Astonishing amount Lewis Hamilton may potentially bring to Ferrari in merchandising and sponsorship
Yesterday at 04:44 PM
The deal that saw Lewis Hamilton sign with Ferrari ahead of the 2025 Formula 1 season is being hailed as one of the most significant in the sport’s history, potentially changing the landscape of motorsport.
After an extraordinary 12-season tenure with Mercedes, where Hamilton secured six drivers' championships and helped the team claim eight constructors’ titles, the British racing legend is now ready to take on the most challenging chapter of his career. Ferrari, the most successful and storied team in Formula 1 history, has struggled in recent years to maintain its winning ways, making Hamilton’s move all the more intriguing.
Since Kimi Raikkonen’s last championship win for Ferrari in 2007, which saw him narrowly beat Hamilton and Fernando Alonso to the title, the team has been unable to clinch another drivers' championship. Several notable drivers, including Alonso, Felipe Massa, and Sebastian Vettel, have attempted and failed to bring Ferrari back to the top. With Hamilton’s exceptional career pedigree, there's renewed hope that he could be the one to end Ferrari's title drought. However, his teammate Charles Leclerc, known for his competitive drive, is also a strong contender if the car proves fast enough.
Despite Ferrari’s recent adjustments to this year's car, which have not necessarily improved Leclerc’s performance, there is ample time for him to adapt to the SF-25 over the course of the season. As for Hamilton, while he may initially face some challenges due to his transition into a new team, Ferrari is already reaping the benefits of his presence. According to a report from the Italian outlet *Gazzetta dello Sport*, the financial impact of Lewis Hamilton's signing is significant, particularly in terms of sponsorship and merchandising.
Ferrari anticipates a remarkable £83.6 million in additional revenue from sponsorships and merchandising directly linked to Lewis Hamilton's arrival. The seven-time world champion has inked a lucrative two-year deal with Ferrari, reportedly worth £39 million per year, with the option to extend until 2027.
Following the announcement of his signing in February, Ferrari's stock price soared, reflecting the immense commercial value Lewis Hamilton brings to the brand. Sponsors, eager to align with such a global icon, have also shown increased interest, leading to higher deals. For instance, HP, which renewed its sponsorship with Ferrari last year, is said to have agreed to a deal valued between £66.9 million and £75.2 million annually, with their branding prominently displayed on both the Briton’s and and the Monegasque’s cars.
The seven-time Formula 1 world champion’s switch to Ferrari not only marks a new chapter in his illustrious career but also represents a massive financial opportunity for the Scuderia, with sponsorship deals and merchandising poised to generate tens of millions for the team. The commercial power of having a driver like Hamilton on their roster could help Ferrari reclaim its position at the forefront of Formula 1 both on and off the track.
Giovanni Palazzi, president of the sponsorship firm StageUp, discussed the significance of Ferrari’s decision to sign Lewis Hamilton. He highlighted that while the team’s title holds substantial value, the British driver’s involvement played a crucial role in it. Palazzi also suggested that Ferrari's decision to officially announce Lewis Hamilton's engagement in February 2024 was strategically aimed at enhancing the team’s reputation. This move, according to him, was likely intended to boost Ferrari’s leverage in future commercial negotiations.
The arrival of Lewis Hamilton at Ferrari is set to generate a significant financial boost, with an estimated £41.8 million in additional sponsorship revenue. Alongside this, merchandising and licensing deals are expected to contribute a similar amount to Ferrari's bottom line. No other driver on the grid carries the same commercial appeal as Hamilton. While Charles Leclerc is the second most followed driver on social media, and Max Verstappen enjoys immense popularity following his four consecutive championships, neither has the same level of marketability and global influence as Hamilton.
When considering the commercial value of Lewis Hamilton to Ferrari, it’s important to note how it compares to the team's earnings from Formula 1’s prize money. Ferrari is more than willing to meet Hamilton's salary demands, knowing that his commercial impact will far outweigh the costs in terms of sponsorships, licensing, and merchandise sales. For instance, Lewis Hamilton's viral Instagram post announcing his move to Ferrari's Maranello factory generated substantial revenue for the team.
Furthermore, Ferrari's financial gains are closely tied to their performance on the track. The better Hamilton and Leclerc perform, the greater the prize money they will secure from the FIA. Last season, Ferrari earned approximately £99 million in prize money by finishing second in the Constructors' Championship behind McLaren. With Formula 1's global profile continuously growing, Ferrari's earnings are unlikely to decrease, even with another top-two finish this season.
However, both the British driver and team principal Frederic Vasseur will be focused on more than just improving their commercial value; they will be keen to clinch the championship this year. After years of waiting, securing the title would not only fulfill Ferrari's long-held ambition but also solidify Lewis Hamilton's place as a key driver in the team's storied legacy.
The post Astonishing amount Lewis Hamilton may potentially bring to Ferrari in merchandising and sponsorship appeared first on Scuderia Fans.
