22-09-2012, 11:37 AM
A REPORT ON IPL & MARKETING
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About IPL
How it all started
In late June 2007, two men met in an English house, not far from the rain-drenched Wimbledon Championships, to discuss a very different sporting event. Lalit Modi, Vice-President of the Board of Cricket Control for India brainstormed with Andrew Wildblood of the International Management Group (IMG), the sports management giants. In April 2008, the maiden IPL tournament that Mr. Modi had conceived and developed, was underway.
February 2008 saw the frantic player auction that created a media frenzy. Among the bidders were some of India's richest and most powerful names, from industrialists to film stars, adding to the event's lustre. As the sums on offer began to emerge – $1.5m for Mahendra Singh Dhoni, $1.35m for Andrew Symonds, $950,000 for the inexperienced Ishant Sharma – cricket raised its eyebrows, held its breath and braced itself for a new era.
The opening ceremony was like nothing the sport had seen before and would not have been out of place as a curtain raiser for the Olympic Games. And much to everyone's satisfaction, the cricket lived up to all expectations. The world witnessed the first ever Twenty20 competition played on a scale comparable to the biggest events in sporting history.
The public's imagination was captured even before Warne's Rajashtan Royals embarked on their competition-defining run. Helped by the presence at matches – and, invariably on the next morning's front pages – of Bollywood stars such as Shah Rukh Khan, owner of the Kolkata franchise, and Preity Zinta, co-owner of the Kings XI Punjab, the early matches of the IPL attracted a huge television audience.
IPL History
Cricket and its association with the Indian emotions is writ large on the faces of the common mass. People religiously worship cricket and this trend has been going on for years now. It is definitely more than just a game, where the cricketers are regarded as demigods and factually worshipped by the common man. The newest form of cricket, the Twenty20 format has of late created history in the arena of sports. After this new cricket format was introduced, people have gained more interest and thus the popularity graph is only going up
The IPL (Indian Premier League) history, rather origin is quite exciting. The concept of IPL was initialized when Lalit Modi, the Vice President of the Board of Cricket Control in India (BCCI) put forth his vision for the Indian Premier League.
Television rights and sponsorships
The IPL is predicted to bring the BCCI income of approximately US$1.6 billion, over a period of five to ten years. All of these revenues are directed to a central pool, 40% of which will go to IPL itself, 54% to franchisees and 6% as prize money. The money will be distributed in these proportions until 2017, after which the share of IPL will be 50%, franchisees 45% and prize money 5%. The IPL signed up Kingfisher Airlines as the official umpire partner for the series in a 106 crore (US$23.53 million) (approximately £15 million) deal. This deal sees the Kingfisher Airlines brand on all umpires' uniforms and also on the giant screens during third umpire decisions.
Television rights
On 15 January 2008 it was announced that a consortium consisting of India's Sony Entertainment Television network and Singapore-based World Sport Group secured the global broadcasting rights of the Indian Premier League.The record deal has a duration of ten years at a cost of US $1.026 billion. As part of the deal, the consortium will pay the BCCI US $918 million for the television broadcast rights and US $108 million for the promotion of the tournament. This deal was challenged in the Bombay High Court by IPL, and got the ruling on its side. After losing the battle in court, Sony Entertainment Television signed a new contract with BCCI with Sony Entertainment Television paying 8,700 crore (US$1.93 billion) for 10 years. One of the reasons for payment of this huge amount is seen as the money required to subsidize IPL's move to South Africa which will be substantially more than the previous IPL. IPL had agreed to subsidize the difference in operating cost between India and South Africa as it decided to move to the African nation after the security concerns raised because of its coincidence with India's general elections.