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Introduction
The Indian Premier League, created by the Board of Control for Cricket in India
(BCCI) and sanctioned by the International Cricket Council (ICC), is a Twenty20
cricket competition. It is the brainchild of BCCI vice-president Lalit Modi and is
modeled along the lines of club football in Europe, which is unlike anything cricket
has known in the past. The best players from around the world will not play according
to their nationality but as per the market forces.
The process
The tournament is scheduled to begin on April 18, 2008 and will last for 44 days,
involving 59 matches. The prize money for the league will be around Rs 13 crore (US
$3million).
Each team will have a pool of 16 players, of whom eight can be international and four
from the Under-22 level or from the catchment area where the team is based.
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Fixtures
Each team will play the other 7 teams home and away, the top four teams at the end
of the group stages will go through to the semi finals.
Format
8 teams, 16 players in a squad
Television Rights
On January 14, 2008, it was announced that a consortium consisting of
India's Sony Television network and Singapore-based World Sports Group
secured the rights of the Indian Premier League. The record deal is for 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 telecast rights and US$108 million for
the promotion of the tournament.
The BCCI announced that the bulk of the profit from this deal would initially go
to the IPL franchises themselves, gradually reducing this amount over the
duration of the contract.
Network Ten has purchased the rights to show every game live in Australia on freeto-air television for the next five years at a cost of AU$10 - $15 million.
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PROFILE
Name: Indian Premier League (This is the one kinds of PUBLIC LIMITED
COMPANY')
Channel Views: 50,009,457
Total Upload Views: 23,847,283
Joined: August 09, 2006
Subscribers: 89,167
Website: http://www.iplt20.com
The Indian Premier League's Official YouTube Channel. Subscribe to us for all the
video highlights.
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The man most credited with launching the sports marketing industry was IMG's
Mark McCormack. However, other sports marketing pioneers like IOS pvt ltd,
founded by Neerav Tomar,CEO cut their teeth in professional wrestling and
boxing in India, by managing talents right from the nascent stage of their career.
Former IMG CEO, Bob Kain, got his start working the Colgate-Palmolive Tennis
Grand Prix. Donald Dell and Frank Craighill, founded ProServ where Jerry
Solomon (Nancy Kerrigan's husband), Ray Betton, Lee Fentress, Steve Disson,
and David Falk would become partners and agents. Nye Lavalle, founder of
Sports Marketing Group, presided over Pro Tennis International from 1977 to
1984 before joining World Sports Group with former WCT colleagues and later
creating SMG in 1986.
However, 1984 became a watershed year for sports marketing. The commercial
success and corporate acceptance of sports marketing as a key component of the
marketing mix came with the Americanization and commercialization of the
modern Olympiad in the Summer Games of 1984 in Los Angeles. Corporate
sponsors such as McDonalds and Coca-Cola used the Games as a platform to
market their brands. Coca-Cola, for example, spent nearly $30 million in support
of its official sponsorship of the Games. As CEO and chief organizer of the 1984
Olympics, Peter Ueberroth, a former senior executive with Trans International
Airline and Transportation Consultants International, is credited with
demonstrating the power of sports marketing.
After the Olympics, Ueberroth served as commissioner of Major League Baseball
(198489) and today, he serves as Chairman of the Board for the United States
Olympic Committee. The commercial success of the '94 Games propelled both
costs and use of sports sponsorship across the globe. The International Olympic
Committee, which had resisted the temptation of corporate financial support in
the Avery Brundage era, followed Ueberroth's lead and began openly cultivating
global corporate tie-ins that exist to this day.
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Sport in India includes cricket, chess, badminton, field hockey, lawn tennis, football,
golf. Though field hockey is the national sport of India, cricket is the most popular
sport in the country
Chess
Chess has risen in popularity in India in the last few decades primarily due to its star
player GM Vishwanathan Anand. He is the current World Champion and he has
revolutionized the popularity of this sport in India. Also it is believed that the game
originated from India.
Badminton
Badminton is a popular recreational sport all over India. Young talents like Saina
Nehwal, who entered the quarters of the women's singles event at the 2008 Summer
Olympics, are emerging from different states. She has achieved a career-high ranking
of 9th in the world and has been named the Most Promising Player of 2008 by the
Badminton World Federation. This is the first ever achievement by any Indian
shuttler after Prakash Padukone and Pullela Gopichand won the All-England in 1980
and 2001 respectively.
