India invest in cricket bussiness
Indians are mimicking the North American model to develop a sports market that is considered very lucrative in the second most populous country in the world.
Money, stars and shows
After the victory at the 1983 World Cup, cricket – a sport brought by the British in the 18th century – became a lucrative faction in India. Some businesses see chances at potential market of 1 billion consumers. So in 2008, the league was merged to meet many economic and commercial objectives.
Under the movement of Lalit Modi, a former vice president of the Indian Cricket Executive Council (BCCI), an Indian Premier League (IPL) tournament quickly limit matches to last only 3 hours (a cricket match could last … four days before!).
The next stage is to select eight cities with teams and then auction them in a franchise fashion, attracting local businesses and movie stars to invest. BCCI earned $ 723.59 million from selling eight cricket teams, of which Reliance Industries spent $ 111.9 million to buy the Mumbai Indians.
The rest is just the right show when the famous movie stars appear on the stands, the pom-pom girls on the field and the staged entirely American style.
After six years, IPL is now considered the largest business success of Indian sports. The tournament lasts only seven weeks in the year (around April) and has a weekly salary paid to the world’s second-tallest athlete, just behind the NBA.
In 2013, star Mahendra Singh Dhoni of Chennai Super Kings ranked the 16th highest paid athletes in the world with about 3.5 million USD and lucrative advertising contracts of Pepsi and Sony (about 28 million USD). ).
These brands also signed huge sponsorship contracts with BCCI. Pepsi spent about $ 74 million to become a major partner within five years. And Sony Entertainment Television has signed exclusive rights to television matches from 2009-2017 for $ 1.7 billion.