META DESCRIPTION: How much money really goes into the IPL pool? IPL matches have become a worldwide cricket rage. Unravel the statistics of how much the Indian Premier League actually makes!

The ultra-popular IPL matches in India have become another religion to unite the cricket-loving masses. Gaining this massive love from the crowd, one must wonder, with the big brand names and investors involved, how much money does the Indian Premier League make, after all?

We all are aware of the concept of bidding and ‘buying’ players for a team. That is the root of all the rage going on for the massive sums of money that star players are sold for! Ever wondered how these IPL franchises can afford these stellar players at a whooping cost and yet make money?

PS: Check out our English Premier League Predictions now

The basic idea

The brilliance of the IPL structure lies in the business perspective that it has been laid out from. It is much more than a sport – A cricket tournament that has amassed a great commercial value. For brands, it is not only a platform to advertise their identity but also a key platform for investors to make money.

The basic idea here is to integrate private brands that will own these teams and invest in the making f the tournament. This is the main source of money. Now, the beauty is in the balance created between the brand and corporate amalgamation with the game.

Why would brands invest? – To advertise their identity in the best ways possible ways. There is no other league that allows players to wear brand logos on their t-shirts which is something the best brands would pay for! There are many high profile Bollywood celebrities involved, which make it an even more promising platform for solid entertainment that people are likely to watch at all costs!

How teams make money:

Some of the primary sources of money-making for these franchises include:

  1. Sponsorship – A massive chunk of the revenue is generated through brand sponsorships. This is to offer a platform for promoting the identity of the brand either through the players or advertisements and visual displays on TV and the playing field. 

    With these brand names printed on shirts and jerseys, the highest revenue providing sponsors are easily attained to back up the teams. Up to thirty percent of the main revenue is generated through sponsorship.
  • Tickets and Merchandise – This is the part of revenue generation from the masses. The selling of the tickets generates some revenue, most of which is directed back to the team after the sponsors and BCCI deduct a portion.

    This is around ten percent of the total revenue that IPL teams generate. Other than this, even team merchandise like t-shirts, caps, watches, bands and other fandom objects sell well in the environment where loyal supporters want to go all out! Stall renting and trading of players are other means of amassing some revenue.
  • Media – This is where the main money-making lies. The BCCI gets a massive sum of money from all the broadcasters and online platforms that stream the IPL matches. 

    This eventually goes to the team after the due deduction. The broadcasting channels make their own profits with eyes glued to their channels or the online forums during these ever-so-popular matches, thus, generating the main source of revenue for the IPL teams. 

    The money generated through these media rights makes up the primary source of income for the IPL teams and the BCCI during the Indian Premier League. With up to seventy percent of the revenue generated through media right revenue, the IPL is able to make a great deal of money each year.

Final Words

With these financial aspects, a great deal of money is actually made through IPL. Taking about some of the sponsors in the past, we can observe a constant growth in the sponsorship fee from 2008, where DLF was the sponsor, the cost stood to be up to Rs. 40 Crore. 

 In 2013, under the sponsorship of Pepsi, the amount grew to be Rs. 72 Crore. Eventually, with Vivo as the latest sponsor form 2016-2022, the amount grew from Rs. 100 Crore to a staggering Rs. 440 Crore!

On an average IPL makes 4.33 million US dollars each year owing to the masses and love that the game receives from all over the world. It is the power of the diversity of players and the unity of the sport that makes it as loved and celebrated as IPL stands to be today!


Recommended Reading:


Comments are closed.