Now that IPL is into its third season, team owners are thinking of innovative ways to build up a revenue model that would facilitate them in breaking even. It needs no underlining that the franchises are yet to be break even, but for a Kolkata Knight Riders that could do so inspite of a poor performance, primarily riding on the brand image of Shah Rukh Khan and ipso facto the brands that Shah Rukh Khan endorses helped the team to break even.
Kolkata Knight Riders is faced with a peculiar logistical problem in the third season. Eden Gardens one of the largest stadiums in world is undergoing renovation at the time when IPL in third season is less than a week away. In economic terms what it means that half of the seats in the stadium would not be available for the patrons. But as they say, every problem has a solution, so KKR have come up with innovative revenue model. A part of the stadium has been clubbed into premium category, where the entry ticket would somewhere be within the vicinity of Rs. 10000/-, but the bargain would be that the patrons would be rubbing shoulders with Shah Rukh Khan intermittently.
But it would also mean that whenever KKR is playing the match Shah Rukh Khan has to be there on the field, or else the passionate crowd of Kolkata could create ruckus. One only hopes that Shah Rukh Khan would juggle his dates in such a manner to be present on the ground among his fans.
Star power would indeed facilitate in innovative approach to break even and Preity Zinta also would have to think along these lines so that her team also makes profit. It would be instructive to underline what Australia; the hub of such innovative business models does, to increase viewer ship inside the audience! Australian media managers developed a model of organizing innovative slogan competitions to keep the interest of the fans alive. IPL fans in India have been coming up with slogans; it is just that nobody of thought about capitalizing on it as a business proposition.
IPL may be a three month exercise in a year but to develop a brand loyalty with the teams, the team owners have to come up with innovative business models to engage the interest of the fans throughout the year. It is only when passion is built into the brand can the loyalty develop, and unless the loyalty develops breaking even would be tad difficult.
By: Suman Rai