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In February 2006, in a ground-breaking deal, the BCCI sold
its global media rights, for all the domestic and international cricket matches
to be played in India over the next four years, for US$ 612.18 million to Nimbus
Communications Limited (Nimbus). The media rights would cover the 24 test
matches and 54 to 56 one-day international matches the Indian cricket team was
scheduled to play in India, apart from the domestic matches, during March 1,
2006 to March 31, 2010.
The composition of media rights would include rights to broadcast the matches on
television, Internet and radio. However, the rights to show the matches in
mobile phones, archive rights after 72 hours of the live telecast of the match,
public exhibitions and films were deliberately withheld by the BCCI so that they
could be marketed in future at a higher bid.
In December 2005, the BCCI said that Nike Inc. (Nike) had outbid Adidas and
Reebok to win sponsorship of the Indian cricket team’s kit and apparel from
January 2006 to December 2009. Nike quoted an amount of Rs 1.96 billion against
Adidas bid of Rs 1.27 billion and Reebok’s bid of Rs 1.19 billion. After Nike’s
sponsorship deal, it was reported that the Indian cricket team was earning
sponsorship revenues higher than even some of the richest and world-famous
football clubs like Real Madrid, Chelsea, and Juventus.
In the same month, BCCI declared that the Sahara Group (Sahara) had retained its
sponsorship for the Indian cricket team by agreeing to pay Rs 3.13 billion for a
four year period from January 2006 to December 2009. The bid amount had almost
quadrupled from the Rs 0.78 billion paid by Sahara for the previous contract.
Advertising and marketing experts pointed out that the intense passion generated
by cricket in the Indian sub-continent and the high viewership during Indian
cricket matches, attracted companies to showcase their brands and products.
However, some sports enthusiasts pointed that the BCCI in a bid to get garner
more revenues was overloading the Indian cricket team’s match schedule by
organizing additional matches in neutral countries. Moreover, there were issues
of political infighting within the BCCI. Former BCCI President Jagmohan Dalmiya
alleged that Nimbus was given unfair advantage and accused that the bidding
process was not transparent.
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