Whilst the dramatic growth in America is widely reported on, it’s much less common knowledge that F1 has experienced a similar growth in China. What are the reasons for this? How does it differ from the American market? And what does the future hold for F1 in China?
Initial Waning Popularity of F1 in China
For years, a race in China was seen as a priority, with its population of 1 billion+ people and a growing economy giving potential rise to a legion of new fans. After a proposed race in 1999 was cancelled, F1 finally found a home in Shanghai. It was the most expensive circuit ever built when it opened in 2004, to a cost a $450 million. The circuit was modern, with some nice nods to Chinese culture to boot. The layout is loosely based on the Chinese character Shang 上 as in Shanghai, 上海), whilst the paddock area was based on the famous Yu Garden.
However, for the first decade and a half the attendance of the race was in gradual decline. In 2008 organisers considered cancelling the race as it was losing money every year. Its contract was only renewed on the condition that hosting costs be reduced.
The continuation of the race did little to bolster interest in F1. The last Chinese Grand Prix in 2019 was heavily advertised as the 1000th ever F1 Grand Prix event. However, attendance was only 40% of the full capacity of the circuit. This was despite tickets being incredibly affordable (by F1’s standards) and the number of grandstands gradually being reduced over the years as demand fell. Even on race day you could show up and buy a ticket at the gate with no issues, despite suggestions that sport was beginning to grow. It looked as though F1’s experiment in China was heading for failure.
The 2019 race would be the last Chinese Grand Prix for 5 years due to the strict COVID policies in China. Surely the gap would kill off interest in F1 for good? In reality, the exact opposite happened.
Revival of F1 In China
When tickets went on sale for the 2024 Chinese Grand Prix, the website crashed instantly due to the weight of demand. Regular one day and three day Chinese GP tickets were sold out as soon as the site could handles sales. Second-hand tickets are currently being sold for 5X their actual cost (1 week before the race).
Thus can partly be explained by the 5 year wait between races. (Chinese Football League had a similar ticket rush when it reopened in 2023.) However, this is only part of the story. Behind the scenes, F1 has been gradually establishing itself as a major sport in China. In 2018, viewership tripled in China after a deal to allow F1 onto free-to-air TV. Viewing figures since then have increased further, with Zhou himself recognising the growth in China.
This increase in popularity was also recognised within F1, with the Chinese Grand Prix contract being extended in 2021, and ongoing attempts to hold a second race in China to keep up with growing demand. Prominent figures such as Toto Wolff and Zak Brown have also gave support for another race in China due to its importance in the auto industry. All of this has developed despite the lack of a Chinese Grand Prix, not because of it.
For the last two decades, Basketball and Football/Soccer have dominated sports interests amongst young Chinese people. Whilst F1 is not at their level, it is now arguably the 3rd most watched sport in China.
So what has lead to this sudden and dramatic increase in popularity?
Did Zhou make F1 popular?
There seems to be an assumption outside of China that Zhou is incredibly popular and marketable within China. Could his place on the grid explain F1’s rapid rise?
The first thing that must be stated is that Zhou is nowhere near the most popular F1 driver within China. In fact there is little difference between China and the world at large regarding driver popularity. Many drivers are clearly more popular and marketed, with Verstappen, Alonso and Leclerc leading the way. Meanwhile, McLaren are Ferrari are the most marketed teams.
Why Nationality Isn’t Always Enough
When Zhou began in F1, there was speculation that he could do for F1 what Yao Ming did for basketball. The Chinese NBA player became a bonafide national superstar that helped to propel basketball into becoming China’s most popular sport. This has not happened (yet) for Zhou, with the difference between the two situations being obvious. Yao Ming was incredibly successful in the NBA. Whilst Zhou’s results thus far have been perfectly acceptable, they’ve been insufficient to cause any kind of equivalent mania within China.
There are multiple similar stories in other countries within F1. Schumacher, Alonso and Verstappen all caused a significant increase of fans in Germany, Spain and The Netherlands respectively. Meanwhile drivers like Karthikeyan, Maldonado and Baumgartner failed to convert India, Venezuela and Hungary to F1. Fans may want to support their local driver, but they also want to support a winner.