Boxing
Boxing is one of the most enjoyable profiled sports in India. India had produce a
world champion in any weight class, although it is a regular medal-holder at Asian
Games and Commonwealth Games
Field hockey
Main articles: Field hockey in India, India national field hockey team, and India
women's national field hockey team
Field hockey is India's game. Until the mid 20th century, India dominated
international hockey, winning eight Olympic gold medals, the World Cup in 1975 and
were runners-up in the 1973 World Cup. The Indian player Dhyan Chand, arguably
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the most famous Indian hockey player, was described as a 'wizard' by the European
press. However, India's recent performance have been below par and India is
currently ranked 12th in the world
Football
Football is one of the major sports in India. It was introduced during the British
occupation and in some areas of the country it is equally popular as cricket. India was
an Asian powerhouse until the sixties, but gradually the standard of football has gone
down compared to other countries and currently India ranks 146 in the FIFA
Rankings as of the 22nd of June 2009.
The All India Football Federation is the parent body of football in India.
Golf
Golf is an emerging sport in India. It is especially popular sport among the wealthier
classes and has not yet caught on with middle class and poor people due to the fact
that it is expensive. The most successful Indian golfer is Jeev Milkha Singh who has
won titles all over the world, namely three during the European Tour, four during the
Japan Golf Tour and six during the Asian Tour. Although his current world ranking is
36, his highest ranking has been 28 (in March 2009). Sing has won the Asian Tour
order of merit twice. Other Indians who have won the Asian tour order of merit are
Jyoti Randhawa in 2002 (the first Indian to achieve this) and Arjun Atwal.
There are numerous golf courses all over India. There is an Indian Golf Tour. India's
men's golf team won gold at the 1982 Asian Games and silver at the 2006 Asian
Games. Lakshman Singh won the individual gold at the 1982 Asian Games
Lawn tennis
Tennis is popular among Indians in urban areas. However, India's fortunes in the
Grand Slams singles have been unimpressive although Leander Paes and Mahesh
Bhupathi have won many Men's Doubles and Mixed Doubles Grand Slam Titles.
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Sania Mirza is the only notable Indian woman tennis player, having won a WTA title
and breaking in to the Top 30 WTA ranking.
Table tennis
Table tennis is a popular indoor recreation sport in India, which has caught on in
states like West Bengal and Tamil Nadu. The Table Tennis Federation of India is the
official sports body. India, which is currently ranked 90 in the world, has produced a
single player ranked in the top 100, Sharat Kamal.
Apart of it there are so many games
Throw ball, Netball, Handball, Formula One, Cycling, Basketball, and Gilli -Danda.
Kancha, Kite Flying, Bandy, Baseball and Softball, Equestrian Sports, Ice hockey
,Kayaking, Kabaddi,Korfball,Volleyball,Snow sports (Snow sports are uncommon
in India due to a lack of snow except in the extreme north. Ski tournaments take
place every winter in Gulbarga, Kashmir), Speak Takraw, Scuba diving
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OBJECTIVE
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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 luster. 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
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.
After the spectacular success of the inaugural tournament, news that the 2009 IPL
would have to be played overseas was met with some resistance. But right from the
magnificent opening ceremony to the closing festivities, viewers stayed hooked to the
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mega event that saw the Deccan Chargers led by Adam Gilchrist take top honours. In
the words of Mr. Modi, It's been a success thanks to the people of South Africa."
The Indian Premier League has moved from strength to strength in its two early
editions. And the world has take notice. The IPL has even made it to the fourth spot
of the Forbes list of the world's hottest sporting properties. The competition returns to
India in March 2010 after its South African safari in 2009. The stage is set for a
contest that is more compelling, spectacular and multi-faceted than ever before.
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General
of
Maharashtra.
An
efficient
President, BCCI
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Club from 1995-97 and is currently the President of the Tamil Nadu Golf Federation.
His love for cricket has seen him don many roles, including the President of the Tamil
Nadu Cricket Association. Srinivasan is also the President of the All India Chess
Federation.
