Fantasy gaming platform, Mobile Premier League (MPL) has been announced as the new apparel and merchandise sponsor for the Indian Cricket Team! The deal between the two parties: MPL and the BCCI is for a duration of three years.
During the course of this deal, MPL will pay Rs 65 lakh ($82,300) per match for the kit sponsorship, while also paying Rs 3 crore ($403,000) every year for the duration of the deal as a merchandise sponsorship.
This also marks the expansion of MPL as a brand, as they already have existing deals with the Kolkata Knight Riders and Royal Challengers Bangalore. They’ve now replaced Nike as the sponsor for the national team whose contract was to supply kits for the team worth INR 88 lakh ($118,000) per match. Now, MPL an esports platform that has now ventured as an apparel manufacturing company, will be supplying kits for the national team.
This deal symbolizes the shift from foreign brands to Indian brands as Nike has been the main sponsor since 2006! Reports suggest that the American brand had requested a partnership this year as well, however, at a reduced rate. Due to which, their offer was rejected and the BCCI decided to invite tenders during the month of August.
The deal allows the BCCI to receive a 10% royalty from all merchandise sales, on top of the annual merchandise fee from MPL. This significant downfall in the value of the kit deal is a portrayal of the fact that even the biggest companies in the world like Nike have been under severe pressure due to the pandemic. The pandemic has had an effect on finances all across the board, but it was the BCCI’s prerogative to look for a new sponsor.