DLF IPL 2008

Campaign of DLF IPL started in 2008

1. And Then What Started Was A……… REVOLUTION

2. Businessman Cricket Administrator Visionary LALIT KUMAR MODI

3. With IPL We Aim To Nurture And Build Local Talent

4. A WIN WIN SITUATION FOR ALL Opportunity to display their skills Engagement of people with no cricket background

5. Strengths Fast- paced and exciting. Appealed as a Mass Sport & Spectator Sport Economists maximized revenue. The more unified the sport, the more successful it is. Broadcast timing. Weakness T20 could damage the game that generated it. Stakes were too high. Over priced vs reasonably priced advertising/ sponsorship

6. Opportunities Large potential mass audience. Using franchise for larger fan-base and TV revenues. Fixed franchise fees till 2017-18. Corporate hospitality, season tickets and TV pay-per-view Merchandising Youth as a long-term fan-base Threats Free Agency Expected Return on Investment Franchises are expensive. Revenue should be a long-term planning.

7. IPL MARKETING STRATEGY Auctioning Broadcasting Rights Title Sponsorship Corporate Sponsorship Auctioning Franchisees Rights Official Umpire’s Sponsorships Tickets Sale (20% allocated to IPL) Auctioning Players Team Owners selling tickets personally Cheerleaders Closing and Opening Ceremony

8. But….. Was the Indian Premier League only about Cricket… Let’s check it out…

9. Not just Cricket…

10. Not just Entertainment…

11. CRICKETAINMENT

12. TARGET MARKET Youngistan Cricket lovers Bollywood lovers

13. IPL INCOME DISTRIBUTION Share of broadcasting money with franchisees. Share of sponsorship money with franchisees. Share of ticket money with franchisees. Inauguration expenses. Prize money distribution

14. IPL EXPENSES FRANCHISEE FEE : Different amount ranging from US$67 million to US$112 million payable over a period of 10 years. PLAYER ACQUISITION COST : Determined from the auction; franchisee obliged to pay the players even if they’re not playing. STADIUM HIRE CHARGES : Franchisee pay the local association for the use of stadium. MARKETING COSTS : Each franchisee is expected to incur a marketing cost of US$3-4 million for team promotion Other expenses like administration and event management.

15. Paid media

16. Owned media

17. Earned media

18. REVENUE TELEVISION RIGHTS : Out of the proceeds from global broadcast rights, 20% went to IPL, 8% was given as prize money and 72% was distributed to the franchisees. SPONSORSHIP RIGHTS : IPL predicted to bring BCCI approx. US$1.6 billion. 40% went to IPL itself, 54% to franchises and 6% as prize money. LOCAL SPONSORSHIPS : Team sponsorship revenues GATE RECEIPTS : Major source of revenue. 20% of tickets allotted to IPL. MEDIA : UFO Moviez had theatre rights. Live telecast on YouTube.

19. BROADCASTS AND SPONSORSHIPS Official Sponsors: Paid US$ 50 millions for 5 years Television Rights: Sold for 10 years at INR 8700 crores (US$1.94 billion) Sponsorship deal worth US$22.5 million Sponsorship deal for 2 years at US$12.5 million Sponsorship deal for at US$26.5 million

20. TV Advertisers (INR 7bn) Central Sponsors (INR 1.7bn) BCCI (Organizer) Sony – WSG (Broadcaster) Team Owner/ Franchises Ticket sales (Rs1bn) Team Sponsors (Rs1.3bn) Merchandise (Rs300m) Program tie-ups/Events In-stadia ads (Rs400m) Prize money (Rs270m) Umpire salaries (Rs60mn) Share of Broadcasting fee IPL Sponsorship (Rs6.2bn) Broadcasting fees (Rs6.7bn) Prize money (Rs270mn) Production Cost Franchises Fee (Rs3.3bn) Player Salaries (Rs2.1bn) Stadium Leasing (Rs280mn) Team Advertising (Rs570m) Admin Costs (Rs720m) REVENUE – EXPENSE MODEL

21. IPL BUZZ ACROSS THE GLOBE

22. Viewership in 2008 102,500,000

23. 8 Teams 59 Matches 44 Days

24. `202 Total players

25. `$723.9 mn Auction

26. `INR 3,00,000 For every 10 seconds ad

27. ` INR 350 crores Expected BCCI profit

28. ` 28.8% Post IPL Set Max market share

29. ` 28 Brands advertised on TV

30. `INR 650 crores Sony’s advertising revenue during IPL

31. `INR 10 crores Champions’ prize money

32. `TRP 8.21 I naugural match

33. `INR 645 crores Government body declares gross income

34. `INR 51 crores Profit