I am on record in believing that the impact of team finances on
baseball teams’ success is wildly overstated. I am increasingly coming
to believe, though, that the effect of team finances on NASCAR drivers’
success may be much greater than acknowledged, to the point of dwarfing
the impact of differences in drivers’ skills.
Start with a look at the driver standings almost two-thirds of the way through the 2007 season: the top ten drivers come from
only four teams, all of which field at least three cars in each race:
Hendrick, RoushFenway, Childress, and Gibbs. Conversely, the
highest-ranking single-car team is Robby Gordon, driving for himself
and currently 26th in driver points. That alone seems like a strong
piece of evidence that economies of scale in engineering, pit crew
training, and other areas offset material differences in driver
ability; can anyone claim with a straight face that 21st-ranked JJ
Yeley is a better driver than Robby Gordon?
The remaining three-car teams are either right behind the rest (DEI
boasts the 10th-, 14th-, and 18th-ranked drivers), or suffer from team-specific
problems such as Waltrip’s qualifying issues.
What’s more, the top-ten drivers have won 17 out of 22 races so far
this season. Not shocking, since you’d expect people who win races to
be high in the points standings. But look at the remaining races - all
but one were won by drivers for teams with three or more cars as well. The
trend is little better looking at top-five finishes; of 110 top-five
places through 22 races, just 16 belong to drivers for teams with fewer
than three cars. Perhaps this is just the acceleration of a trend that
has been in place for some time; in the past 17 years, only twice -
Alan Kulwicki in 1992 and Dale Jarrett in 1999 - was the Cup won by a
driver for other than the four teams that currently own the top ten.
This also offers some insight into Junior’s decision to join
Hendrick. If he wants maximize his chance to win a championship, his
choices are limited to four teams. Roush already has too many teams
(plus they drive Fords and he wanted to remain with Chevys). Driving
for Childress would only put him further into his father’s shadow. So
he really only had two teams to choose from.
The Car of Tomorrow was supposed to reduce the larger teams’
advantages by standardizing a lower-cost car. That may turn out to be
the case in the long run, but so far Hendrick drivers have been even
more dominant in COT races than in non-COT ones. I have to think that
was a factor in the draconian penalties NASCAR hit Hendrick cars with
for violations of non-existent specs.
In any event, if NASCAR fails to act the problem will likely grow
more acute as larger teams grow more financially sophisticated. Jack
Roush just sold half of his company to Fenway Sports Group for a
fraction of its market value in an attempt to expand his team’s
sponsorship opportunities. Evernham just sold a majority stake to Montreal Canadiens owner George
Gillett for the same strategic reasons that motivated the Roush-Fenway
deal. The DEI - Ginn deal turns two underperforming three-car teams into a potentially imposing
four-car team. The default future for the sport may be a bifurcated landscape,
with a half-dozen teams with revenues of over $100 million competing
for all the glory, and everyone else doing not much more than filling
out the field.