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IPL-2015 Brands acquire 65-70% of IPL ad inventory

Brands acquire 65-70% of IPL ad inventory

Author | Collin Furtado | Thursday, Mar 12,2015 8:24 AM

Brands acquire 65-70% of IPL ad inventory

The Indian Premier League (IPL) which begins on April 8 is expected to be a big attraction for brands. With less than a month remaining for the tournament to start, Multi Screen Media (MSM), the broadcasting partner for the tournament, has almost filled up its advertising inventory. It has currently signed on nine sponsors for IPL season 8. This includes Amazon and Vodafone as the presenting sponsors and associate sponsors include Hero MotoCorp, Vimal Pan Masala, Intex Mobiles,, Pepsi, Paytm and another brand which is undisclosed. 

This is a development that has taken place despite the ongoing ICC World Cup 2015 and at a time where brands showing ample interest in the World Cup (Indian team's performance to pump in more ad spends on World Cup)?. Rohit Gupta, President, MSM said that they may even have 11 sponsors on board this year. This however depends on the inventory he said. They are currently in discussions with brands such as Havells, Samsung, Cadbury, Maruti and with other brands they had earlier tied up with. “These are clients which we are still in discussion with. We have also had some big spot buy deals with and which are on similar sponsorship levels too. They have brought 100-120 seconds (ad spots per match) each. Now we have already have closed around 65-70% of the inventory,” said Gupta.

During the previous edition of the IPL, MSM had managed to get eight sponsors on board (IPL 7: Set Max ties up with eight sponsors). This included Vodafone and Karbonn Mobile as presenting sponsors, while the associate sponsors were Havells, Prefetti, Amazon, Cadbury, TVS and Marico. 

Similarly, the ad inventory on ‘Extra Innings’ has also been sold out said Gupta. Brands such as Emami, Britannia, TVS, Amul, Denver Deodorant and have brought spots on the property. The live properties such as the 4’s and 6’s have also been sold out. “30-35% of the inventory is still available,” said Gupta. He further added, “We will increase ad rates once we are 80-85% sold out.”     

Ad rates for the IPL 8 have increased by around 10-15% taking it to the range of Rs.5-5.75 lakh per 10 second spot in 2015 (Will the IPL 8 ad rates see an increase of 10-15%?). Media reports have said IPL 8 is expected to generate revenues of around Rs.950-1,000 crore. Last year MSM is estimated to have generated revenues of around Rs.800 crore through IPL. The associate sponsorship rates for IPL 7 was in the range of Rs.25 crore to Rs.35 crore for 100-120 seconds of ad spots per match. This could be definitely much higher this year considering the hike in rates and could be expected in the range of Rs.27.5 crore to Rs.40 crore. While Vodafone and Karbonn which were the presenting sponsors during the last edition were said to have invested Rs.55 crore and Rs.45 crore, respectively (IPL 7: Set Max ties up with eight sponsors).

We can expect more ecommerce brands to continue spending on the IPL this year after joining in last year (IPL 7: E-commerce companies bet big on sponsorships). Gupta said e-commerce as a category started off their spends on big ticket properties with the IPL and sees that continuing. “That was the first time they started taking big properties and this year also that is continuing. So it is good to see Amazon which was the associate sponsor last year have upped it to presenting sponsor now. So from 120 seconds last year they are now taking 210 seconds. Snapdeal too has taken a big position of spot buys,” said Gupta. 

With limited inventory left marketers may have to jostle for the few spots to be on board for the IPL.

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