IPL 2018: Will Kings XI Punjab be able to build up its brand value?
Will the fortunes of Kings XI Punjab change this upcoming season with coach Brad Hodge (former Australian batsman) and team director Virender Sehwag (former Indian batsman) taking charge this time?
The mega-auction of the Indian Premier League's 11th edition is scheduled to be hosted in Bengaluru on January 27 and 28. Building up on the same, this is the fourth part of an IPL series around discussing brand associations and the value of each team.
Kings XI Punjab -- co-owned by the Dabur Group’s Mohit Burman, actress Preity Zinta, GoAir promoter Ness Wadia and APJ Surrendra Group’s Karan Paul —never managed to make its way to IPL championship in all the ten seasons. The closest they have reached is the finals where they lost to Shah Rukh Khan-owned franchise Kolkata Knight Riders in 2014. It turns out that was the first year they declared profit amounting to Rs 78.01 lakh for the financial year 2012-13, as per financial documents including profit and loss account of the company filed with Registrars of Companies (RoC). It needs to be mentioned that the team with the most number of sponsors till date, has been represented by nine different captains.
Interestingly enough Kings XI Punjab again saw its profit grow 100 per cent to Rs 6.6 crore in FY17 according to media reports. However, the Mohali-based franchise’s revenue remained flat at Rs 106.9 crore. The reduction in total expenditure by 3.8 per cent to Rs 100.3 crore is one of the reasons behind increase in profits. According to some analysts, 15-17 per cent of Kings XI Punjab's revenues come from merchandising.
The franchise, which ranked sixth, was valued at USD 41 million in 2017, a 32 per cent spike from 2016 where it was valued USD 31 million according to American Appraisal India and Duff & Phelps. “KXIP has had its fair share of issues both on and off the field due to various controversies, poor on-field performance, lack of marquee players in the team and the general inability of the franchisee to fill the home ground (Mohali),” explains Santosh N, Duff & Phelps Managing Director Duff & Phelps. According to the same firm it was ranked fifth on social media with eight million likes on Facebook and 1.59 million followers on Twitter.
2016 was a dull year for them from the perspective of the brand as it nearly lost 24 per cent from their 2015 brand value of $41 million, largely due to poor on-field performances coupled with lack of home and away crowd support and absence of marquee Indian players in their line-up. The poor performance compelled them to restructure player salaries, cut down on support staff and large-scale branding activities.
Kings XI Punjab aims to make it big this season as they look up to coach Brad Hodge (former Australian batsman) and team director Virender Sehwag (former Indian batsman) to take control this time.
Jagdeep Kapoor, MD, Samsika Marketing Consultants “This franchise is undervalued. They have had good players but it all depends on performance. From brand perspective, it's somewhere in between.”
When it comes to sponsorship for the tenth edition they had a total of 21 sponsors. Telecommunications firm Idea and Johnson Tiles shared the title of principal sponsor, while Hero Cycles was the title sponsor. Meanwhile KEI, Arabol Lubricants, ItzCash, Hike Messenger and Lotus Herbals were the team’s official partners. TYKA was the team's kit provider, and Sport & Beyond, T10 Sports and The Souled Store were all official merchandise partners as mentioned on the site
Astral Pipes, CP Plus, CashUrDrive, Big FM, Rajasthan Patrika and Punjab Kesari had all signed on with the Mohali-based team for the 2017 edition of the IPL.For more updates, be socially connected with us on
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