(SCA) in 1972-73 and has since been reelected continuously to the same office.
Since that time, he has been representing SCA and serving Indian cricket
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ASSOCIATION
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rural sectors.
one can see the most dramatic impact on Indian cricket. Under Amin's leadership,
Baroda has emerged as one of the most successful Ranji teams in recent times.
talented players like Virender Sehwag and Ishant Sharma who have made it to the
national team.
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Sanjay Jagdale, the former Madhya Pradesh allrounder, is BCCI Joint-Secretary. After retiring from
domestic cricket in 1983, he returned to the game as a
cricket administrator. He soon followed in the
footsteps of his father,
MR SANJAY JAGDALE
BCCI JOINT-SECRETARY
Vice-President,
journalist,
political
Sunday magazine and even was its political editor for eight years. He also was the
political editor of Sunday Observer for a while. He is a renowned political analyst and
has used his keen sense of insight in his role as a television host. He is known for his
leadership skills and his calm demeanour. He has also effectively played the role of
administrative manager of the Indian team on various foreign tours.
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It was in the same season of 1984-85 that he also equaled West Indies legend Sir
Garry Sobers' record of hitting six sixes in an over in first-class cricket. He is now a
well-loved commentator, eloquent and engaging behind the mic.
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only one of two players to score centuries in each innings, thrice. This Padma
Bhushan awardee's record of 34 Test centuries stood for 20 years before being broken
by Sachin Tendulkar in 2005. After retiring, this former Indian captain took to
commentating on the game he loves with the same aplomb. He is also a respected
columnist. He has continued to serve cricket in various positions with the BCCI and
ICC. He is one of the first inductees in the International Cricket Council's (ICC) Hall
of Fame.
PATAUDI
FORMER INDIA CAPTAIN
the 40 Tests he captained. He has the distinction of having led the team which won
India's first overseas match against New Zealand in 1967. He was the one who
realigned Indian strategy to lay emphasis on spin bowling. He also served as an ICC
Match Referee for 3 years between 1993 and 1996.
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FRENCHIES
Rajasthan Royals
The team from India's princely state didn't quite command the kind of
respect and interest that befits royalty. So when the Rajasthan Royals,
led by Shane Warne, swept the opposition away and took home the
first-ever IPL title, everyone was surprised. Sohail Tanvir and Shane
Watson were the other big names that powered the side, but it was players like
Swapnil Asnodkar and Ravindra Jadeja that shone.
IPL 2009 got underway with Bollywood diva Shilpa Shetty and her then fiance Raj
Kundra also joining the franchise as co-owners. Kaif was left out and Watson was
unavailable. Tyron Henderson, who was roped in after a tug-of-war with KXIP,
played just one game. Yusuf Pathan starred in a win over KKR in the only Super
Over of the tournament. At the 2010 auction, Rajasthan bought two Australian
players Adam Voges and in a surprise move, the out of action Damien Martyn. The
team had bought out Tyron Henderson, Robert Quiney and Mohd Kaif prior to the
auction.
Delhi Daredevils
Delhi Daredevils, owned by GMR Industries, have a number of genuine
match-winners in their squad. They boast of Virender Sehwag and
Gautam Gambhir at the top of the order while wicketkeeper-batsman
Dinesh Karthik beefs up the middle-order. Tillakaratne Dilshan, along
with AB de Villiers, has been a revelation in this format. Veteran Daniel Vettori adds
depth to the squad. Daredevils made it to the semis in the first season.
In the second season, they rode high on the strength of Dirk Nannes' pace, topped the
league, but again, lost in the semis. Gambhir has now stepped in as captain after
Sehwag decided to step down. Dehi have bought out Oz legend Glenn McGrath
before the third season. They picked up Wayne Parnell, the South African left-arm
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pacer for a whopping USD 610,000 at the 2010 auction. They also included the U-19
player Manan Sharma in their ranks.
drew a lot of debate but as it turned out, McCullum ended up leading the side
throughout. But the sides prospects did not improve. KKR ended the tournament
pretty close to the bottom of the table. Ricky Ponting and Morne van Wyk have been
bought out ahead of Season 2010, while Shane Bond has been bought at USD
750,000. U-19 player Harpreet Singh has also been picked for the tournament.
the
semi-finals.
