Took IPL teams 10 yrs to make money, other sports will also take time: Mohit Burman, Dabur

Indian Premier League (IPL), which is now the world’s second biggest sports property in terms of media rights, took ten years to evolve and reach where it is today, said Mohit Burman, Chairman of Dabur India Ltd., on Wednesday during Let’s Play Sports Marketing Summit 2023 organized by exchange4media group in Delhi. 

Speaking to Prasanth Kumar, CEO, South Asia, GroupM in a Fireside chat, Burman shared his experience and insights into sports marketing as an IPL franchise owner. 

Kings XI Punjab is co-owned by Burman (Dabur), Ness Wadia (Wadia Group), Priety Zinta (PZNZ Media) and Karan Paul (Apeejay Surrendra Group). It is one of the original eight franchises that launched the inaugural edition of the Indian Premier League (IPL) in 2008. 

Burman said, “It all sounds very rosy now. However, we had no idea what we were getting into when we bought the IPL franchise. Not a single sponsor came on board for the first season. The situation remained the same in the second season as well.”

“In the initial six-seven years, many teams were in revenue losses. Two teams were barred. IPL was shifted to South Africa as the tournament’s dates dashed the general elections, and then the IPL chairman (Lalit Modi) left. In the 10th year, the cost of media rights went up dramatically. Central revenue helped everyone to grow then. If cricket took 10 years to make money in India, other sports will also take time to grow,” Burman said when asked about the challenges of sports marketing.  

He further said that initially, his IPL franchise hired many people from abroad which punched holes in their pockets. "Later on, they relied on Indians for sustainability. People used to ask how we expected the team to win without spending on players," he recounted.

Burman said that in recent years India has made significant achievements not only in cricket but other sports like badminton, kabaddi, kho-kho and tennis. He reiterated that multi-sports tournaments are needed in building a nation. He also added that more Indian sports needed a boost in the country. 

“To boost the marketing of sports, we need to start sports from schools”, said Burman, adding, “You can’t just expect your people to come and watch games or follow sports. We all played sports in school but it was never a priority to take it up as a profession. While studying in the UK and the US, I saw a lot of students going to colleges on sports sponsorship which took care of their expenses,” he said, adding that his company is supporting many sports as part of its CSR.

According to Burman, “When the IPL became popular, other sports federations also started their leagues. We have multiple Leagues like the Badminton league and Tennis league and Hockey League. Several federations came up to organize the same sports. Their focus was not to popularize the game and attract more people but to make money because the BCCI was making money. Some leagues folded up in 4-5 years. Sometimes, many federations started tournaments for the same sport creating confusion among players.”

Burman says that it is the right time to start women's IPL. "As Punjab kings, we would bid for a franchise in the women’s IPL as well," he noted.