher of several sports related websites, several of which are racing themed. Check out his site at http://www.nascar-things.com.

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