IPL Brand Valuation Report 2018

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IPL Brand Valuation Report - 2018
Varun Gupta
Managing Director,
Asia Pacific Leader
for Valuation Services
FOREWORD
Dear Readers,
Welcome to the latest edition of the Duff & Phelps Indian Premier League (IPL) Brand
Valuation Report. The 2018 edition of the IPL set a relatively different tone as compared to its
previous editions. We witnessed a new broadcasting partner for IPL in Star India, which
acquired the next five years’ global broadcast and digital rights for approximately US$ 2.55
billion. It was heartening for us to see that the broadcast rights deal was very close to what we
had predicted in our last report. The Star broadcasting rights deal put IPL on par with some of
the biggest sporting leagues in the world (on a fee per match basis).
IPL continued to hit all the right notes this season. There was quality cricket on display
throughout the tournament, including the thrilling grand finale in Mumbai. Chennai Super Kings
(CSK) returning after a two-year absence beat Mumbai Indians (MI) by a whisker in the
inaugural match because of DJ Bravo’s brilliance and along the way, we were privileged to
watch some captivating games throughout the season. CSK, which was initially derided as a
“Dad’s Army” because of the presence of many players over thirty years in age, showed that
age is just a number. Not only did they win the title but also carried an aura of invincibility
throughout the tournament. CSK’s success story is a classic example of a well-thought-out
auction strategy, effective resource management and the unbridled faith and belief that CSK
management showed in their leader, M.S. Dhoni. This season was also the most unpredictable
one, as no one could guess who would qualify for the top four till the last day of the league
round. It was also great to see full houses in almost all the games. Kings XI Punjab (KXIP),
who were struggling to fill their home ground in Mohali till last season, saw almost all their
home games played in front of sold-out crowds.
From a financial standpoint, as the IPL moves into a more mature and stable phase, franchise
owners and investors are likely to focus more acutely on return on investment. The increased
revenue allocation from the central pool will definitely help, coupled with the teams’ ability to
generate higher team sponsorship revenues. As per information provided by the industry
experts, most teams saw their team sponsorship revenues increase by at least 20% when
compared to last year.
Like all major sporting brands across the world, with the usual revenue sources, it is imperative
for the franchises to keep engaging the fans outside the pitch to be able to monetize their
brand more effectively. IPL teams can reference the popular European Premier League (EPL)
clubs that have set a benchmark on monetizing their brands by engaging their billion-plus fan
bases across the world using various innovative marketing and brand building techniques. The
clout that EPL clubs possess has also helped EPL frequently sign up multi-billion-dollar TV
broadcasting deals.

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With monetization and profitability, IPL and its franchises are also obligated to give back to the society.
Globally, Corporate Social Responsibility (CSR) initiatives are the backbone of successful sports teams as
major sports leagues in the world have a powerful impact on their stakeholders, primarily the fans. The
benefits of CSR initiatives are not profound in their day-to-day operations, but they lay a platform for
long-term sustainability of the league and the teams. We have seen most IPL teams doing their bit of CSR
activities but there is still a long way to go when compared to the established leagues across the world.
Meanwhile, the overall value of the IPL ecosystem has increased from US$ 5.3 billion last year to US$ 6.3
billion this year. The renewed broadcast rights deal was the major contributor to this increase. Amongst
franchises, Mumbai Indians with a brand value of US$ 113.0 million continue to top the charts for the third
season in a row. Right behind them are Kolkata Knight Riders (KKR) with a brand value of US$ 104.0
million. Serving a two-year ban has had some bearing on the brand values of Chennai Super Kings and
Rajasthan Royals (RR). However, CSK’s on-field performance plus the Dhoni factor helped it to negate the
negative impact as they were valued at US$ 98.0 million alongside Royal Challengers Bangalore (RCB) with
whom they shared the third spot in the brand rankings. Sunrisers Hyderabad (SRH), Delhi Daredevils (DD),
Kings XI Punjab and Rajasthan Royals follow in the brand rankings.
I would also like to thank the Board of Control for Cricket in India (BCCI) for their continued support. This
year, we also had the privilege of speaking to several IPL and sports business experts and I wholeheartedly
thank each one of them for their valuable inputs.
As an aside, this year Duff & Phelps celebrates its 10th anniversary in India, and I would like to take this
opportunity to thank all our clients for their continued support.
We hope you enjoy reading this report and look forward to your feedback.
Varun Gupta,
Managing Director
Photo Courtesy of BCCI

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Summary of Brand Value
MUMBAI
INDIANS 1
BRAND VALUE 2018: $113m
7%
KOLKATA
KNIGHT RIDERS 2
5%
ROYAL
CHALLENGERS
BANGALORE 3
11%
CHENNAI
SUPER KINGS 3
NA
BRAND VALUE 2017: NAAAAA
SUNRISERS
HYDERABAD 5
25%
DELHI
DAREDEVILS 6
18%
KINGS XI
PUNJAB 6
27%
RAJASTHAN
ROYALS 8
NA
BRAND VALUE 2017: NAAAAA
VALUE OF IPL ECOSYSTEM (USD Billion)
% Change
0
1
2
3
4
ValueinUSDbillion
Year
5
6
7
2014 2015 2016 2017 2018
3.2
3.5
4.2
5.3
6.3
USD 6.3 Billion

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Harsh Talikoti
Associate Vice President
Introduction
“Sports can create hope where once there was despair. It is more powerful than
governments in breaking down racial barriers. It laughs in the face of all types of
discrimination” – Nelson Mandela.
Over the last decade, we have witnessed a cricketing
carnival in the form of the Indian Premier League. The
exhilarating, edge-of-the-seat action of the Twenty20 (T20)
format, coupled with the glamor of Bollywood celebrities,
global cricketing talent, interest of business tycoons and
fan frenzy has catapulted IPL to the pinnacle of sports
entertainment in India and the cricketing world.
The growing value of the IPL ecosystem, which we value
at US$ 6.3 billion (up from US$ 5.3 billion last year), is
a testament to its success and this success has trickled
down to impact the lives of several players participating
in the event. Strugglers have become stars, and stars
have become superstars! There are fresh faces such as
Mohammed Siraj – whose humble beginnings originate
from his rickshaw driving father; Rashid Khan - a teenage
survivor of the war zone in Afghanistan; and Sandeep
Lamichhane who has become the most visible Nepalese
face overnight, at one end of the spectrum and superstars
such as MS Dhoni, Virat Kohli and AB De Villiers earning
nine-figure paychecks to connect bat to ball, on the other
end. Over the last decade, the IPL value ecosystem has
been defined by the monetization of the sport, driven by
fan loyalty, celebrity influence and the marquee players of
various franchises.
The success of the IPL encouraged and laid the foundation
for various sporting leagues across the country. These
include state-level cricket leagues such as the Karnataka
Premier League and the Tamil Nadu Premier League
as well as national-level non-cricket leagues such as
the Indian Super League, Pro Kabaddi League, and the
recently established Ultimate Table Tennis League, among
others. While most leagues have gained popularity, a few of
them have fizzled out because of instability in sponsorship
revenues, poorly set up business models or inadequate
public appeal. However, IPL continues to thrive, leading the
way for other sporting leagues in India.

