---

NASCAR Business: Michael Holigan: 'NASCAR Is the Best Way to Build Brand Awareness'

7 January 2000

Posted By Terry Callahan
Motorsports Editor, The Auto Channel

DALLAS - The Michael Holigan companies reached more than 360 million people in 1999 through their presence on the Internet, in USA Today and on syndicated and cable television.

But President Michael Holigan believes the newest tool in the companies' marketing arsenal-sponsoring the No. 25 Michael Holigan Chevrolet NASCAR Winston Cup entry driven by Jerry Nadeau-will be its most effective.

"Being involved as a sponsor in NASCAR is the best way to build brand awareness and more importantly, brand loyalty," Holigan said of his companies' foray into the motor sports arena. "This is important to the building contractors we work with and for consumer traffic to our web site."

Holigan brings a new category of sponsor to NASCAR racing and feels there will be more in the coming years.

"I believe there will be a huge increase in the number of non-traditional sponsors as NASCAR continues to grow," he said. "Packaged goods still will use NASCAR as a platform to distinguish themselves from other similar products. But new business is where most of the growth will come, especially the dot-com business where you have thousands of start-ups that need to build brand awareness and brand loyalty. "Most dot-com companies are wasting tens of millions of dollars on television and in print where they build only temporary awareness and zero brand loyalty," Holigan continued. "A number of these businesses will find they can build long-term awareness and intense brand loyalty in NASCAR.

"As has been the history of NASCAR, the timing is perfect. The new television package coincides with a technological revolution that will affect every distribution system in the country."

Holigan started Dallas-based Holigan Homes with his father, Harold, in 1990 when they discovered an untapped market of homebuyers who wanted better-built homes and needed advice on how to locate and purchase them. In 1999, Holigan Homes was sold to independent builders as franchise locations. Homebuilders across the country have begun converting their existing homebuilding operations into Michael Holigan Franchises.

The primary focus of the Michael Holigan companies is selling building materials and supplies to homebuilders and contractors through the Internet. Holigan's system allows contractors to order building materials in the field on a Palm Pilot without using a telephone, salesperson or paper. Besides saving money on the cost of the materials and in overhead, the contractors also benefit from Holigan's national marketing. MichaelHoligan.com receives thousands of requests each month from consumers looking for contractors in their area. Holigan's Internet system routes these consumers to contractors who purchase materials from MichaelHoligan.com.

"The No. 1 goal of our NASCAR program is to spend quality time with 4,000 contractors across the country," Holigan noted. "We want to build relationships with builders that might end up buying their building materials through MichaelHoligan.com.

"NASCAR offers the perfect venue for conducting hospitality events and building relationships with contractors. Other sports don't offer a way to spend eight hours building relationships with potential customers."

Holigan, who grew up racing motocross motorcycles, was first exposed to the marketing potential of NASCAR Winston Cup racing in 1997.

"DuPont was the first sponsor of my television show, 'Your New House,' and has remained with me all five years," Holigan recalled. "They invited me to come to their hospitality tent at the first Texas race and talk to their homebuilders. After spending time in the hospitality village and in the stands watching the race, I was really impressed with all the marketing that was taking place.

"When we decided to focus on selling building materials and franchises, I realized I would need to spend a lot of time with thousands of homebuilders and contractors. I chose to do it through NASCAR Winston Cup racing." The Michael Holigan companies also include a multimedia division that produces "Michael Holigan's Your New House" which airs daily on The Discovery Channel and is syndicated to 130 local broadcast stations across the country. Holigan also writes educational advertorials on homebuilding that appear in USA Today.

Editors Note: To view hundreds of hot racing photos and art, visit The Racing Photo Museum and the Visions of Speed Art Gallery.