IPL brand value surges by 80% as new survey indicates CSK are the most valued franchise brand

The Indian Premier League (IPL) became the second most valued sporting league in the world, following the record-breaking media rights deal in 2022. The Indian domestic T20 competition is number two in the world in terms of per-match value after the National Football League. In a new IPL brand valuation study, the league's brand is estimated to have surged by a massive 80 percent ($3.2 billion), over the last year.

The winner of the IPL 2023, Chennai Super Kings, top the charts among the ten franchises having the most value in the market with a brand valuation of $ 212 million in 2023, according to a study by Houlihan Lokey. Much of the success of CSK is credited to their captain MS Dhoni who is arguably the biggest crowd-puller in the league. During the entire season, fans thronged the stadiums all around the world to see the former India captain in action, with the rumours of him playing his last season all around.

“We are not valuing the business. We are valuing the brand, which is a subset. CSK gets a premium because of its winnability and brand recall, thanks to MS Dhoni. Sponsors rank teams, evaluating the visibility they would get,” Harsh Talikoti, Vice President, Corporate Valuation Advisory Services, Lokey was quoted as saying by the Hindustan Times.

As per the revenue model of the IPL, every franchise gets an equal proportion from the central pool (media rights + central sponsorships) which continues to grow every year, making the league an attractive investment for all teams.

According to the report, three franchises namely CSK, RCB (Royal Challengers Bangalore), and MI (Mumbai Indians) rule the roost in IPL with their matches getting peak viewership. Jio Cinema recorded a massive 32.0 million concurrent viewers in the final match between CSK and GT.

RCB and MI take the second and third spots in brand valuation

Royal Challengers Bangalore take the second spot in terms of brand valuation with a value of $ 195 million, a 52.3 % rise from last year. The franchise is yet to win a single IPL trophy since 2008 but their valuation keeps on growing every year. On the other hand, five-time winners MI take the third spot with a brand value of US$190.0 million, growing by 34.8% from last year.