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Wednesday, April 16, 2014

IPL kicks off, but lacks the usual carnival feel - Economic Times

NEW DELHI | MUMBAI: India's biggest sporting extravaganza IPL is back, but without its customary bang. The Twenty20 tournament this year had no glitzy inaugural ceremony like in the past and the combined impact of the betting scandal, elections and relocation of the first leg to the UAE has ensured profits will elude most teams this year.

So far, before the IPL begins, teams, sponsors and the organisers along with the broadcasters created a carnival atmosphere with outdoor hoardings, television commercials, contests, on-ground activations at malls and colleges. All that pre-IPL action peaked at the star-packed inaugural ceremony where one year Katy Perry performed while the next saw rapper Pitbull on stage, enthralling audiences.


IPL kicks off, but lacks the usual carnival feelThe seventh edition of the IPL kicked off on Wednesday with Mumbai Indians taking on Kolkata Knight Riders at Sheikh Zayed Stadium in Abu Dhabi. "It could be the Gavaskar effect. He's being cautious, maybe too cautious. The buzz definitely is missing from IPL this time," says a senior BCCI official, who did not wish to be named.


The buzz might also have been muffled because of non-cricketing reasons. For one, the IPL tournament has been under immense scrutiny because of the betting and spot-fixing scandal, the Mudgal Committee's findings and the ensuing hearing in the Supreme Court that had also put the future of IPL-7 in question till a few days ago.


"The uncertainty, late scheduling and the general elections have taken the buzz out this time," says Hemant Dua, chief executive officer of GMR Sports, which owns the Delhi Daredevils team. "Our energies have gotten divided."


Dua says that while the first 15 days are in the UAE, when the tournament comes back to the country, teams will try to create some buzz around the games. "We have delayed our outdoor campaign. It will now start in the next week or so, which will be closer to the India leg of IPL next month," he says.


HDFC chairman Deepak Parekh, who has been roped in as a special advisor to Sunil Gavaskar, interim BCCI president for IPL affairs, says it's difficult to generate enough interest in India for IPL at the moment because of the elections. "It's not as if people don't want to watch cricket, but the buzz of elections with the big fights is bigger on TV, in newspapers and otherwise. Basically, cricket has not got the front seat at the moment," says Parekh, adding, "But after elections, the buzz will be back, I'm sure."


This lethal concoction of lack of excitement, the scandal and elections has meant sponsors are not as hot about IPL as they were last year or before. Sponsorship revenues for IPL franchises this year are expected to be down at least 15%, and in some cases, even worse at 50% lower compared to last year. "Because many deals were last minute, rates were compromised," says K Shanmugam, chief executive officer of Sunrisers Hyderabad team.


Dua of Delhi Daredevils says money spent by brands on advertising around elections is competing with IPL sponsorship. "While we have sold all our IPL assets this year, values have been lower."


Teams are also finding newer ways to bring in sponsors. For instance, Delhi Daredevils has roped in KamaSutra Deo as the official grooming partner for the next three years. According to industry estimates, the valuation of the deal could be anywhere between Rs 90 lakh and Rs 1.2 crore. "First, we got an opportunity to associate with an IPL team within our budget, which is not obtainable with every team.



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