1. PRESENTED BY :SONU KUMAR
ROLL . NO :114CCMA047
COLLEGE :
D-Delhi
L-Leasing
F-Finance
I-Indian
P-Premier
L-League

2. It was in late June 2007 that two men arranged for a meeting for discussing
an interesting but different sporting event.
It was Lalit Modi (Vice-President of the Board of Control for Cricket in India
with Andrew Wildblood (International Management Group, the sports
management ).
 Then in April 2008, the maiden IPL tournament which Modi had
conceptualized and ideated was on the way to come on the forefront.
 In the month of February in 2008 experienced the hysterical player
auction, created the not-so much needed media hype.
 The most powerful and rich Diaspora of the India community came up in
the bidding process. The bigwigs are from the corporate sector to the
entertainment industry – who added all the needed lusture to the
tournament.
Whooping amounts for different players were being seen - $1.5m for
Mahendra Singh Dhoni, $1.35m for Andrew Symonds, $950,000 for Ishant
Sharma. Cricket could be so costly an affair – nobody could even think of.
Everybody was waiting for recreating history in Indian cricket.
Bollywood stars like Shah Rukh Khan, Preity Zinta, Shilpa Shetty - owner and
co-owners of the Kolkata Knight Riders team; Kings XI Punjab and Rajasthan
Royals respectively made this mega sports event all the more a success.

3.  Market Entry strategies
 Personal Selling
 SWOT Analysis
 Cost leadership
Objectives

4. istan
Youngsters targeted
Huge entertainment
Commercialization

5.  Fan Following
 Curiosity

6. Local Talents Got Exposure.
Will be Accepted Globally.
New Market Segments

7. Early Retirements
Integrity Towards Country
Strategy Copy

8. Title Sponsors Official Partner
Amt. $50 mn Amt. $22.5 mn
Food Supplier
Umpire Sponsors
Amt. $106 Crore
Broadcaster
Amt.$1.026 billion
Beverage Sponsors
Amt. $12.5 million
Official Partner
Official Partner
Amt. $25 million

9. Success for2008 Season
 “REVENUE MACHINE”
Huge growth for BCCI & other corporate
New forms of Entertainment
Spectacular Television Rating Point
(TRP) ratings
Platform for Youngsters

10. Success For 2009 Seasons
Fourth spot of the Forbes list
Record TV Viewership Worldwide
Biggest Tournament after world cup
Globalizing Cricket
Boost more money

11. Success for 2010 Seasons
Theatrical rights
IPL On line
IPL Tie up with VROCK Mobile
PR Activities
Donation , Charity to South
African Schools

13. TEAM OWNER CAPTION COACH SPONSER AUCTIONED
AMOUNT
Royals Liquor Barron Anil kumble Rey Jennings Royal $ 111.6
Challenger Vijay Mallya (South Africa) Challenge & Million
Bangalore (UB Group) Other UB
Brands
Mumbai Reliance Sachin Robin Singh Idea Cellular, $ 111.9
Indians Industries Tendulkar Pepsi Million
Ltd.
(Mukesh
Ambani)

14. TEAM OWNER CAPTION COACH SPONSERS AUCTIONED
AMOUNT
Kolkata Shahrukh Sourav Dave HDIL , Nokia, $75.9
Knight Riders Khan , Juhi Ganguly Whatmore Belmonte Million
Chawla , &
jay Mehta
Kings XI Preity Zinta, Kumara Tom Moody Spice $ 76
Punjab Ness Wadia, Sangakara (Australia) Telecom, 9X, Million
Surendra Provogue
(Dabour Coca cola
Group)

15. TEAM OWNER CAPTION COACH SPONSERS AUCTIONED
AMOUNT
Delhi GMR Gautam Gerg Hero honda , $ 84
Daredevils Infrastructure Gambhir Shipperd Kingfisher Million
(Australia) Airlines,
Adidas,
104FM
Deccan Deccan Adam Darren Deccan $ 107
Chargers Chronicle Gilchrist Lehman Chronicle, Million
(Venkattram (Australia) Puma, Mc
Reddy) Dowells,92.7
FM,Pepsi,Kin
gfisher
Airlines

16. TEAM OWNER CAPTION COACH SPONSERS AUCTIONED
AMOUNT
Chennai India M S Dhoni Stephen India Cement, $ 91
Super kings cements Ltd. Fleming Aircel, Reebok, Million
(New peter England
Zealand) Nevia , 9 Cloud
Rajasthan Emerging Shane Shane Kingfisher, $ 67
Royals Media, Shilpa Warne Warne Puma, Boost Million
Shetty, Raj (Australia) ,Ultratech
Kundra Cement

