Luxury brands and Formula 1 have become increasingly intertwined, with high-end fashion houses, watchmakers, and automotive icons recognising the sport’s ability to elevate brand prestige and capture the attention of affluent, experience-driven consumers.
Formula 1’s unique blend of high-performance engineering, exclusivity, and an elite audience has made it an irresistible platform for luxury brands looking to reinforce their image of excellence.
In fact, a December 2024 study by Nielsen Sports found that F1 is the most popular yearly sporting series, reaching a total audience of 750 million.
Over the past three years, Formula 1 has seen global interest grow by 5.7% (or approximately 50 million new fans) since 2021, with a growing interest from females who comprise about 41% of the fan base. The series’ expansion into new territories, alongside Netflix’s ever-popular Drive to Survive, has made it one of the fastest-growing sports among Gen-Z and millennial audiences, precisely the demographic that luxury brands are seeking to engage.
Biggest F1 Sponsors: Luxury Brands Taking Pole Position in F1
Traditionally, Formula 1 sponsorships were dominated by energy drinks, financial institutions, and tech firms. However, in recent years, the grid has welcomed a wave of luxury players eager to capitalise on the sport’s prestigious appeal.
The biggest shift came in October 2024, when LVMH signed a groundbreaking 10-year global partnership with Formula 1. The deal ensures that LVMH’s flagship brands – Louis Vuitton, Moët & Chandon, and TAG Heuer – are embedded into the very DNA of the sport.
This historic agreement saw Louis Vuitton become the title partner of the Australian Grand Prix starting in 2025. Meanwhile, TAG Heuer replaced Rolex as Formula 1’s official timekeeper, signalling a shift in the sport’s relationship with Swiss watchmaking.
While the sport has long been associated with exclusivity, the new generation of luxury sponsorships is reinforcing its positioning as a cultural and lifestyle phenomenon rather than just a motorsport event.
“The relationship between luxury automotive and fashion brands in Asia is intensifying, driven by the desire of brands from both industries to offer something beyond the usual,” Dr. Daniel A. Langer, a luxury strategy expert and CEO of Équité, told BurdaLuxury. “Collaborations are increasingly seen as a way to bridge the worlds of mobility and style, appealing to affluent Asian consumers who value status and unique experiences.”
The luxury car sector is nearly twice as large as the luxury personal goods category, Anita Balchandani, Senior Partner at management consultancy McKinsey, told Vogue Business in 2022. With a combined global market of 380 to 390 million consumers, according to Bain data cited by Vogue Business, the two sectors seem like a perfect pairing.
How Are Luxury Brands Collaborating with Formula 1 and Automakers?
Luxury brands are engaging with Formula 1 in more immersive and multi-faceted ways than ever before, integrating their products, design ethos, and storytelling into the racing world.
This crossover is a reflection of how younger luxury consumers are gravitating toward performance-driven aesthetics. “Younger audiences are not as loyal to a brand as other segments of our customers are,” Dr. Thomas Girst, Global Head of Cultural Engagement at BMW Group, explained to BurdaLuxury. “They keep us on the edge, they keep us questioning ourselves and they know what they like.”
Leveraging digital platforms is also important to appeal to youths. According to Jing Daily, the BMW hashtag garnered over 530 million views on Xiaohongshu, signifying its broad reach.
History, tradition, and heritage are core to BMW. “Every future needs a past, as the German philosopher Odo Marquardt once remarked,” added Girst. “With that in mind, we constantly develop our brand when it comes to co-creation and cultural engagement.” Their Puma x BMW M Motorsport capsule collection is based on their BMW Art Cars, on the iconic designs of Pop Art icons such as Roy Lichtenstein or Alexander Calder.
In 2014, BMW designed a four-item luggage set with Louis Vuitton for its BMW i8. “Made of carbon fibre, just like our ultimate sports car,” said Girst. For many years they were partnering with the Prada Foundation in Milano. Back in 1996, they had teamed up with Karl Lagerfeld to create a BMW 7 Series Individual, and he also created a limited-edition series of their iconic BMW L7 in 2000. “We consider ourselves as luxury brand as well as a cultured brand,” noted Girst. “We are leaders in the field and are attracted to high-end fashion, the way high-end fashion is drawn to us. It’s a match made in heaven!”
