The BCCI, with its powerful management and innovative ideas that invented the IPL, has revolutionized everything – from viewers’ thought processes about the game to players’ approaches. However, a significant aspect that has changed everything is the money involved. It has come to light that the BCCI earned ₹11,769 Crore in 2023, marking an almost 78 percent increase in a year. But how does the BCCI make money from the IPL? There is no doubt that the BCCI generates billions of Rupees annually from the IPL. What are the primary factors that contribute to this substantial amount? Let’s take a look at three major factors, that help the BCCI earn money from the IPL.
How much money did BCCI make before IPL?
IPL media rights
The first thing’s first, BCCI earns a substantial amount from their media rights, which is not hidden from anyone. A major portion of the BCCI’s revenue comes from selling their broadcast rights to television and digital platforms. For the cycle of 2023-27, Disney Star secured the IPL television rights with a bid of ₹23,575 crore, while Viacom18-owned JioCinema acquired the digital rights for ₹23,758 crore. This amounts to a total of ₹48,390 crore. In the past, we also saw an approximate amount of ₹16,347 crore generated from selling media rights from 2018 to 2022. The increase for 2023 to 2027 shows a significant boom of 196%, clearly indicating that media rights are a gem in the BCCI’s money-making strategy.
IPL Sponsorships
The second vital aspect is IPL sponsorships, starting from DLF to the current title sponsor, the Tata Group, which has signed a record-breaking deal of ₹2,500 crore for five seasons from 2024 to 2028. Additionally, the BCCI has secured ₹1,485 crore from associate sponsors this time, which certainly adds to their assets. Since these deals are for larger cycles, they provide assurance to sponsors for a long-term relationship with the league. This not only offers significant financial advantages to the IPL but also fosters a positive partnership with the sponsors.
IPL ticket sales
Ticket sales and merchandise play a crucial role in the IPL’s revenue generation. Since matches are highly popular and attract large crowds, particularly in major cities like Mumbai, Delhi, and Chennai, and the IPL fan parks contribute to a boom in merchandise sales, which, along with ticket sales, significantly enhances the BCCI’s income. The BCCI collaborates with local authorities to ensure efficient ticketing and crowd management. Additionally, the BCCI licenses all merchandise products to manufacturers and receives a portion of the sales revenue. The popularity of the IPL and its teams drives demand for merchandise, further doubling the league’s overall earnings.
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