Mumbai, Jan 14 (): Multi Screen Media Pvt. Ltd (MSM), the official IPL broadcaster which owns Sony Entertainment Television ( SET) and SET Max channels has slashed ad rates by 20% for the sixth season of the Indian Premier League (IPL) Twenty20 cricket tournament scheduled to start in April.
Last year, MSM was left holding unsold slots since it refused to cut rates. Sensing the mood of the market, the rates were cut, said an MSM executive. Officially the company maintains that it had cut rates at 10-15%.
IPL inaugurals in 2008 had a TRP of 4.81 which dipped to 4.17 in IPL 2, 4 .65 in IPL 3, 3.39 in IPL 4; IPL 5 had an average TRP of 3.27. By this the channel hopes to get 3.5 for IPL 6 and hence with the cut to sell entire spots. During IPL 5 in 2012 about 20% of commercial time was unsold.
For on-air sponsors it cost Rs. 4.5 and Rs. 5 lakh per 10 seconds while spot advertisers paid around Rs. 5.5 lakh per 10 seconds during IPL 5. This year, MSM is charging Rs. 4-4.25 lakh for on-air sponsorship and around Rs. 4.5 lakh for spot buyers.
MSM for the IPL season 1 charged Rs 2.5 lakh for a 10 sec spot and though viewership ratings continued to dip, the broadcaster upped the rates to reach Rs 4.5 lakh in IPL 4.
IPL is usually a much hyped event and MSM could sell the spots at high rates but last year it proved difficult to command these rates and to avoid a repeat, the broadcaster decided to slash rates and ensure that all of the slots are sold.
PepsiCo India Holdings Pvt. Ltd and Vodafone India Ltd have signed as co-presenting sponsors and is looking for seven associate sponsors. In previous season, it had seven sponsors including co-presenting partners Vodafone and Idea Cellular Ltd.
MSM has already signed deals with two co-presenting sponsors—PepsiCo India Holdings Pvt. Ltd and Vodafone India Ltd, and is talking to other advertisers for associate sponsorship. The broadcaster is looking for at least seven associate advertisers for IPL 6. It had seven for IPL 5, including the two co-presenting sponsors Vodafone and Idea Cellular Ltd.
PepsiCo’s deal with BCCI for the next five editions of IPL is Rs 397 crore apart from the deal with MSM as co-presenting sponsor of the tournament. MSM till now has telecast IPL matches only on SET Max and this year it will be shown also on Sony Six.