IPL set to create new records in '21

Mumbai: The ongoing season of IPL might have been caught into the controversy due to the second wave of Covid-19, still it is set to surpass its earlier editions in terms of advertisement revenue.

An estimate says that the ongoing IPL may help the official broadcaster Star Sports and Star Plus to generate revenues to the tune of Rs 4,000 crore. Last year, the IPL broadcaster Star Sports had grossed Rs 3,000 crore.

Talking to Bizz Buzz, Dr Sandeep Goyal, Chairman, Mogae Media, which is into media consultancy, said, "With Star Plus there in the broadcasting job along with Star Sport, the ad revenue is all set to cross the mark of Rs 4,000 crore. The reason is that the broadcaster has increased the ad rates by 25-30 per cent this year."

Interestingly, despite the increase in ad rates, there are 18 sponsors this time, from merely 14 sponsors that were there last year. The simple reason being that there will be more viewers this year due to the presence of Star Plus, he said. Over 40 crore viewers are expected to watch the mega sports event this year. Last year, the viewers were little more in number in the initial phase, but later it had come down which madethe difference.The major difference between this year's IPL and its earlier editions being that this year the sponsors are more in numbers that are active on digital space and some of which may include ed-tech firms, apps and gaming firms.

IPL 2021 branding this year has a host of new sponsors and will see more digital and electronics brands on merchandise. With the resurgence of Covid, many of usual sponsors have stayed away. This has given a chance for new brands to experiment with the IPL, which is a great opportunity for both IPL and these brands.

Now guess, on an individual basis, which player carries the biggest brand value in the ongoing IPL You have guessed it right. Virat Kohli, without doubt has the highest valuation as an IPL player brand."Virat has had a great career, and his good performance of the field, despite his poor captaincy could be the primary reason for this," says N Chandramouli, CEO, TRA Research, consumer insights and brand Analytics Company, and the publishers of TRA's Brand Trust Report says. D&P in a recent study observed that IPL had lost 3.6 per cent of its value and 8 other teams also saw value erosion. This is directly related to lesser revenues that both IPL and the teams have been able to accrue. Loss of ticketing revenues and more importantly the uncertainty around IPL compounded by Covid is largely responsible for this value loss.

Valuations are dynamic and depend largely on performance and revenues, and when these improve, so will the brand value of teams recover."However, you can expect one more low-key year for IPL before recoveries happen," said Chandramouli. Some players got Covid, but some also recovered to come back and join IPL, and this is constantly changing status."We only hope that any player (or for that matter, any person) who gets Covid, recovers safely," he said. Vivo, the title sponsor of the cricket extravaganza, was the late entrant this year. Vivo re-entered as the IPL title sponsor, but its smartphone devices landed in trouble with some airlines banning them, after a Vivo consignment caught fire in an airport.

The crisis happened right in the middle of last IPL. Sponsors have been unlucky as the last year's India-China skirmish also put them in the docks for no fault of theirs, Chandramouli says. Brands say they are paying anything between 30 per cent and 40 per cent more to advertise during Indian Premier League (IPL) matches now compared to the 2019 season of the cricketing extravaganza. However, Chandramouli disagrees. Rather, he says, "It is unlikely that IPL 2021 is seeing any premium in advertising and I am sure slots are going at a discount due to the current pandemic related challenges. When a buyer and seller sit on the table, currently the advertising slot buyer holds the shots."