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The latest edition of the IPL set a relatively different tone
as compared to its previous editions. We witnessed a new
broadcasting partner for IPL in Star India Private Limited
(SIPL), which acquired the five-year global broadcast
and digital rights for approximately US$ 2.55 billion in
September 2017. The IPL broadcast rights have seen
an increasing trend since its inception in 2008. On an
annual fee basis, the increase compounded annual growth
rate (CAGR) was 18.9%. During the auction, it was also
interesting to note that the consolidated bid of other
bidders (Sony, Facebook, etc.) was very close to the Star
winning bid, underlying the fact that IPL is a prized asset
that several broadcasters would want to have.
Under Star, content delivery expanded to various regional
channels across the SIPL universe with commentary
in eight different languages, rather than limiting their
transmission to sports channels and English commentary.
The decision to challenge the traditional demographics
of cricket viewership on television has led to an increased
cumulative TV reach of the tournament across the country,
with regional channels including Hindi contributing nearly
two thirds of IPL’s total viewership. As a result, IPL recorded
the highest ever inaugural week television viewership at
nearly 300 million, as per Broadcast Audience Research
Council India with nearly 30% increase in reach in South
India. Star also saw a massive jump in advertising revenues
as compared to Sony last year. This is despite the fact that
Star decided to sacrifice ad revenues on the “Star Select”
channels and instead chose to provide high quality analysis
and a running commentary via the “Dugout” concept during
the over-breaks.
Also, digitization is increasing rapidly, leading to the rise in
importance of Over the Top (OTT) platforms for viewership
growth in the IPL. The tournament’s online viewership
presence is perhaps best highlighted by Hotstar setting a
world record of OTT viewership with 10.7 million concurrent
viewers for the 2018 IPL final, beating the 2012 world
record of over 8 million concurrent viewers held by YouTube
for Felix Baumgartner’s space jump. The increasing OTT
viewership trend was also observed during the previous
edition, according to the Ernst & Young FICCI Report 2018,
when the average time spent on Hotstar watching IPL went
up from 30 to 35 minutes for IPL 9 to 40 to 45 minutes for
IPL 10. Clearly, OTT sports viewership no longer remains a
prospect, but has become an established and fast-growing
market.
2008 - 2017
101.6
2009 - 2017
183.3
2018 - 2022
510.0
Average annual cost - IPL Broadcasting Rights - India
2008 - 2022 (in USD millions)

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KKR MI CSK RCB KXIP SRH DD RR
Franchise Teams’ Social Media Followers (in million) - July 2018
1.0
2.0
3.0
4.0
5.0
6.0
7.0
8.0
9.0
1.0
10.0
11.0
12.0
13.0
14.0
15.0
16.0
17.0
0.0
Facebook
Instagram
Twitter
The finale of the 11th season saw the “Super King” from
Ranchi, MS Dhoni, win his third IPL title against the
Sunrisers Hyderabad. Hyderabad’s hopes for a second IPL
title died as Shane Watson demolished their formidable
bowling attack, scoring his second century in this edition of
the tournament. CSK proved that experience trumps youth
in this intense competition. Despite being out for two
seasons while serving the ban, CSK continued to be
popular on their social networking sites.
Despite the veterans of the game having the last laugh, this
edition of the IPL has seen the emergence of young talent
like never before. Most teams have looked to recruit and
develop young players with a view to creating long-term
bench strength. This strategy has been successful in the
past with the best examples being Virat Kohli and Rohit
Sharma, who are now proud skippers of their teams.
Their respective teams’ brand values would arguably be
hampered if not for their imposing presence. This strategic
view was observed from the onset of the tournament. In
the bidding process, where players such as K.L. Rahul and
Krunal Pandya were sold for INR 110 million and INR 88
million respectively, titans of the game such as Chris Gayle
remained unsold for two rounds of the bidding process.
Other franchises such as Sunrisers Hyderabad and Delhi
Daredevils also seem to bank on a similar strategy with the
likes of Rashid Khan and Rishabh Pant at the forefront of
their race to supremacy.
This season, IPL has shown signs of an evolution into a
more mature and sustainable sporting tournament. The
controversies which marred the IPL seem to have receded
into distant memory.

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IPL 11- Trivia
• In the IPL 11 auction, as per a Times of India article dated January 2018, KXIP spent the most (INR
674 million) and CSK spent the least (INR 405 million). Among the Indian players, Jaydev Unadkat
became the most expensive player at INR 115 million.
• At the end of the IPL auction 2018, 169 players were sold (for 182 vacant slots). This included 113
Indian, 56 overseas, 91 capped, one Associate and 77 uncapped players.
• Star India is estimated to have earned INR 20 billion through TV and digital advertisements. Previous
broadcaster Sony had earned a total of INR 13 billion in advertising revenues. Further, Star is estimated
to have sold over 80 percent of the advertising slots even before the commencement of the season.
• The first week of the previous edition of the Indian Premier League garnered 642,900 mentions on
social media platforms. That has gone up to 855,400 in the first week of the 2018 edition and to 1.3
million after two weeks.

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Changing mindset of people
towards cricket
There are several sub-cultures, cultures and religions in
India, but over the last four decades, cricket has become
the common religion in India. As one banner famously put it,
“Cricket is our religion and Sachin is our God”. What Nelson
Mandela said about sports in general is apt for cricket
in India. The love for cricket has indeed broken several
barriers.
The 1983 World Cup final victory against the West Indies
was the landmark moment for Indian Cricket. From then
on, cricket has continued to grow as one of the drivers of
national integration.
Indian cricket fans were, however, not very open toward
accepting international talent. The unadulterated desire to
witness the national cricket team at the top of the world,
often limited Indian audience’s tolerance toward adverse
results. This was most notably observed in the 1996 World
Cup semi-final between India and Sri Lanka. The events
which unfolded in that game led to an agitated crowd
throwing heaps of rubbish into the field. Newspapers and
stadium seats were set ablaze. The referee awarded the
match to Sri Lanka by default. That day is still remembered
as one of the darkest moments in the history of Indian
Cricket.
All that changed with the emergence of the Indian
Premier League. Never has any sport witnessed such
an overwhelming response to an inaugural edition of a
league tournament. It was from the first game onwards,
when Brendan McCullum scored a massive 175 runs of 73
balls, that the people of Kolkata found themselves a new
icon after their beloved “Dada”. The inaugural edition of
the event set the tone for what was to come and it didn’t
disappoint.

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This amalgamation of cricketers from across the globe saw
a new appreciation of the sport from the Indian audience.
Despite loyalty to their IPL franchises, people realized the
pleasure of experiencing the T20 format of the game like
a “Talent Show”. Whether it be the likes of Sunil Narine
and Shane Warne mesmerizing the batsman or Andre
Russell destroying bowlers’ economy rates along with their
confidence, it was an education to the Indian public that
when a player’s skills and abilities stand out, it’s best to put
your hands up and applaud.
This change in attitude was best exemplified by the
celebrations in India when the West Indies were victorious
in the 2016 ICC World T20. The Indian team fell short in
their pursuit for the top prize to West Indies in the semi-final
but the Indian audience acknowledged that the better team
won. The West Indies team was then backed all the way by
the Indian crowd as they lifted the World T20 title for the
second time.

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Cricket and corporate social
responsibility
Most of the major global sports leagues have a powerful
effect on their fans. The success of these organizations lies
not only in continued support and engagement but also in
the actions that they take in giving back to the society.
The global sporting community has taken up social impact
missions supporting education, women-empowerment,
environment protection, health and hygiene, sports for
under-privileged, etc. A few such initiatives that caught the
attention of the masses are summarized in the following
pages.
Photo Courtesy of Reliance Foundation
Photo Courtesy of Reliance Foundation

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National Basketball
Association (NBA) - USA
• NBA/WNBA FIT: promotes and encourages heathly
living via various events and programs towards overall
family health.
• NBA Green: generates awareness and funding
towards sustainable initiaves to protect and nurture the
environment.
• Basketball without Borders: development program
towards promoting global talent to create a positive
social change.
• Read to Achieve: efforts to assist young people to
develop a life-long love for reading and encourage
adults to read regularly to children.
Premier League - UK
• PL Enterprise: initiatives to inspire young people to
engage positively in education, develop important life
skills and raise awareness of the world of work.
• PL Kicks: promotes participation in sport in areas of
high need, provide opportunities for young people to
develop skills and confidence.
• PL Girls Football: efforts to increase the number of
women playing football on a regular basis. The program
also looks to develop progress for women within the
pathway as a player, coach or official.
• PL/ BT Disability Fund: seeks to create opportunities
for disabled people through sport. Since its intiatiation,
the program has seen more than 19,000 participants.
National Football
League (NFL) - USA
• NFL PLAY 60: campaign focused on increasing the
wellness of young fans by encouraging them to be
active for at least 60 minutes a day.
• The Hotline: since 2014, the NFL has provided
financial support to the National Domestic Violence
Hotline (The Hotline) in its fight against relationship
abuse.
• NFL Foundation: it is the league’s nonprofit
organization representing the 32 NFL clubs. Its
mission is to support the health, safety and wellness
of athletes, youth football and the communities which
support our game.
Major League Baseball (MLB) - USA
• Baseball Tomorrow Fund: grant program designed
to promote the growth of youth baseball and softball
participation.
• Breaking Barriers: education program to help instill
values demostrated by those who have challenged
racial barriers.
• Military Appreciation: honors those who have served
and lost their lives in the U.S. military.
• Stand Up To Cancer: intiative to raise funding to
accelerate innovative cancer research.

