Hot Topics:

Home Depot convinced 18-year-old can be its NASCAR face

By Bob Pockrass - Associate Editor

Tuesday, August 26, 2008

Article Rating: 4.5
Rate this Article
David Griffin / NASCAR Scene

David Griffin / NASCAR Scene

Latest Headlines

HUNTERSVILLE, N.C. – The Home Depot has spent the last 10 years sponsoring Tony Stewart, who became a public face of the company thanks to an array of advertising and marketing pitches. So when Stewart opted to leave Joe Gibbs Racing effective at the end of the season, the company had to decide if it wanted any face in the sport.
 
It opted to remain, and remain with JGR with an 18-year-old driver named Joey Logano.
 
“We looked at all of our options,” said Home Depot Chief Marketing Officer Frank Bifulco Jr. “We landed on the one that we think is best for our brand, our business, our customers and our associates.”
 
When former Chariman Bob Nardelli, a longtime Stewart supporter, left the company in January 2007, there were questions concerning whether the home improvement store chain would remain committed to NASCAR under its new leadership. And with the company’s net 2008 earnings coming in at 40 percent less than in the first half of 2007, that speculation continued.
 
“Any time a function like marketing wants to spend money against an association and property, whether it’s other sports or NASCAR, you need to have the right rationale,” Bifulco said. “In our case, we can show why this makes sense for The Home Depot. … We fell very good about our participation in the sport.
 
“We think it helps us better connect with our customers, and we know it inspires and excites our associates.”
 
Bifulco said The Home Depot didn’t take part in the negotiations when JGR attempted to re-sign Stewart. The two-time Cup series champion had a contract that ended in 2009, but he will be released a season early.
 
Bifulco also said the involvement of rivals Lowe’s and Menards in the sport did not play a major role in the company's decision to remain part of NASCAR.
 
“We always take into consideration competitive factors, but that wasn’t an overwhelming consideration,” Bifulco said. “We were trying to do what we felt was best for our brand and business and customers. That’s what drove our decision, also based on the success we’ve had in this sport.
 
“Was it a consideration that our competitors were in the sport? Yeah, but not a controlling one or driving one by any stretch of the imagination.”

And it decided to remain with an 18-year-old driver who might not exactly be the prototypical Home Depot customer.
 
“As the awareness builds and he’s competitive, you’ll take the fan that has a propensity to want to follow The Home Depot and shop in our stores. We’re convinced the loyalty will be there and will grow over time,” Bifulco said. “We totally acknowledge that when you look at the NASCAR fan base, that point of consumer passion is the driver.
 
“They certainly acknowledge the race team, but at the same time, they really connect with the driver. Tony has his followings without a doubt, but at the same time, we’re totally convinced and excited about what Joey represents, and we feel he is going to appeal to a broad swath of our customer base 18 to 54. We don’t see any downside to that.”
 
Bifulco said the company discussed internally the impact of having such a young driver, but it also wanted JGR to choose the driver.
 
“I don’t like the notion of Joey as ‘the kid,’ ” Bifulco said. “I think what we see in Joey is a mature young man, who has the values, the work ethic, and the competence. … If you look at what Joey’s done already behind the wheel of a car, it gives us comfort going forward.”
 
The Home Depot still has another decision to make. Its sponsorship of NASCAR ends this year. Bifulco would give no hints on whether the company would continue that sponsorship but did say the money committed to Logano and JGR will not significantly impact whether it also re-signs with NASCAR.
 
“We’ll be looking at all of that, and we’re not ready to make any announcements,” Bifulco said. “We’ll put it against everything else that we do, not within NASCAR as much as all the other things we try to do in the marketplace.”

Average Rating: 4.5

Comments

9 responses to "Home Depot convinced 18-year-old can be its NASCAR face"
  1. 1
    keith manning said:
    Aug 26, 2008 at 8:21 AM

    yeah a 18 year old kid is exactly the Demo that Home Depot is hopeing to reach. I know plenty of peple in their teens that own there own home and want to do renavations on them.