The team qualified for the CLT20 but could not qualify for the knock-out stage. The
team has undergone a sea-change in terms of personnel and support staff from Season
2008 with new coach Ray Jennings making a huge impact. Former captain Kevin
Pietersen's participation is still debatable owing to an extended injury break. Their
only buy at the 2010 auction was Englishman Eoin Morgan, but they also have in
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their ranks India's under-19 captain Ashok Menaria while Nathan Bracken has been
bought out.
Kings XI Punjab
Kings XI Punjab have an aura of glamour and verve around them
thanks to owners Preity Zinta and Ness Wadia. They boast the services
of the flamboyant Yuvraj Singh and dependable Sangakkara; the
destructive Irfan Pathan and experienced Jayawardene. So when the
first edition of the IPL kicked off, the team from Indias lion-hearted state were
looked on with awe and admiration. But the side could not progress beyond the semifinal
stage.
In 2009, the spectacular South African setting did little to embellish the teams
chances - they bowed out before the semis, depleted by the absence of Brett Lee and
Sreesanth at various stages. Left-arm paceman Yusuf Abdulla was one of the finds of
the tournament and he has been retained for the third edition. Luke Pomersbach and
Nuwan Kulasekara were bought our ahead of the 2010 auction while they picked
former India batsman Mohammed Kaif who is expected to recreate the magic with
Yuvraj Singh in the Punjab side under new captain Kumar Sangakkara
Stephen Fleming, who doubled as coach in the second season; the wily Muralidaran;
batsman Suresh Raina; and all-rounder Albie Morkel helped Chennai reach the final.
When the second round of auctions took place, Andrew Flintoff joined as one of the
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highest-paid players. In 2009, Hayden scored prolifically while his team entered the
semi-final, only to be pipped at the post by RCB. Fleming has now been bought out
by the side and is just the coach. At the 2010 auction, the team bought South African
Justin Kemp, they also brought in Sri Lankan Thisara Perera for a sum of USD
50,000.
Deccan Chargers
The reigning title-holders of the second edition of the IPL, Deccan
Chargers had a fairytale second season. Plagued by poor performances,
the team was placed at the bottom of the table at the end of IPLs
opening season. But they scripted an incredible turnaround in the second edition,
claiming the title. Much credit for their rags to riches story goes to their
captain
Adam Gilchrist.
His compatriot Darren Lehmann joined the team as coach for the
second edition. Deccans pace attack is led by the fiery Fidel Edwards and the steady
RP Singh. They bought out Sri Lankans Nuwan Zoysa and Chamara Silva ahead of
the third edition. To further strengthen their bowling, they picked up the much sought
after West Indies fast bowler, Kemar Roach, for a staggering USD 720,000 at the
2010 auction. U-19 player Harmeet Singh was also picked for the coming
tournament.
Mumbai Indians
Sachin Tendulkar was named captain and icon player of Mumbai
Indians, the highest-priced side, owned by the Reliance Group of
Companies, ahead of the inaugural IPL. The team had some turbocharged players like Jayasuriya, Shaun Pollock, Harbhajan and
Malinga. The side, however, failed to deliver on its promise in the inaugural
competition, despite some memorable performances likthat of the young all-rounder
Abhishek
Nayar.
The second season opened with two new names for the side - Zaheer Khan, who was
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brought in from RCB, and batsman Shikhar Dhawan from Daredevils. JP Duminy,
the South African powerhouse, was roped in, fresh from his success in Australia. But
the side could not quite make it even this time round, bowing out of the competition
before the semis. Kyle Mills and Mohd. Ashraful have been bought out. At the 2010
auction, they bagged the biggest player of them all Kieron Pollard at USD
750,000 after winning the silent tie-breaker. Harshal Patel from the U-19 side has also
found a place in the side
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Key Player
Investors of IPL
Sachin Tendulkar
Sanath Jayasuriya
Shaun Pollock
Rahul Dravid
Jacques Kallis
Anil Kumble
Saurav Ganguly
Ricky Ponting
Shoaib Akhtar
Shane Warne
Graeme Smith
Yusuf Pathan
Yuvraj Singh
Brett Lee
Kumar Sangakkara
M S Dhoni
Matthew Hayden
Albie Morkel
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VVS Laxman
Adam Gilchrist
Rohit Sharma
Virender Sehwag
Glen McGrath
Gautam Gambhir
Quite a huge money has been invested for the teams.The initial bidding price was set
at USD 50 million.
