LVMH replaces Rolex as main Formula 1 sponsor
The world's leading luxury goods company LVMH has announced a 10-year sponsorship deal with Formula 1 starting in 2025, valued at over $100 million (CHF86 million) a year. The French luxury giant will replace the current long-time sponsor Rolex.
The Swiss watchmaker Rolex, which has held the timekeeping role since 2013, could be replaced by Tag Heuer, a brand historically tied to F1, having been the sport’s first official timekeeper in 1950 under the Heuer name.
Major investment
Although earlier reports suggested a sponsorship investment of around $150 million (CHF129 million) a year, insiders indicate that the final figure is below $100 million. Under the new deal, LVMH, owned by French billionaire Bernard Arnault, joins other high-profile F1 sponsors such as DHL, Heineken, Pirelli and Qatar Airways.
Swiss watchmaking and F1
F1’s vast audience, which reached 1.5 billion television viewers in 2023 according to Liberty Media, has always been a major draw for Swiss watchmakers. Alongside Tag Heuer, a longstanding partner of the Red Bull team, several other prestigious brands have made their mark on the race circuit.
Previously, Hublot served as F1’s timekeeper from 2010 to 2013, before Rolex took over. Longines also sponsored the sport from 1982 to 1992, when it was replaced by Tag Heuer.
Other luxury watch brands like IWC (with Mercedes-AMG) and Richard Mille have also formed partnerships with F1 teams.
Growing appeal in the US
Liberty Media, which took over F1 in 2017, has broadened the sport’s appeal, particularly in the US, where it has attracted a younger and more diverse audience. Frédéric Arnault, head of LVMH’s watch division and son of CEO Bernard Arnault, has described it as a burgeoning market for luxury brands.
LVMH has been involved in sporting sponsorships before, but this F1 partnership is only the second time the group has signed a deal in its own name; the first was with the Paris 2024 Olympics and Paralympic Games.
In 2023, LVMH reported revenues of over €86 billion (CHF81 billion) and a net profit exceeding €15 billion (CHF14 billion).
Translated from French with DeepL/amva
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