Zhou’s Positive Impact
Despite this, having a Chinese driver race in F1 had had a net positive impact on viewing figures. There was a media buzz within China when Zhou debuted, which provided some welcome free publicity. And whilst few Chinese people cite Zhou as their absolute favourite driver, the vast majority of people like him and wish him well.
“[His F1 debut] made me even more interested in the sport even though Zhou is not my favourite”
Quote from a Chinese F1 fan in 2021. It represents Chinese fans general attitude well.
In short, Zhou’s entry into the sport has helped matters in China. He is generally popular and the crowds will be supporting him, although he is few people’s favourite driver. F1’s momentum was already building in China, and ultimately Zhou’s impact was modest. As it turns out, the rise in the US and China have a common thread between them: Liberty Media.
Liberty Media
F1 Media Growth (US)
“I’m not interested in tweets, Facebook and whatever this nonsense is.”
Bernie Ecclestone’s outdated views restricted F1 growth for years.
Bernie Ecclestone helped make F1 into the global sport it is today, but there’s not doubt his narrow view of the internet and modern society restricted the sport’s growth. The selling of the sport in 2017 provided a unique opportunity for change.
When explaining F1’s rise in America, many people just grunt Drive to Survive. However, the reality is more nuanced than this. Liberty Media underwent a huge effort to make the sport more appealing and accessible to US (and worldwide) audiences. This has included some ideas that are often bemoaned by fans, such as an excess of celebrity appearances and the idea of a Grand Prix taking a sideshow to other entertainment.
However, it’s also included an explosion in content for fans to access. Qualifying and Race highlights are available on Youtube, along with radio highlights and analysis too. It’s now possible to be a casual F1 fan for free. Meanwhile F1TV has allowed fans to access races from across F1 history for a modest cost. All of this caused a huge increase in online interest in F1.
Simultaneously, F1 began embracing ESports for the first time. This has lead to new types of viewer to dipping their toes into F1. It’s no coincidence that F1 fans are now younger than fans of other major sports. These changes were combined with allowing media companies much greater access to F1 content. It was this attitude that lead to Drive to Survive, along with other documentaries being made. All of this would have been impossible during the Ecclestone era. Even small steps such as advertising F1 engines as efficient rather than playing them down for not being loud enough demonstrate a change of approach.
Ultimately, Liberty Media have been applying the same media principles in China, with the similar results.
F1 Media Growth (China)
There’s no Youtube, Netflix or F1TV in mainland China. However, F1 content on other platforms is increasing all the time. As previously mentioned, F1 moved to free to air TV in China in 2018, with dramatic results. The growth has since continues at a rapid rate, even before Zhou’s debut.
Liberty have also provided regular F1 posts on Chinese social media sites such as Wechat. The content is well formatted, with lots of photo and information for casual fans looking for a quick update on their phones. Recently a major deal was announced with Tencent, allowing further F1 content to be shown online. (This is a big step, given that the majority of young people in China no longer own a TV, and most of the growth in China is with young people.) Whilst Netflix is not available in China, the documentaries have been making their way across on various other platforms too.
Ultimately Liberty Media have fully understood that the expression “built it and they will come” does not just relate to the physical circuit. They’ve been working hard to provide content that new fans will enjoy, and create further organic growth. In addition, they’ve had a good grasp of the significant differences between the Western and Chinese media markets that has enabled the sport to make rapid progress in both.
Other Factors In China’s F1 Growth
China’s Economy
Whilst the Chinese economic growth has been slowing recently, its rise over the past few decades is an obvious factor. In the 20 years since China first hosted an F1 race, the average salary in China has increase seven-fold in what has been dubbed “an economic miracle”. This does not by itself explain the growth of F1 (most of China’s economic growth coincided with F1’s popularity stagnating after all). However, it helped to create conditions that has allowed F1 to thrive. These include a dramatic increase in electronic devices and high speed internet.
Development of Jiading
One factor that doomed some of the Tilke tracks from 15-20 years ago was their poor location and lack of local support. The circuit in Korea, for example, was built on isolated marshland, with the concept of growing an urban area around it. The idea quickly fell apart and the race was abandoned after just a couple of years.
