IPL Aggressive Marketing or Futuristic

Strategy?

Introduction :

1. Launched by BCCI on the line of Football’s English Premier League and National
Basketball League (NBA) of the US.
2. Professional Twenty20 cricket league created and promoted by BCCI and backed by
ICC.
3. 8 teams, 44 days, and 59 matches.
4. Total base price for auction was $ 400 million and fetch $ 723.59 million.
5. Most expensive franchise is owned by Mukesh Ambani – $ 111.9 million.
6. MS Dhoni and Andrew Symonds emerged as the costliest Indian and overseas player
respectively.
7. DLF Universal secured exclusive rights to the IPL title sponsorship worth Rs. 200 Cr
(over $50 mn) for 5 years.
8. India’s Sony Television network and Singapore based WSG secured broadcasting rights
at a cost of $ 1.026 bn for 10 years.
9. Bring income of $ 1 bn to BCCI over a period of 5 to 10 years, out of which 40% will go
to IPL, 54% to franchise, and 6% as prize money until 2017.
10. Out of $ 1.026 bn, $ 918 mn to BCCI and $ 108 mn for the promotion of the tournament.
11. 20% would go to IPL, 8% as prize money, and 72% would be distributed to the
franchisees until 2012.
12. Double round-robin and knockout.

Future Expansion
 1. Four new franchisees will join IPL in 2010-11.
2. Two confirmed franchisees will be based in Ahmedabad and Kanpur.
3. In 2012-13, two more teams will join the IPL.
4. Possibly second franchise from Delhi’s suburbs.
5. Possibly second franchise from Mumbai or new franchise from Pune.
6. For 2009 season tentative dates for the IPL will be April 10th, 2009 to May 29th, 2009
and format of the tournament will remain the same as that of the inaugural season.

Profit or Loss ?

ICL v/s IPL : The Competitive Edge.

1. Solid backing of BCCI and ICC with almost 10 huge stakeholders whereas ICL has a
single promoter Essel Group.
2. IPL is playing a safe game while ICL wants to create a new league of talent from
upcoming aspirants.
3. IPL seems to be attractive business model involving high level risk while in ICL level of
risk is comparatively lower.

Research Analysis

 A research was conducted across 400 people in the city of Nagpur.

 83% said Yes and 17% No
 44% did not miss a single match, 38% favorite teams matches only, 12% match
highlights, and 6% only on holidays, Sundays and weekends

 58% found a sustained interest level throughout the match, 34% surfed through the
channels and 8% are not interested
 63% because of crisp timing, 29% others factors attract them, 5% said that Bollywood
stars tempted them to watch, and 3% found entertainment value

 62% preferred 8 to 11 pm, 12% no specific time to watch TV and equal number preferred
to watch TV after 11 pm, 9% preferred afternoon slot of 2 to 5 pm, and 5% preferred
morning time of 7 to 9 am
 Only 24% did miss out on their favorite TV programs, and 76% answered negatively

 60% said that IPL brought about a change in their viewing habit, 11% said that
viewership pattern changed to certain extent, and 29% felt that it did not affect their
viewership pattern in any way
 38% feel that TRP of reality shows affected the most, 30% feel news channel would have
suffered that most, 28% said family soaps were affected, and 4% feel that other channels
affected
  78% said Yes IPL is better than ICL, 14% said No, and 8% said to an extent it is better
than ICL

 37% feel that IPL is all about aggressive marketing, 31% said that great futuristic
strategy, 26% feel that IPL is just a 45 days of masala, and 6% feel it is threat to TV and
cinema

Conclusion :
1. IPL is a winning formula, its marketing and crisp timing being its USP.
2. It also has the potential to beat the prime time TV shows as is evident from the views of
people.
3. According to Hemant Vasu Vidarbha, IPL needs to keep up to its expectation.
4. IPL needs to create loyalties not just for the states the teams represent, but for the playing
teams as well.