Title Sponsorship: The Awaited Race Of IPL 2020
After Patanjali for the title sponsorship of IPL 2020, now the educational tech company Unacademy has also come into the fray. After the removal of Chinese company Vivo from IPL, two Indian companies have so far expressed their desire for sponsorship. The BCCI has also reduced the sponsorship amount. Unacademy is currently part of the Central Sponsorship Pool. Along with Patanjali and Unacademy, Byju and Amazon are also in the race for the title sponsorship.
Recently, Vivo has been removed from the title sponsorship of the IPL. The Board of Control for Cricket in India has reduced the amount of sponsorship to woo companies of Indian origin. Earlier this amount was Rs 440 crore annually. But the board has now reduced it to Rs 300– 350 crore annually.
In this race of sponsorship, the deal can be costly for Patanjali due to the arrival of Unacademy. The board has asked for applications for central sponsorship. The last date has been set for the application on 14 August. According to senior officials, so far only Patanjali and the academy have taken the forms for the title sponsorship. But educational firms Byju and e-commerce firm Amazon are also involved in this race. However, no official statement has been released on this yet.
Byju already sponsors the Indian cricket team currently. At the same time, the academy is currently part of the Central Sponsorship Pool in the IPL. The company will be a part of the central sponsorship of the IPL for the years 2020 to 2023. It also includes homegrown companies like Dream 11 and Paytm.
What is the difference between Central Sponsorship and Title Sponsorship?
Indian companies dominate the central sponsorship of IPL. It includes indigenous companies such as Paytm and Dream 11, along with Unacademy. However, the rights of both Central and Title Sponsorships are different. Jersey sponsorship is not covered under IPL in Central Sponsorship. That is, the title printed on the jersey is only entitled to title sponsorship. After paying the highest amount in the auction, the board hands over its rights to the company concerned. Experts say that the company gets good after-match presentation areas, backdrops in dugouts and boundary rope for its branding.
Vivo gave huge amount for title sponsorship
After the removal of Vivo from the title sponsorship, the name of yoga guru Baba Ramdev’s company Patanjali was leading in its alternative. But now the academy and Byju have also joined this race. Explain that 100% of the investment in the academy is Indian. Vivo held IPL title sponsorship rights for 5 years. For this, Vivo paid Rs 2,190 crore to the board for the auction. According to reports, the company gave Rs 440 crore annually. The contract is from the year 2018 to the year 2022.
After the violent clash with China in the Galvan Valley, there was a nationwide uprising against Chinese goods and companies. The BCCI was also under pressure to remove Chinese companies from sponsorship. After which the Chinese-origin company Vivo was removed from the title sponsorship of the IPL. The IPL, which started late due to Corona, maybe happening abroad but it is believed that this time there will be a strong domestic temper.
Money reigns in IPL amid immense profits
According to reports, Star Sports had made a profit of Rs 2000 crore through advertising from IPL in 2019 and Rs 1800 to 2000 crore in 2018. Explain that Star Sports has the rights to broadcast the IPL. Experts say that companies make more money in the IPL through advertising than in the Cricket World Cup. More matches are organized in the IPL than in the World Cup.