1986, three years after an Indian team the world didn’t count much for defeated Clive Lloyd’s invincible side at Lord’s. The same team’s Board, viz. The Board of Control for Cricket in India (BCCI) for all its eponymous might was struggling to make ends meet. Add to that the responsibility to host the 1987 Cricket World Cup. In dire straits, the BCCI was yearning for funds when the then Dhirubhai Ambani-led Reliance group came forward to be the title sponsor for the event paying $1 million.
On 9 March 2016 Hyundai Motors India Limited signed an agreement with the BCCI as one of the three associate sponsors for a period of 4 years. This agreement gives Hyundai advertisement space on either side of the pitch, on either squares and a space to display their latest cars at the venue of a cricket match.
The BCCI via its annual report 2014-15 declared a total revenue flow of INR 5436.97 crores, INR 1300 crores more than INR 4088.94 crores in the previous financial year.
Every time an MSD led limited overs Indian side steps out or a Virat Kohli spearheaded Indian Test-side steps out to play, even before as ball is bowled, or a guard is taken, the BCCI has minted in excess of INR 50 crores. And mind you, this does not include the gate receipts from ticket sales and other miscellaneous sponsorship deals that the BCCI enters into.
So, how exactly does the BCCI make so much money? Get your calculators out- the bigger ones- the digits here are going to surpass the digit-limit on your small calculators.
1) Media Rights
The largest source of revenue for the BCCI is undoubtedly the media rights that it grants for the broadcast of the games which feature the Indian Cricket team. Be it Southall in London or Queens in New York or the business district in Melbourne, when the ‘Men-in-blue’ turn up to play cricket, everyone wants to watch. The advertisers know that, the marketing agencies across the globe know that, broadcasters are well aware of that and the BCCI, well, let’s just say they know where their eggs are!
The BCCI in 2008 finalised a deal with a conglomerate of Multi-Screen Media (Singapore) Sony Network India (SNI) and World Sports Group (WSG) to sell the broadcasting rights for 10 years of the Indian Premier League for US$ 2 Billion (INR 8200 crores). Which meant the MSM-SNI-WSG trio would shell INR 820 crores every year which is roughly INR 7.06 Crores for every IPL game (based on an 8 team event with the playoffs system).
Imagine, even before the players step on to the field, the BCCI pockets INR 7.02 crores from their broadcasters.
Gaping already? Oh we aren’t even halfway through!
On April 2, 2012 exactly a year after India beat Sri Lanka in Mumbai to become the World Champions, the BCCI announced that the Rupert Murdoch owned Star Group was sold the Broadcasting rights for all Indian international and domestic matches, for…
Keep that glass of water aside, stop eating (if you are), if you’ve run out of your salary, already, don’t read any further.
The BCCI sold the broadcasting rights for a colossal US$ 750 Million INR 3815 Crores! All of this for 96 matches over a period of 6 years between 2012-2018.
Are your fingers hurting? Too much calculation? Wait, I’ll help. This means that the BCCI gets paid INR 40.11 crores for every game that the Indian team plays in a bilateral series.
INR 21,200 is the starting salary of a friend of mine who has just joined the I.T. Sector. My salary? Ah, let’s just say you can use that small calculator after all.
P.S. Hotstar (via Novi Media Pvt. Ltd.) were granted the digital rights for all Indian matches for a period of 2 years, for just INR 302 crores. Do make sure you mind the prefix ‘just’!
2) Title Sponsorships
Woof! After all that number-crunching, I’m happy that you’re still here. So, what else makes money for the BCCI? A lot of arrangements. One of which is the title-sponsorship.
The PayTM Ranji Trophy? The PayTM T20 Series? The PayTM Test-Series? Sounds familiar?
PayTM (owned by One97 Communications and in part by Jack Ma’s Alibaba) have paid INR 203.28 crores to be called the title-sponsors of the BCCI for the next 4 years. Which covers 84 matches, roughly. In other words, it means approximately INR 2.5 crores for every game for the BCCI! I remember thinking what would someone, who won INR 1 Crore on Kaun Banega Crorepati do with all that money…well!
3) Official Team Sponsor
For a major part of the growing-up years of a lot of Indian kids, Indian jersey was always Sahara India. On 10 December 2013 that changed, and Star India Pvt. Ltd. bid successfully to oust Sahara India Pvt. Ltd. to become Indian Cricket team’s official sponsor.
Want to know how much it cost them? INR 203 crores for three years. The arrangement mandates that Star India pay the BCCI INR 1.92 crores for every bilateral game where the Indian team wears the Star branded uniforms and INR 6.1 crores for every ICC Tournament’s game.
4) Kit Sponsorship
Forgot that Nike Swoosh on the right chest of the Indian team’s jersey? Yes, the placement of that Swoosh (the Nike trademark tick) costs them US$ 12.13 million per year, which sums up to a whopping US$ 60.66 Million at the end of the 5-year term! Which by the way is roughly another INR 270 crores in the B.C.C.I’s pocket.
Come 2017 the BCCI aims to take that amount up to US$ 100 Million if reports are to be believed.
I’m glad you’ve still stuck around. Calculators overheating?
5) IPL Revenues
If you think I’ve conned you all this while, you’re wrong. All of the aforementioned are the amounts that the BCCI earn from Indian cricket team’s international arrangements (barring the IPL Media Rights fee as discussed in point no. 1).
So, all the ad revenues, the gate receipts from IPL and other incomes add up to roughly INR 1100 crores for the BCCI. This income is of course shared with the franchises via the common pool, but it wouldn’t take a professional accountant (some of you might want to give that a chance, given how much you’ve worked on the numbers already) to decipher that the BCCI must keep some amount out of that for itself.
The BCCI is a global behemoth. It has its way, always. It’s that spoilt kid who owns the bat and continues batting even after being bowled on consecutive deliveries. The board is synonymous to power and prosperity. But, have you ever thought why are sponsors after Indian cricket? Irrespective of how the team performs, they want to be associated with Indian cricket. Why?
It’s because of you! Yes, you! You, who opens every cricket related link, likes every cricket related post, follows cricketers religiously, wants a hairstyle like Virat Kohli and a bat like MS Dhoni. You, who sits glued to the TV set even when India need 30 runs off 5 balls and Ishant Sharma is batting (not bowling). Come what may, cricket will interest you! You are Indian Cricket.
The advertisers know it, the broadcasters know it, the BCCI, well…let’s say it knows where all its eggs are.
Brand-new app in a brand-new avatar! Download CricRocket for fast cricket scores, rocket flicks, super notifications and much more! 🚀☄️