Finally the much awaited bidding took place and of the 77 contracted players, 75
were signed by the teams. All that is left is only the sheer action-packed summer
weekends.Cant hold on till April 18th.Each team went through this entire process
just like playing Sudoku - had to pick the best possible combination of the lot for the
right
spot.
All that is on offer for us fans is a star studded Indian Domestic Tournament with
Worlds top players- Ah!!!Had been dreaming of this for quite sometime now
(Inspired by the English county). The 44 day event has loads on offer for the Cricket
frenzy nation.
The sheer magnitude of money being dished out has its own good. This attracts all the
top players to try out their hand for this event. This also ensures that there is proper
infrastructure and standards for the game to take place in the best of the entertaining
ways.
All that we have to do is sit back and be treated. Talks are on that another 8 teams are
in line for the coming year.Im still wondering whether theyll have enough players to
fit in.For now there are a total of 8 teams.
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According to the study, Chennai Super Kings (CSK) has emerged as this years most
valuable team with a brand value of $ 48.4 million, or Rs 224 crore, replacing
Kolkata Knight Riders (KKR) at $ 46 million, or Rs 213 crore.
Rajasthan Royals at $ 45.2 million, or Rs 209 crore, is third in the pecking order.
Much of CSKs rise on the brand graph is being attributed to MS Dhoni, who has led
by example. With IPLs ratings and royalties on the rise, it doesnt come as a
surprise to me, says N Srinivasan, MD of India Cements, the owner of CSK.
The astronomical leap in brand value by IPL ingests its emerging revenue potential
too. Other global benchmarks such as the EPL may be valued at $12 billion, but IPL
has a better potential in value creation as there are no limits in audience and
sponsors, says Mr Krishnan.
Still, there are some gathering clouds. Sustaining the brand commercially will be a
challenge, notes Brand Finance. Mr Modi is unperturbed. I see the value of IPL
doubling each year for the next few years. Though franchises may not be in dire
need for funds, he says sooner or later theyll look to list on the stock market. I know
that some are already toying with the idea.
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Revenues
Expenditure
Net profit
8,100
(3,370)
Mumbai Indians
6,580
7,800
(1,220)
8,000
(3,120)
6,880
7,200
(920)
Delhi Daredevils
6,650
6,800
(150)
6,880
6,800
80
Kings XI Punjab
5,980
6,640
(660)
Rajasthan Royals
5,830
5,100
730
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million. Chennai Super Kings has the highest brand value at USD 48.4
million. KKR slipped to second rank with a brand value at USD 46 million.
Mumbai Indians and Deccan Chargers brand value stands at USD 41 million
and USD 34.4 million, respectively.
However, the report cautions that IPL revenues are likely to stagnate over the
next two years. According to Unni Krishnan, MD, Brand Finance India, "The
English Premier League is actually facing one of the most difficult times in its
history. This, despite having most loyal, die-hard fans, and great sponsors that
you can ask for. So, what went wrong over there? Very simply, poor
governance, poor financial prudence, poor transparency, and poor systems and
processes. Is there a lesson that IPL can learn from that? You bet it has and
that is a significant test for IPL going forward."
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Team: Mohali
Players - Bid Amount (figures in USD): Players - Bid Amount (figures in USD):
Rahul Dravid (icon) - 15% more
S.Sreesanth - $6,25,000
Team: Mumbai
Team: Jaipur
Players - Bid Amount (figures in USD): Players - Bid Amount (figures in USD):
Sachin Tendulkar (icon) - 15% more
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Team: Kolkata
Players - Bid Amount (figures in USD): Players - Bid Amount (figures in USD):
Sourav Ganguly (icon) - 15% more
Team: Hyderabad
Players - Bid Amount (figures in USD): Players - Bid Amount (figures in USD):
Virender Sehwag (icon) - 15% more
R. P. Singh - $875,000
AB de Villiers - $3,00,000
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MODEFIED LEAGUE
Shashank Manohar, the president of the Board of Control for Cricket in India, is a
man of few words. On April 26, in a measured tone, with carefully chosen words,
Manohar launched the cash-rich Board's operation to 'de-Modify' the Indian Premier
League.
