Cricket World Cup 2023: Disney Star Likely To Net A Record Rs 4,000 Crore In Ad Revenue

"As India prepares to host the much-awaited quadrennial showpiece, the ICC Men's World Cup 2023 starting Friday, Disney Star — the tournament's official broadcast and digital media rights holder— will also be celebrating.Disney Star has so far secured as many as 24 sponsors and more than 500 advertisers for the high-profile 45-day tournament. The broadcaster is in final talks with four to five more brands for sponsorship agreements and it also expects to onboard more advertisers in the coming weeks. 'The ICC Cricket World Cup stands as the biggest opportunity for marketers during this festive season, offering a crucial platform to leave a lasting impression on consumers,' Ajit Varghese, head of network ad sales, at Disney Star, told BQ Prime. 'We are witnessing an upturn in macro-economic conditions, with brands from various sectors wanting to associate with the World Cup.' The response from advertisers, too, has been 'overwhelming', signalling a keen interest to capitalise on the festive season riding on positive consumer sentiment, he said. 'Brands from diverse categories recognize the power this tournament brings on the table and are eager to make investments in this space.'Varghese did not disclose the financial details of the deals. But ad agencies expect Disney Star to mop up Rs 4,000 crore from advertising sales, setting a new record.Historically, the world cup is a bonanza for broadcasters, with advertisers clamouring to pay as high as Rs 20 lakh for a 10-second slot during India-Pakistan matches. This time, they said, the brands are earmarking extra budget because the tournament coincides with the festive season. A few big advertisers, according to industry executives, are willing to shell out Rs 150 crore.'Disney Star should make anywhere between Rs 3,500-4,000 crore during this World Cup,' Rammohan Sundaram, president-integrated media, DDB Mudra Group, told BQ Prime. 'Imagine the kind of reach, frequency and top-of-the-mind awareness these brands will draw during festive season. On top of that, there could be tremendous positive rub off through word of mouth and advocacy, which only adds to the sales through the year.'According to Sandeep Goyal, chairman of Rediffusion Brand Solutions Pvt., Diwali coinciding with the world cup is a double bonanza and most brands will try to maximise this aperture. 'The customers too may open up wallets a bit more than the cautious Covid years, and later.'To put this number into perspective, the projected revenue boost from airing the high-profile cricket game would be nearly three times the 2019 levels. Some suggest that revenues can surpass the combined revenue of Rs 3,800 crore accumulated by Disney Star (TV rights holder) and Viacom18 (digital rights) during this year's Indian Premier League. IPL is the marquee cricket event in the country as far as ad revenues go.'Star aside, the hype around the World Cup could bring in Rs 2,000 crore to other media platforms including newspapers, news channels, outdoors, experiential, social and digital on cricket themed ads, on a cumulative basis, based on a back-of-the-envelope calculation,' said Goyal, an advertising and media veteran with close to four decades in the business.As India hosts the cricket world cup after 12 years, Disney Star is also expected to make up for the losses during the IPL, a few executives said. Unlike the IPL where Viacom 18 had digital rights, Disney Star has secured exclusive rights for both digital and television for the world cup..Mulls On Record ViewersWith a television network that reaches more than 700 million viewers and a streaming platform--Disney+ Hotstar — with over 500 million downloads, the reach is deep, if the Indian team does not disappoint fans. Disney Star, according to industry executives, expects to reach at least 800 million viewers through TV and digital platforms.The cause for optimism is the recently concluded Asia Cup 2023 that saw 266 million viewers tuning in to Star Sports’ live broadcast of the matches, excluding the final, according to the Broadcast Audience Research Council. It also suggests that the total viewing time for the tournament rose 75% as against the previous edition in 2018 with 73.5 billion minutes watched. Among the several factors that are working in Star’s favour are favourable timings as matches are scheduled to start at 10:30 a.m. or 2 p.m., and a free streaming of the matches on Disney+ Hotstar mobile app is likely to further boost viewership of the most anticipated sporting event, according to Karan Taurani, senior vice-president, Elara Capital. The bulk of the ad revenue will come from the digital platform.The brokerage's estimates for ad revenue, however, are not as high. It pegs digital revenue to more than double to Rs 950 crore from Rs 450 crore it generated in the 2019 edition, while TV is expected to rake in Rs 1,150 crore ad revenue versus Rs 900 crore it did four years ago.The usually enthused e-gaming startups have trimmed spends because of the 28% GST, else the revenues from the upcoming cricket tournament could have been higher, said an official of an advertising firm, who didn't want to be identified..The event allows brands to use the marketing amplification and affirm their credentials. The key sponsors for the tournament include:Phone PeMahindra & MahindraHindustan UnileverCoca-ColaHavellsIndusInd BankPernod Ricard IndiaBooking.comAditya Birla Fashion and Retail Ltd.'s menswear brand, Peter EnglandKingfisher Packaged Drinking WaterMondelezEmiratesDiageoJindal PantherLendingKartMRF TyresHaier appliancesHerbalifeBharat Petroleum Corporation LimitedAssociation of Mutual Funds in India,Google PayPolycab India,AmulHero MotoCorp's electric scooter brand – Vida..Ad Rates Up, Brands Still GameAccording to Goyal, all of media will not only get cluttered, but the ad rates are also expected to become pricier. There are several packages that exists including regular Super Fours, Super Sixes, Replay, Fall of Wickets, Pre-Post Shows and each of these are customised as per requirements and budgets available, said Sundaram. 'These ads range from Rs 10 crore all the way up to Rs 150 crore depending on what the brand’s objectives are during this festive season, which incidentally also has the World Cup during the same period,' he said. The agency has bought slots early on for most of its clients to avoid paying extra premium at the eleventh hour.Currently, the rates for a 10 second sot for premium matches like the India-Pakistan game is around Rs 31 lakh. 'It’s a supply-demand scenario and broadcasters maximise depending on how much revenue they can generate with a fixed amount of inventory available on TV, although it is not an issue on digital,' said Sundaram.'Broadcasters typically hike rates for TV as we get closer to the tournament. As of now, Disney Star is fast selling out and so if there is demand they can increase the price.'"

Cricket World Cup 2023: Disney Star Likely To Net A Record Rs 4,000 Crore In Ad Revenue

Disney Star has so far secured as many as 24 sponsors and more than 500 advertisers for the high-profile 45-day tournament.

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Cricket World Cup 2023: Disney Star Likely To Net A Record Rs 4,000 Crore In Ad Revenue

Disney Star has so far secured as many as 24 sponsors and more than 500 advertisers for the high-profile 45-day tournament.

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