Hundreds of millions are circulated in just a day or two, and big brands are paying a lot of money (kind of like Super Bowl commercials) to be featured in the main event. But why?

Well, as you probably already know, the Kentucky Derby and many other high-level races are more than just horse racing events. Throughout history, they’ve built that prestigious image that brands really like.

This is the perfect opportunity for brands for their brand awareness campaigns. In other words, brands are trying to attach themselves to the history, prestige, fashion, and culture of big events like the Kentucky Derby.

The Power of the Derby

If you are new to horse racing, you first need to understand the power of big events like the Kentucky Derby. Last year in May, the 151st running of the Kentucky Derby drew close to 150,000 fans at Churchill Downs, and close to 18 million watched the race live. This is one of the highest viewership data since the 1980s.

Then we have betting as an economic engine. People wagered close to $350 million only for a single 2-minute event, and that’s even crazier. Betting fuels events like the Kentucky Derby. Everyone places a bet, even people who don’t frequently follow the sport.

All you have to do is just search for the top entries or contenders with the highest winning chance and place a bet. You can check the top entries for this year's Kentucky Derby on the link below:

The point is that the Kentucky Derby is very influential and can reach a lot of people. Plus, it is built around prestige and history, and brands love that.

What Brands Get When They Sponsor a Race

People often think that sponsorships are only about placing a logo somewhere. But in horse racing, especially on Derby Day, this has a far greater impact.

1. Prolonged Visibility Across Platforms

When a brand sponsors the Kentucky Derby (titled like “The Kentucky Derby presented by…”), their name gets woven into every broadcast mention, every press release, and every race replay.

For example, years before the 2025 Derby, Woodford Reserve was attached to the Derby’s official name. That brand appeared each time the race was referenced anywhere in the world.

Being mentioned with prestigious multi-million-dollar races like the Kentucky Derby adds value to your brand.

2. Association with Prestige and Tradition

Now, let’s talk about one thing that’s not really measurable in numbers. We are talking about brand awareness, or how people see your brand. Horse racing has always been a classy sport draped in prestige and history. That’s why luxury watchmakers, premium spirits, and high-end automotive brands are usually the ones that sponsor such events.

Is this a coincidence? Not really. These brands like to paint a picture about themselves as prestigious, limited, or luxurious. That’s why sponsoring an elite horse race makes sense.

This makes brands feel more special, and they become more desirable, which translates to higher revenue. Simple as that.

3. On-Ground Experiences that Go Beyond Logos

When you sponsor a horse racing event, it's not only about the logo placed around the track. It’s also about VIP hospitality, corporate tents, and guest access that allow the brand to host clients and partners in person.

So, if the Kentucky Derby has a VIP room sponsored by Rolex, and the room is filled with wealthy individuals, what do you think they’d want when they choose a watch? Since horse racing is a sport with many wealthy fans, this is the perfect opportunity for brands to get access to the sport’s most valuable asset - their audience.

Why Derby Day Sponsorship Is Worth the Cost

You might reasonably ask, “Okay, but how do sponsors justify spending millions for a couple of minutes of racing?” The answer is in brand economics, not just exposure statistics:

1. Brand Salience and Recall

When viewers watch the Derby, they remember the event and often remember the brands that supported it. The positive emotions around excitement, fashion, celebration, and even gambling get unconsciously linked to sponsor names.

2. Credibility and Trust Transfer

We also have to mention that big events like Derby Day confer credibility on their sponsor. What does this mean? Well, it means that the credibility of the sponsor significantly influences how consumers view both the event and the brand.

So, it is a two-way partnership, where both can see benefits. That’s why you never see brands like “Cheetos” sponsoring expensive races.

3. Cost Efficiency Compared to Traditional Advertising

Unlike TV commercials, which are still expensive and run once or twice a day, a Derby sponsor’s name is heard, seen, and referenced all in the right places and in front of the right eyes. Basically, sponsoring a horse racing event might sound expensive, but to these brands, it is much more cost-effective than other options.

To sum it all up, brands see value in being part of the narrative. They like being attached to the story of events with a long history, and their main goal is to build a luxury image that will appear in front of their most important audience.