IPL brand value down by 3.6% to INR 45,800 crore due to COVID-19 pandemic: Report

WION Web Team
New Delhi, India Published: Mar 10, 2021, 04:02 PM(IST)

IPL Photograph:( Twitter )

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The Indian Premier League (IPL) has lost 3.6 per cent of its brand value to INR 45,800 crore in the year 2020. In 2019, the IPL had a brand value of INR 47,500 crore with a growth of seven per cent over the previous season. 

The Indian Premier League (IPL) has lost 3.6 per cent of its brand value to INR 45,800 crore in the year 2020. In 2019, the IPL had a brand value of INR 47,500 crore with a growth of seven per cent over the previous season. 

According to a Duff & Phelps brand valuation report released on Wednesday, Mumbai Indians has retained the top spot in brand rankings for the fifth season on the trot with a brand valuation of INR 761 crore but is down by 5.9 per cent from the year 2019. 

Chennai Super Kings and Kolkata Knight Riders have witnessed their brand value hit by 16.5 per cent and 13.7 per cent respectively from the year 2019. CSK's brand value dropped to INR 611 crore from INR 731 crore whereas KKR slipped to INR 543 crore from INR 629 crore, the report said.  

Duff & Phelps said that the year 2020 hit by the COVID-19 pandemic was challenging for every sector and has affected the sports economy after disrupting the sporting calendar. Almost every major tournament was either cancelled or postponed in the year 2020. 

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The IPL franchises saw a decline in their brand value from 2019 due to sponsorship revenue, gate receipts and reduced food and beverage revenue.  

“Similar to the impact on other businesses and the overall economy, the pandemic has led to a decline in the IPL ecosystem value. However, with people forced to spend time at home, there was an increase in IPL television viewership making the 2020 edition a huge success for broadcasters as it broke viewership and advertising revenue records.  

“Television ratings skyrocketed and advertisers tapped into this opportunity to scale up their brand image. Despite the challenging year, this momentum is indicative of how strong the IPL brand has become,” said Santosh N of Duff & Phelps India. 

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"With the economy opening and virus infections decreasing, sponsorship deals are expected to be back to the pre-pandemic levels. Also, an increase in the number of teams in 2022 and the renewal of media rights in 2023 will enhance the IPL ecosystem value in the future," Santosh added. 

“The IPL reflects the evolution of the modern cricket business, with clubs benefitting not only from the sport’s enduring popularity but also from the game going global and from some great marketing initiatives. All teams need to continue broadening their footprint, forming relationships and generating revenue opportunities in growth markets," said Varun Gupta of Duff & Phelps. 

In 2020, the IPL witnessed lower sponsorship revenue as compared to 2019. While Dream11 paid INR 222 crore for the season as compared to VIVO's deal of INR 440 crore a season for IPL title sponsorship. 

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