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[What's Burning?]

BBCF1 The Volkswagen Group, the world's second biggest car maker, is conducting a feasibility study into a potential Formula 1 entry.

Sources say the review is being conducted by ex-Ferrari team principal Stefano Domenicali, who was hired by VW's Audi brand earlier this year.

Its interest is being piqued by the global marketing success achieved by rivals and new F1 champions Mercedes.

But any entry would depend on management changes at VW or F1.

Ferdinand Piech, the head of the supervisory board of the VW Group, and F1 commercial boss Bernie Ecclestone have long had a difficult relationship.

At least one of them would need to leave their current position before a VW Group brand could enter F1.

VW was on the working group of car manufacturers that decided on the new turbo hybrid engine rules introduced into F1 this season, but decided against entering at that time - and, publicly, has not changed its stance since.

But sources say that some senior board members now believe F1 would be a more effective global promotional tool than its existing motorsport programmes.
BBC F1 chief analyst Eddie Jordan

"The Volkswagen Audi Group is the second biggest car maker in the world and as such it needs to be in Formula 1. But it will not enter it while the sport remains under the control of Bernie Ecclestone, who VAG boss Ferdinand Piech dislikes on a personal and professional basis. Martin Winterkorn - the chairman of the board of management of Volkswagen - is being groomed as Piech's successor and he has always believed that F1 is a great platform for the group's brands. I am told he privately believes VAG should be a part of F1. If VAG did come to F1, I believe it would be with their own team, with the car designed and made in Germany."

Among the Volkswagen Audi Group's brands, as well as VW and Audi, are Porsche, Lamborghini, Bugatti, Bentley, Skoda and Seat.

VAG currently has three main motorsport programmes - with Audi and Porsche in the World Endurance Championship, Audi in the German Touring Car Championship (DTM) and Volkswagen in the World Rally Championship.

The global advertising value of Mercedes' television appearances during its F1 campaign in 2014 was $2.8bn (£1.8bn).

Experts believe the equivalent value for VAG of their sportscar and touring car programmes was about $30m (£19m).

Mercedes spent a net 130m euros (£103m) on F1, once external sponsorship and prize money is taken into account. VAG spent about 320m euros (£254m) on DTM and sportscars.

Some reports have linked a potential VAG return with the Austrian Red Bull team - Piech has a close relationship with Red Bull owner Dietrich Mateschitz.

But sources say that VAG turned down an approach from Red Bull some years ago and that if it did enter F1 it would be with its own team based in Germany.

[What's Burning?]

These rumors just won't go away, my guess is indeed 2017.

[LRW]

This needs to be a poll.

[What's Burning?]

This needs to be a poll.

[LRW]

Once Mercedes win next year - they will be in.

Once they have assassinated Bernie.

[CookinFlat6]

I cant see how VW have a choice. The competition between the top selling sorts coupe makers like Audi, Merc, BMW is way too important and expensive to allow Merc to completely outflank them relatively cheaply with F1 success - thats worth more than the advertising wars etc these big boys been waging, and if Honda get in on the act and assume an air of superiority over BMW and Audi that will go beyond economic loss to humiliation
I think we see Auto Union F1 soon with Porsche dominating WEC. Only then can Audi hold off Merc ripping into its market share
It used to be Merc for the dad, Porsche for the dashing son, Audi for the mum and BMW for the younger son and VW for the daughter (and the Japan firms for the house servants)

Now Merc has become all things to all men and even to the hoodies and 'urban cool' crowd

[myownalias]

Do we have any information on the impact of F1 participation on sales of cars? I see Mercedes, Ferrari, Renault in F1 but I don't feel any urge to buy any of the brands.

[What's Burning?]

Do we have any information on the impact of F1 participation on sales of cars? I see Mercedes, Ferrari, Renault in F1 but I don't feel any urge to buy any of the brands.

You'd have to question the bigger picture in the first place. Does advertising in F1 work in the first place? There are intangibles and perception that come into play, where it's not just wanting to buy something, but wanting to buy the particular brand of something.

As Bernie so daftly put it, he doesn't care about kids because kids don't buy the things F1 is selling. It's about creating a legend, real or not and some day when you're ready to buy, will you buy a Mercedes over a BMW or Audi because of it. The manufacturers in the sport get something more out of it than say Hugo Boss or Johnnie Walker, they believe the very aspect of being involved int he pinnacle of racing created that perception.

[myownalias]

We know sponsorship of F1 is drying up so in general advertizing in F1 must be seen as a poor ROI. I see what you are saying, but is motorsport pedigree really a determining factor when choosing a new car? especially F1 where the road car is a million miles away from the race car. In something like WRC, I can understand and I wanted a Subaru Impreza WRX because of Subaru's success but those cars actually look like the road cars and the performance isn't a million miles off either.

[What's Burning?]

We know sponsorship of F1 is drying up so in general advertizing in F1 must be seen as a poor ROI. I see what you are saying, but is motorsport pedigree really a determining factor when choosing a new car? especially F1 where the road car is a million miles away from the race car. In something like WRC, I can understand and I wanted a Subaru Impreza WRX because of Subaru's success but those cars actually look like the road cars and the performance isn't a million miles off either.

I see Cadillac pushing their success in racing with the CTS, I see Infinity linking their cars with Vettel, and then furthering that with an Eu Rouge Infinity vehicle. It's not you they're targeting it's generally the peripherally informed. I think a comment mistake we (as informed consumers) make is to assume that advertising speaks to us. It doesn't, it speaks to the masses. And successful advertising can work even by making you hate it.

I don't know if F1 advertising works, it's agreed that it's in decline, but it's in decline because of other global venues that weren't there previously. Like corporate logo'd jerseys that didn't exist back in the F1 hey days. There's an easier access to a global audience there. I think that's why specifically F1 has gone upscale even further, and it's a domino effect, the more Mercedes like teams that come in and make an impact the more boards of other luxury brands will come in and try to get some for themselves too.

Advertising affects not only consumers but board members as well. Porsche VW has been talking about this since 2011, and they were part of the push to the new engines in the first place. I think the reason they didn't jump in was because of the lack of follow through to cap budgets. But the economy has certainly turned around, at least for the F1 level type of consumer and Honda coming back in speaks volumes, I'm sure we'll see other jump in as well.

I also had a thought about something cookie mentioned with Red Bull purchasing renault, it would be very easy for Red Bull with their Infinity sponsorship, to assume the Renault engine works and change the name, justifying the expense by having Infinity as the works engine team.

[CookinFlat6]

Do we have any information on the impact of F1 participation on sales of cars? I see Mercedes, Ferrari, Renault in F1 but I don't feel any urge to buy any of the brands.

these guys would try anything to grab customers from the others
http://writenomore.com/the-3-epic-world-wars-between-automobile-brands/