Team In­dia Spon­sor­ship May Fetch BCCI Over .₹ 538 Crore

Cricket board has ini­ti­ated a ten­der process to award the ‘of­fi­cial spon­sor’ rights for next 5 years

The Economic Times - - Brands: Creating Desire - Gau­rav.Laghate@

times­group.cpm Mumbai: Team In­dia spon­sor­ship is up for grabs, and Board of Con­trol for Cricket in In­dia (BCCI) is set to rake in at least ₹ 538 crore by sell­ing the rights for five years.

The cricket board ini­ti­ated the ten­der process to award one of the most cov­eted spon­sor­ship rights — the of­fi­cial team In­dia spon­sor — on Mon­day.

Star In­dia owns the spon­sor­ship rights till March 31.

In the five years start­ing April, team In­dia is ex­pected to play 259 matches, in­clud­ing 238 bi­lat­eral matches and 21 across ICC tour­na­ments — ICC Cham­pi­ons Tro­phy in June 2017, 2019 ICC World Cup, 2020 ICC World T20, and 2021 ICC Cham­pi­ons Tro­phy.

BCCI has set ₹ 2.2 crore as the base price for bi­lat­eral matches, while for ICC tour­na­ments the base price is set at ₹ 70 lakh. Even at the base price, BCCI will earn at least ₹ 523.6 crore from bi­lat­eral matches and ₹ 14.7 crore from ICC prop­er­ties, to­talling ₹ 538.3 crore. How­ever, go­ing by BCCI’s past record and the way team In­dia is per­form­ing in re­cent times, ex­perts be­lieve that the ten­der may see ag­gres­sive bid­ding.

“We've had a promis­ing start to the ten­der process with in­ter­ested par­ties buy­ing the ten­der doc­u­ment. We look for­ward to con­clud­ing the process and an­nounc­ing the team spon­sor for the next five years on March 7,” a BCCI spokesper­son told ET. “BCCI has de­liv­ered the high­est value in team spon­sor­ship across all the cricket teams in the world. And it has done that con­sis­tently for 20 years,” the per­son said.

At present, Star In­dia is pay­ing ₹ 1.92 crore per match for bi­lat­eral matches (base price was set at ₹ 1.5 crore) and ₹ 61 lakh for ICC cham­pi­onship se­ries.

In­dus­try sources ex­pect mo­bile hand­sets mak­ers, telecom ser­vices providers, dig­i­tal over­the-top firms and ecom­merce play­ers to fight for the cov­eted rights.

The team spon­sor­ship rights in­clude the right to be called the “of­fi­cial team spon­sor”, and to dis­play a com­mer­cial logo of the spon­sor on the teams play­ing un­der the aegis of BCCI, in­clud­ing men's, women's, Un­der-19 and In­dia A teams.

FIRST SPORT­ING RIGHTS

Of­fi­cial team spon­sor­ship was the first prop­erty to be com­mer­cially ex­ploited by the BCCI back in 1993. The first agree­ment was with ITC, which un­der its flag­ship brand ‘Wills’, spon­sored the team for nine years. The com­pany, how­ever, had to pull out in 2002 when the then Atal Bi­hari Va­j­payee led-NDA gov­ern­ment de­cided to ban ad­ver­tis­ing of to­bacco all prod­ucts. Be­tween 1993 and 1999, ITC paid over ₹ 45 crore to BCCI for the spon­sor­ship. In the last con­tract, be­tween 1999 and 2002, the com­pany’s pay­out to the cricket board was at ₹ 35 lakh per test match and ₹ 30 lakh for every one day in­ter­na­tional.

Af­ter ITC pulled out, Sa­hara In­dia Pari­war be­came the team In­dia spon­sor. The agree­ment was re­newed mul­ti­ple times over the next 11 years. Be­tween July 2012 and De­cem­ber 2013, Sa­hara paid BCCI as much as ₹ 3.34 crore for every bi­lat­eral match.

Star In­dia picked up the team spon­sor­ship rights for three years in 2014. Though Sa­hara had made the high­est bid — of­fer­ing ₹ 2.03 crore per bi­lat­eral match and ₹ 91 lakh for every ICC match — BCCI dis­qual­i­fied it on tech­ni­cal grounds.

Go­ing by BCCI’s past record and the way Team In­dia is per­form­ing, ex­perts be­lieve that the ten­der may see ag­gres­sive bid­ding

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