BMW has worked with designers like Kith. “Our joint event at Herzog & de Meuron’s 1111 Lincoln Road parking garage in South Beach Miami was hailed by many as Art Basel week’s best event last December,” said Girst. “I came a day later and saw hundreds lining up to get their hands on the merchandise! It made me so proud to witness how we position the brand in a cool and global way resonating with a certain cultural scene and the fashionistas of the world. Co-creation rules!”
Luxury watchmakers have long been entrenched in motorsport, but the stakes are now higher. With TAG Heuer assuming the role of Formula 1’s official timekeeper, the brand is leveraging the sport’s reputation for precision and innovation to showcase its heritage in performance timepieces.
Limited-edition collaborations have been a key aspect of this trend. The TAG Heuer Monaco Gulf Special Edition, inspired by the iconic Porsche 917 race car, was an instant hit among collectors, proving that the intersection of motorsports and horology remains a lucrative space.
Beyond apparel and watches, Moët & Chandon’s involvement in Formula 1 signifies the luxury sector’s move toward immersive, experiential branding. The champagne house has taken over as the official champagne of Formula 1, ensuring that every podium moment is marked with a bottle of its finest bubbly.
“Limited editions or bespoke features that reflect shared craftsmanship and innovation are essential,” said Langer. “Additionally, leveraging digital platforms to amplify the collaboration’s visibility is critical in engaging younger, tech-savvy luxury consumers.”
Girst mentions that he sees Chanel, Dior, and Louis Vuitton getting more into the arts as they already are. Gucci is their partner of Berlin’s Gallery Weekend. “Beyond merch, there is a possibility of collaborating within the broader realm of cultural engagement,” said Girst. Chanel just announced a three-year initiative with their long-term partner, Berlin’s Hamburger Bahnof, German capitol’s museum of contemporary art. “There are many ways in which all three of our brands, MINI, BMW, and Rolls-Royce, see possibilities of teaming up in a way that is great for all involved, most importantly the artists an designers,” he said. “We do not wish to add more bling-bling, we would love to create meaning!”
Why Are Luxury Brands Betting Big on Formula 1?
The global appeal of Formula 1 makes it an unparalleled platform for luxury brands aiming to expand their reach. Unlike other sports, F1 is uniquely positioned at the intersection of technology, design, and high-net-worth lifestyles, making it a natural fit for luxury partnerships.
Formula 1 has successfully attracted younger audiences, with the average age of its viewers dropping to 32 in 2024, down from 38 in 2017, according to a Global Survey commissioned by Motorsport Network in partnership with F1 and Nielsen Sports. The report showed the biggest growth in Asian countries like India and China, in addition to the US and Mexico.
Formula 1 is no longer just a sport; it has become a lifestyle and entertainment phenomenon, thanks in part of Netflix’s Drive to Survive, which added over 73 million new F1 fans globally since its launch.
Luxury Collaborations and Their Impact on Asian Consumers
China’s luxury car market is valued at US$154 billion, and with the region’s luxury consumers being the youngest in general, Gen-Zs are expected to take up a large proportion of the industry’s growth, according to Jing Daily.
Luxury brands are capitalising on this enthusiasm by crafting experiences that cater to Asian consumers. LVMH’s focus on the Australian Grand Prix is a strategic move to attract high-spending Asian tourists, many of whom view F1 as both a sporting event and a luxury lifestyle destination. Additionally, K-pop idols like Lisa from Blackpink and members of BabyMonster have been seen at F1 races, further fuelling regional interest.
Chinese automotive brands collaborate more with fashion designers rather than fashion houses, though, according to Mark Rainford, an automotive content creator for Inside China Auto. A prime example of this is AVATR, one of China’s newest start-up brands in the new every vehicle (NEV) sector – essentially, electrified cars. So far, AVATR has collaborated with two renowned designers on its first two vehicles. The first partnership was with Matthew M. Williams, co-founder of 1017 ALYX 9SM and creative director at Givenchy. The second was with Kim Jones, artistic director of Dior Men’s.
“They have both created custom editions of the AVATR 11 and AVATR 12 models respectively, taking already two of the most distinctive Chinese cars and applying their own bespoke customisations,” Rainford told BurdaLuxury. “This isn’t merely playing with the existing options available but rather using new materials, new colours, and really making something exclusive and premium that is then available in limited numbers.”
The first model, the AVATR 011 – part of their “0” series – was limited to just 500 units, all of which have sold out. The AVATR 012 is expected to have a similar production run, and high-profile figures, including Li Na, China’s first Grand Slam champion, along with jewellery designers, supermodels, and top executives, have already reserved theirs.