That will not be an easy task. It will take a herculean effort to clean the Augean
stables left behind by the suspended IPL commissioner Lalit Modi. Highly placed
sources in the Board told THE WEEK that the IPL was run more or less like a cashand-carry enterprise where Modi alone knew the details of the deals struck, none of
which was on records. But the Board, and the IPL's interim chairman Chirayu Amin,
seem determined to get to the bottom of the well.
Modi's fate was sealed even as the IPL's final match got over on April 25, when an
email was sent informing him about his suspension. A 34-page chargesheet followed,
detailing 22 charges which can be classified under five broad heads: ownership of
Rajasthan Royals and Kings XI Punjab; broadcasting deal for matches; new
franchisees; assignation of internet rights; and Modi's 'behavioural pattern' (read, his
autocratic way of functioning).
The script had already been decided when 12 of 14 members of the IPL governing
council met on April 26 (M.P. Pandove stayed away citing ill health while Union
Minister Farooq Abdullah had pressing business in Parliament). It can be safely said
that the screenplay was finalised in the thought process of Manohar some time on
April 22-23. He told one of his close associates that he was just waiting for the IPL
final to get over before cracking the whip. In the meantime, it would be better to
replace Modi with someone who is professional and knows marketing and finance
aspects in detail, Manohar told the friend who hails from his hometown, Nagpur. The
suspension, felt Manohar, became a necessity when he realised that IT sleuths were
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calling BCCI officials for records that no one had a clue about. "Many of the records
are`missing,
At the governing council meet, the only dissenting voice was that of Punjab Cricket
Association president I.S. Bindra, who hotly debated the charges and insisted that
Modi be given time to explain his side of the story. Many members wanted Manohar
himself to replace Modi, but he was reluctant. It was Manohar himself who proposed
Amin's name as he felt Amin would be a better candidate because of his business
background". The council also gave a clean chit to NCP leaders Sharad Pawar and
Praful Patel, who had come under the cloud of the IPL scandal. Apart from Manohar
and Amin, those responsible for managing the IPL now include former India captains
M.A.K. Pataudi, Sunil Gavaskar and Ravi Shastri and Prof. Ratnakar Shetty, who will
examine accounts and records. Our brief is to interact with franchise owners and
players on modalities of player auction, said Shastri.
Not all are buying the Board honchos' explanation that they were unaware about
Modi's modus operandi. The governing council is to be equally blamed, said former
Indian captain Dilip Vengsarkar.
After taking charge Amin admitted in a television interview that the governing
council had erred in trusting Modi too much. The success of the IPL was so dazzling
that everyone was basking in its glory, he said. Certain details were not disclosed to
us in all this. We trusted Modi in good faith."
Amin brings with him vast experience in corporate administration. The boss of the Rs
1,200-crore Alembic Group, a pharma giant that also produces the Yera brand of
glassware, is president of the Baroda Cricket Association and vice-president of the
Board. In the past he has headed the Federation of Indian Chambers of Commerce
and Industry. Like Manohar, the no-nonsense Amin was also not keen on the IPL job.
Finally, the 63-year-old relented. In these troubled times, Amin is best suited for the
job, said Samarjitsinh Gaekwad, scion of the royal family of Baroda and a close
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friend. There is a need to bring in calmness, stability and faith. Amin has been one
of the key think-tanks of the BCCI and being from the corporate world he would
know the problems faced by franchisees and broadcasters.
Amin has no known interest in politics though he is said to be close to Pawar. His
style of functioning is non-intrusive. Not many know that he is a good cook and that
his company owns a private jet. Former India stumper Kiran More admires Amin for
his honesty. "He keeps a low profile, is straightforward, does not interfere in the
selection of cricketers, More told THE WEEK.
Modi has been more or less silent since the IPL final, except for occasional tweets.
The day the governing council meeting took place, he was unavailable for comment.
