Launch Of Ipl Team: Group: 1a Members

LAUNCH OF IPL TEAM

Group: 1a Members: Atul Saboo Pankaj Agarwal Ritesh Choudhury Tarun Daga Uma Balakrishnan

AGENDA • How effective were our marketing strategies? à Assessment of Current Promotional Strategies à Alternatives Available

à • What is IPL all about?  Success Story of IPL  Success Story of Franchise Owners

• •

• • Why should we invest in IPL? •

 The IPL Revenue Flow à Short Term Benefits à Medium to Long Term Benefits à Expected Operating Profit

•

• How can we best use this platform? •

 Marketing Tools

H O W E F F E C T IV E W E R E O U R M A R K E T IN G S T R A T E G IE S ?

ASSESSMENT OF CURRENT PROMOTIONAL STRATEGIES • STRATEGY 1: •Eye-catching advertising that gets youth talking • • OBJECTIVE: ØCatching the attention of target segment and translating into sales

• • WHAT WE ACHIEVED: Ø Word-of-Mouth

• • GAPS IDENTIFIED: Ø Ads did not boost sales as expected

ASSESSMENT OF CURRENT PROMOTIONAL STRATEGIES • STRATEGY 2: •Pay consumer for incoming calls • • OBJECTIVE: Ø Differentiate the offering from existing players

• • WHAT WE ACHIEVED Ø Piqued the curiosity of the market •

• GAPS IDENTIFIED Ø Consumers were wary of hidden costs

ALTERNATIVES AVAILABLE • Pan India inter-school/college T-20 tournaments • • Effective advertising campaign using a brand ambassador • • Partnering with reality shows • • Launching a team in IPL •

WHAT IS IPL ALL ABOUT?

SUCCESS STORY OF IPL • Cricket 2.0 Ø Grabbed new eyeballs § 90% followed IPL vis-à-vis 74% following international cricket § 56% would prefer IPL matches vis-à-vis international cricket § Generated loyalty at local level • •

Ø Threat to existing entertainment sources § Glamour quotient § 3 hour prime-time slot § TVRs of 8.26 and TRP of 6

SUCCESS STORY OF IPL • Brought in professionalism Ø Ø Management structure Ø Performance-oriented play

• • • Roped in big money Ø Ø Franchise amount collected- US$ 724mn Ø Team cost- US$ 6-7mn Ø Franchises being sold for US$ 67-112mn

Ø

SUCCESS STORY OF FRANCHISE OWNERS • • Returns higher than expected

Ø Break-even expected in third season Ø 2 out of 8 made profits in first season Ø Other 6 expected to break-even in second season

• • Brand awareness increased manifold • •

WHY SHOULD WE INVEST IN IPL?

THE IPL REVENUE FLOW Television Advertisers

Central Sponsors Merchandise Team Sponsors Events In-stadia Advertising Ticket Sales Franchising Fees

Sony WSG (Broadcaster)

BCCI (Organiser) Broadcasting Fees

Production Cost

Umpire Salaries Prize money

Franchises Share of: •Broadcasting Fees •IPL sponsorship

Player Salaries Stadium Leasing Team Advertising

Inward Arrows are Revenue Inflows, While Outward Arrows are Revenue Outflows

SHORT TERM BENEFITS Ø Enhanced Brand Awareness Ø Ø Immediate connect with target audience

• •M E D IU M T O LO N G T E R M

Ø

BHEigNh BEraFnIT Ø d RSe ca ll Ø ØC o rp o ra te B ra n d in g Ø ØIPO of Franchisee Ø ØHigh Returns on Investment

EXPECTED OPERATING PROFIT

HOW BEST CAN WE USE THIS PLATFORM?

MARKETING TOOLS • Advertising Ø Major advertising before and during IPL season

• • Event Sponsorship Ø Year-round sponsoring of youth-oriented events

• • Merchandise Ø T-shirts, caps, music and autographed cricket gear

MARKETING TOOLS • Road shows Ø Generating buzz and curiosity •

• Contests and Sweepstakes Ø Tickets and passes Ø Virgin mobiles Ø Dinner with team •

• Web 2.0 Ø Independent and partnered portals Ø Communities and fan clubs

STEPS TO BE TAKEN • Buying the franchise Ø Convincing the BCCI for a team launch Ø Participating in the bidding process

• • Team composition Ø Combination of youth and experience Ø Picking the right crowd pullers Ø Coach and support staff

STEPS TO BE TAKEN • Collaborating with sport utility companies Ø Tying-up for team equipment and accessories Ø Merchandising •

• Hiring ad and PR agencies •

• Adding to the glamour Ø Roping in a brand ambassador Ø Creating a theme song and fan clubs

THANK YOU