Money, money, money!
A strong rebound in the domestic economy and smart financial engineering has ensured that IPL-III would make every team owner richer, reports HT Correspondent.cricket Updated: Mar 13, 2010 02:23 IST
A strong rebound in the domestic economy and smart financial engineering has ensured that IPL-III would make every team owner richer.
Each franchise owner received Rs 67.5 crore from the central revenue pool last year that constituted the bulk of the team owners’ earnings. Team sponsorships also fetched Rs 24 crore for each team owner. This year, the teams’ share from the central pool is set to double.
Organisers have carved new slices of revenue, monetising every potential source from Internet, movie theatres, mobile phones and even “strategic time out” sessions.
The revenue earned from each of these deals would be channelised into the central revenue pool, a proportion of which is given away to the team owners in a pre-determined formula. For instance, industry sources said, tyre major MRF is dishing out Rs 16 crore for the blimp at venues while Maxx has inked a Rs 20-cr per annum deal as the strategic time out partner. Mobile handset manufacturer Karbonn Mobiles has signed a Rs 32 crore-deal.
The tournament continues to remain among the most sought-after properties of the television world. General entertainment channel Colors has reportedly paid $130 million (about Rs 600 crore) for a three-year licensing deal, which will be split between the eight franchises. The theatre rights have been sold to UFO Moviez. While the value of the deal is not known, industry sources said the theatre chain owner could expect revenues worth Rs 40-50 crore revenues in the first year. UFO has more than 1,700 digital screens across India and has tied up with Crown Infotainment who holds the distribution rights for IPL 2010 to introduce IPL matches in theatres. In another deal the entire IPL 2010 season will be broadcast live on Internet on YouTube
The deal - under which all 60 games will be shown live or on a short delay on a dedicated YouTube channel - will apply across the world, except in the USA, which will have re-broadcast options. The agreement gives Google, owners of YouTube, exclusive online rights for IPL content for two years.
Both the parties will share the revenue from sponsorship and advertising, sources said.
Sources in the media buying industry said the sponsorship deals on YouTube are available for between Rs1.5 crore and Rs 4 crore.