17.  The inaugural season of the tournament
started on 18 April 2008
 lasted for 46 days with 59 matches
scheduled, out of which 58 took place and 1 was
washed out due to rain.
 The final was played in DY Patil Stadium
, Nerul , Navi Mumbai.
 The top four ranking sides progressed to the
knockout stage of semi-finals followed by a
final. “Rajasthan Royals” defeated “Chennai
Super Kings” in a last ball thriller and emerged
as the inaugural IPL champions.

18.  The 2009 season coincided with the general
election in India .
 Owing to concerns regarding players'
security, the venue was shifted to South Africa.
 Finally “Deccan charger “ defeated “Royal
Challengers Bangalore “ in the final. Deccan set
a target of 144 with the help of Gibbs(53) and
defended it.

19.  The third [season] opened in January 2010 with
the auction for players. 66 players were on offer but only
11 players were sold.
 In this season, Hyderabad Deccan Chargers did not
play at their preferred home location
of Hyderabad, India due to the ongoing political crisis in
the Telangana region .
 The new bases for the champions this season
were Nagpur , Navi Mumbai and Cuttack. Four teams
qualified for the semi-finals. The first semi-final was won
by Mumbai Indians who defeated Bangalore Royal
Challengers by 35 runs. Chennai Super
Kings defeated Hyderabad Deccan Chargers in the
second semi-final.
 The final was played between Chennai Super Kings
and Mumbai Indians. Chennai Super Kings won by a
margin of 22 runs.

20.  On 21 March 2010, it was announced in Chennai that
two new teams from Pune and Kochi will be added to the
IPL for the fourth season.
 Later, Lalit Modi was also removed from IPL
chairmanship by BCCI. On 5 December 2010, it was
confirmed that Kochi will take part in the fourth season
of IPL.
 Chennai Super Kings won their second consecutive
IPL title after defeating Royal Challengers Bangalore by
58 runs in the fourth season of IPL
 The top four teams namely CSK, RCB, KKR and MI
have also qualified for the Champions League. MI are the
current Champions League Twenty20 champions by
defeating RCB in the finals.

21.  The fifth season, this time with 9 teams (after the
termination of the Kochi franchise) started on 4 April
2012 in Mumbai, for which the players auction was held
on 4 February 2012 in Bangalore.
 The season saw IPL authority increasing the number
of players in each squad to 33 from the previous limit of
30 .
 The first match between Champions League 20–20
winners Mumbai Indians and the defending champions
Chennai Super Kings was won by Mumbai Indians by
eight wickets. Man of the match Richard Levi scored a 35
ball 50 with 6 fours and 3 sixes.
 The season will comprise of 9 teams, with 76 matches
to be played. It began and will end in Chennai with the
opening match on April 4 and the final on May 27. It will
be played at 11 venues

22. Announcement of Each squad min. 16
Bid amount need to
Tender inviting player max.4
be specified
bids international
Potential franchisees Auction of 4 player under 21
submit bids player from catchment area
Bid for more than Awarding of
1 city franchisees

23.  IPL Season 1 : 91 cr.
 IPL Season 2 : major loss as IPL held in south Africa
 IPL Season 3 : 200 cr.
Direct Tax : Rs 100 cr.
Tax deduction at source TDS for the remuneration
Paid to players , umpires, coach and commentators.
Service Tax : Rs 100 cr.
Advertising , marketing and consultancy services

24.  Team franchising costs : A franchisee has to pay 10%
of total franchisee costs every year to IPL .
 Player costs : US $ 4-6 mn. per year this includes
cost of manager and coaches. Each franchise has 18-
22 players who are tradable after a year . The players
have a three year contract with the franchise .
 Marketing costs : US $ 3-4 mn. By franchise for
promoting its team
 Stadium expenses : franchises have to contract
stadium for 7 matches at BCCI agreed rate . On an
average , the expenses is Rs 2.5mn.per match .
 Other expenses : Administration and event
management Rs 7 Cr.

