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PepsiCo Returns to F1 Team Sponsorship After 34 Years With Mercedes Deal

PepsiCo Returns to F1 Team Sponsorship After 34 Years With Mercedes Deal

Summary
PepsiCo re-enters F1 team sponsorship after 34 years through a strategic Mercedes partnership, prioritizing Gatorade's performance science and Sting's growth in emerging markets like India and Pakistan. The deal marks a shift from its previous generic F1 alliance to a team-specific collaboration focused on authentic brand alignment and driver engagement.

PepsiCo has ended its 34-year absence from F1 team sponsorship by partnering with Mercedes starting in 2026, leveraging Gatorade as the flagship brand while integrating Doritos and Sting. This strategic move shifts from PepsiCo's existing broad F1 partnership to a targeted collaboration with the Silver Arrows, driven by F1's global expansion and alignment with PepsiCo's emerging market priorities.

Why it matters:

  • PepsiCo's return signals major confidence in F1's transformed commercial landscape, particularly its ability to reach young, global audiences in key growth regions.
  • The partnership represents a sophisticated evolution from its 1991 Jordan/7UP deal, focusing on performance science and cultural relevance rather than mere branding.
  • For Mercedes, this secures a premium commercial partner during F1's critical 2026 regulation transition while enhancing their performance narrative.

The Details:

  • Strategic Timing: CEO Eugene Willemsen emphasized F1's "dramatic evolution" in global reach and audience demographics made 2026 the optimal entry point, especially with Sting's dominance in India, Pakistan, Vietnam and Egypt.
  • Brand Portfolio Strategy: Gatorade leads the partnership due to its 60-year legacy in athletic performance science, with the Gatorade Sports Science Institute (GSSI) providing genuine performance support to Mercedes drivers and personnel.
    • Doritos and Sting complement Gatorade by targeting fan engagement and regional market growth respectively.
  • Performance Focus: Unlike typical sponsorships, GSSI will apply hydration science directly to driver performance – a tangible value proposition Willemsen called "not a marketing story, but a genuine performance partnership."
  • Driver Integration: The deal enables authentic content creation with George Russell and Kimi Antonelli, leveraging driver-fan connections impossible through generic F1 partnerships.

What's next:

This partnership sets a new benchmark for corporate involvement in F1 by prioritizing measurable performance impact over traditional branding. While Willemsen acknowledged the cultural resonance of PepsiCo's 1991 Jordan campaign, he stressed this is about building "something for 2026 and beyond" through:

  • Developing region-specific activations for Sting in target markets
  • Expanding GSSI's role in extreme-condition athlete performance
  • Creating driver-driven content that demonstrates authentic brand integration The success of this multi-brand approach could reshape how consumer giants engage with F1, moving beyond logo placement to demonstrate concrete value in both performance and market growth.

Original Article :https://www.the-race.com/promoted/why-pepsico-is-back-in-f1-after-so-long-away/

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