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Presented by :- Amar Chand
I-Indian
P-Premier
L-League
 Introduction
 The Bidding Process
 Official sponsors for IPL
 Revenue Model
 Impact of IPL on other media
 Gambling in IPL
Contents
Teams
TEAM OWNER CAPTAIN SPONSOR AUCTIONED
AMOUNT
Royals
Challenger
Bangalore
Kingfisher
(Vijay Mallya)
Virat kohli Reebok,
Huawei
Talecom
$ 111.6
Million
Mumbai
Indians
Reliance
Industries
Ltd.
(Mukesh
Ambani)
Rohit Sharma Idea Cellular,
Pepsi
$ 111.9
Million
Kolkata
Knight Riders
Shahrukh Khan
, Juhi Chawla ,
& jay Mehta
Gautam Gambhir Nokia,
9x
$75.9
Million
Kings XI
Punjab
Preity Zinta,
Ness Wadia,
Surendra
(Dabour Group)
George Bailey Spice
Telecom,
Coca cola
$ 76
Million
TEAM OWNER CAPTAIN SPONSOR AUCTIONED
AMOUNT
Delhi
Daredevils
GMR
Infrastructure
Kevin Pietersen Hero honda ,
Kingfisher
Airlines, Adidas
$ 84
Million
Deccan
Chargers
Deccan
Chronicle
(Venkattram
Reddy)
Kumar
Sangakkara
Deccan
Chronicle,Pepsi,K
ingfisher Airlines
$ 107
Million
Rajasthan
Royals
Shilpa
Shetty, Raj
Kundra
Shane
Watson
Kingfisher, Puma,
Ultratech
Cement
$ 67
Million
Chennai
Super kings
India cements
Ltd.
M S Dhoni India Cement,
Aircel, peter
England
$ 91
Million
Bid amount need to
be specified
Auction of
player
4 player under 21
from catchment
area
Each squad min. 16
player max.9
international
Franchisees need
to be specified
Bid for more than
1 city
Potential
franchisees submit
bids
Announcement of
Tender inviting
bids
IPL
SPONSORS
FRANCHISEESBROADCASTERS
Advertisers ~Sponsors
~Gate money
~Advertising
Media
Rights
~Bids
~Franchisee
Rights
~Title
~Licensing
Share from:
~Central Revenue
~Media Rights
REVENUE MODEL
The BCCI created history when it sold television rights of
this yet untested format to sony-worlds sports
consortium for US$1.02 bn
US$ 608mn
(Broadcasting rights
next 5 yrs )
(-) US$ 108mn (promotion expenses)
US$ 1.02bn
US$ 316mn
(Broadcasting rights
first 5 yrs)
Broadcaster’s Revenue
 Advertising revenues for Broadcaster have seen a
steady increase since inception of IPL
IPL 2008- 3 Lakh for every 10 secs
IPL 2010- 5 Lakh for every 10 secs
IPL 2014- 8 Lakh for every 10 secs
Government Revenue
 IPL Season 1 : 91 cr
 IPL Season 3: 200 cr
 IPL Season 7: 385 cr
Direct Tax : Rs 1oo cr
Tax deducted at source (TDS) from the
remuneration paid to players,umpires,
coches and commentators.
Service Tax : Rs 100 cr
Advertising and marketing
Services.
Franchisee Revenue
 Media Rights- To be shared equally amongst franchisees
after removing IPL’s share.
 Sponsorship Rights (IPL sponsors)- 54% of the amount
collected to be distributed equally amongst the
franchisees.
 Local Sponsorships- Team sponsorship revenues.
 Gate Receipts- Are anticipated to be a major source of
revenues. 20% of tickets are to be allocated to IPL.
All sponsorship revenues fall
under the Central Pool
100%
40% IPL
6% Prize
Money
54%
Franchisee
 IPL will cause a dent in the rating and revenues of
other general entertainment channels (GECs).
 There is a decline in the TRPs of top general
entertainment shows during the IPL seasons.
 There is a decline in the number of movie releases
due to IPL.
 IPL favour has a negative effect on the revenues of
movies at the box office.
Impact of IPL on other Media
 The Law says “NO”
 There are bets for every match.
 How to bet?
Betting usually begins few hours before the match.
Online betting possible on sites like betfair.com
 What are Odds?