He tweeted, sometime during the evening, that he was at a spa taking a much-needed
rest. "I am still the chairman of the IPLjust suspended. Wait, we have just begun,"
he tweeted. On April 28 he arrived in Delhi and held discussions with his lawyers
Harish Salve and Ram Jethmalani.
Many believe that Modi will not go down silently. The governing council has given
him 15 days to clear his name. Speculation, however, is rife that Modi's way of
clearing his name could involve dragging many a name into the controversy.
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causes are
understood,
projections of
the
Judgmental methods.
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influencing
Forecasting accuracy
The forecast error is the difference between the actual value and the forecast value for
the corresponding period.
where E is the forecast error at period t, Y is the actual value at period t, and F is the
forecast for period t.
Measures of aggregate error:
The forecast error is the difference between the actual value and the forecast value for
the corresponding period.
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where E is the forecast error at period t, Y is the actual value at period t,and F is the forecast
for period t.
Measures of aggregate error
Average
Least Profitable
Revenues
Central broadcasting
Central sponsorship
Team sponsorship
Gate receipts
In-stadia advertising
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Merchandise sales
Media tie-ups
Prize money
Total
Expenditure
Franchisee fees
Player salaries
Stadium fees
Travel and stay cost
Team promotions
Other costs
Total
Profits
Here are some rules of thumb you should follow when forecasting expenses:
Double your estimates for advertising and marketing costs since they always
escalate beyond expectations.
Triple your estimates for legal, insurance and licensing fees since they're very hard
to predict without experience and almost always exceed expectations.
Keep track of direct sales and customer service time as a direct labor expense even
if you're doing these activities yourself during the startup stage because you'll want
to forecast this expense when you have more clients.
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you'll force yourself to make conservative assumptions and then relax some of these
assumptions for your aggressive case
3. Check the key ratios to make sure your projections are sound. After
making aggressive revenue forecasts, it's easy to forget about expenses. Many
entrepreneurs will optimistically focus on reaching revenue goals and assume the
expenses can be adjusted to accommodate reality if revenue doesn't materialize.
The power of positive thinking might help you grow sales, but it's not enough to pay
your bills!
The best way to reconcile revenue and expense projections is by a series of reality
checks for key ratios.
1. Gross margin. What's the ratio of total direct costs to total revenue during a
given quarter or given year? This is one of the areas in which aggressive
assumptions typically become too unrealistic. Beware of assumptions that
make your gross margin increase from 10 to 50 percent! If customer service
and direct sales expenses are high now, they'll likely be high in the future.
2. Operating profit margin. What's the ratio of total operating costs--direct
costs and overheard, excluding financing costs--to total revenue during a
given quarter or given year? You should expect positive movement with this
ratio. As revenues grow, overhead costs should represent a small proportion of
total costs and your operating profit margin should improve. The mistake that
many entrepreneurs make is they forecast this break-even point too early and
assume they won't need much financing to reach this point.
3. Total headcount per client. If you're a one-man-army entrepreneur who
plans to grow the business on your own, pay special attention to this ratio.
Divide the number of employees at your company--just one if you're a jackof-all-trades--by the total number of clients you have.
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revenue from the all above sponsorship rights have been described as Central
Revenues with a proportion of 40% to IPL, 54% to franchisees and 6% to prize
money. After year 2017 the share proportion would be 50:45:5 respectively.
The franchisees, apart from the share in central revenues, can earn money by
franchisees rights like by selling advertising space in stadiums, by licensing products
for their teams like T-shirts, advertising on tickets and gate money. The 20% of the
amount earned in this head would go to the IPL.
Well, in IPL unlike other sports leagues the main source of
commerce is the sale of Television rights. IPL is based on a very
simple business. The revenues for the IPL and the franchisees come
from three streams: media rights, sponsorships under the central or
local pool, and gate receipts. The central pool includes sponsorships
for the entire league, to be distributed between the IPL and the
franchisees. The local pool comprises sponsorships each team
manages to attract, of which the franchisee/team keeps the entire
amount.
The
franchisees
expenses
include
team
franchising
promotion,
and
$3-4
event
million
per year on
management
costs.
The
proceeds
are
divided
between
the
IPL
and
the
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goes towards
prize money.
