Categories
Games

IPL BUSINESS- Larger than what U think.

It has been an year since i wrote this post. The post has attracted a lot of traffic especially the last quarter considering the  hype about IPL season 2. Considering the traffic stats from search terms, I thought i  should write a followup post with a better analysis of the revenue figures. The basic Numbers of IPL are as follows. dlf_ipl_logo Television rights Joint bid by India’s Sony TV network and Singapore-based World Sports Group secured the global broadcasting rights for 1.026 billion dollars for a 10-year period. The deal was re-negotiated this year after the IPL cancelled the Sony-WSG deal citing poor production quality. Sony-WSG won back the rights after agreeing to pay 1.63 billion dollars for the next nine years till 2017 in an out-of-court settlement. Dollars paid by individuals and groups at an auction in January 2008 to buy the eight teams – 111.9 million by industrialist Mukesh Ambani for Mumbai Indians. – 111.6 million by liquor and airline tycoon Vijay Mallya for Bangalore Royal Challengers. – 107 million by newspaper group Deccan Chronicle for the Hyderabad-based Deccan Chargers. – 91 million by BCCI secretary and businessman N. Srinivasan for Chennai Super Kings. – 84 million by business group GMR Holdings to buy Delhi Daredevils. – 76 million by Bollywood star Preity Zinta and her friends for Kings XI Punjab. – 75 million by Bollywood star Shahrukh Khan for Kolkata Knight Riders. – 67 million by Emerging Media group, partly owned by Lachlan Murdoch, for Rajasthan Royals. Top IPL earners (per season, in dollars) :
1. 1.55 million – Kevin Pietersen – Bangalore Royal Challengers
2. 1.55 million – Andrew Flintoff – Chennai Super Kings
3. 1.50 million – Mahendra Singh Dhoni – Chennai Super Kings
4. 1.35 million – Andrew Symonds – Deccan Chargers
5. 975,000 – Sanath Jayasuriya – Mumbai Indians
6. 950,000 – Ishant Sharma – Kolkata Knight Riders
7. 950,000 – Jean-Paul Duminy – Mumbai Indians
8. 925,000 – Irfan Pathan – King’s XI Punjab
9. 900,000 – Jacques Kallis – Bangalore Royal Challengers
10. 900,000 – Brett Lee – King’s XI Punjab
11. 850,000 – Harbhajan Singh – Mumbai Indians Note: Players not available for the entire tournament are paid on a pro-rata basis per match.

India’s ‘icon’ players Five Indian stars were given ‘icon’ status and were not put up for auction last year, thereby ensuring they played for their ‘home’ teams. They earned 15 percent more than the highest-paid player in their respective teams
* Sachin Tendulkar (Mumbai Indians) – 1.12 million dollars
* Sourav Ganguly (Kolkata Knight Riders) – 1.09 million dollars
* Yuvraj Singh (Kings XI Punjab) – 1.06 million dollars
* Rahul Dravid (Bangalore Royal Challengers) – 1.03 million dollars
* Virender Sehwag (Delhi Daredevils) – 833,750 dollars

Prize money
* Winner: 960,000 dollars
* Runners-up: 480,000 dollars
* Losing semi-finalists: 240,000 dollars
* Fifth-placed team: 160,000 dollars
* Sixth–placed team: 140,000 dollars
* Seventh-placed team: 100,000 dollars
* Eighth-placed team: 80,000 dollars A little bit of googling lets me understand that the revenues will be shared in the following manner which i confirmed from

here. “World over, any league has three main sources of income namely media receipts, gate receipts and sponsorships. Under IPL, these three streams are categorized under central and local. Central revenues are through IPL. A Central 1. Media rights – To be shared equally amongst franchises after removing IPL’s share. 2. 2. Sponsorship rights (IPL sponsors) – 60% of the amount collected to be distributed equally amongst the franchises. B Local 1. Sponsorships – Team sponsorship revenues are the most variable and are dependent on the marketing skills. For example, teams like India Cements have marketed their teams based on the format of IPL – where sponsorships are sold on categories. ICL’s main sponsor is Aircel. In contrast, the other team of Deccan Chronicle will have team partners. These partners will have ownership of the team. For example, in case of an entertainment partner, anything to do with entertainment from cheerleaders to fours and sixes will be seen by that party. 2. Gate receipts – Are anticipated to be a major source of revenues. 20% of tickets are to be allocated to IPL.” So far the predictions are that IPL Season 2 ‘s Revenue will be around 10,790 cr which according to Modi is 1725 cr more than last season’s revenue. That’s it with the facts and figures which I can share. 10,790 cr is really a huge amount of money to rake in from the common man’s interest in cricket. Now I know what my interest in cricket is worth(atleast approximately). Last year I had made a mention in my post that some part of the IPL’s revenues be spent for a social cause. I am not sure if they heard me, this year they have the HEAT programme which is aimed at spending about Rs 40 miIllion for education of the youth in South Africa. I definitely appreciate their start. Hope their spending increases drastically over the years. Have an idea? Wanna share ur thoughts. Go ahead, leave a comment… I would love to talk to you.

Categories
Economy

Is Sin So bad?

It’s been two weeks since I read this article. I am still trying to imagine how India would have been if all the numbers in the Image below were not true. These numbers are not acceptable for a country like India where the tradition emphasis on discipline since birth. I am still unable to digest that fact that India spends about 3, 00,000 crores (Rs.3, 000,000,000,000- just wanted to see how big the number really looks like) in through these sin activities. These numbers mentioned in the article have left me speechless. Soon after I finished this article, I asked myself, is there a fix for this? By the way why should it be fixed at all? Aren’t these people entitled for their glass of beer, isn’t it their right if they wish for it.

Sin Country

We have to understand one thing here, these figures contribute significantly to the Indian economy, am glad that the people who like Vijay Mallya have seen it as a business opportunity and are capitalizing on the same. People don’t start arguing with me that, the way money is coming is not a healthy way and the kind of India it will create is not the one we would want to leave behind for our children. I really don’t see anything wrong in the way these are happening, (all I can is pity those who are below the poverty line and are addicted to these). These activities are not something new and happening with just the start of the westernization. Indian literature like mahabharatha, Silapathikaram have instances of most of these activities in them to prove that these are prevalent since ages, only that never was it quantified into numbers like these.

Here is my piece of advice for those who contribute to this sin economy,

Stop worrying about all these stuff and continue to be the way you are (u and I cannot change this), because I am sure, some time later in your life your doctor or the mortgage guy will be behind you.

Categories
Games

Hats off to Kapil's Devils!

This June 25th marks the 25th yr of India’s World Cup Victory in Cricketing history.

Hats off to the team, which made India a proud World Cup winner. Guess What! The team again is gathering at London to celebrate the occasion.I am extremely happy that the day is remembered as an important occasion.

Does this day require to be celebrated?

I really feel they are mourning 25yrs of India’s failure at the past 6 world cup events.

Just for a second, if we imagine, we had won the world cup one more time, then probably this Grand Party would just be a small party amongst the team.

The more the number of wins in the past 25yrs had India made lesser are the chances of the party being grand and lesser the chances of Liquor Baron sponsoring a dinner. (I am not against the Baron either, his business acumen deserves appreciation).

I am not against the day being remembered, it definitely has to be remembered and these 14 gentlemen (collectively referred as Kapil’s devils) should be felicitated. But I can bet that these gentlemen would be happier on June 25th if they had created another team as good as themselves to bring the world cup to India for a second time.

After all parents are delighted if their children overtake them.