    Report as Abuse
  2. 2
    Sharon Klapatch said:
    Aug 26, 2008 at 9:20 AM

    Yep....an 18-21 yr old making repairs around the house is really gonna give me confidence. NOT! Home Depot blew it by not sticking with Tony. A huge marketing opportunity just tossed away. All sorts of slogans for commericals having to do with building for the future, building together, etc. Could have been some really good solid advertising and a win-win for both of them. Stooooooopid!

    Report as Abuse
  3. 3
    Debbie Webb said:
    Aug 26, 2008 at 10:03 AM

    Good move by Home Depot. I think Joey will do them proud. And as far as how silly it looks for him to be their new marketing tool, nothing could look more sillier than Jimmie Johnson and his commercials. I mean lets face it, how many people wear white pants in a garage to work on a car. And he didn't even get one smudge on them at that. Or his commercials where he's going around fixing things. What a joke.

    Report as Abuse
  4. 4
    Grandma Sharon said:
    Aug 26, 2008 at 10:14 AM

    Ditto on Jimmie with Lowe's. He's as believable as if Mary Poppins was doing the repairs around the neighborhood.

    Report as Abuse
  5. 5
    keith manning said:
    Aug 26, 2008 at 12:30 PM

    I really doubt Home Depot is going to stick with Joey. Though I did hear Clearasil is wanting to get into Raceing.

    Report as Abuse
  6. 6
    hark said:
    Aug 26, 2008 at 6:29 PM

    This is a huge mistake but Home depot is hoping to bring in more associates, part time 18 year olds and can get Joey for a lot less money then Tony. They lost the best.

    Report as Abuse
  7. 7
    M Little said:
    Aug 26, 2008 at 7:53 PM

    I like Joey Logano but an 18 year old representing Home Depot is a huge mistake. I shop at Home Depot because I am a Tony Stewart fan since he started in NASCAR. Even though the store near me leaves a lot to be desired I shopped there to support Tony's sponsor -- now that they will no longer sponsor him next year I will purchase home improvement items elsewhere unless they are not available and only then will shop Home Depot.

    Report as Abuse
  8. 8
    Andrew Briscoe said:
    Aug 26, 2008 at 8:17 PM

    While it may appear to be a bad deal, think of the benefits for Home Depot: They have the contract with JGR only through 2009. Tony was their image way more than Joey. However, Tony was a 2-time champ, and demanded probably $20 million a year or more. With Logano, they're not having to pay as much because he isn't established. Sure the commercials will be weird and everything, but HD just saved a ton of money in a time when they aren't raking in the money like they were during the housing boom.

    Report as Abuse
  9. 9
    4da88 said:
    Aug 26, 2008 at 10:37 PM

    I could care less one way or the other, but the commercials can't be as cute as Tony's. I will miss those almost as much as the Bud commercials.

    Report as Abuse

Leave a Comment

Promotions

Latest Videos

Where should the NASCAR Sprint Cup awards banquet be held?

Where should the NASCAR Sprint Cup awards banquet be held?

NASCAR celebrates the 2008 Sprint Cup Series season in New York this week, culminating in a black-tie awards banquet at the Waldorf-Astoria Hotel. But is there a better location for the banquet? Would Las Vegas with all its glitz and glamour be a better fit? Or would Charlotte, the home to most NASCAR teams, be an ideal location? SceneDaily.com's roundtable discusses the issue and where the banquet should be held.

 

Most Rated Stories

Poll Position

Which NASCAR competitor should be Driver of the Year?

view the results

Don't have an account yet?

Insiders Guide to NASCAR

Register with SceneDaily.com and get access to the following features:

  • FREE Insider’s Guide to NASCAR (available as a PDF download)
  • Daily NASCAR news updates delivered directly to your e-mail
  • Pre-race and Post-race emails delivered each race week
  • Ability to comment on blog and news articles
  • Information on new website features and upcoming contests
Create my Account

Login

Forgot Password?

Login or Create an Account