“I think what’s been successful about these collaborations is they’ve given this young brand some real cachet and positioned them as THE fashionable brand among the more than 60 brands making cars in China today,” Rainford added. “It’s one thing to make a premium car, a few brands are doing that, but to elevate one above the others in a niche like fashion is a smart way to really mark a brand out as being a premium player.”
In recent years, Chinese consumers have increasingly sought homegrown high-end fashion labels and luxury cars. “As Chinese consumers come to appreciate what their own country can produce, particularly in the younger generation, there’s a trend toward buying local brands, and I think there are some great potential crossovers between the fashion and automotive industries as a way of elevating brand status and capturing that feeling of what makes something ‘luxurious’,” said Rainford.
With China at the forefront of EV innovation, there is significant potential for high-end Chinese EV brands to forge deeper collaborations with fashion designers. “This is really a new area for China’s carmakers,” explained Rainford. “They’ve never been afraid to lean on celebrities for a product endorsement, all brands do that in some shape or form, but this is something deeper, akin I’d say to a brand collaboration with a Louis Vuitton or a Gucci, which nobody has done yet.”
Premium cars were rare in China, but rapid industry growth has changed that. AVATR is pioneering designer collaboration, while NIO redefines luxury with exclusive NIO Houses (aka high-end coffee houses) and airport lounges for owners – setting a trend others are following.
“As such, I can see this being a developing niche for these luxury brands, where they start to intertwine themselves more with fashion labels to mark themselves out,” noted Rainford. “Many now have their own merchandise, custom own-label stuff, so that might also be a direction, whereby they join with design houses to produce branded collaborative merchandise, like Volvo did with Phillip Lim on a sustainable handbag to promote their new vegan leather.”
Global luxury fashion houses collaborating with Chinese car brands is a recent possibility, as luxury Chinese automakers have only just emerged. With brands like BYD’s Yangwang and Huawei’s Maestro pushing upmarket, opportunities will grow – but the landscape remains complex.
That said, Chinese automotive brands are gaining traction globally. BYD, for instance, was named the UK’s fastest-growing car brand, selling over 8,700 vehicles in 2024 – a 658% year-on-year increase, according to Jing Daily.
“There is a difference between how we promote a product in the West versus how it’s done in China, it tends to be more implied than voiced in China, a bit less showy you might say. Overt displays of wealth aren’t appreciated as much by society as a whole, so while the opportunities are there, I’d say it has to be the right fit,” said Rainford.
“With Asia being the largest market for luxury goods, these partnerships resonate deeply due to their ability to combine storytelling with cultural relevance, particularly in markets like China, where collectivist values amplify the appeal of status-driven consumption,” said Langer.
Recent examples include Mercedes-Benz x Moncler. “Their recent collaboration debuted at London Fashion Week, blending Moncler’s iconic puffer aesthetic with Mercedes’ G-Class design, showcasing how automotive and fashion can merge creativity to appeal to affluent, trend-driven Asian consumers,” said Langer. “Porsche’s partnership with the New York-based fashion brand Aimé Leon Dore brought retro-inspired designs to life, resonating with younger Asian luxury consumers who value nostalgia and modernity in equal measure.”
Asian consumer profiles differ by region. “Chinese consumers view these collaborations as status symbols that reinforce social prestige, aligning with their collectivist culture where public perception is highly valued,” said Langer. “In contrast, Japanese consumers often prioritise subtlety and craftsmanship over overt displays of wealth, while South Koreans lean toward trend-driven collaborations that reflect global influence. These nuanced preferences require tailored strategies for each market.”
A collaboration between automotive and fashion brands must go beyond creating hype. “Without a clear value-add – whether emotional, experiential, or practical – collaborations risk being perceived as superficial marketing tactics rather than meaningful inspirations,” said Langer.
BurdaLuxury’s Lens
The synergy between luxury brands and Formula 1 is only accelerating. As the sport continues its expansion into new territories, including upcoming Grand Prix races in Las Vegas, Shanghai, Singapore, and Saudi Arabia, luxury brands will find even more opportunities to engage with a global audience. From haute couture collections to high-tech timepieces, the intersection of formula 1 and luxury is no longer a trend – it’s the future of high-performance branding.
The race for prestige is on, and luxury brands are leading the charge.
