JioStar to Earn ₹6,000 Cr from IPL

With 90% of the inventories sold out, JioStar expects to ring in more than a 58% increase over last year's IPL, when it clocked Rs 3,900 crore.

Reliance JioStar is set to create a record with advertising revenues, linear TV and digital combined, from the upcoming Indian Premier League (IPL) expected to go past Rs 6,000 crore (Rs 60 billion), according to estimates by sources aware of the development and media planners.

With 90 per cent of the inventories sold out, JioStar expects to ring in more than a 58 per cent increase over last year's IPL, when it clocked Rs 3,900 crore (Rs 39 billion).

Ad revenue, according to sources, is expected to be around 55 per cent from digital and 45 per cent from linear TV. That is because while ad inventories on TV are limited there is no such restriction on digital.

With days to go for the IPL to kick off, it comes on the back of India's victory in the Champions Trophy.

Even though advertising revenues from the tournament were not big, owing to India's performance Jio-Star has been able to rustle up over Rs 750 crore (Rs 7.5 billion).

The top guns that are advertising include beverage company Campa, which has been acquired by Reliance Retail, Coke's Thumbs Up, fantasy cricket app My 11 Circle, State Bank of India, Amul, Dream 11, and Birla Opus.

"Market sentiment will determine the IPL volumes and rates," Sandeep Goyal, chairman, Rediffusion, said. "If financial markets remain lukewarm all the startup financial brands might not spend."

"The Government of India is red-flagging pan masalas. If it red-flags liquor, volumes will be fairly hit," Goyal explained.

"But the one advantage is that most of the IPL matches are in the new financial year.

"Brands that have large budgets on cricket will again have new budgets."

In 2023 Viacom18, an entity of the Reliance group, bought the digital as well as linear broadcasting rights for the IPL for Rs 39,775 crore (Rs 397.75 billion) for five years, which on average means forking out Rs 7,995 crore (Rs 79.95 billion) per year, more than double that of the previous five years.

The TV rights went for Rs 21,275 crore (Rs 212.75 billion) while the digital rights were a shade lower at Rs 18,500 crore (Rs 85 billion).

GAME ON

• IPL ad revenues expected to be up by 58% over last year
• Ad revenue split pegged at 55:45 between digital and linear TV
• Champions Trophy ad revenues have rustled up Rs 750 crore

Feature Presentation: Ashish Narsale/Rediff.com