Tata Group Secures IPL Title Sponsorship for Next Five Years at INR 2,500 Crore
Written by Sanjay Kumar
News Highlights
- Tata’s Big Win: Secures IPL title sponsorship for 5 years at a record ₹2,500 crore.
- Breaks Record: Tata’s renewed deal at ₹500 crore/year surpasses its previous ₹350 crore/year agreement.
- Cricket Commitment: Tata Group exercises ‘right to match,’ solidifying its ongoing role as IPL’s key sponsor.
In a significant move that underscores its commitment to Indian cricket, the Tata Group has successfully exercised its ‘right to match’ clause, securing the title sponsorship rights for the Indian Premier League (IPL) for the upcoming five seasons. The deal, spanning from 2024 to 2028, comes at a staggering ₹2,500 crore, translating to ₹500 crore per year. This represents a substantial increase from the previous sponsorship cost, wherein the company paid ₹350 crore annually.
Tata Group
IT company
- Parent organization: Tata Sons
- Subsidiaries: Tata Motors, Tata Steel Ltd, MORE
- Founder: Jamsetji Tata
- Customer service: 022 6665 8282
- Founded: 1868, Mumbai
- Headquarters: Mumbai
- Number of employees: 1,028,000 (FY 2023)
Sources close to the development revealed that the Board of Control for Cricket in India (BCCI), the event organizer, had invited bids in December, initiating the process to find a title sponsor for the IPL.
The Tata Group, which took over the title sponsorship from Vivo in 2022 for the 2022-2023 seasons, continues its association with the T20 cricket tournament. Vivo had initially agreed to pay ₹440 crore per year when it secured the rights in 2017, amounting to a total of ₹2,199 crore for a five-season contract starting in 2018.
The IPL sponsorship deal with Vivo was originally set to expire in 2022, but a temporary arrangement with Dream11 in 2020 extended the Vivo contract until 2023 under specific conditions. Tata subsequently took over the remaining sponsorship rights, fulfilling the corresponding financial commitment.
However, as Vivo did not complete the originally agreed-upon five-year term, a 6% contingency amount attached to the original deal will be paid directly to the BCCI by Vivo.
Under the new bid process introduced by the BCCI, the incumbent company, Tata in this case, had the first right to match any offer presented by competing entities, solidifying its continued partnership with the IPL.
The substantial increase in sponsorship value reflects the IPL’s growing stature and popularity, with corporate entities recognizing the league as a lucrative platform for brand visibility and engagement with cricket enthusiasts across the nation. The Tata Group’s commitment not only reinforces its association with cricket but also underscores the strategic importance of the IPL in the realm of sports sponsorships.
