The most-valued IPL team — surprise, surprise! — Kolkata Knight Riders (KKR), which is languishing at the bottom of the table in the second edition of IPL, currently going on in South Africa, has a brand value of $42.1 million.
Clearly, the efforts of celebrity co-owner Shah Rukh Khan at hard selling the KKR brand seem to have more than made up for the team’s poor on-field performance.
A 2-year-old toddler, and already worth over $2 billion — a feat even the most street-savvy global marketer will find hard to emulate. That’s the Indian Premier League (IPL) for you.
For all the controversies, twists and turns that have dogged the Twenty20 cricket tournament since its inception last year, as an enterprise, IPL is already worth more than $2 billion and counting, says UK-based brand valuation consultancy Brand Finance.
The report suggests that KKR and Rajasthan Royals — the winners of the first edition — have been excellent on the branding front, with both franchises reporting a high brand value as a proportion of the franchise fee committed by their owners for the first 10 years.
Rajasthan Royal’s brand value of $39.5 million at 59% of its franchise fee of $67 million, makes the reigning champions — part-owned by Bollywood actor Shilpa Shetty — IPL’s most profitable investment. Interestingly, Rajasthan Royals had a slow start in the second edition before recovering on time to move up to the fifth position as on Saturday, May 2.
Table
In stark contrast, Hyderabad Deccan Chargers (DC), which is leading the table so far in IPL-2, and Royal Challengers Bangalore (RCB), two rather expensive teams, are the least profitable. Deccan Chronicle Holdings-owned DC has a current brand value of $34.8 million, or 33%, of its $107-million franchise fee while liquor baron Vijay Mallya-owned RCB’s brand value stands at 34% to its $111.6-million franchise fee.
Brand Valuation of IPL Teams
Source Story : Economic Times
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