Reliance leverages brain-mapping for smarter IPL Ad sales to small businesses

Reliance is taking an innovative approach to monetizing the Indian Premier League (IPL) by using brain-mapping studies to enhance the effectiveness of its advertising, targeting small businesses. The move comes after Mukesh Ambani’s conglomerate merged with Walt Disney in an $8.5 billion deal, with the goal of increasing IPL’s ad revenue.

The $10 billion acquisition of IPL’s broadcasting rights has created financial pressure, making ad sales vital for Reliance and Disney’s merged entity. With competitors like Netflix and Amazon vying for dominance in India’s $28 billion streaming market, Reliance is positioning itself to win over small businesses. The company is offering entry-level IPL streaming ad packages starting at $17,000, making the high-profile platform more accessible to smaller advertisers.

Reliance’s research suggests that ads on IPL generate significantly higher engagement compared to rival platforms such as YouTube and Instagram. Brain-mapping studies conducted by the company found that IPL ads resulted in up to four times greater memorability and viewer engagement than ads on other digital platforms. To showcase these results, Reliance hosted closed-door seminars across seven cities, where media professionals and small business owners were introduced to the potential of IPL advertising.

As Reliance shifts from offering free IPL streaming on JioHotstar to a paid subscription model, ad revenue becomes increasingly important. The company’s new monetization strategy includes affordable ad packages for small businesses, positioning IPL as a cost-effective alternative to traditional TV ads. Additionally, Reliance is exploring new ad opportunities, such as mobile scorecard ads, and deploying AI-driven ad targeting to create hyper-targeted campaigns based on user data, which sets it apart from more traditional ad methods.

However, Reliance faces several challenges. The Competition Commission of India (CCI) has imposed pricing restrictions, preventing the company from increasing IPL ad rates “unreasonably” following its merger with Disney. Furthermore, the high cost of IPL’s broadcasting rights is putting pressure on the bottom line, with Disney India reporting a loss of $1.42 billion last year due to these expenses. Compounding the issue is tough competition from digital platforms like YouTube and Instagram, which offer lower ad rates, with YouTube’s entry-level ads priced at just $115 (Rs 10,000).

While Reliance is pushing for a 25% increase in IPL ad rates this year, its ability to turn high engagement into long-term profits will be key to its success in the competitive digital advertising market.