The central sponsorship deals are for five years and for the next ten
years, IPL and the franchisees will divide the revenues in the
proportion 40%:60%, with the latter amount to be divided equally
among the franchisees. Sponsors include DLF as title sponsor, and
associate/partner sponsors include Kingfisher, Hero Honda, Pepsi,
Citi, Vodafone, and ITC. Each franchisee could earn almost Rs 30
crore annually for the next five years. Additionally, the franchisees
keep all the revenue generated from the local pools, which include
team title sponsorship, partner sponsors, licensing, merchandising
(87.5%), in-stadium signage, as well as other forms of sponsorship
at the team level. Franchisees have appearance rights over the
players
during
the
IPL
tournament,
which
can
amount
to
of
Bangalore($111.5M)
event
Licensed
Hyderabad($107M)
Merchandised
Mumbai($111.9M)
Chennai($91M)
Delhi($84M)
Take, for example, the third umpire decision pending screen that runs 5 and 10second commercials of Nestle Munch and Kingfisher Airlines. Or, the Micromax
Mobiles ad that appears on the TV screen in the middle of an over when the bowler is
walking back to his run up. Even within the stadium, there are the MRF blimps (big
balloons)
that
are
prominently
featured
in
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broadcasts.
While these may not be pleasing to the eyes of the viewers, the Indian cricket board is
clearly loving it. According to media planners, the third umpire screen is valued at Rs
6-7 lakh per 10 second slots, which is 50% higher than the television ad slots. The
blimp is also big money.
Counting some of the best-known Bollywood stars and billionaire tycoons among its
owners, and some of the world's most illustrious cricketers on its teamsheets, the IPL
will have 10 teams from next season and the number of matches will increase from 60
to 94.
The league's chairman Lalit Modi said the high sums involved in the bidding showed
the tournament was recession-proof, and is striving to compete for size with the likes
of the National Basketball Association (NBA) in the United States.
India, Asia's third-largest economy, is pulling away from the global slowdown faster
than many of its peers in the west, and is forecast to grow at 8.5 percent in the next
fiscal year.
Sahara Adventure Sports, part of the Sahara Group, won the rights for a team in the
western city of Pune for $370 million. A consortium named Rendezvous Sports
World won the franchise for the city of Kochi for $333 million.
"The IPL is recession proof. It's all about building the eye balls and building the fan
base, and we have been able to do that extremely well," Modi told CNN-IBN news
channel from the southern Indian city of Chennai.
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"Our ambition is of course to become number one in the world in terms of sporting
league."
Mukesh Ambani, who controls Reliance Industries, and film actors Shah Rukh Khan
and Shilpa Shetty, all own teams in the Twenty20 tournament.
Ambani owns the most expensive team playing at the moment, the Mumbai Indians,
which he had bought for $111.9 million.
"I don't think IPL is recession proof, but the economy is pretty good now and cricket
remains a very good advertising vehicle in India," Latika Khaneja, director of Collage
Sports Management, told Reuters.
Broadcasting rights to the tournament were sold for $1 billion for 10 years in 2008
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During the IPL match all players lost their unity & friendship. and conflict
took place among them & lost chance in T20 world cup ( due to IPL).
A window needs to be created for the IPL every year so that it does not
infringe on the traditional test match calendar and the paranoid British press
can stop their whining. This can be easily achieved if the BCCI compensates
the various boards for their players.
This will also ensure that meaningless contests such as the recently concluded
mind numbingly boring England-WI series are not scheduled during the 40
odd days of the IPL
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CONCLUSION
Most players and administrators are still just trying to grapple with this new format of
cricket. We can give them the benefit of the doubt provided that lessons are learnt
every year. As the IPL draws to a conclusion, the World Twenty20 championship will
commence in England. It will be interesting to see how that one shapes up.
I did try my level best to cover all those area where money can be invest to earn
more. I mentioned here forecast period ,revenue,market,etc .But money assumption
is remaining.
The IPL has become a shining example for the business of sport
and we at Bandelier saw a business opportunity there,
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BIBLIOGRAPHY
www.Indian Premier League Official Website,
www.Indian Premier League
www.IPL Wikipedia.com
www.Indian Premier League Economic Time.com
THE HINDU Paper, Economic Time, Business World Magazine.
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