NEW DELHI: If the cash-rich Board of Control for Cricket in India (BCCI) has its way, soon Indian Premier League (IPL) T-shirts, jerseys, caps, cafes and bars could be all over the place.
Having mopped up Rs 350 crore in profits from the inaugural IPL, BCCI is further monetising the league. To begin with, sources say, BCCI is working on plans to license out IPL brand for about $15-20 million for a five-year window. Board officials are learnt to be in talks with two-three global merchandising firms for licensing out IPL brand before the second season commences next April-May.
BCCI plans to license out IPL brand for T-shirts, jerseys and caps; cricket gear, including gloves, stumps and helmets; stationery; bags; and, subsequently, even to bars and cafes. The licensing deal could pan out to other countries which have representations from players in the league. Sporting properties such as Fifa, Wimbledon and EPL teams like Manchester United operate wide-spread licensing models across various global markets. IPL CEO Sundar Raman told ET: “We are evaluating various options and will go with what is best.”
IPL merchandise would be independent of products sold by team franchisees and their sponsors. The concept could be a money spinner, say industry experts. In the first IPL season, for example, footwear and apparel maker Reebok made a neat profit by selling KKR-branded T-shirts and jerseys. Reebok, the merchandise partner of KKR, sold merchandise of over Rs 5-7 crore in Kolkata alone. This, when SRK jerseys were priced at Rs 1,899 each and T-shirts at roughly Rs 500. As Reebok failed to meet the demand, fake KKR-SRK apparel gained currency.
Licensed merchandise is a fast-growing retail segment, with global retail sales estimated at about $195.7 billion last year. Meanwhile, all eight teams are working on plans to monetise their team prospects by planning long-term corporate sponsorship deals in addition to the ones they had inked for the first season. These could also include merchandising deals with sponsors.