Formula 1 at a crossroads: tradition meets wellness in sponsorship evolution

Polish brand Belvedere vodka has entered into a partnership with Formula 1, yet there also been many major sponsorship deals involving non-alcoholic brands in the sport. The post Formula 1 at a crossroads: tradition meets wellness in sponsorship evolution appeared first on The Drinks Business.

Apr 2, 2025 - 10:19

Formula 1 at a crossroads: tradition meets wellness in sponsorship evolution

Polish brand Belvedere vodka has entered into a partnership with Formula 1, yet there also been many major sponsorship deals involving non-alcoholic brands in the sport. Formula One Racing Track, Singapore, one of several venues pushing low and no alcohol sponsorship in Formula 1

Belvedere has become the first ever official vodka of Formula 1 and is part of the LVMH stable which recently began a 10-year global partnership deal with Liberty Media, the sport’s owners. However, there has been an increasing pattern of Formula 1 teams finalising sponsorship agreements with non-alcoholic brands, such as Ferrari signing up for a multiyear deal with Italian beer brand Peroni Nastro Azzurro 0.0. A recent marketing campaign has intensified that relationship. It’s a similar deal to what has been agreed between the McLaren team and Estrella Galicia 0.0, who are owned by Spanish brewers Hijos de Rivera, both parties began collaborating six years ago. Heineken has been a global partner of Formula 1 since 2016, and they agreed to extend joining partnership two years ago, where the new phase in their partnership will focus on responsible consumption and the promotion of the Heineken 0.0 brand. Max Verstappen, a huge figure in the sport who has won the last four World Drivers’ Championships, has been tasked with being the ambassador for Heineken’s zero alcohol product.

Alcohol and F1's commercial history

The relationship between alcohol branding and Formula 1 goes back a long way, beginning in the 1970s with firms such as Martini and Johnnie Walker becoming part of the sport’s advertising profile, establishing what is now a long-running tradition. It’s a partnership that is mutually beneficial as brewers like to capitalise on the sport’s global footprint, leading to a huge worldwide audience, while Formula 1 teams can invest sponsors’ capital to meet the huge costs of participating in motorsport at the highest level. Looking ahead, the question is whether Formula 1 will lean towards more sponsorship arrangements with non-alcoholic brands in light of government pressure and regulations. Reviewing the position of the sport and drink branding, the chief growth officer of Asahi Europe & International, who own Peroni Nastro Azzurro 0.0%, Nathalie Pfaff said: “We see partnerships in sport, including Formula 1 are important as they enable our brands to reach a broader adult audience, something increasingly difficult to do via traditional media.“ “While we cannot speak for the industry as a whole or predict the future in terms of regulation, our aim is to drive recognition and awareness for Peroni Nastro Azzurro 0.0%.” RTR Sports is a sports marketing agency focusing exclusively on motorsport. Its associate director, executive marketing and commercial Silvia Schweiger, assessed the situation: “There are two things to consider here. Marketing-wise, Formula 1 is quite possibly the world’s most powerful sports platform at the moment, and brands all over the world are eager to tap into its strategic positioning.” “While some beer brands, like Heineken or Estrella Galicia, are shifting their weight towards non-alcoholic beverages, this is a harder task for vodka, champagne, wine and spirits makers.” Despite the influence of the Middle East, it is not likely that alcohol brands will disappear anytime soon from the motorsport landscape and go the tobacco way. “Surely though, their communication will be more and more fine tuned towards the market’s needs.” She explained.

Branding in the Middle East

The Middle East poses a significant issue for Formula 1 and alcohol sponsorship and advertising, and there are three races as part of the season in the region taking place in Bahrain, Qatar and, most challengingly of all in Saudi Arabia. In Qatar and Saudi Arabia, alcohol brand advertising is strictly forbidden, although some restrictions were lifted for the World Cup in Qatar in 2022, with Budweiser, an official sponsor, allowed to advertise around stadiums. Drinking is allowed in Qatar and Bahrain in premises such as hotels, but in Saudi Arabia, a strict prohibition on alcohol has been enforced since 1952. Yet last year in Riyadh, a shop was opened selling alcohol to non-Muslim expats, where the clientele will be limited to diplomatic staff. This can be seen as the kingdom loosening up its alcohol laws as part of the government’s Vision 2030 initiative, a progressive development plan that includes entertainment venues and sporting locations. Yet the Saudi ambassador to the UK, Prince Khalid bin Bandar Al Saud, has confirmed that the 2034 World Cup will be a dry affair. In the UK, alcohol sponsorship policies are covered by the Portman Group Code of Practice. The rules on alcohol sponsorship are vast, and include that drinks companies cannot sponsor or support anyone who is under the age of 18, and any brand names or logos must not appear on any merchandise. Before sponsoring an event, team or activity, drinks companies must try to access data on the expected participants, audience or spectator profile to ensure that at least an aggregate of 75% are aged over 18. If an event does not meet that 75% threshold, then sponsorship is more restricted to areas where those attending an event are at ages where they can legally drink.

Marketing with purpose

Alcohol drink brands also have to show that they are committed to promoting responsible intake. Notably, there is increasing evidence that younger people are turning away from alcohol consumption, with health and well-being key reasons to becoming teetotal. It’s a development that may lead to more non-alcoholic brands sponsoring Formula 1 events and teams in the future. Pfaff told db that she believed that this would be the case: “In line with the overall trend towards living and maintaining a healthier lifestyle, there is a strong trend towards moderation and drinking better, not more. And as the non-alcoholic category continues to grow, it represents a significant opportunity.” Alongside Peroni Nastro Azzurro 0.0, Asahi also offer Peroni Capri and Asahi 0.0. by 2030, it’s anticipated that 20% of Asahi’s portfolio will comprise non-alcoholic products.

Future forecast

While Schweiger reflected, “Formula 1 will continue moving in two directions. The first one is becoming a stronger platform for their partners to communicate. The second is promoting the right messages to their global audience.” “Therefore, I am sure that if the popularity of non-alcohol brands keeps rising, especially among the younger generations, we will see more and more non-alcohol brands getting space on the cars and trackside.” “The same happened with Cryptos currencies and AI services.” Formula 1 also faces scrutiny with its alcohol advertising, where critics have argued that associating a high-octane sport such as elite level motor racing and alcohol sends mixed messages. Asahi said that a responsible message is at the heart of its Formula 1 sponsorship, and it consistently enforces a ‘don’t drink and drive’ message. This appears to be part of a growing trend, as the sport’s organizers are more aware of promoting sensible communication over alcohol brands.