IPL Business Model - Career Builder

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Presentation Transcript

Indian Premier League (IPL) : 

Indian Premier League (IPL) India’s Virtual Casino

The Great Gamblers : 

Players Sponsors Board of Control for Cricket in India Franchises Spectators/ Fans The Great Gamblers

So where is the money coming from….. : 

So where is the money coming from….. $1 Billion for 10 years Sony Media Rights Central Revenues Money raised by Franchises Franchise Bid Money Title Sponsorship of event Licensed Merchandised Mumbai($111.9M) Bangalore($111.5M) Hyderabad($107M) Chennai($91M) Delhi($84M) Mohali($76M) Kolkata($75M) Jaipur($67) Selling advertisement for stadia Licensing products Merchandise sale Advertising on Tickets Gate Money

… and where is it going?? : 

… and where is it going??

While UB Group has a task in hand….. : 

While UB Group has a task in hand….. Vijay Mallya will need toput in more marketing efforts to turn this figure around

… King Khan should make money out of IPL : 

… King Khan should make money out of IPL SRK’ s excitement is quite understandable.

The gambling dashboard : 

7 The gambling dashboard Low High Low High Risk Return Size of Revenues BCCI Franchises Players Viewers Sponsors

While it is a great bonanza for players… : 

While it is a great bonanza for players… Earn at least Rs 80 lakhs ($200000) or more per season on average. Bonuses and Prize Money from Team owners. A great stage to show case skills and compete with the best in the world. Taxing on the already tight schedule of international cricket. Chances of injury lowering the tenure of career. Conflicting commitments for the national boards. Neglecting other forms of cricket The Upside - Returns The Downside - Risks

…the franchises are alternating between grinning and grimacing…. : 

…the franchises are alternating between grinning and grimacing…. Using the cricket property to promote other businesses, To build the brand and enhance its valuation and then sell. Enhance valuation of the franchise and then resell it - allowed after 3 years Prize money if the team wins. Financial Loss if the IPL fails to take off. Breakeven will not be possible before at least 4-5 years. Lose key players to international cricket schedule. The Upside - Returns The Upside - Returns The Downside - Risks

…and the sponsors are walking a tight line as well : 

…and the sponsors are walking a tight line as well Top-of-the-line spot rate charged from advertisers - $16,500 per spot The prime-time exposure, predictability of continued viewer interest is a substantial value package. Spot Rate may go down if IPL is not a blockbuster. Too much reputation at stake tied to the fortunes of the franchise teams as a whole The Upside - Returns The Downside - Risks The Downside - Risks The Upside - Returns

There’s a lot for U, Me and Hum…. : 

There’s a lot for U, Me and Hum…. Unlimited Masti and entertainment…. A free lunch A great arsenal to make the case strong against the Saas – Bahu fans in the family. A very good reason to increase productivity in office – Return home by 8 pm. Chances of family feuds over Channel viewer ship. Capital costs in terms of additional investment in television sets. The Upside - Returns The Upside - Returns The Downside - Risks

… but eventually…. The Oscar goes to … BCCI : 

… but eventually…. The Oscar goes to … BCCI Rake in enormous amount of money. The BCCI has already made close to US$ 1.75 billion solely from the sale of TV rights ($908 million), promotion ($108 million) and franchises (approximately $700 million). The Upside - Returns The Downside - Risks May cannibalize other BCCI efforts to promote other forms of cricket – Domestic and Test Cricket. The Upside - Returns The Downside - Risks

Finally… : 

Finally… CHILL OUT and ENJOY CRICKET BUT Do Not Slap a person from other City!!!!!