Peak rates are no deterrent for advertisers keen to make the most of the ICC World Cup & IPL 4.
The high season of cricket is around the corner and advertisers are weighing where they would get the most bang for their buck, even as advertising rates climb new highs. The ICC Cricket World Cup starting on February 19 and Indian Premier League season 4 (IPL4) on April 8 offer a 90-day cricket marathon that is the largest media extravaganza in terms of viewership and revenue. And, despite the overdose of cricket and the high costs associated with it, most advertisers are not deterred from paying big money.
A 10-second spot for IPL4 on SET Max is being sold at Rs 5-7 lakh, almost Rs 1.5-2.5 lakh more than during IPL3. Accordingly, Multi Screen Media (MSM), which owns Set Max, is expecting to mop up Rs 1,000 crore as advertising and sponsorships revenues, 25 per cent more than the Rs 800 crore it earned from IPL3. ESPN Star Sports, the official broadcaster of the ICC World Cup, has about 5,000 seconds of ad inventory per match, which is reportedly selling at Rs 3.5-4 lakh for a 10-second spot. It is expected to rake in Rs 750 crore in ad revenues from the ICC event.
The ICC World Cup and IPL4 are set to split the Rs 1,750-crore advertisement market equally but the average viewership ratings could favour IPL4, believe media planners. “Some traditional advertisers associated with cricket say cost-efficiency is better with the Twenty20 format (IPL4), although they have not completely ruled out being part of the World Cup yet,” says Chirantan Chandran, principal partner, client leadership, at media buying agency Mindshare. Advertisers and brands with a global footprint have opted for World Cup 2011, while brands that want to connect with the Indian audience are eyeing IPL4.
While India’s early exit from the ICC World Twenty20 last year left advertisers disappointed, the World Cup 2011 match schedule more or less hedges India’s presence for up to 31 days. Aloke Malik, managing director, South Asia, ESPN Software India, says, “We cannot comment on specific inventory levels sold, though I can say we are very close to a full sell-out.” With three joint presenting sponsors — Sony India, Hero Honda and Vodafone — and five associate sponsors (Airtel DTH, Nokia, Maruti Suzuki, Philips and PepsiCo), ESPN’s bag is looking full.
India plays its last group match on March 20, a month after the tournament begins, and that buoys ESPN’s confidence that advertisers will get value for their money. “Yes, there has been some devaluation of the 50-over game but the World Cup has a special impact and that is the response we have got from advertisers,” says an ESPN Star Sports spokesperson. He confirms that World Cup 2011 will be telecast live on 3G mobile in India.
There is only a week between IPL4 and the World Cup, but the good news for advertisers is that the two events fall in separate financial years. Having roped in telecom service provider Vodafone and Videocon as presenting sponsors, IPL4 will have Samsung Mobile, LG, Hyundai, PepsiCo, Tata Photon, Havells and Cadbury India as associate sponsors. SET Max Senior Executive Vice-President Sneha Rajani says, “We have seen advertising rates jump by 25 per cent this season. While 75-80 per cent of our ad inventory has been booked, the remaining is being held back for last-minute advertisers.” Rajani insists that the 6-week window IPL4 presents to advertisers is lucrative. “We signed on our title and associate sponsors three months in advance and with 145 million viewers glued to IPL3, this season’s potential is anyone’s guess.”