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Ipl As A Businessmodel

The Indian Premier League (IPL) is a professional cricket league established in 2008. It was founded by Lalit Modi as a way to promote cricket in India. Each of the eight IPL teams is owned by corporate companies and Bollywood stars who paid millions of dollars in an auction. The IPL generates billions in revenue mostly from broadcasting and sponsorship deals. Revenue is shared between the BCCI, franchise teams, and players. The IPL has been very successful in increasing interest in cricket and becoming a lucrative business model in India.

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35 views

Ipl As A Businessmodel

The Indian Premier League (IPL) is a professional cricket league established in 2008. It was founded by Lalit Modi as a way to promote cricket in India. Each of the eight IPL teams is owned by corporate companies and Bollywood stars who paid millions of dollars in an auction. The IPL generates billions in revenue mostly from broadcasting and sponsorship deals. Revenue is shared between the BCCI, franchise teams, and players. The IPL has been very successful in increasing interest in cricket and becoming a lucrative business model in India.

Uploaded by

Bala
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PPTX, PDF, TXT or read online on Scribd
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IPL AS A BUSINESS MODEL

By Presented
Dharmveer Thakur

Brief intro..
It was initiated by Lalit Modi, who served as the league's first
Chairman and Commissioner and Board of Control for Cricket
in India (BCCI) in the year 2008.
In 2010, IPL became the first sporting event ever to be
broadcast live on YouTube.
Its brand value is estimated to be more than US $ 5 billion in
fifth season.
It became the biggest competitor of multiplex in India.

IPL TEAMS LOGO

TEAM BIDDING

TEAM

CITY

OWNERS

PRICE
(US $)

CSK

Chennai

N. Srinivasan (India Cements)

91 million

DD

Delhi

GMR Group

84 million

KXIP

Mohali

Preity Zinta,
Ness Wadia (Bombay Dyeing),Mohit Burman (Dabur)
Karan Paul (Apeejay Surendera Group),The Oberoi Group

76 million

KKR

Kolkata

Shahrukh Khan (Red Chillies Entertainment),Juhi Chawla,


Jay Mehta(Mehta Group)

75.9
million

MI

Mumbai

Mukesh Ambani (Reliance Group)

111.9
million

PW

Pune

Subrata Roy (Sahara India Pariwar)

370
million

RR

Jaipur

Lachlan Murdoch (Emerging Media),Shilpa Shetty, Raj


Kundra(UK Trade corp Ltd)

67 million

RCB

Bangalore

Vijay Mallya (UB Group)

111.6
million

SH

Hyderabad Sun TV Network

159
million

REVENUE COMES FROM

Auction of broadcasting right

REVENUE MODEL OF IPL

Broadcasting revenue distribution


100%
90%
80%
70%
60%
broadcasting Revenue in %

50%

teams gets
BCI gets

40%
30%
20%
10%
0%

1 to 3 4 to 5 6 to 10
years

FRANCHISEE REVENUES
Media rights-to be shared among the franchisee after
removing IPLs shares.
Sponsorship rights- 60 % amount collected to be
distributed equally amongst the franchisee
Local sponsorship-team sponsorship revenues
Gate receipts- major source of revenue ,20% are
allocated for IPL.

PLAYERS REVENUE

BCCI REVENUE (Rs. in billion)


turnover
income from media rights

profit
total expenditure
8.49

5.81
4.67
3.92

3.82

2.65
1.02
2010-11

1.18
2011-12

HOW IS THE IPL INCOME DISTRIBUTED ?


Share of broadcasting money with franchisees.
Share of sponsorship money with franchisees.
Share of ticket money with franchisees.
Prize money: $5 million ($3 million for winner; $2
million divided among others).

THANK YOU

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