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Several sporting leagues have taken steps for
social upliftment on a macro level. However, at a
micro level the teams have also demonstrated their
willingness to make an impact. Some of the top
teams corresponding to the leagues mentioned
previously have undertaken the CSR initiatives
summarized below.
Miami Heat - NBA
• Heat Charitable Fund Mission: Established in 1997, the
fund supports programs for the betterment of at-risk
families in South Florida.
• Home Strong: salutes and honors those courageous
men and women in uniform for their dedication and
services towards the nation.
Manchester United - PL
• MU Foundation: efforts to educate, motivate and
inspire future generations to build better communities
for all by delivering football coaching, personality
development and life changing experiences.
• Online Protection: set up to tackle the sexual
exploitation of children online. Working in collaboration
with the Child Exploitation and Online Protection
(CEOP) Centre to educate children, young people, their
parents, caretakers and fans on the safety precautions
associated with cyber risks.
Philadelphia Eagles - NFL
• Huddle Up For Austism: provides autism-friendly
environments and events while working to educate,
fundraise and create awareness of autism spectrum
disorder (ASD).
• Go Green: emphasizes reduction of environment
footprint of local communities.
New York Yankees - MLB
• ALS Ride for Life: an annual event in which ALS
patients embark on a 12-day, 100-mile electric
wheelchair ride along highways and byways to raise
awareness and funds for a cure.
• Green Team Initiative: students from local high schools
are given volunteering opportunites to promote
environmental awareness.

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The benefits of such CSR initiatives by these global
sporting leagues and teams are not necessarily evident
in their day to day operations, but they lay a platform for
long-term sustainability. Most organizations which have
undertaken CSR initiatives over the years have been
identified with innovation and cost savings from their
progress towards sustainability. This approach is met by
an improved attitude by customers and employees, and
creates a sense of pride in their association with the
organization. These community-driven business initiatives
also assist in bringing in positive publicity, contrary to cost-
intensive advertising campaigns.
It is likely that major sporting leagues and their teams have
reaped the benefits associated with their CSR initiatives
over the years, which is evidenced by their continued
effort. The emerging view is that commercialization
and sustainability must co-exist for brand identity and
differentiation. IPL teams, now in their adolescence, need
to observe and follow the global strategies towards CSR
investing, differentiating their brand by addressing issues
pertaining to their local communities and creating a
wholesome environment between fans and franchises. As
mentioned, the benefits of such initiatives are many even
though their immediate effects may not be evident.
Is IPL capable of bringing about the sort of social change
in India that other global sporting leagues have managed to
produce?
Staging the IPL’s 11th season this year, the biggest
cricket-league event in the world, involved a broad range
of activities, including stadium and crowd management,
recruiting and training hundreds of volunteers, providing
an event that is accessible for everyone, and serving the 8
participating teams and global media. This scale inevitably
has an impact on the society and environment. It also
represents a unique opportunity for the franchise teams to
create a positive legacy for their team brand.
IPL has proved itself to be cricket’s biggest commercial
venture and is more often than not linked to contracts,
records, transactions, sponsorships and big money. Apart
from these enthralling factors, there is also another side
which is not restricted to stadiums and sponsors only but
drives toward addressing social issues. Concrete steps
towards social welfare are being taken by the teams,
inspiring others to pursue and implement these initiatives.
Giving hope to over a billion people in India, IPL has
started treading on the CSR route. Franchise teams are
demonstrating a way to contribute to the society, while
continuing to play good cricket.
As Aakash Chopra, former India opener and cricket
commentator said, “A sentimental association is developed
amongst the followers towards a particular franchise
when the franchise gives back something to the society.”
Despite not performing up to the mark this season, Mumbai
Indians still continue to be one of the most popular brand
names in the IPL, with some of the world’s greatest
cricketing legends on board. Based on insights received
from the Mumbai Indians management team, they included
CSR as an integral part of their operations right from
season two through their Education for All (EFA) initiative.
EFA supports education for under privileged students and,
through the years, they have supported 200,000 students
by partnering with NGOs (non government organization)
and giving children an opportunity to learn through digital
vans. Every IPL season, they provide children a once-
in-a-lifetime opportunity to watch their favorite stars at
Wankhede Stadium. This season, EFA has evolved to

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Education and Sports for All (ESA). ESA is one of the key
initiatives of Reliance Foundation, combining its focus areas
of education and sports for development, and impacting the
lives of over 13 million children. The ESA initiative seeks to
provide holistic development through focus on education
and sports and to enhance the quality of the sporting
ecosystem by providing facilities, training, infrastructure,
and equipment across multiple sporting properties through
the year. Ms. Nita Ambani is the face of Mumbai Indians’
CSR activities and has successfully been able to make a
difference at the grassroots level. Mumbai Indians have
been trend-setters on the CSR side of IPL; now they are
seen as the most socially committed team. However, other
franchises have also caught up.
In an effort to support and strengthen the adolescent girls
of India, Delhi Daredevils along with Virender Sehwag
announced their partnership with UNICEF in 2012.
The campaign, coined ‘Dare to Care’, witnessed Delhi
Daredevils as well as UNICEF working toward sensitizing
the public on the important role girls can play in society and
how education and protection can ensure that they can
grow up and develop to their full potential.
Taking a leap in their efforts to serve society better, Kings
XI Punjab, in association with AIDS Healthcare Foundation,
took a pledge to bowl out AIDS from Punjab in 2015. The
larger objective of this initiative was to change the global
mindset of people toward HIV testing and investing in
treatment scale up that would eventually yield humanitarian
and economic benefits. In 2017, Kings XI Punjab decided
to refurbish a girls’ school each in both of their home
grounds — Indore and Mohali. The projects were executed
with an NGO, Yuva Unstoppable, which encouraged better
sanitation, drinking water facilities and overall infrastructure.
In 2017, Kolkata Knight Riders introduced their campaign
“Citizens for Tomorrow”. They also tried to make their fans
aware of the alarming effects of plastics use. The franchise
also brought about an innovative initiative of planting a
sapling for each six hit at the Eden Gardens.
Royal Challengers Bangalore has been involved in their Go
Green initiative along with a few other initiatives.
In the past, we have witnessed many instances where
cricketers have outperformed not only on field, but also on
the philanthropic side. The likes of M.S. Dhoni, Virat Kohli
and Gautam Gambhir have donated their prize money to
charity on various occasions.
As Indranil Das Blah of Kwan Entertainment says, “You
cannot be a sports franchise and not give back to the
society. World-over, every sports franchise is doing
something or the other for the community”.

