With India still in the game last week, the ad rates for the remaining five to ten percent inventory had gone as high as Rs 25- Rs 35 lakh
Advertising rates for the International Cricket Council (ICC) World Cup finals may remain stagnant as India has crashed out of the tournament.
The rates for the remaining inventories had shot up when India qualified for the semi-finals and was expected to rise further if the country moved up to the finals. The situation seems to have reversed now.
"The rates will not shoot up as India is out of the World Cup final. The rate will be the same as last week. There is no rate implication as such," Sudhir Kumar, Director, Offline Media, DCMN India told Moneycontrol.
With India still in the game last week, the ad rates for the remaining five to ten percent inventory had gone as high as Rs 25- Rs 35 lakh, an industry expert noted.
"Since sentiments are on the lower side no advertiser will invest. There will be no hike, even the channel will not ask for a rate hike as 80 percent of the revenue is generated by the BCCI," he said.
The Board of Control for Cricket in India (BCCI) is the national governing body for the country's beloved sport. It is India's richest sporting body and the richest cricket board in the world.
"The viewership will come down a certain extent and Star will not achieve what revenue it was eying from the remaining 10 percent inventory," the expert added.
As per reports, Star, which is the official broadcaster of ICC World Cup was expecting Rs 1,200-1,500 crore of advertising revenue from television for the tournament.
In fact, COO, Grapes Digital COO Shradha Agarwal believes that if India had qualified for the finals, ad rates on digital platforms would have shot up by 30-35 percent.
"Properties such as Hotstar or ESPNcricinfo know the kind of traffic that will come on their website compared to the last sporting event. So, 70 percent of the ads are pre-sold at a fixed rate, while 30-35 percent is given via bids. These fluctuate on the basis of the potential seen for a particular match," she explained.
For Hotstar, IPL sponsorship was in the range of Rs 12-15 crore, Agarwal added.
Media buyers estimate Hotstar's ad revenues to the tune of Rs 300 crore.
Prasad Shejale, Co-founder and CEO of Logicserve Digital said that 'the World Cup coupled with digital is the perfect recipe for success'.
"The new-age brands reach out to the masses and convey their message in a relatively lesser budget compared to traditional platforms like TV," he explained.
"Brands such as Uber, Zomato, Swiggy, HDFC Life, Paisabazaar, Byju’s, Bajaj Allianz General Insurance, Booking.com, among others have invested heavily on digital platforms this year with content curated especially around the World Cup and are getting good results," Shejale pointed out.The 12th edition of ICC World Cup will come to a close on July 14.