At 100 km/h between the Statue of Liberty and Manhattan: The Sail GP aims to profitably market sailing with spectacle

The Statue of Liberty on Liberty Island off New York has seen thousands of ships come and go. Since 1886, it has stood there, almost 100 meters tall, overlooking the Upper Bay, the gateway to the city of millions. There used to be an immigration station here; the statue was the first thing immigrants saw of the USA, the land of opportunity.

The steamers crammed with immigrants are gone. Instead of passenger ships, six catamarans now moor in front of the statue. They look futuristic, with carbon fiber hulls and sails more reminiscent of airplane wings. They still lie quietly in the water, flanked by two inflatable boats carrying technical personnel and trainers.

But suddenly the sailing ships pick up speed, getting faster and faster, rising out of the water, flying on foils, reaching speeds of up to 100 km/h. Behind the yachts, the Manhattan skyline rises hundreds of meters into the sky.

Three jet skiers now approach the racing machines. This is both illegal and dangerous. The New York Police Department's water patrol immediately intervenes, using flashing lights to chase the jet skiers away from the restricted area. Now the Sail GP racing yachts have a clear path.

The Sail GP is a racing series that has been held since 2018. This season, eleven Grands Prix will be held around the world. There will be races in Auckland and Sydney, San Francisco, New York and Los Angeles, Portsmouth, Geneva, Sassnitz, and Abu Dhabi. Twelve teams will compete, each representing a country. A Swiss team has participated for three years.

The race weekend in New York represents much of what the organizers of Sail GP want to achieve. All regattas have one thing in common: they are sailed as close to the coast as possible. And not just anywhere, but near major cities. The scenery should be as spectacular as possible: a course between the Statue of Liberty and Manhattan, for example, or, as in San Francisco, a race between Fisherman's Wharf, the prison island of Alcatraz, and the Golden Gate Bridge.

The race weekends are similar in program to those in Formula 1. Practice sessions take place on Friday, and three fleet races each on Saturday and Sunday, with twelve high-speed boats competing on a single course. The two teams that earn the most points in this format qualify for the final. The winner of the Grand Prix is ​​crowned in a match race.

The audience is supposed to closely follow the sometimes daring maneuvers; sometimes the yachts narrowly avoid collisions at high speeds. The courses are deliberately narrow, with the aim of creating duels, tense situations, and spectacle. In New York, the racing machines sometimes race across the water just a few meters from the audience's eyes.

The organizers' goal: to make money from sailing. A lot of money – if you listen to them. However, the market for sports rights is competitive, with fierce competition from other sports for the audience's attention. And sailing has operated in this market in the past without notable success.

Legendary offshore regattas like the Vendée Globe are fascinating, but they are completely unsuitable for the lucrative TV market. The skippers set sail, spend months away, and then return. And the America's Cup takes place too infrequently to consistently excite viewers. In recent times, legal disputes over the rules have either confused or angered audiences. The Sail GP aims to fill this gap – with spectacle, glamour, and unique insights on board. Can this work?

The Sail GP was conceived by billionaire Larry Ellison and sailing legend Russell Coutts , two veterans of the America's Cup. Ellison won the Cup twice with his team Oracle; Coutts won the trophy five times, including twice with the Swiss syndicate Alinghi . Coutts naturally believes in the success of the new series, saying it's not just about sailing fast, but about reinventing the sport.

Just a few years ago, a Sail GP team could be purchased for $5 to $10 million, says Coutts. Today, prices are already being offered at $35 million and more. "I wouldn't sell a team for less than $50 million," says Coutts. In Sail GP, those involved are dealing with large numbers.

The CEO of the Swiss team, Boet Brinkgreve, sounds similar. The team is owned by various investors, but Brinkgreve doesn't reveal the exact names. What is known is that Swiss entrepreneur Alex Schneiter holds shares. His son Sébastien is the Swiss helmsman, the most important man in the boat.

Brinkgreve admits that the Sail GP is still a loss-making business. His team operates with an annual budget of around 10 million Swiss francs, and sponsors and investors make up the deficit at the end of the season. However, terms like venture capital and risk capital are repeatedly mentioned in the conversation, and Brinkgreve draws parallels to Formula 1.

"There are only a few people in the world who can handle a racing yacht like this," says CEO Brinkgreve. Coordination and communication within the crew are particularly challenging. Someone operates the helm, someone the foils, someone the sail. Brinkgreve says: "It's like three different people operating the rudder, brakes, and accelerator in Formula 1."

The Sail GP therefore strives to recruit the world's best sailors. Its teams include numerous Olympic and America's Cup winners. They do not have a women's league, but instead, most teams also include women. Inclusion – a buzzword that sells well.

Brinkgreve has participated in two Olympic Games as a sailor, has been an entrepreneur, and worked in the luxury industry, including in China. He recently took over as head of the Swiss team. He says: "I'm supposed to use my contacts with investors." His team is in advanced negotiations with a well-known Swiss investor. However, it is not Alinghi founder Ernesto Bertarelli, as rumors suggested .

When it comes to revenue, the Sail GP isn't just relying on investors and sponsors, but is relying on Formula 1's recipe for success. The teams pay a license fee, and the host cities pay substantial amounts to ensure the series stays with them. Unsurprisingly, the Sail GP wants to continue growing – more teams, more Grands Prix in more cities, more money.

The parallels in the marketing of the two sports are striking. This applies to the glamour: Football star Kylian Mbappé owns shares in the French team, while actress Anne Hathaway owns shares in the Italian team. And in New York, it was announced that Hathaway's professional colleagues Ryan Reynolds and Hugh Jackman had bought the Australian team.

Swiss team boss Brinkgreve says there is no TV money flowing in at the moment. However, he is confident this will be the case soon. After all, the ratings in certain markets are higher than those of Formula 1. "Once a TV contract is in place, the teams should be able to operate profitably," says Brinkgreve. As in other sports leagues, the teams will participate financially in the success of the racing series.

It's raining in New York on the first day of racing. A few hundred spectators are lined up in the spectator stands on Governors Island. The Sail GP isn't quite a crowd-puller yet. In the adjacent VIP lounge, New York's society crowd is enjoying exquisite champagne and exquisite snacks. An executive from the ride-hailing service Uber is on hand, as are several investors who are willing to take a risk. Will they soon be rubbing their hands together?

This report was supported by the Swiss Sail GP team, at whose invitation the NZZ was in New York.