BCCI the world's richest cricket board, every cricket fan is aware of this fact but did it ever crossed your mind how BCCI makes every year through the various sponsors, television, and digital broadcast rights? So let's see how BCCI became the richest cricket board in the world.
Overview:
BCCI was formed in 1928 to advance and control the game of cricket throughout India also, to arrange and control inter-territorial, foreign and other cricket matches. In the year 1959, Doordarshan for the first time broadcast a cricket match in India which was played between West Indies and Prime Minister XI.
It was the year 1983 which changed the game forever when India won the World Cup against the defending champions West Indies. Even though India manage to win the world cup but BCCI wasn't making any real money.
Up until 1992 BCCI used to pay Doordarshan ₹5 lakhs per game to meet the cost of production. Doordarshan in turn used to make a huge pile of money from the TRPs earned. The matter went to court and in 1993 BCCI won the right to sell telecast rights and thus began the new era for BCCI. Let's look at the road map.
Timeline(Year) Event
1993 - BCCI sells its telecast rights for the first time to Trans World International(TWI) for $60000 and Doordarshan.
2000 - BCCI signs a deal of 4 years with Doordarshan of ₹240 Crore.
2004 - ZEE agrees to pay $308 Million for 4 years but the deal ends in court.
2006 - Nimbus(Neo Group) buys the 4 years right for telecasting all the matches played in India of $549 million.
2008 - Sony buys IPL rights of 10 years for $918 Million.
2009 - IPL inaugural season was a huge success and Sony acquires the 10 years right for $1.63 Billion after renegotiation.
2012 - Star group pays ₹3851 for the time period of 2012 to 2018 to telecast every match played in India.
2018 - Sony's 10 years IPL deal ends and Star sports buys the television and digital right for 5 years(2018-22) for ₹16348 Crore or ₹3269 cr per year which was around ₹54.5 Crore per game.
2018 - Star India win the bid of BCCI media right for ₹6138.1 Crore($ 944 Million) for the time period of 2018-2013.
Television Broadcast is not the only source of income for BCCI.
- Nike got the official kit sponsorship for ₹370 Crore for 5 years in the year 2016.
- BYJU'S became the Indian Cricket team sponsor for 4 years at ₹1079 Crore($150 million) and for each home match, it pays ₹160 crores.
- MPL pays ₹65 lakh per game and ₹9 Crores for 3 years as a merchandise partner.
Today BCCI's net worth is around $2 Billion(₹14680 Crore) which is around $410 Million per year. BCCI makes more than ₹3700 Crore per year. BCCI mainly makes its income from:
IPL - ₹2500 Crore per year
Bilateral Series- ₹950 Crore($139 Million) per year
ICC - BCCI gets ₹389 Crore($51 Million) per year from its 26% share in ICC FTP income distribution.
As you can see IPL alone makes the most of BCCI income. Considering the broadcast, sponsors, and shares it is very important for BCCI to complete the 2021 IPL season, or else the board has to face an estimated loss of ₹2500 Crore.
Conclusion:
BCCI is the richest cricket board in the world and is sitting side by side with some of the world's richest sports associations such as the English Premier League or the NBA. But it just does not happen overnight. BCCI build a proper structure for cricket in India, invested in the domestic tournament, create a global market for investors to invest in BCCI, created IPL, and much more.
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