Odds indicate the $’s that you will win in return for each $
you bet if your prediction comes true.
 What are Payouts?
Payout is the final amount of $ which you’ll earn if you win
the bet .
 Total IPL betting – 6000 cr.
Gambling in IPL
Any questions?

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The business side of ipl

  • 1. Presented by :- Amar Chand I-Indian P-Premier L-League
  • 2.  Introduction  The Bidding Process  Official sponsors for IPL  Revenue Model  Impact of IPL on other media  Gambling in IPL Contents
  • 4. TEAM OWNER CAPTAIN SPONSOR AUCTIONED AMOUNT Royals Challenger Bangalore Kingfisher (Vijay Mallya) Virat kohli Reebok, Huawei Talecom $ 111.6 Million Mumbai Indians Reliance Industries Ltd. (Mukesh Ambani) Rohit Sharma Idea Cellular, Pepsi $ 111.9 Million Kolkata Knight Riders Shahrukh Khan , Juhi Chawla , & jay Mehta Gautam Gambhir Nokia, 9x $75.9 Million Kings XI Punjab Preity Zinta, Ness Wadia, Surendra (Dabour Group) George Bailey Spice Telecom, Coca cola $ 76 Million
  • 5. TEAM OWNER CAPTAIN SPONSOR AUCTIONED AMOUNT Delhi Daredevils GMR Infrastructure Kevin Pietersen Hero honda , Kingfisher Airlines, Adidas $ 84 Million Deccan Chargers Deccan Chronicle (Venkattram Reddy) Kumar Sangakkara Deccan Chronicle,Pepsi,K ingfisher Airlines $ 107 Million Rajasthan Royals Shilpa Shetty, Raj Kundra Shane Watson Kingfisher, Puma, Ultratech Cement $ 67 Million Chennai Super kings India cements Ltd. M S Dhoni India Cement, Aircel, peter England $ 91 Million
  • 6. Bid amount need to be specified Auction of player 4 player under 21 from catchment area Each squad min. 16 player max.9 international Franchisees need to be specified Bid for more than 1 city Potential franchisees submit bids Announcement of Tender inviting bids
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  • 9. The BCCI created history when it sold television rights of this yet untested format to sony-worlds sports consortium for US$1.02 bn US$ 608mn (Broadcasting rights next 5 yrs ) (-) US$ 108mn (promotion expenses) US$ 1.02bn US$ 316mn (Broadcasting rights first 5 yrs)
  • 10. Broadcaster’s Revenue  Advertising revenues for Broadcaster have seen a steady increase since inception of IPL IPL 2008- 3 Lakh for every 10 secs IPL 2010- 5 Lakh for every 10 secs IPL 2014- 8 Lakh for every 10 secs
  • 11. Government Revenue  IPL Season 1 : 91 cr  IPL Season 3: 200 cr  IPL Season 7: 385 cr Direct Tax : Rs 1oo cr Tax deducted at source (TDS) from the remuneration paid to players,umpires, coches and commentators. Service Tax : Rs 100 cr Advertising and marketing Services.
  • 12. Franchisee Revenue  Media Rights- To be shared equally amongst franchisees after removing IPL’s share.  Sponsorship Rights (IPL sponsors)- 54% of the amount collected to be distributed equally amongst the franchisees.  Local Sponsorships- Team sponsorship revenues.  Gate Receipts- Are anticipated to be a major source of revenues. 20% of tickets are to be allocated to IPL.
  • 13. All sponsorship revenues fall under the Central Pool 100% 40% IPL 6% Prize Money 54% Franchisee
  • 14.  IPL will cause a dent in the rating and revenues of other general entertainment channels (GECs).  There is a decline in the TRPs of top general entertainment shows during the IPL seasons.  There is a decline in the number of movie releases due to IPL.  IPL favour has a negative effect on the revenues of movies at the box office. Impact of IPL on other Media
  • 15.  The Law says “NO”  There are bets for every match.  How to bet? Betting usually begins few hours before the match. Online betting possible on sites like betfair.com  What are Odds? Odds indicate the $’s that you will win in return for each $ you bet if your prediction comes true.  What are Payouts? Payout is the final amount of $ which you’ll earn if you win the bet .  Total IPL betting – 6000 cr. Gambling in IPL