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Understanding brand value
in the IPL ecosystem
Great sporting brands across the world have been built over
several decades of fan following, successful performances,
the ability of a team to attract great talent, and continued
association with large companies, partners and sponsors.
Teams such as the New York Yankees, Dallas Cowboys,
Manchester United, Chelsea, Real Madrid, Barcelona and
Los Angeles Lakers have become much sought-after
brands by advertisers and represent brand values in billions
of dollars.
In the IPL ecosystem, brand value is derived from a wider
variety of reasons keeping in mind the Indian viewers’
vernacular proclivities, cricketing knowledge and celebrity
influence. Accordingly, drivers of brand value in the IPL can
be categorized under the following broad heads.
Management Strength and On-Field Performance
For an advertiser / sponsor, being associated with a team
that is consistently performing at the top of the table is
a key factor in assessing brand potential. A look at the
largest deals in the sponsorship space not only in the IPL,
but also internationally, will reveal that teams that are better
on-field performers garner higher sponsorship values. In
the IPL, the estimated lead sponsorships (lead chest and
limited player promotions) were valued at a 100% premium
for a top ranked team over its lower-rung peer.
Of course, a team that consistently performs at the top
of the table is not the result of a pre-fixed formula. Team
management plays an important role in squad selection,
talent acquisition, performance management and
administrative support. Clearly, a winning team is the result
of a winning combination of several factors including the
strength of the management team.

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Marketing Strategy
Based on our analysis, it is estimated that on average,
franchises spend anywhere between 5% and 15% of their
revenue on marketing and promotion. Some teams, such as
Kolkata Knight Riders, who invested significantly towards
brand building in the early part of their IPL existence,
have seen fantastic support from sponsors and partners.
IPL events, television advertisements, merchandising,
in-stadium freebies and other such promotional activities
driven by the franchise go a long way in garnering exposure
and support translating into brand gains.
Merchandising in the IPL is presently in a nascent stage
and most franchises are still coming to terms with the best
possible way to monetize different streams. We believe
that merchandising will be a game-changer for franchises
that are able to crack this difficult market and identify new
monetization streams by tapping into their existing fan
base.
Celebrity Influence and Marquee Players
The presence of key marquee players and celebrity owners
in a franchise brings additional popularity to the individual
team brands. Based on our discussions with advertisers,
sponsors and team management, we understand that the
presence of a marquee player definitely gives an upper
hand to the franchises while negotiating with sponsors and,
in most cases, the sponsors are willing to pay a premium to
be associated with that particular team. In addition, while
franchise brands may be able to ride on the brand of a
celebrity owner or a marquee player, they are also open
to the risk of damage in cases where the said individual
is embroiled in a controversy, even if that controversy is
outside of the IPL.

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Geographical Location
The geographical location of the franchise determines the
population of its support base and is an important factor
in assessing the strength of an individual team brand.
In general, it is likely that a higher density of teams in a
particular region of the country will split the fan base and
impact the ability of a team to garner support outside of
its immediate location. However, for the last ten years
some franchises have seen pan India support primarily
on account of the brand of cricket played by them along
with the marquee players associated with these teams. MI
had support across India due to the presence of Sachin
Tendulkar while CSK continues to enjoy the Dhoni factor.
Currently, RCB is also enjoying wide support due to the
presence of Virat Kohli and AB De Villiers.
Governance and Transparency
Over the last few years, a few teams or promoters of those
teams were accused of professional misconduct or were
embroiled in controversies which had a negative effect on
brand perception. However, the IPL governing council has
tried its best to weed out the negativity surrounding these
accusations. As a result, the last two seasons of the IPL
have been relatively controversy free, which has enhanced
the IPL brand perception.
Our assessment of the brand values of the various
franchises also takes into consideration the effectiveness
and transparency of their management teams.
Social Media Engagement
The ability of a franchise to engage fans on a regular basis,
particularly during the IPL, has been crucial in building
positive brand perception. Over the last few seasons, we
have seen dedicated twitter and Facebook campaigns
organized by the franchises with the intention of engaging
fans regularly and keeping them up to date with the events
of the individual teams. In estimating the brand values of
the various franchises, we have given additional weight to
teams that have a large social media presence.

21Duff & Phelps

22Duff & Phelps
Valuation approach and
methodology
There are several approaches and methods that can be
applied in estimating the value of a franchise brand. The
most popular of these is the Relief from Royalty Method.
This method is premised on the royalty that a company
would have to pay for the use of the brand/ trademark
if they had to license it. Here, royalty is expressed as a
percentage of sales revenue. The present value of the
future stream of after-tax cost savings (i.e., royalty relief)
at an appropriate discount rate indicates the value of the
brand.
The first step in the valuation of IPL franchise brands
was to estimate the future revenue expected from these
brands. We developed a detailed business model for each
of the individual franchises after extensive research and
discussions with industry players. The model was built by
keeping in mind the various contractual revenue sharing
agreements between the BCCI and the IPL franchises.
Each business model of individual franchises was
developed while keeping in mind the franchise’s current
performance standing, its brand rank and other qualitative
factors which could impact its value.
The second step in the valuation of the brand is the
development of a fair royalty rate. As part of our analysis,
we researched a number of Brand and Trademark licensing
arrangements across international sporting leagues such
as the English Premier League, the National Football
League (NFL), the National Basketball League (NBA),
Major League Baseball (MLB), etc. in concluding on
an appropriate royalty rate for the valuation of the IPL
franchise brands. This estimated royalty rate is applied
to the appropriate level of revenues of each franchise
to calculate the royalty savings attributable to the brand
owner. The royalty savings are then tax-affected and
discounted to present value using an appropriate required
rate of return to estimate the value of individual brands.

23Duff & Phelps
Methodology to value IPL Ecosystem:
The IPL ecosystem has been valued using a method under
the Income Approach known as the Discounted Cash Flow
(“DCF”) Method.
The DCF Method is a valuation technique that provides an
estimate of the value of an asset or a business based on
the cash flows that the asset or business is expected to
generate over its remaining useful life.
The Income Approach begins with an estimation of the
annual cash flows a hypothetical buyer would expect the
subject asset or business to generate over a discrete
projection period. The estimated cash flows for each of the
years in the discrete projection period are then converted
to their present value equivalent using a rate of return
appropriate for the risk of achieving the projected cash
flows. The present value of the estimated cash flows is
then added to the present value equivalent of the residual
value of the asset (if any) or the business at the end of the
discrete projection period to arrive at an estimate of value.

24Duff & Phelps
Expert Talks
‘Expert Talks’ captures excerpts from Duff & Phelps’
interviews with leading IPL and cricketing experts
With the commencement of the second decade of IPL, a
lot of dynamics have changed for this sporting event. It is
getting closer to achieving the scale that some of the global
football leagues have achieved. Who else could be a better
judge of this than Trevor Birch, our in-house expert and part
of the Duff & Phelps Global Restructuring Advisory practice
in our London office.
Trevor is highly regarded as a restructuring and valuation
expert in England having acted as an administrator for
numerous football clubs as well as worked as CEO of
reputed clubs such as Chelsea, Everton and Leeds United
in the English Premier League (EPL). Trevor can also be
credited with Chelsea’s current success, as he led the sale
of Chelsea F.C. to Roman Abramovich, during his tenure
as its CEO. We asked Trevor’s views on numerous topics
concerning the IPL ecosystem ranging from the broadcast
rights deal to marquee players to corporate social
responsibility (CSR) initiatives. On Star’s acquisition of the
broadcast rights, Trevor mentioned, “Globally, we keep
seeing the television broadcast rights’ deals for all major
sporting events being renewed at a significant premium
every time they are up for renewal. IPL’s renewed
broadcasting deal is a fantastic achievement for the sport,
Trevor Birch
Managing Director, Duff & Phelps
and Ex-CEO of Chelsea Football
Club

