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7/23/09, 2:40 PM   #1
Car Counts - The Answer is the Current Economy
KMS2683
KMS2683 is offline
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Join Date: Jul 2009
Posts: 129
 

I posted this on another message board and saw there have been discussions on this board about car counts so I thought I would post it here as well.

Why are race tracks struggling for cars counts? It’s simple, the economy. I read on message boards all over about how to “fix” a certain series or a certain division at a local track to help increase car counts. All the solutions revolve around rule changes, cost containment measures, etc. Sorry, but the best run series or race track with the most racer friendly promoter and cost effective rules is only going to have a slight benefit to increasing car counts at this time. In the short term two things or at least one of two things would need to happen. The current purse structures come into line with the cost of racing or racing costs come back down to the current purse structures. Unless one or both of these things happen, reduced car counts are going to be the norm until the economy recovers. Rule changes, cost containment measures, etc., may be beneficial for a long term sustainability of a series, division, or race track but for the short term will only have minimal impacts. Here’s a common scenario that has played out across the Country for the average Saturday night racer:

A driver has a good paying job along with his spouse having a part time job that helps to add “disposable” income. This driver races at the local short track in the street stock division and is very economical in costs. The driver is spending $300 to $400 a weekend to race. The track pays the winner of his division $400 with three-fourths of the field getting $50 to $100. Now a few years ago spending 3 times more than what was taken home was not looked at as closely because a driver had solid household income and was willing to “lose” money for the love of being able to race, plus he knew some smaller local businesses that would throw in services or cash along the way to help offset the costs (loss). Suddenly, the economy crashes, his wife loses her job. His job is safe, but he no longer has overtime, so his take home income has decreased. Then if things were not bad enough, the local businesses that help him out, not only could not help any longer, but some where out of business all together. No longer can the “loss” be absorbed. So now the local track wants to increase car counts and implements new cost saving rules which accounts for a savings of $100 per race for the driver. Now the drivers losses are $200 vs. $300. Getting closer, but the driver figures he still could only make 6 to 8 races out of the 15 total races. In the end the costs for a partial season are not worth it and the driver figures it best to save all that money and just park the car or even sell the car.

The above scenario can be used for any division or series, just increase the costs accordingly, but the discrepancy between costs and the revenue remains relative. The impact has been greater on asphalt racing but dirt racing has been affected as well. Some tracks have seen increased car counts in the lower divisions, as premier division drivers move down to keep racing but the overall car counts have dropped. Dirt tracks have seen some increases as asphalt racers have moved to dirt racing to save costs.

In my opinion, the more likely to happen in our lifetime option would be the increase of purse structures to match expenses of racing. Unfortunately, achieving higher purses falls into the proverbial catch 22. Much to most peoples amazement, track promoters are NOT getting rich. Just like the economy has hurt the racer, the stagnate economy is also hurting the promoter. People are just not spending money, period. All forms of entertainment have been hit hard. A promoter needs a solid front gate in addition to a solid back gate to survive. When the front gate gets slimmer and slimmer, there is no way to increase the purse which in turn would increase the back gate, hence the catch 22.

Since I feel finding a cure for cancer would be easier and quicker than finding a way to reduce costs of racing to meet current purse structures I will not even go into depth on this subject.

Most people, including myself, have never experienced an economic situation like the one we are currently encountering. Racing has had to endure economic downfalls in the past, but this could be the toughest test to date. If you look back during the 70’s energy crisis and the farming and housing crisis in the 80’s you will see that car counts in a lot of areas of the Country were far less than today or at least far less than a few years ago when times where good. Racing survived those times, and there is no reason it won’t this time around except racers and race fans have to adjust their perspective of what is “considered” a good car count until the economy recovers and car counts start to once again increase.

Dan K