25. How they made money :
 The media right : itself were sold for a whooping Rs
4104 Cr For 10 years . of this Rs 432 Cr it will have to
spend on the Marketing event.
 The Franchisee cost : The 8 Team’s franchisee
auction put Together fetched IPL another Rs 2896 Cr to
be collected Over 10 years
 The Sponsorship : Title and associate sponsorship
Fetched another 200 Cr per year
 The Share of IPL : is the only set to increase with the
yr as per the contract .Look like BCCI has hit upon
another golden goose of its own.
Financial Perspective

26.  The share of the Broadcastings
rights money Rs 25 Cr
 The share of the central sponsorship
Money Rs 15 Cr
 The Local sponsor they can get
supporting Side Rs 25 Cr Approx
The share of the ticket earnings from
the Home grounds Rs 13 Cr
 F & B Share Rs.3 Cr

27.  Firm v/s Basic Agreement
 Prize Money :
I. For winner Team 4.8 Cr –Increase to 6 Cr in IPL 4
II. For Runner up Team 2.4 Cr - Increase to 3 Cr in IPL 4
III. Two Semi –Finalist 1.2 Cr – Increase to 1.75 Cr in IPL 4
IV. For Rest Its 50 Lakh-80 Lakh – Increase to 1 Cr
 Bonus
w.r.t Position at which the Team Finishes
 Salaries
I. Each year it should not be less the $ 3.3 Million
II. Player Earns about Rs 80 Lakh or more per session on average
 Daily Allowance
I. $100 per Day
Note * : Today IPL is making Rs 54 Cr by selling 150 seconds airtime
on Set Max by carrying ads on the scoreboard during an over.
MRF pays Rs 15 Cr to have its blimp in the sky for 24 matches
during this season of IPL .

28. EARNINGS OF IPL
Central sponsors, YouTube sponsors,
Rs 170 cr
theatrical rights:
Broadcasting fees: Rs 134 cr
Franchises fees: Rs 330 cr
TOTAL: Rs 634 cr
EXPENSES OF IPL
Umpire salary: Rs 6 cr
Prize money: Rs 27 cr
Others including travel,:
Rs 50-65 cr
security and organisation
TOTAL: Rs 83-98 cr

29.  World Sport Group Pte Ltd (WSG), a sports marketing company,
paid Rs8,200 Cr for the broadcasting rights to IPL until 2017.
 According to a senior executive from the WPP Group-owned
Mindshare, a media buying agency, the network began selling its 10-
second advertising spots at Rs4.5 Lakh, which is 200% more than
the initial ad rates in the IPL season 1 at Rs1.5 Lakh per 10 seconds
and 80% higher than the initial rate of Rs2.5 Lakh in the second
season.
 the rates increased further to Rs5.25 Lakh for 10 seconds.

30. Income
I . Generation of Income
i. Revenue from Auction of Broadcasting rights :
ii. Revenue from Title sponsorship & Co. Sponsorship
iii. Revenue from auction of franchisee rights
iv. Revenue From official umpire’s Sponsorship
II. Distribution of Income
i . Share of Broadcasting money with Franchisee/s
ii. Share of sponsorship money with Franchisee/s
iii. Share of Ticket Money with Franchisee/s
iv. Inauguration Expenses
I-II = Total Income

31. Income
1) Generation of Income
I. Share in revenue from broadcasting rights
II. Share in sponsorship Money
III. Share in revenue from sale of tickets
IV. Revenue from inside stadium advertisement
V. Sale of Players (From one Franchise to another)
VI. Revenue from own sponsorship & Co. Sponsorship
2) Distribution of Income
I. Franchisee fee & player cost
II. Match fees to coaches and supporting staff
III. Rent of stadium & market / Promotional cost
IV. Inauguration expenses
V. Fees of coaches & others
VI. Administrative cost
I –II = Total income

32.  How to Bet ?
There are bets for every match. Betting usually begins few
hours before the matches.
 What are Odds ?
Odds indicate the $’s that you will win in return of each $ you bet
if your predictions comes true Odds in the game may vary while
the betting is open depending on many factors .
 What are Payouts ?
payouts is the final amount of $’s which you'll earn if you win
the bet.
 Total IPL betting – 6000 Cr *
 The Law Says “No”
 Online betting possible on sites like betfair.com
 Bookies says its MI this time

34. 1. The money being put into cricket is harming the
development of other sports. ?
Reason for no more gentle game ?
1. The cricketers - Abhinav Bali, TP Sudhindra (Deccan
Chargers), Mohnish Mishra (Pune Warriors), Amit Yadav (Kings XI
Punjab) and Shalabh Srivastava (Kings XI Punjab)