25Duff & Phelps
but we should not be surprised as there is an insatiable
desire for premium sports content. The IPL has done a
fabulous job in grabbing a seat at that sports rights table.
They have packaged their competition so successfully
that it is now well on the way to being “must have” sport
content for the global media companies and presumably
the OTT (Over The Top) players (Netflix, Facebook, etc.)
when they seriously start to compete for this content in
the future. I mentioned last year that I’ve been intrigued
to watch how BCCI (Board of Control for Cricket in
India) has marketed and protected the IPL brand separate
from the clubs which has been a major value driver for
IPL. This is a marked change from what I have seen in
EPL, where the clubs are bigger brands than the EPL
brand itself, whereas in IPL, it seems to be brand IPL
which is much more powerful compared to the individual
franchises and under who’s umbrella the franchise brands
survive.”
Further, we asked him about the importance of CSR
activities and stated that we see most of European and
EPL football clubs putting strong emphasis on CSR
activities. Trevor mentioned that “CSR definitely helps to
enhance the team’s brand value. Global sponsors tend
to have different budgets for CSR and sponsorship and
a comprehensive strategic relationship with a global
sponsor where goals are aligned can lead to enhanced
revenue generation for the team.” On his views about the
teams’ abilities to command a premium while negotiating
with their sponsors due to the presence of marquee players
and vis-à-vis the existence of this phenomenon in global
football, Trevor highlighted, “I think inevitably teams will
follow the lead from the football world where the biggest
brands like Real Madrid, Manchester United, Barcelona,
Juventus, PSG (Paris Saint-Germain), Chelsea sign
marquee players that enhance their global reach which
aligns neatly with the goals of global sponsors. The
challenge is to satisfy the competing demands of the
player and club which are not always perfectly aligned.”
“IPL has changed the landscape of cricketing leagues in
the world. A tournament of this magnitude has definitely
benefited everyone associated with it in some way or the
other, be it the governing authorities or the participants.”
On being asked about his perception of the Twenty 20
(T20) format of the IPL, Aakash mentioned that he was
groomed in an era where test-match cricket was the
pinnacle of cricket; however, T20 format has taken off,
become successful and exceeded everyone’s expectations,
primarily because of the success of IPL. Talking about his
view on the recent broadcasting rights won by Star, Aakash
mentioned, “Evidently, the pricing was not inflated since
the other bidders’ (Sony, Facebook, etc.) consolidated
bid was very close to Star’s winning bid. Broadcasting
ecosystem is also undergoing a change today with
the entire digital gamut coming into play. Hence these
numbers do make sense.” As for the team sponsorships,
sponsors are willing to pay a premium to get traction during
the two months when the IPL is broadcasted. Having
marquee players in the team undoubtedly attracts higher
premiums on the sponsorship revenues.
Aakash Chopra
Former India Cricketer and
Television Commentator

26Duff & Phelps
We asked Aakash about CSR and its effect on the brand
value of a team, to which he responded, “The feel-good
factor for the audience will always resonate. A sentimental
association is developed amongst the followers towards
a particular franchise when the franchise gives back
something to the society.” We also asked Aakash about
his view of the current auction process in IPL. Aakash
believes that sooner than later, IPL may move to the draft
format like the National Basketball Association or National
Football League, where mid-season transfers are permitted
based on the ranks. However, in the 2-month window of the
IPL, it is highly unlikely that any of the teams would let go
of their assets. Further, if the auctions were to take place
again today, there is the possibility that the franchises might
break their banks to acquire some marquee players. But in
the same breath, Aakash also mentioned that it might be
difficult for a franchise to build an entire team around one
marquee player, and the franchise will surely be prudent
while bidding. A player’s track record, recent form, base
price and regional loyalty are all taken into consideration
when a franchise bids for a player. How the player would
fit into the team’s scheme of things is a paramount
consideration.
Aakash also commended the work BCCI is doing in
educating young cricketers who are suddenly exposed to
the glitz and glamour of IPL. According to him, BCCI and
the franchises are imparting sufficient knowledge to ensure
the young brigade does not fall prey to bookies and fixers
who are always on the lookout for targets. He concluded
by talking about the success of IPL 11: “In this IPL season,
I did not see any phase when the stadiums were not
packed to their full capacity, which is quite interesting.
Mohali, which was failing to draw good crowds for the
last few years, saw a full house for almost every game
played there. IPL has become that kind of a tournament
where people are waiting to watch a game, irrespective of
their franchise’s results. The success of any league or a
franchise-based sport is that the team needs to outgrow
the individual players. Eventually, IPL needs to move to
the stage where certain individual players should not
matter, because the franchise is what is going to stay
forever,” he affirms confidently. Another example Aakash
gave was how his #Aakashvani videos on YouTube during
the IPL became the rage among the cricket fans, with more
than 25 million views during the 2-month window, making
them a testimony to the fact that cricket and entertainment
go hand in hand.

27Duff & Phelps
Mustafa Ghouse
CEO JSW Sports
Upon getting an opportunity to speak to Mustafa Ghouse
JSW Sports CEO & former professional tennis player,
the first question we asked him was what are the various
factors that influenced JSW’s decision to co-own an
IPL team? To which he responded, “Cricket is India’s
most loved sport. The way IPL has grown in the last 10
years, it has the world taking notice. So when the right
opportunity to invest in an IPL team came up, we grabbed
it with both our hands.” Mustafa also mentioned that there
are many levels of upside to owning an IPL team as the
valuation of the league will only continue to grow and the
Star-IPL TV broadcasting deal just validated their belief in
this league. Further, Mustafa provided us with his insights
on the sponsorship revenues. “IPL definitely commands a
premium and is a first preference for brands to engage.
The reasons are multiple: cricket is a religion in India;
viewership numbers are higher than any other league;
the best players in the world participate in the league,
and so on. Pro Kabaddi League (PKL) is at a strong
number two, as it has a different target audience, thereby
attracting different kinds of brands. In football (Indian
Super League), the market is very nascent, and we still
have some time before we will witness stronger brand
associations. Cricket and the IPL are big in India at the
moment, and continue to grow in viewership, as well
as ticket sale numbers. It will take some time for PKL
and ISL to bridge this gap and reach IPL levels. Also, in
some instances, the presence of marquee players help
command a premium with the more conventional-thinking
brands, whereas with most other brands these days,
there are various other elements that work in the way
the final deal gets structured. Also, there is a premium
that successful teams demand that other teams cannot
when it comes to sponsorship values.” We asked Mustafa
whether JSW’s association with various sporting properties
has benefited their corporate brand, to which he responded,
“Yes, we have seen a positive impact on the JSW brand
through our associations with various sporting properties.
Strategically, it is a good opportunity to connect the JSW
brand with the millennial audience and the masses, in
particular keeping the following objectives in perspective:
(1) Shift from tactical to structured brand building. (2)
Drive association-based brand visibility rather than mere
advertising.”
Does he believe that the team’s performance in IPL has a
bearing on the stadium occupancy & gate receipts? “We
don’t believe the co-relation to a team’s performance and
stadium occupancy/gate receipts can be equated. The
appetite for consuming live cricket is unwavering with
Indian cricket fans. From our involvement over the last
season, the stadium attendance and gate receipts has
remained consistent.”
JSW’s ISL football team, Bengaluru FC (BFC) has been a
fantastic case study on how to run a franchise efficiently
and a lot of credit must go to Mustafa for building this
franchise from scratch. In the absence of a Bollywood
celebrity’s backing or, for that matter, the fan following a
cricket team’s commands, we asked Mustafa how BFC has

