IPL 2024
IPL 2033 Sponsorships Smash ₹15,000 Crore Record Despite Format Shifts
By CricShots - Mar 19, 2024 4:04 pm
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India’s love affair with cricket shows no signs of slowing down. While some might have questioned the sport’s future with the changing format landscape, a new report reveals a booming sponsorship market, proving cricket’s enduring dominance. GroupM ESP’s report, diving into the Indian sports sponsorship scene, paints a clear picture: cricket continues to be the undisputed king.

IPL 2023 IPL 2024
IPL 2024

A staggering ₹15,000 crore ($1.8 billion) was pumped into sports sponsorships in 2023, with a whopping 87% (₹13,701 crore) dedicated solely to cricket. This translates to a significant 13% year-on-year growth, highlighting the unwavering passion for the game. The Indian Premier League (IPL) serves as a prime example of this fervor. The TATA Group’s recent record-breaking acquisition of the IPL title sponsorship for ₹2,500 crore ($300 million) over five years speaks volumes.

This isn’t TATA’s first foray into cricket sponsorship, having previously backed the IPL in 2022 and 2023, and currently supporting the burgeoning Women’s Premier League. The IPL itself is witnessing phenomenal growth. Its valuation skyrocketed to a staggering $10.7 billion in 2023, a remarkable 28% leap from the previous year.

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This represents a staggering 433% increase since its inception in 2008. The broadcast value of $14.2 million per match shattered records previously held by premier events like the English Premier League and Major League Baseball. Interestingly, the rise of digital advertising is changing the sponsorship landscape. While TV ad spending for the IPL dipped by 17%, digital advertising surged over 25%, now accounting for 40% of the total sports ad expenditure.

CSK IPL 2023
CSK won the IPL 2023 title

Similarly, the ICC Men’s Cricket World Cup witnessed a digital and TV ad spending boom, with both categories experiencing a surge of over 40% compared to the 2022 T20 World Cup. While cricket enjoys the spotlight, emerging sports haven’t been entirely left behind. Despite a marginal 1% decline, they still hold a respectable 13% share of the industry expenditure at ₹2,065 crore ($250 million).

However, the real game-changer is the tremendous growth in franchise fees, which rocketed by a staggering 60% to ₹2,628 crore ($320 million). This significant increase significantly contributed to the overall sponsorship revenue, which saw a 24% jump to a whopping ₹7,345 crore ($880 million).

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India’s unwavering love for cricket, evident in these monumental sponsorship deals and innovative digital engagement strategies, secures the sport’s future as a financial powerhouse. As the nation continues to reinvent its cricketing passion, the future of the game in India appears brighter than ever.