However, the Shanghai International Circuit (opened 7 years earlier) had the exact same concept. However, infrastructure development, urban sprawl and China’s growing economy allowed the surrounding area of Jiading to grow as intended.
A metro line to the circuit was opened in 2010, and has undergone consistent expansion across Shanghai since. Meanwhile high speed rail from Shanghai has been built at breakneck speed, making access to the circuit increasingly convenient. Finally, the number of people living close to the circuit has increased dramatically.
In 20 years, the circuit’s location has changed from an isolated space 40km from Shanghai’s centre to a bustling urban area in its own right. Not only that, but Jiading is at the heart of China’s car manufacturing, and part of the reason the country is becoming a world leader in electric vehicles. In short, the location of the circuit has been transformed from questionable to incredible. It’s possibly the most conveniently placed F1 circuit in the world. A permanent circuit within a city with a population roughly equal to that of Australia, with none of the inconveniences of being a street track.
Is Further Growth An Uphill Fight?
Whilst Liberty Media has been doing the right things to reach a new Chinese audience, it has so far picked the low hanging fruit. Other than the possibility of another race in China, further steps to increase the popularity of the sport become increasingly difficult.
As previously covered, the country lacks a genuine superstar driver. Whilst China has more up and coming drivers than previously, the ladder into F1 is still very much focused on Europe. Zhou himself spent his teenage years in Sheffield for this reason.
The country also lacks a Chinese team or engine manufacturer to get behind. This is theoretically a unique opportunity for F1 compared to popular leagues in China such as the NBA or Premier League, which do not permit foreign teams to join. Whilst China now has an impressive auto industry, all of the major players are focused on fully electric vehicles. It is doubtful if F1 would appeal to them. It is also notoriously difficult for non-European teams to succeed in F1. Initial interest in a Chinese team a few ago came to nothing. Finally, the recent debacle over Andretti’s non-entry onto the grid could serve as a major disincentive to any new team that wished to enter the sport.
One more issues that could theoretically restrict growth is the usually awful timing of F1 races (thanks to time differences). This is frankly impossible to fix. Thankfully most Chinese sports fans are used to this, having faced similar issues with other popular international sports.
Could Anything Reverse F1 Growth in China?
Whilst it’s tempting to think of China’s love affair with F1 as permanent, there are several things that could trip it up in the medium-long term.
General Loss of Interest
Firstly, it’s important to note that trends come and go regularly in China, sometimes at incredible speeds. (For example, the Mojito drink suddenly went viral in China before disappearing from many shops within a single year.) Whilst many Chinese F1 are passionate about the sport, their long term loyalty is far from guaranteed. After all, F1 is far from the only sport attempting to grow a Chinese audience. Formula E and (non F1 related) ESports are both actively courting the same fans and the long term trends are not yet clear.
In addition, data from the US offers a potential red flag: F1 popularity is starting to wane there. This is often attributed to the lack of competition within F1, which will surely affect Chinese support too. Whilst this is potentially a worldwide problem, it is probably the areas with recent growth that are most vulnerable to losing fans.
Opinions and Politics
We have also already seen that F1 is not against rejecting countries for political reasons. The Russian Grand Prix was suddenly cancelled in 2022 following the country’s invasion of Ukraine. (This response was not unique to F1, with companies such as McDonald’s also pulling out of the country.) Whilst there is no comparison to be made with current Western-Chinese relations, the example highlights how external politics can cause a healthy F1 relationship to rapidly break down despite the best of intentions.
For now, both sides has done a good job of managing these potential pitfalls, and the future of F1 within China looks bright.
Summary
- F1’s popularity has spiked in China over the past 5 years, despite the lack of a Chinese Grand Prix during this time.
- This can be partly explained by the presence of a Chinese driver (Zhou), although it’s easy to overstate this importance. Many other drivers are more popular in China.
- The main cause is probably work done by Liberty Media to make the sport more accessible and appealing to a Chinese market. This is in a similar vein to the US.
- Cultural and political differences between the West and China should be considered if sustained growth within the Chinese market is desired.
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