ESPN Star Sports could be in line to make a killing this World Cup... if Team India progresses to the knock-out stages of the tournament.
The broadcaster estimates that if the home team wins its way through to the title round, a 10 second spot for TV advertising would be worth Rs 24 lakh (approx $52,000)! Two hours of advertising time across the match would mean that the beneficiary would get a whopping $37.5 million!
"If India does well and reaches the knockout stages, ad spot rates could jump up significantly, as high as five to six times of the existing rate," ESPN Software India Pvt Ltd executive vice-president (Ad Sales & New Media) Sanjay Kailash said.
According to industry sources, the exiting rate for advertising is about Rs 3-4 Lakh. Luckily, India has been factored in as one of the favourites to do well this World Cup, and probably even to win it.
"If India makes it to the semis, then increased demand will be seen from new advertisers who have not bought already. Rates will be more driven by the demand and ESPN will want to maximise given that they are already the last two or three matches," ZenithOptimedia, senior vice-president Naveen Khemka said.
The company is also responsible for selling the ad spots for Doordarshan which will broadcast all the matches to be played by India plus the two semi finals and the final.
"The inventory for DD is sold out. We have got a very good response," Kailash said, adding ad rates on DD is much lower compared to its ESPN Software India's channels (ESPN, Star Sports and Star Cricket) but did not specify details.
Companies like Hero Honda, Parle Products, ITC, Jaypee Cement, Reliance Mobile, Pepsi, Tata Motors and Pidilite Industries have signed up as sponsors on DD.
Industry sources said ESPN is estimated to have garnered about Rs. 75 crore from ad spots on DD, while it is targeting Rs. 750 crore from the World Cup on its own.