The fatigue, the format and the fall in ratings of Indian Premier League (IPL-4) have not deterred Multi-Screen Media (MSM), the broadcaster, to claim selling 10-second advertisement spot for Rs 15 lakh for the last four matches. But media buyers say MSM is actually willing to sell these spots at the same rate — Rs 5-5.5 lakh per 10-second spot — of group matches.
“Most of the inventory kept aside for last-minute deals is on the verge of being finalised. The ad spots for the last leg of IPL will be sold at Rs 15 lakh,” said Rohit Gupta, president-network sales of MSM, which owns SET Max. The rates will be applicable to the two qualifiers for the final in Mumbai and Chennai on May 24 and 27, the eliminator on May 25 in Mumbai and the final on May 28 in Chennai. SET Max is estimated to earn Rs 900 crore from ad sales alone during this IPL season.
The latest TRP figures issued by TAM Sports, a unit of TAM Media Research, for the first 59 matches in IPL-4 show that ratings have hit a new low of 3.84 against IPL-3’s 6.36, IPL-2’s 4.66 and the first season’s 5.39.
“With lack of advertiser interest due to dip in viewership, these spots are not being able to command premium this year, unlike previous seasons where the rates had shot up by 150-200 per cent. Brands will be unwilling to cough up Rs 15 lakh for 10 seconds and MSM may have to settle for less to use up any last-minute inventory,” said a senior media buying official from Group M, India’s largest media buying firm, one of whose clients is Hindustan Unilever. Last year, MSM pre-sold its inventory at Rs 4 lakh for 10 seconds and in the final the spot rates jumped to Rs 12 lakh.
“MSM had pre-sold 80-85 per cent of its inventory at Rs 5-5.5 lakh per 10-second spot and was planning to hike rates to Rs 10-12 lakh for finals. The rate is more than double of the group matches. The broadcaster may be forced to sell inventory at a discounted rate or it may remain unsold this season,” said a senior media buyer.
MSM’s Gupta said the number of people watching IPL-4 was high. “One hundred and forty-three million people watched IPL last year. This year we have already crossed 146.5 million people.” He insisted that the broadcast of IPL matches offered a more effective reach for advertisers.
When IPL-4 kicked off in April, the broadcaster riding the World Cup wave hiked spot rates by 20-25 per cent, cashing in on the feel-good factor surrounding cricket. The spot rate went up 25-30 per cent to as high as Rs 6.25 - 6.75 lakh when the tournament began, depending on the teams, match timings and the day of the week. Each IPL match allows 45 minutes of ad air time. "With back-to-back tournaments, there could have been a possible overdose of cricket. Also, with more matches played this year due to 10 teams and swap of players in various franchises could have diluted some of the loyalty built up over previous seasons. But viewership could pick up as the series progresses," said Shripad Kulkarni, COO, Allied Media, the media planning and buying arm of Percept Group.