28Duff & Phelps
succeeded in marking its distinct presence in the eyes of
the viewers and requested that he highlight some major
activities undertaken by JSW in making BFC a success
story. To this his response was, “With BFC, from day one,
the mandate and vision has been clear that right from
the kit boy to senior management, everyone knows their
role and is working for a common goal. A lot of emphasis
and effort has been put into making Bangalore warm up
to the game of football as well as BFC. Yes, success on
the pitch has played a big part in our exponential growth.
The teams have worked extremely hard to position
BFC as a city team and to have fans support the team
irrespective of BFC’s performance, which incidentally has
been exceptional. We are working with the community
in Bangalore and are developing the next generation of
footballers through school competitions and our academy
program.”
We asked Mustafa to highlight his views on how their
teams approach marketing and also his views on the
merchandising market in India. “Our focus and emphasis
on marketing is quite high, as we entered football through
the I-League at a time when the sport was not very
popular and made for a difficult marketing proposition.
Marketing spends vary from sport to sport and leagues.
For more established leagues like IPL and PKL, marketing
numbers vary depending on the plan and strategy. The
merchandise segment is still very nascent in India. Team
merchandising as a revenue segment has not achieved
the kind of success envisioned in India. While we are
profitable in this vertical; the volumes are very low. This is
primarily on account of the price sensitivity and unofficial
replicas flooding the market. That being said, a lot of
emphasis has been put on BFC merchandising that has
helped in activating a fan base. We will introduce some of
these practices to our kabaddi and cricket teams. We are
targeting to enhance the contribution in coming seasons.”
he said.
Lastly, we discussed the CSR and grassroot activities
undertaken by JSW and tried to get an overview of how
important it is for teams to include CSR in the broader
scheme of things. Mustafa mentioned that the CSR
work being undertaken across the group by the JSW
Foundation is spread over many initiatives, with sports
being an important component. He added, “For our
Olympics’ program, a key driving motive has always
been providing necessary infrastructure and technical
guidance to support our talented Indian athletes. We’ve
seen that there is a lot of raw talent in India, which
needs nurturing, and we want to be able to play a part
in enabling these athletes to make the country proud at
the global level and win Olympic medals for the country.
Definitely, the goodwill created for the brand has been
beneficial. However, it is important to note that this is just
an overspill of the real motive, which is to provide our
athletes with the best resources so that they can fulfill
their potential and win medals for the country. Our CSR
actions have certainly strengthened our position and
track record in sport. This would give a sponsor/partner
confidence in our ability to deliver.”
On a concluding note Mustafa mentioned, “Credit has to
be given to the BCCI and the IPL governing council in
the way they have built the league in the last 10 years.
The combination of the best cricketers in the world in
a ‘sportainment’ format coupled with celebrity quotient
and eminent business personalities has struck a chord
with the masses, leading to the league becoming a huge
marketing success. There are a lot of elements that other
leagues can learn from IPL’s success. Having said that,

29Duff & Phelps
Indranil Blah
CEO of Mumbai City FC and
Kwan Entertainment
we believe every league will have to find its own identity,
as there is no set formula to achieve repute and success.
Every sport is different and has its own nuances to being
successful.”
Taking advantage of his vast experience in the industry,
we asked Indranil about the latest trends in sponsorship
deals for IPL teams. To this he asserted, “IPL is a massive
property. This year was completely different for IPL
franchises as far as sponsorship is concerned. It was
completely a seller’s market, where franchises held the
upper hand while negotiating with the sponsors. For all
teams, the sponsorships have gone up by approximately
10% to 20%. Obviously, the brands would go for the
bigger teams, and once they are sold out, they go
to the smaller teams. This year, everything was sold
at a premium, be it central sponsorship or the team
sponsorship. IPL is such a property where for every
sponsor who pulls out for some reason, there are 10
waiting in line, so there is never a shortage of buyers for
IPL and its associated properties.”
On controversies surrounding IPL, Indranil said, “IPL has
always been the controversy child, but since it is the
biggest sporting and entertainment property in India
today, it is insulated from all these controversies. This was
clearly proven after the Pepsi exit and entry of Vivo as the
title sponsor of IPL at a significant premium pricing. One
of the contrary views is that some of the controversies
have become talking points and have generated interest
among the viewing public, and hence the controversies
have had no negative impact on IPL brand value.”
However, talking in terms of the sporting business, he
mentioned, “Constant underperformance in isolation
can lead to a negative impact on the brand value of a
franchise.”
We asked Indranil if the presence of marquee players
would influence advertisers to sponsor a particular team.
“Marquee players play a major role in teams getting a
premium from their sponsors. Most sponsors who are
associated with say a CSK [Chennai Super Kings] or an
RCB [Royal Challengers Bangalore], they are associating
50% for the team and 50% for the marquee players, like
Dhoni and Kohli, because icons play a huge role in India
and are consumed widely. But it’s not just restricted to
marquee players. KKR [Kolkata Knight Riders] didn’t have
any big names this season, yet sponsors were keen to get
associated with that brand because it’s a brand which
has been stable for the last 10 years, and it is also owned
by one of the biggest celebrities in the country, Shah
Rukh Khan. So yes, having a celebrity on your team, be
it a player or an owner, makes a huge difference while
negotiating with sponsors.”
We also asked Indranil why the big-four IPL teams
command a premium compared the others. “Punjab and
Rajasthan will always be small advertiser markets and will
always struggle to command higher sponsorship deals

30Duff & Phelps
when compared to the big-four teams. So your major
spends for your brands will be the traditional markets,
the metros, South and West India. But Delhi’s problem
is slightly different, as it’s an underperforming franchise,
plus it does not have a marquee player in the mold of a
Kohli or Dhoni. RCB will command a premium even after
not performing well largely because of Kohli and also
because Bangalore is a huge market for advertisers. It is
their gateway to South India. Hence it is slightly insulated
from their on-field performance.”
We asked Indranil about his thoughts on IPL versus the
other competitive sporting leagues in India (ISL and PKL),
and this is what he had to say: “International quality action,
infrastructure, media support, marketing have been the
four pillars of IPL. These pillars need to be strengthened
by the other sporting leagues in India to aspire the
IPL-level grandeur. Having said that, Star has marketed
ISL and PKL brilliantly, and also, the infrastructure is
improving, but we have some way to go to reach IPL level.
Also, the scheduling is favorable for all three leagues to
thrive, as there is no overlap between them, and ISL and
PKL stand to gain from it. It is also unfair to compare the
other leagues with IPL. Each sport has a very different
target audience. Also, most sports thrive because of
icons/superstars. Cricket has them in plenty. Football
has only Sunil Chettri now, while kabaddi doesn’t yet
have anyone to match up to them. You can see the trend
changing due to the aspirational youth. Football has
become an urban sport with youth following the game
diligently, while kabaddi is a mass sport. You will these
days see an entire page in a newspaper dedicated to
football, which was not the case a couple of years back.”
How do advertisers perceive these properties compared
to IPL? To this, he said, “IPL is the Super Bowl of India.
It’s as simple as that.” We also asked Indranil if he
thought CSR helps to enhance a team’s brand value. To
this he promptly affirmed, “One hundred percent yes.
You cannot be a sports franchise and not give back to
the society. World over, every sports franchise is doing
something or the other for the community at the grassroot
level, be it using sports to empower society or teach
kids life lessons or be it partnering with NGOs [non
governmental organization] for certain causes. When you
give something back, there is a feel-good factor towards
the sports franchise, and it also helps to enhance the
fan base since the fans feel invested in the franchise.”
On a concluding note he affirmed, “IPL is perceived as an
entertainment property and not just a sports property.
IPL enjoys a captive audience by offering sports,
entertainment and fun all under one roof!”

31Duff & Phelps
Hemant Dua
CEO, Delhi Daredevils
DD CEO Hemant Dua provided some valuable inputs
to us concerning the franchise’s marketing strategy,
merchandising, CSR, auction strategy and the importance
of the DD brand to its owners. On marketing costs, Hemant
mentioned, “Delhi Daredevils spends less than 5% of net
revenue on marketing with a strategy to leverage social
media, radio, outdoor marketing campaigns and with
very little emphasis on traditional print media. Social
media has in fact helped significantly in increasing our
fan base.” On the tricky subject of merchandising, Hemant
said, “We have witnessed revenue from merchandising
sales increase over the years as fans become more
associated with our brand, and the expectation is for
the merchandising revenue to be almost 10% of the
franchise’s net revenues going forward, while keeping
in mind that the revenue base has grown in multiples,
courtesy of the central revenue pool.”
We also asked Hemant about the team’s performance and
its bearing on the stadium occupancy, and he said, “Yes,
the team’s performance has a bearing, to an extent, but
we now believe it’s the brand of cricket that you play that
has more effect and attracts crowds. We also observe
that the stadium occupancy depends on the opposition
you play. Teams like SRH [Sunrisers Hyderabad] and RR
[Rajasthan Royals] draw medium crowds traditionally
(around 75% capacity), while the rest of the matches are
usually a sell out for us.”
Lastly, we asked him if CSR helps in enhancing brand value.
Hemant responded, “Our franchise is actively involved
in CSR activities and the perception of CSR enhancing
brand value is correct; however, it will be difficult to
measure it.” On being asked whether the IPL team brand
has benefited the GMR corporate brand, Hemant replied,
“Yes, it has benefited not just our corporate brand but also
our main sponsors. They are very thankful.”

