 "Gujarat Titans, IPL 2022")
There is good news and bad news for CVC Capital Partners, which outbid Gautam Adani’s eponymous group for the Indian Premier League’s Ahmedabad franchise. The good news is that its team, Gujarat Titans, is in the final in its debut season. However, success off the field will have to wait: the team has a long way to go before it can get anywhere close to the brand value of Mumbai Indians, which finished at the bottom this year.
This also applies to Sanjiv Goenka, head of the RP-Sanjiv Goenka Group, who dished out Rs 7,090 crore for the Lucknow franchise. Lucknow Super Giants, the other debuting team this year, lost in the first eliminator on Wednesday. However, the solace for Goenka is that a win in the eliminator would not have caused an immediate spike in the team’s brand value.
“They will have to be consistent with their performance in the future to figure among the most-valued franchises,” said Ajimon Francis, managing director, Brand Finance India.
Brand Finance ranked Mumbai Indians as the most-valued IPL franchise in a report in February, pegging its value at $79.5 million, followed by Chennai Super Kings ($76 million) and Kolkata Knight Riders ($66 million). Delhi Capitals and Sunrisers Hyderabad were fourth and fifth on the list with brand values of $56.1 million and $52.1 million, respectively.
The chart toppers, Mumbai Indians and Chennai Super Kings, have performed consistently over the years. Mumbai has won the title five times and Chennai four. The two teams also have legions of passionate fans. “What worked for Mumbai Indians and Chennai Super Kings over the years was their high engagement with fans,” said N Chandramouli, chief executive officer, TRA Research, a brand advisory and insights firm.
The new entrants can take leaves out of the books of the multiple champions. “The new introductions this year have the advantage of understanding how the journey has been for these and other franchises. This has shown in the kind of players they are investing in, their team spirit and the overall desire to win,” said Ashish Mishra, managing director, Interbrand India. Added Chandramouli, “Gujarat Titans and Lucknow Super Giants are building their fan base currently. How they engage with this base will determine how they are valued in the future.”
On the bright side, the debutants already have a lot going for them. Notable advertisers have associated with the two franchises. Electric-scooter maker Ather Energy, telecom major Jio, fashion platform Meesho, and Astral Pipes have backed Gujarat Titans. Fintech player Credenc.com, higher education service provider Sunstone Eduversity, and Greenply have sponsored Lucknow Super Giants.
The IPL as a sporting property was valued at $4.7 billion by Brand Finance in 2021, up nearly 7 per cent over the previous year. The 2022 edition may see a correction, experts say, owing to lower viewership, restriction to just a few cities, and more entertainment options available to people after the lifting of the Covid-19 restrictions.
