As cricket begins another revenue boom, records fall

Break records in the DNA of cricket. England scored 498 points in 50 games against the Netherlands last Friday.

The Board of Control of Cricket in India (BCCI) doubled its previous record of $ 2.6 billion in an online auction of $ 6.2 billion for media rights for the Indian Premier League from 2023 to 2027, as shown in a column last week . . Revenue will be distributed approximately evenly between TV and digital streams, a change from the previous 75:25 cycle.

The International Cricket Council (ICC) is selling the media rights for its next round of hard work following the Bahraini Chamber of Commerce and Industry auction, which begins in 2024. He hopes to break records.

The Request for Tenders (ITT) was released on June 20 for the lucrative Indian market where men’s and women’s cricket will be sold separately. This differs from previous practice, where the rights of the combined men and women were sold on a global basis. Sealed tenders will be submitted by 22 August and successful bidders will be announced in September, with details of, among other things, their tenders. Thereafter, ITTs for other markets will be introduced.

Available in six packs, each with three men’s and women’s cricket, TV only, digital only, or a combination of the two. Between 2024 and 2031, there are 16 men’s tournaments, including four T20 World Cups, two World Cups over 50, four u.19 World Cups and six Champions Cups. Bidders have the option to choose a four- or eight-year partnership.

This does not apply to women’s tournaments, which include the T20 World Cup twice, the T20 World Cup under 19, the Over 50 World Cup and the T20 Champions Cup. The ICC has made it clear that even if there is only a four-year selection, the contract may not be awarded to the highest bidder in the Women’s Championship.

Each auction highlights how it seeks to promote women’s sporting in line with the ICC’s commitment to accelerate its recent development.

Controversially, the ICC head recently said that women’s Test cricket could not be expected to “be part of the landscape that progresses to any real level”. This is confirmed by the fact that all matches in the women’s auction groups are white balls. However, renewed listening to the presenters indicates a lack of ICC ideas or opportunism. The need to use criteria under the ICC’s closed bidding system to determine successful submissions can cause tension.

The concern also applies to the desire to bid for four and eight years of men’s cricket. Over the next decade, changes in connectivity technology are likely to occur, while changes in the balance of media consumption between television and digital are already apparent. In the second four years, if conditions change significantly, will there be an opportunity to reduce this risk?

In India, the number of active internet users is expected to increase from 560 million in 2017 to 900 million in 2025. In this changing landscape, the type of auction for cricket media rights is also showing a change. Names not previously associated with cricket have sparked interest in the IPL auction – Alphabet / Google, Apple and Amazon – but have decided not to participate. In 2022, Viacom18 and Times Internet were new successful bidders, in 2017, Zee Enterprises, which held its rights for 10 years before losing to Star, fired Sony.

Given the volume of bids for IPL media rights, as proof of the intense media interest in the promotion of cricket, the ICC strongly encourages more bids in this round of bidding.

Disney-Star owns the rights to the current joint venture, which is worth less than $ 2 billion. It also held the television rights to the IPL series. Given this level of commitment, it is reasonable to assume that Disney would be in the ICC Bill of Rights. However, the decision not to bid for the digital rights on the IPL was an important one as it was too expensive.

If we look at the IPL electronic bidding, it will be very quick to know who is going to bid and what their strategies are. One concern is that a revision of the 2022 IPL viewership indicates a one-third decrease in TV viewers compared to 2021. Several mitigation scenarios have been put forward by researchers. First, the previous version was only completed in the UAE in October 2021, which may have exhausted the audience. Another was that spectators with the relief of Covid-19 restrictions went to public places to watch matches en masse without staying home.

Advertisers have expressed concern about the amount of compensation required. However, the decrease did not adversely affect the revenue generated in the auction for the upcoming IPL cycle, on the contrary.

What is explained is that cricket, especially in the Indian subcontinent, now has the potential to generate large sums for the BCCI and its ICC on the train. With more than a billion fans watching the International Cricket Council’s matches, it is estimated that India has about 70 percent.

Cricket officials have turned the game into a financial giant, with sirens warning that T20 owner cricket is flourishing and printing high forms. This in turn reduces public choice, as managers are powerless to stand up and step in, but are fortunate enough to raise funds.

They can start by involving existing players and then monitoring them. The International Federation of Cricketers’ Associations exists to coordinate and express the opinions of players expressed by the National Associations. It could cause a rift in its relationship with the ICC and, remarkably, it has no connection with India.

It is assumed that players will not complain about higher salaries, viewers and viewers will continue to pay, and advertisers will continue to buy the space from which media channels are purchased. Currently, it is a successful business model that breaks financial records and does not cause opposition.

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