32Duff & Phelps
Vinit Karnik
CEO, ESP Properties,
Entertainment and Sports
specialised division of GroupM
“Controversies and scandals have not significantly
impacted a sponsor’s willingness to be associated with
IPL, primarily due to the league’s increasing television and
digital reach. Stadium attendance has been encouraging,
leading to an increase in the advertising spend over the
past five years. Television continues to remain the primary
medium of advertising, followed by digital and franchise
sponsorship.” said Vinit Karnik. He believes that with an
expected increase in advertisement spending, franchise
sponsorship opportunities are becoming increasingly
important and strategic. “Franchises are identified based
on their on-field performance, management strength,
corporate governance and brand strength. Chennai
Super Kings are observed as leaders in terms of on-
field performance and brand strength, whereas the
Mumbai Indians are considered on top when it comes
to management strength and corporate governance.” he
added.
Based on his experience in the advertising sector, Vinit
estimates the annual advertising spend through a variety of
mediums to be as follows:
• Average 10-second ad slot rates for television and
digital advertising: between INR 8–10 lakhs
• Average spend on team sponsorships:
INR 30–50 crores
• Merchandising advertisement spending:
INR 30–100 lakhs
• On-field advertising (ground painting): greater than
INR 1 crore
• Stadium advertising: greater than 50 lakhs

33Duff & Phelps

34Duff & Phelps
Team Profiles
MUMBAI
INDIANS
TEAM OWNERS Reliance Industries Limited
TEAM CAPTAIN Rohit Sharma
TEAM COACH Mahela Jayawerdene
MARQUEE PLAYERS
(along with their prices)
Rohit Sharma INR 150 million
Hardik Pandya INR 110 million
Jasprit Bumrah INR 70 million
TOTAL AMOUNT
spent in the 2018 auction INR 463.5 Million
PRINCIPAL SPONSORS
0
50
100
2014 2015 2016 2017 2018
150
72 72
78
106
113
ValueinUSDmillion
Year
Facebook 13.26m
Instagram 1.9m
Twitter 4.98m
MUMBAI INDIANS BRAND VALUE (USD Millions)
SOCIAL MEDIA FOLLOWERS
Samsung
Goibibo
Sources: Websites of Indian Premier League, Mumbai Indians

35Duff & Phelps
KOLKATA
KNIGHT RIDERS
TEAM OWNERS
Red Chillies Entertainment;
Jay Mehta; Juhi Chawla
TEAM CAPTAIN Dinesh Karthik
TEAM COACH Jacques Kallis
MARQUEE PLAYERS
Sunil Narine INR 125 million
Chris Lynn INR 96 million
Andre Russell INR 85 million
TOTAL AMOUNT
PRINCIPAL SPONSORS
0
50
100
150
ValueinUSDmillion
Year
2014 2015 2016 2017 2018
69
86
77
99
104
Facebook 16.68m
Instagram 0.72m
Twitter 3.97m
KOLKATA KNIGHT RIDERS BRAND VALUE (USD Millions)
Nokia
Sources: Websites of Indian Premier League, Kolkata Knight Riders

36Duff & Phelps
CHENNAI
SUPER KINGS
TEAM OWNERS
Chennai Super Kings Cricket
Limited
TEAM CAPTAIN MS Dhoni
TEAM COACH Stephen Fleming
MARQUEE PLAYERS
MS Dhoni INR 150 million
Suresh Raina INR 110 million
Shane Watson INR 40 million
TOTAL AMOUNT
PRINCIPAL SPONSORS
0
50
100
150
ValueinUSDmillion
Year
2014 2015 2018
72
67
98
Facebook 12.39m
Instagram 1.20m
Twitter 4.46m
CHENNAI SUPER KINGS BRAND VALUE (USD Millions)
Muthoot Group
Sources: Websites of Indian Premier League, Chennai Super Kings

37Duff & Phelps
ROYAL
CHALLENGERS
BANGALORE
TEAM OWNERS United Spirits
TEAM CAPTAIN Virat Kohli
TEAM COACH Daniel Vettori
MARQUEE PLAYERS
Virat Kohli INR 170 million
AB de Villiers INR 110 million
Yuzvendra Chahal INR 60 million
TOTAL AMOUNT
PRINCIPAL SPONSORS
0
50
100
150
ValueinUSDmillion
Year
2014 2015 2016 2017 2018
51 51
67
88
98
Facebook 9.38m
Instagram 1.80m
Twitter 3.32m
ROYAL CHALLENGERS BANGALORE BRAND VALUE (USD Millions)
Eros Now Duraguard Cement
Jio Digital Life HP Wrogn
Domino’s Duroflex Mattress
Sources: Websites of Indian Premier League, Royal Challengers Bangalore

38Duff & Phelps
SUNRISERS
HYDERABAD
TEAM OWNERS Sun TV Network
TEAM CAPTAIN Kane Williamson
TEAM COACH Tom Moody
MARQUEE PLAYERS
Rashid Khan INR 90 million
Bhuvaneshwar Kumar INR 85 million
Shikhar Dhawan INR 52 million
TOTAL AMOUNT
PRINCIPAL SPONSORS
0
50
100
150
ValueinUSDmillion
Year
2014 2015 2016 2017 2018
25
35
41
56
70
Facebook 5.92m
Instagram 0.65m
Twitter 2.01m
SUNRISERS HYDERABAD BRAND VALUE (USD Millions)
Red FM 93.5
Sources: Websites of Indian Premier League, Sunrisers Hyderabad

39Duff & Phelps
KINGS XI
PUNJAB
TEAM OWNERS
KPH Dream Cricket Private
Limited
TEAM CAPTAIN Ravichandran Ashwin
TEAM COACH Brad Hodge
MARQUEE PLAYERS
Axar Patel INR 125 million
KL Rahul INR 110 million
Ravichandran Ashwin INR 76 million
TOTAL AMOUNT
PRINCIPAL SPONSORS
0
50
100
150
ValueinUSDmillion
Year
2014 2015 2016 2017 2018
32
41
31
41
52
Facebook 8.78m
Instagram 0.71m
Twitter 1.90m
KINGS XI PUNJAB BRAND VALUE (USD Millions)
Kent Mineral RO Water
Purifiers
Sources: Websites of Indian Premier League, Kings XI Punjab

40Duff & Phelps
DELHI
DAREDEVILS
TEAM OWNERS GMR Group
TEAM CAPTAIN Shreyas Iyer
TEAM COACH Ricky Ponting
MARQUEE PLAYERS
Rishabh Pant INR 150 million
Chris Morris INR 110 million
Glenn Maxwell INR 90 million
TOTAL AMOUNT
PRINCIPAL SPONSORS
0
50
100
150
ValueinUSDmillion
Year
2014 2015 2016 2017 2018
40
34 34
44
52
Facebook 4.67m
Instagram 0.46m
Twitter 1.30m
DELHI DAREDEVILS BRAND VALUE (USD Millions)
Daikin
Sources: Websites of Indian Premier League, Delhi Daredevils
million

41Duff & Phelps
RAJASTHAN
ROYALS
TEAM OWNERS Manoj Badale
TEAM CAPTAIN Ajinkya Rahane
TEAM COACH Paddy Upton
MARQUEE PLAYERS
Ben Stokes INR 125 million
Jaydev Unadkat INR 115 million
Sanju Samson INR 80 million
TOTAL AMOUNT
PRINCIPAL SPONSORS
0
50
100
150
ValueinUSDmillion
Year
2014 2015 2018
45 45 43
Facebook 4.22m
Instagram 0.33m
Twitter 1.06m
RAJASTHAN ROYALS BRAND VALUE (USD Millions)
JK Lakshmi Pro+Cement
Sources: Websites of Indian Premier League, Rajasthan Royals

