MUMBAI: The sports business in India stood at Rs 15,766 crore ($1.9 billion approx) in 2023. Tellingly, cricket’s (read Indian Premier League in particular) share of this is 87 per cent, up from 85 per cent in 2022. All other other sports, including football, kabaddi, hockey, badminton, to name some prominent ones, account for the remaining 13 per cent.
Of the total money spent on sports sponsorship (inclusive of ground, team, and franchise fees) and media spends by brands brought in the biggest chunks.
Endorsements by athletes are a distant third.
These were some key findings from the 11th edition of the Sporting Nation report – GroupM ESP’s annual analysis of the sports sponsorship landscape in India.
Highlights
1. 2023 further accelerated the growth curve of sports industry: The sports industry in India witnessed a remarkable surge in 2023, recording a total revenue of Rs 15,766 crores, marking an 11% incremental value over the previous year.
In 2023, 87% of the sports industry spending came from cricket, amounting to Rs 13,701 Cr for the year. This marks a 13% growth from 2022 figures, reaching new milestones.
Sponsorship spending experienced a notable 24% growth compared to 2022, primarily fueled by a significant increase in Franchise Fee, which contributed nearly Rs 1,000 Cr within a year. This growth underscores the robustness of India’s franchising ecosystem, exemplified by events like the IPL, WPL and so on.
Combining cricket and emerging sports, sports celebrities earned Rs 927 Cr (equivalent to $112 Mn) in 2023. This nearing of the Rs 1000 cr milestone reflects the substantial influence our stars hold over the collective consciousness of India.
2. Emergence of OTT Platforms: Over-the-Top (OTT) platforms played a pivotal role in transforming the sports consumption landscape in India, with significant growth observed in digital spends for events like the IPL and ICC Cricket World Cup.
3. Rise of Participative Sports: Participative sports have gained prominence, transcended traditional boundaries and fostering community engagement. From golf and cricket to marathon running, these sports have become integral to India’s vibrant sports culture, with an organized market exceeding Rs 1000 crores.
4. Women in Sports: The report continues to celebrate the success of Indian women athletes and cricketers, highlighting their growth and achievements on the global stage. Platforms like the Women’s Premier League have provided avenues for women cricketers to showcase their talents, paving the way for greater inclusivity and recognition.
5. Future Outlook: Looking ahead, the report anticipates the Paris Olympic Games in 2024 to be a significant event for Indian athletes, while also forecasting advancements in technology-driven training programs and the integration of Artificial Intelligence (AI) to enhance athlete performance and fan engagement.
