Rolex’s imminent withdrawal from Formula 1, after eleven years of partnership, leaves a void in motorsport. From 2025, TAG Heuer, the LVMH Group’s watchmaking house, will take over with a contract worth an estimated $150 million a year. A major strategic shift in sports sponsorship.
From 2025, TAG Heuer will succeed Rolex as Formula 1’s watch partner, marking a major turning point in the world of motorsport.
This change comes after a long association between Rolex and the championship, which has contributed greatly to F1’s prestigious image. The arrival of TAG Heuer, with a financial commitment of $150 million a year, promises to revitalize relations between the sport and luxury brands. This new partnership could also change the expectations of these Houses in terms of visibility and prestige in the world of sport.
LVMH replaces Rolex in F1
Rolex has enjoyed a long-standing relationship with Formula 1, making its mark on the sport through its role as Official Timekeeper and premium global partner since 2013. The House was omnipresent at key moments of the Grand Prix, its emblematic clock becoming a symbol of precision and elegance.
However, this historic collaboration will come to an end at the end of the 2024 season, according to online media Decalspotters. This departure represents a notable loss for Formula 1, the luxury brand having played a crucial role in enhancing its image associated with precision and prestige.
The LVMH group, which owns TAG Heuer, will be F1’s new official watch partner from 2025, according to Decalspotters. LVMH’s agreement, worth around $150 million a year , represents a significant increase on Rolex’s previous investment (which was three times less), illustrating a stronger commitment to the sport.
TAG Heuer, already involved in Formula 1 as Official Timekeeper and Official Watch of Red Bull Racing since 2016 and of the Monaco Grand Prix since 2011, will see its role extended to the global level. The watch brand belonging to the LVMH stable is also a partner of the Historic Monaco Grand Prix and the Automobile Collection of H.S.H. the Prince of Monaco.
TAG Heuer ‘s current contract with the Red Bull team runs until the end of 2024, so it remains to be defined how the Maison will play its expanded role as F1 sponsor.
In general, TAG Heuer has been strengthening its presence in sport in recent times, not only by increasing its involvement in motor racing, but also in other sporting disciplines, as evidenced by its recent initiatives in surfing.
Rolex departure: impact on F1
Rolex’s departure is a significant turning point for motorsport enthusiasts. The Swiss company has not only been a premium partner of the Formula 1 championship, but also a major player in motor racing. Indeed, the brand with the crown can boast that “since 1968, it has been at the side of Sir Jackie Stewart, triple world driver champion (1969, 1971, 1973), winner of 27 of the 99 Grand Prix he has started, and tireless advocate of driver safety”.
The absence of Rolex could moderate the emotional impact linked to the excitement of the Grand Prix, where the emblematic clock played a central role as an indicator of the start of the races.
However, the new financial agreement signed by LVMH via TAG Heuer represents a significant increase on previous investments. And this more aggressive financial commitment strategy should encourage the group to maximize its return on investment by exploiting Formula 1’s global visibility.
It could also influence sponsorship trends, prompting other luxury companies such as Hublot, also an LVMH subsidiary, to consider greater financial commitments to sport.
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