What is NASCAR’s multi-million dollar activation plan and could it upset sponsors? Everything you need to know

NASCAR has recently decided to invest millions of dollars in rewarding drivers who make efforts to promote the sport in 2025 under its new driver incentive program. As per a recent report, the purse for the same is expected to be between $10 to $20 million per year.

Each driver taking part in this program will be awarded points based on some sort of season-long championship, which will, in turn, determine the criteria for the payouts to be handed out. If someone as popular as Chase Elliott of Hendrick Motorsports promotes NASCAR by showing up at a promotional event, it will only get him more exposure from a sponsorship perspective. So it looks like a potential win-win situation for NASCAR as well as the drivers.

Drivers who sign up for the program will receive notifications about upcoming opportunities like media conferences, promotional appearances, and podcast interviews. This includes any driver across NASCAR’s all three national touring series; the Cup Series, the Xfinity Series, and the Craftsman Truck Series.

NASCAR’s Chief Operating Officer Steve O’Donnell said (via The Sports Business Journal),

“The drivers recognize that this is a sponsor-driven business. The more sponsors we can bring in, and the more eyeballs we attract, the better it is for everyone involved.

He added,

"You’re going to see a lot more focus on our individual drivers, and that doesn’t mean just Cup. So you’ll see us focus more on personalities and really give the fans that behind-the-scenes look into each one of the people who participate in putting on the great racing."

NASCAR's driver incentive program could help boost sponsors' traction in the community through capitalizing on the drivers' fanbase. Just like Dale Jr.'s and Budweiser's partnership has become a household name in NASCAR, and Jr.'s return with the iconic paint scheme attracted immense attention, such inclusion will only add to the revenue generated by the sponsors.

It won't upset the sponsors, rather, it would help them generate more revenue by bringing together a diverse fanbase. A win-win for drivers and the sponsors.

Notably, this program will run through a new application developed by INFLCR, an athlete brand-building software company based in Birmingham, Alabama.

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NASCAR COO seemingly confirms ongoing planning for Gen-8 cars

The NextGen or Gen-7 cars, which debuted back in 2022, could be getting a major upgrade. The new prototype known as the Gen-8 car is expected to run on environment-friendly fuel, be more sustainable, and above all, cost-effective.

However, no timeline has been announced as to when or how things are going to happen. Per Steve O’Donnell, the concerned officials are working day in and day out to formulate the best possible package for the new car.

Renowned journalist Adam Stern reported the same through a recent post on X (formerly Twitter) where he quoted O’Donnell as saying,

“We are working on everything.”

Side by side, NASCAR's R&D department is exploring the potential for electric racing on NASCAR’s ovals. As per Newsweek, the Gen-7 cars already support hybrid engines. Will the Gen-8 cars have the scope to run on hybrids as well? Only time will tell.

Meanwhile, fans can take a look at NASCAR's upcoming Cup Series schedule right here.