The Luxury Grid: Why LVMH and Top Brands Are Doubling Down on Formula 1 Sponsorship

The roar of a Formula 1 engine is no longer just the sound of speed; it’s the sound of global luxury brands flooding the paddocks. For decades, the pinnacle of motorsport has held a magnetic, if niche, appeal. 

Now, however, with the world’s leading luxury conglomerate, LVMH making a resounding statement, having entered an unprecedented 10-year global partnership with Formula 1 starting with the 2025 season. 

This historic deal, which is valued potentially in the billions, has sent a massive seal of approval and a clear signal that: the Formula 1 circuit has transformed into the ultimate, non-negotiable playground for high-end brands.

But why the massive escalation now? Why are the arbiters of quiet luxury – companies known for bespoke craftsmanship, elegance and timeless heritage – doubling down on the high-octane, noisy world of F1? 

Appealing To A New Audience

The answer lies in the dramatic transformation of F1’s global audience, its strategic alignment with luxury values, and the creation of an unparalleled experiential ecosystem.

Brands like Louis Vuitton and TAG Heuer recognise that F1 is a fast track to growth. The sport’s global fan base has surged 63 percent since 2018, reaching 827 million. Once rooted in Europe, F1 has gone mainstream in the U.S. with races in Miami, Austin, and Las Vegas and continues to accelerate in China, where fans now top 221 million, up 39 percent YoY (year over year).

However, the single biggest factor driving luxury interest is the radical demographic shift in the Formula 1 fanbase, largely fueled by the success of the Netflix docu-series, Drive to Survive, and the F1 movie starring Hollywood giant Brad Pitt. 

According to the 2025 Global F1 Fan Survey, 70 percent of Gen Z respondents see F1 as representing a status or image that appeals to them.

Life In The Fast Lane

A key game-changer, however, is how fans interact with F1 both on and off the track. The line between sport and entertainment is increasingly blurred. The F1 experience is not just about who crosses the checkered flag first, but celebrity culture, blockbuster music performances and social media hype.

Music celebrities like Dua Lipa in Monaco, Lisa of Blackpink in Miami, and Garth Brooks performing in the U.S. Grand Prix are as much a part of the sporting event as the drivers. For younger fans, this integrated ecosystem drives engagement. In the U.S., 70 percent of Gen Z respondents engage with F1 content daily, especially through streaming and social platforms.

F1 was once dominated by an older, male audience. However, in recent years, the emotional pull of the sport has reached new heights among fans. The Netflix series Formula 1: Drive to Survive and the film F1 have transformed their fan base: 43 percent are now under 35 (vs 30 percent in 2018), while women make up 42 percent of fans (vs 37 percent).

For prestige brands, the F1 ecosystem extends into brand discovery and expression. According to the 2025 Global F1 Fan Survey, 58 percent of Gen Z fans consider fashion and style important in their F1 fandom.

However, it is now female beauty brands that are making an entry onto the grid. As the influence of beauty influencers declines in the U.S., China, and Europe, F1 can be an effective channel to connect with existing and future customers. 

Beauty brands are also embracing F1 Academy, the all-female racing championship. Netflix’s F1: The Academy has raised its profile alongside the growing popularity of women’s sports.

Charlotte Tilbury was the first beauty brand to sponsor the series, reinforcing its empowerment message through its Hot Lips icon and “Makeup Your Destiny” slogan on the Charlotte Tilbury-operated by Rodin Motorsport car. More recently, Red Bull Racing partnered with Anastasia Beverly Hills for its Academy program.

It’s a timely move, nevertheless. Women now account for three in four new F1 fans, with women aged 16-24 as the fastest-growing segment. The 2025 Global F1 Fan Survey reported that 42 percent of female fans are following F1 Academy, exclusively. 

Sharing The Same DNA

Beyond the numbers, the philosophies of high-end luxury and high-performance racing share an undeniable synergy. This is the narrative alignment that LVMH expertly leverages.

A Louis Vuitton handbag, a Moët & Chandon vintage champagne collection, and a Formula 1 car are all products built on a relentless pursuit of excellence. F1 teams operate at the very limit of engineering, where their obsession with detail mirrors the meticulous craftsmanship found in a luxury atelier.

When a brand like TAG Heuer becomes the Official Timekeeper of F1 (a position included in the LVMH deal), it validates their legacy of precision and their future in high-tech watchmaking. The track becomes a laboratory for brand credibility.

However, the LVMH deal is not a monolithic sponsorship; it’s a multi-brand deployment designed to capture value at every level of the F1 ecosystem. This demonstrates a sophisticated strategy that goes far beyond simply slapping a logo on a car.

As part of the deal, Louis Vuitton is creating bespoke, unique trophy trunks for major Grand Prix events globally. This elevates the celebratory moment, turning the winner’s presentation into a visual display of luxury heritage. 

Moët & Chandon, falling under the Moët Hennessy umbrella, secures its place as the champagne of choice for the podium. This is an essential experiential element. The tradition of spraying champagne is an iconic, globally recognised celebration.

That said, luxury brands thrive on exclusivity and hospitality. F1’s Paddock Club and associated VIP areas are among the world’s most sought-after corporate hospitality zones, offering gourmet dining, networking, and unparalleled track views.

For LVMH and other luxury players, these spaces are not merely viewing galleries; they are high-value engagement zones where they can host their top clientele, conduct private sales, and curate an immersive experience that only the luxury sector can deliver.

Although, luxury brands have traditionally relied on glossy magazines and highly controlled advertising campaigns. However, with the fragmentation of media and the rise of digital consumers who are ad-averse, these channels are losing impact.

With 24 races across five continents, F1 offers a consistent, high-visibility platform that reaches every key luxury market from the US and Europe to the Middle East and Asia.

By investing in the F1 ecosystem – which focuses on technology, speed, and modern celebrity – brands have signalled that they are forward-thinking, dynamic, and relevant, shedding any perception of being dusty or old-fashioned.

Conclusion

In conclusion, the partnership between LVMH and Formula 1 is not a frivolous expenditure; it is a meticulously calculated, multi-layered strategic maneuver. It’s an investment in a global platform that perfectly bridges heritage and hyper-modernity, high-net-worth individuals and aspirational Gen Z consumers, and the physical spectacle with digital storytelling. 

By placing their brands on the grid, LVMH and its peers are not only securing their position in the race for the next generation of luxury consumers, but confirming that the F1 circuit is the new Luxury Grid of global marketing.