42Duff & Phelps
Santosh N
Managing Director
Bangalore
Conclusion
The value of the IPL ecosystem has increased to US$ 6.3
billion from US$ 5.3 billion over the last year, representing a
year-on-year growth rate of 19%, which is remarkable for a
property which is only in existence for the last eleven years.
In the decade since its inception, the IPL has manifested
itself as the favorite prime time television viewing slot
for Indians. The continued support from advertisers,
broadcasters, sponsors, affiliates, partners and the viewing
public year after year, has made IPL the most keenly
awaited event in the campaign calendar for advertisers
and the most viewed sporting event for TV viewers in India.
No one could have predicted that the IPL would become
such a huge hit when it was first conceptualized in 2007
and when the franchises were first awarded to a group of
corporations, individuals and celebrities.
The IPL broadcasting rights auction last year was keenly
contested among some of the world’s top broadcasting
houses. Star TV Network, which already owns some of
the marquee properties such as English Premier League,
ICC events and International cricket matches played in
India now also holds the hottest of all those properties, the
Indian Premier League, for the next four years. In our last
edition, we had predicted that the broadcast rights would
go for a minimum of US$ 2.10 billion, whereas Star won
the rights for US$ 2.55 billion with the consolidated bids
of all other bidders coming to around US$ 2.47 billion. The
numbers, though large are not surprising. In our last edition,
we had mentioned that the deal may follow the precedent
set by some of the big-ticket broadcasting deals across
the world (EPL, NBA and MLB). These other leagues have
seen a consistent multi-fold growth in the value of their
broadcasting rights and IPL has now followed a similar
trend.
For Star, it was very clear from its auction strategy that it
was all or nothing for them and that shows the massive
confidence that the company has in this property. Star
was also encouraged by the multi-fold growth in Hotstar’s
viewer base for IPL which increased from 27 million in
2014 to 130 million viewers in 2017. Star’s confidence in
IPL was evidenced by the fact that its overall advertising
and viewership numbers from IPL were significantly higher
than those Sony had achieved last year. In fact, Hotstar
went on to create and break numerous records in the OTT
space. IPL and Hotstar were beneficiaries of cheaper and

43Duff & Phelps
affordable access to internet and mobile television due to
the tug of war between telecom service providers after
Reliance Jio’s entry into the market.
This surge in online streaming of IPL and the increasing
momentum of OTT as a medium to watch sports online
was also one of the key reasons for companies to show
willingness to acquire digital rights for streaming IPL
(Facebook and Eros were amongst the bidders for IPL).
Star has leveraged heavily on this model. On the traditional
broadcasting front, Star, with virtual monopoly of all the
marquee sporting assets in India, will be able to command
a higher distribution / subscription fee from the cable
distributors.
The way various sponsorship and media rights renewals
have grown multi-fold over the eleven years of IPL’s
existence has provided us with a glimpse of what to expect
in the next few decades. It will be safe to say that for the
foreseeable future, the months of April and May will stay
demarcated as IPL territory, now with an added advantage
of international players’ availability for the entire tournament
once the next ICC Future Tours Programme kicks in.
However, we will now go into a more stable phase in terms
of the value of the IPL Ecosystem as most of the deals
forged by BCCI are locked in for at least the next four years
and the value appreciation may not be at the same rate that
we saw in the last few years.
Regarding the individual franchise brand values, this year
we saw KKR also crossing the US$ 100.0 million barrier
with a brand value of US$ 104.0 million with both CSK and
RCB not far behind at US$ 98.0 million. Mumbai Indians
continue to be the leader in the brand ranking with a brand
value of US$ 113.0 million even after an unsatisfactory
performance this season. The top four teams in our ranking
are likely to continue to hold the advantage over the other
teams even when they perform poorly, purely on account
of the presence of marquee players, the size of the fan
0
50
100
150
ValueinUSDmillion
Year
2014 2015 2016 2017 2018
Mumbai Indians
Kolkata Knight Riders
Chennai Super Kings
Royal Challengers Bangalore
Sunrisers Hyderabad
Kings XI Punjab
Delhi Daredevils
Rajasthan Royals
IPL FRANCHISE BRAND VALUES

44Duff & Phelps
base they cater to and the advantage of being in cities with
significant young populations. Based on various discussions
we had with sponsors and advertisers, we understand that
these four teams are hot picks among the advertisers.
Considering that the on-field performance for most teams
was on par, at least till the league stages were completed,
the teams’ actual position in the league would not have had
any material negative effect on the franchise brands.
SRH were one of the top gainers this year, with their
brand value up by 25% as compared to last year and this
was primarily on account of their continued good on-field
performances. However, KXIP was the biggest gainer with
an increase of 27% to reach US$ 52.0 million, with the
presence of marquee players and a well-rounded team
working in their favour. DD continued to impress with the
limited resources and their faith in younger players paying
off to an extent as crowds thronged their home ground
to watch their young guys Rishabh Pant and Shreyas
Iyer in action. It would not be an exaggeration to say that
Rishabh Pant is to DD what Kohli was to RCB 10 years
back. DD should also benefit from the JSW transaction, as
JSW Sports is well known for running a champion team
like Bengaluru FC effectively with limited resources. RR,
coming back after a two-year suspension, saw a minor
erosion in their brand value due to the controversy, to which
CSK appears to have been immune. RR’s brand value was
US$ 43.0 million.
The current Duff & Phelps IPL Brand Valuation reflects
the evolution of the modern cricket business paradigm
with clubs benefiting from not only the enduring popularity
of cricket in India but also from strong marketing and
globalization of the game. However, for growth trajectories
to maintain their momentum, all teams need to continue
broadening their footprint, forming relationships and
generating revenue opportunities in growth markets.
Ultimately, however, much of cricket’s future depends on
ensuring the product is of a sufficiently high quality to
continue attracting viewers, sponsors and broadcasters, the
latter of which have become so vital for the game’s financial
health.

45Duff & Phelps
Limitations to the study
The analysis and estimates presented in this report are
based on extensive research on secondary sources of
information, limited primary discussions with industry
participants and the results of our IPL Sponsorship Survey.
We have not undertaken any independent verification or
carried out any due diligence on the data used or
considered, nor have we verified its factual accuracy in the
current context. Brand values may differ based on
actual information available with individual teams. The
conclusions provided in this report shall not be construed
as investment advice and the valuations provided in the
report shall not be used for any other purpose other than
general research and media consumption. Each of Duff &
Phelps and its affiliates expressly disclaims all liability
for any loss or damage of whatever kind which may arise
from any person acting on any information and opinions
or analyses relating to the valuations contained in this
report.
The valuation of a business or intangible asset is not a
precise science and the conclusions arrived at in many
cases will of necessity be subjective and dependent on the
exercise of individual judgment. There is therefore no
indisputable single value and we normally express our
opinion on the value as falling within a likely range.
However, for the said purpose, we have provided a single
value. Under normal circumstances, our assumptions
and methodologies are supplemented by discussions with
the management and insights provided by them on the
most likely course of business over the near term. Our
current assumptions for the valuation are based on
information derived and analysed from a combination of
primary interviews and secondary sources. Accordingly,
our assessment and estimates are based on market
perceptions and most likely trends of growth for the IPL
franchises. Others may place a different value on the
various brands.
All trademarks, trade names, or logos referenced herein are
the property of IPL, BCCI and the respective
franchises.

C O N TAC T S
About Duff & Phelps
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E D I TO R I A L T E A M
Harsh
Talikoti
CHIEF EDITOR
Jash
Shah
Kshitij Patel
Punamiya
KC
Mutya
Varun Gupta
Managing Director, Asia Pacific
Leader for Valuation Services
Varun.Gupta@duffandphelps.com
Santosh N
Managing Director
Santosh.N@duffandphelps.com
Disha
Hoskote
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