LVMH Strikes a Decade-Long Sponsorship Deal with Formula 1

French luxury group LVMH has signed a 10-year sponsorship agreement with Formula 1, overtaking Rolex as the primary sponsor. The partnership, effective in 2025, includes LVMH brands like Louis Vuitton, Moet Hennessy, and TAG Heuer. This marks LVMH's significant entry into sports sponsorship following its investment in the Paris Olympics.

French luxury giant LVMH has announced a 10-year sponsorship deal with Formula 1, covering its premier brands Louis Vuitton, Moet Hennessy, and TAG Heuer. This agreement will commence in 2025, succeeding long-time sponsor Rolex.

The move represents LVMH's expanding foray into the sports sector, following a significant financial commitment of 150 million euros ($165.77 million) to sponsor the Paris Olympics. Rolex has been a steadfast partner of Formula 1 since 2013.

Luxury brands are increasingly leveraging high-profile events to enhance brand exposure through a blend of hospitality, travel, and entertainment. LVMH and other companies extended traditional sponsorship roles at the Paris Olympics, even participating in medals ceremonies.

Frederic Arnault, CEO of LVMH Watches, highlighted the global experiential opportunities offered by Formula 1, stating: "For many years, several of our Maisons have also chosen to invest in Formula 1. We want to further grow this experiential dimension that Formula 1 provides all over the world." While financial details remain undisclosed, it signifies LVMH's broader strategy.

(With inputs from agencies.)