IPL Market Decline: Key Reasons Behind the Fall in Brand Value — Full Report
IPL brand value has dropped by 20% in 2025, falling from $12 billion to $9.6 billion. Know the key reasons behind the decline — geopolitical tensions, sponsorship bans, media-rights consolidation and corporate spending cuts.
IPL 2025 witnessed a steep drop in brand value due to sponsorship bans, geopolitical tensions and changes in media-rights dynamics.
The Indian Premier League (IPL), long celebrated as the world’s most profitable T20 cricket league, has seen a surprising dip in its market valuation this year. IPL’s brand value, which touched a massive $12 billion in 2024, has fallen by nearly 20% to $9.6 billion in 2025. Analysts say this decline mirrors the slump witnessed during the COVID-19 crisis in 2020.
Industry experts point to a combination of economic pressures, regulatory shifts, sponsorship disruptions, media-rights consolidation, and corporate caution as key triggers behind this downturn. The government’s ban on real-money gaming sponsorships and changes in broadcasting dynamics have particularly hit the league’s financial ecosystem.
Geopolitical Tensions Disrupt Revenue Flow
Just ahead of the 2025 IPL season, heightened India–Pakistan tensions (Operation Sindoor) prompted the BCCI to temporarily halt several matches, including playoffs, citing security concerns.
This interruption dealt a blow to corporate confidence, resulting in a 15–20% drop in sponsorship activity.
Mega player auctions also caused significant reshuffling of team squads, affecting on-field performance and fan sentiment. For instance, Chennai Super Kings’ brand value dropped by 24%, slipping to $93 million. This unpredictability discouraged corporations relying on strong ROI before investing.
Impact of Real-Money Gaming Sponsorship Ban
Sponsorships are the financial backbone of the IPL. However, the government’s 2025 ban on real-money gaming advertisements—covering platforms like Dream11 and My11Circle—caused a major revenue shock.
- Estimated loss due to the ban: ₹1,500–₹2,000 crore
- Dream11 alone pulled out ₹350 crore worth of jersey sponsorship commitments.
- This setback impacted not just franchises but the entire Indian cricket economy.
The uncertainty also made brands from sectors like auto, fintech and healthcare more cautious, leading to budget cuts and withdrawal from long-term sponsorship deals. Even top franchises like Mumbai Indians recorded a 9% decline in value.
Media Rights: Reduced Competition Hurts Valuation
Media rights are a major contributor to IPL’s brand strength. But the Disney Star–Viacom18 merger (JioStar) created a de facto monopoly in the broadcasting landscape.
- The highly competitive bidding wars of the past disappeared.
- The value per match dropped to ₹115 crore, affecting overall league valuation.
- Free-streaming platforms increased viewership but reduced monetisation potential.
While big corporations benefitted from the merger’s operational ease, the IPL ecosystem as a whole lost financial momentum.
What IPL Must Do to Recover
Experts suggest strategic steps to revive the league’s brand and financial strength:
✔ Diversify sponsors — Target emerging sectors such as esports, global tech, healthcare and wellness.
✔ Strengthen monetisation — Introduce premium features and exclusive digital content alongside free streaming.
✔ Reopen competitive bidding — BCCI must encourage more players in the media-rights race in future cycles to boost valuation.
