IPL 2022: Teams eye 15-20% jump in sponsorship revenue this year
The rate card for a spot on team jersey is ranged at Rs 2-25 crore. A place on the front and back of headgear is worth Rs 5-15 crore
The much-awaited Tata Indian Premier League (IPL) is all set to kick off tomorrow. While the BCCI and official broadcaster Disney Star have already almost sold out their inventories, the franchises too are fast closing deals with advertisers for sponsorships.
According to the sources in the industry, majority of the teams have already signed most of the deals and sold out 100 per cent of their inventory. And going by an estimate by experts, the franchises will see a 15-20 per cent increase in the total sponsorship revenue this year, thanks to the addition of two new teams Gujarat Titans and Lucknow Super Giants.
“We are expecting at least 15-20 per cent jump in sponsorship revenue with two new teams coming in. The advertising spots on TV and Disney+Hotstar are already getting booked by big advertisers. Therefore, a lot of advertisers have to enter the IPL through franchise sponsorships,” said a senior media planner on the condition of anonymity.
Another industry expert stated that several new brands have emerged in in the last two years and they are aggressive in their ad spends on IPL. "There are a lot of new-age advertisers. Furthermore, because there is limited inventory on TV and digital, not everyone can purchase ad spots on IPL. Signing agreements with IPL franchises is also beneficial to brands. That’s why you see that most of IPL team jerseys are emblazoned with various brand logos."
Industry sources share that the rate card for IPL 2022 is ranged at Rs 2-3 crore for the jersey for smaller teams. For bigger teams, it is estimated to be around Rs 15-25 crore (the cost of front and back spots on jersey differs). A spot on the front and back of headgear is ranged between Rs 5 crore and Rs 15 crore.
So high is the craze for IPL among advertisers that even the two new teams have already got a good number of sponsors. Gujarat Titans has signed 15 sponsors: Ather has signed as the principal partner, BKT, Capri Loans, Jio, Astral Pipes, Simpolo, Acko, toothsi, meesho, fancode as associate sponsors, and Dream11, Boat, Amul Kool, Kotak and Radio Mirchi as official partners. The team is expected to earn upwards of Rs 65 crore.
Lucknow Super Giants has signed up with brands like My11Circle, Greenply, Jio, Too Yum, Acko, Darwin Platform Group of Companies, Red Bull, Credenc.com, among others.
Meanwhile, among the old teams, Kings IX Punjab, Mumbai Indians, Rajasthan Royals have already onboarded 15-18 sponsors. If we look at the teams’ FY21 revenue numbers, Chennai Super Kings posted revenue of Rs 254 crore, Delhi Capitals earned Rs 280 crore, Punjab Kings' revenue stood at Rs 234.93 crore and Mumbai Indians registered revenue of Rs 336.25 crore.
One of the team owners shared that they are expecting 50 per cent higher revenue this year. “We are 100 per cent sold out and have secured all the brands that came on-board last year. We are expecting a higher jump in revenue.”
Kings Punjab has signed 17 sponsors, including Ebixcash as title sponsor which will be seen in the front of the jersey. BKT, Lotus Herbal, Jio, Dream11, All Seasons and Boat have been onboarded as principal sponsors. Hindware, Bodycare, Munch, Amul kool, Kotak and My Fitness are the partners. Official kit and merchandise partner is T10 Sports, and Fancode, Arena and The Souled Store are the fan merchandise partners.
Several new-age brands too have partnered with teams. Kolkata Knight Riders has roped in Winzo and Unacademy as its Principal Sponsor this year. Last year it was MPL. The list of official sponsors has Jio, Lux Cozi, TV9 Bharatvarsh, Joy, Finance, Acko and Wrogn. KKR also signed some new official partners this year- Munch, LG, Open, Rollick, Thums Up, Mio Amore and Mc Dowells. It has also continued with Balkrishna Industries Ltd (BKT). Total number of sponsors is 18 this year.
Mumbai Indians has signed 13 sponsors this year. It has continued with DHL as its principal sponsor and roped in Slice as a new sponsor. The team's associate partners are Marriott BonVoy, Jio and Astral Pipes, and official partners are Meesho, Acko, Dairy Milk, Bombay Shaving Company, Mcdowell's, Amul Kool, ESA, Team Viewer, Strata. The team has also continued with its old association with Kingfisher, Usha, Dream11, BKT, Performax, DNA Networks, Radio City 91.1 FM, MY FM and Fever 104 FM.
Coming to the broadcaster, Disney Star has already sold out its inventory, signing 15 broadcast and 13 digital sponsors, and is expected to earn Rs 4500-4800 crore in ad revenue. The BCCI is expected to earn Rs 800 crore from sponsorships and other deals after adding two new central sponsor--Swiggy and Rupay.
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