Chinese mobile manufacturing company and previous title sponsor of IPL (Indian Premier League) has retained the title sponsor tag with an whooping bid amounting to Rs.2200 crores for another 5 years (2018 – 2022). This bid gives rise by 455% to previous contract signed in 2013.
Vivo snatched this title sponsor tag in October, 2015 from PepsiCo India for two years worth Rs.396 crores. PepsiCo bought the title rights in year 2013 when DLF ended it’s contract with IPL. But PepsiCo ended it’s contract before the time frame and sponsor’s title went to Vivo. Base price for the auction was kept just 15% more from what Vivo paid in last contract. But another Chinese mobile manufacturer Oppo placed a bid worth Rs.1430 crore. Vivo then placed a bid of 2200 crore (770 crores higher than what Oppo bid).
Earlier in March, 2017 Oppo displaced Vivo to gain Jersey rights of Men, Women, Junior and Senior Cricket Teams of India. Oppo grabbed these rights at a price of Rs.1079 crores. Then, Vivo won the competition here. Bids were opened on Tuesday in Mumbai in presence of IPL Chairman, Rajeev Shukla and Acting BCCI Secretary, Amitabh Choudhary. Two other mobile manufacturing companies picked the tender document but was not available to place bids.
Tweeted by @IPL : VIVO retains title sponsorship for IPL 2018-22. They bid Rs.2,199 Crores, 554% increase over the previous contract!
Cricket is a big platform in India. Chinese companies very well know the fact and they find CRICKET as ideal platform to showcase their brand and it’s Value. When asked about the Only one Indian company is interested in contract, Johri said :
“You have to understand that both these companies have been involved in cricket sponsorships, Oppo is one of the sponsors of the ICC, so they have cricket exposure. And, Vivo is an existing IPL sponsor, so they are continuing their investment into cricket, so that shows the importance of cricket, especially Indian cricket. It’s not the first time they are doing it, they understand the value.”
Year wise breakdown of IPL and companies contacts. Image Credit : ESPNcricinfo
If we crack down year wise price of Contract, then DLF paid Rs.40 crore/year, PepsiCo and Vivo paid Rs.79.2 crore/year (2013-2017) and this time Vivo brought IPL title sponsorship at per year price of Rs.439.8 crore/year. To this whooping rise in bid, Acting Secretary of BCCI said :
“We received an overwhelming response for the title sponsorship rights and we are glad to have Vivo back on board. It is a renewal of a fruitful relationship with the brand that will extend for the next five years,”
What are your views and thoughts about Vivo bid huge (Rs.2200 crore) to keep the IPL title sponsorship till 2022, share with us in comments below.