This article has been contributed byRaahil Dhruva, founder of Marcos Quay Sporting Excellence
Sports teach cultural intelligence in an effective manner. Children learn on the field far more than sport strategy or skills. They learn about empathy, resilience, cooperation, and respect for difference. These competencies set them up to succeed in the global world we live in, where cultural awareness is just as critical as knowledge. Schools and educators committing to providing structured physical education create environments where children evolve into collaborators and adaptable individuals. Since 2012, Marcos Quay has been working with schools to improve this underpinning of fitness and learning. The impetus for the project and program development, Raahil Dhruva, Director of Marcos Quay is committed to getting health, discipline, and inclusivity into education to teach generations of well-rounded individuals with cultural awareness.
Sports as a Universal Language Beyond Words
For children, sports can be like a universal language. On the playground or school yard, words are not as important as the passes, huddles or cheers after a goal or wicket. All of these spontaneous joyful acts create connections between children from diverse backgrounds, developing their empathy, cooperation and respect without a word spoken. At the school aged level, sports provide young learners opportunities to understand body language, intent and teamwork in ways that can’t be replicated in a classroom. Play being a language is a core belief, not only demonstrated in our grassroots academy programs, but through our scientifically designed curriculum led by accredited and certified coaching. We continue to nurture both grassroots training and character development, supporting the mission of developing fit, kind and culturally aware learners whilst creating pathways for tomorrow’s sports stars.
Conflict Resolution Through Rule Negotiation
Disagreement is part of being on the sports field. Was that a foul? Did the ball go out? In these small moments, children will listen, explain their case and come to a fair solution together. Negotiating the rules of the game or clarifying a miscommunication between players allows children to practice empathy, patience, and true respect for differences. At the school level, this fosters confidence in resolving on-going issues that arise in everyday life whether it is with teammates, classmates, or their friends outside of school. Sports became a space for children to be modelled for teamwork, discipline, and resilience. More than just winning and losing, youth sports is about demonstrating how to resolve differences with fairness and mutual understanding, lessons that foster stronger bonds for relationships both in the classroom and in a different social milieu.
Humility in Losing, Grace in Winning Across Cultures
At an early age, sports offer lessons that cannot be found in a classroom. On a playground or in a school tournament, children soon learn that winning and losing is part of the game. What matters is how you respond, learning to be humble in the situation of losing and to be gracious in winning. A child who applauds a teammate upon scoring a goal, or shakes an opponent’s hand after a challenging match demonstrates empathy, resilience and respect. These values reinforce friendships and help prepare for challenges beyond school and sport.
Team Rituals as Cultural Bridges
Sports are more than physical activity for kids; they are a springboard for teamwork, discipline, and fun. The little habits we create, like pre-game huddles, high-fives, and chants, make young players feel secure and a part of something. These habits create vulnerability and trust while fostering respect which is a life skill. Through sports, children learn how to harness their feelings. They develop resilience, empathy, and confidence, all skills that they take back to the classroom and beyond. Sports at a young age also help students stay active together, teach the value of fair play, and allow the players to experience all outcomes together.
The sports field often marks an environment for children where differences disappear and ability is celebrated. On the playing surface, it makes no difference where a child comes from, only the effort, the team, and their persisting ability counts. A girl surprises everyone by playing superbly well at football, or a student who is quieter and less outspoken, leading to victory. These circumstances share a common bond; the sport challenges stereotypes easily and inherently. These experiences create an early sense of confidence and belonging; a level of respect for one other without defined labels. At an age where playing together means so much more than simply playing together, children learn about empathy, discipline, and achieving set objectives. The joy of both winning and losing, as well as the sheer joy of practice, creates learnings that last a lifetime. This is another stage in growing up and being part of being more than a game, and an inclusive space where confidence flourishes and stereotypes fade away.
Time Orientation in Sports
For kids, sports can bring some of the best lessons in how to use time and value it. Cricket, as a long-format game, is a test of patience, focus, and commitment over long hours. Formats such as T20, demonstrate the importance of fast thinking and good decision-making under pressure. Traditional Indian games like kabaddi teach instantaneous reflexes and reactions in a very short period of time while football promotes stamina, flow, and sustainment across the full duration of play. Collectively, through these experiences, children learn both the value of topics such as when to stop, when to speed up, and when to continue. The lessons learned extend beyond just play, enabling students to develop flexibility, discipline and timing that further bolster their academic and personal growth.
Role of Gender in Sports Across Cultures
Sports can provide school children with great opportunities to learn the value of a number of life lessons. Long forms of the game such as Cricket can talk to patience and commitment, compared to rapid games like T20 or Kabaddi that can strengthen reflexes, decision making, and mind processing under pressure. Football can stretch stamina and concentration; and timed drills in performance physical education can denote or identify discipline and vigilance. Altogether, they will help children understand how to identify when they should slow down, when they should respond immediately, and keep calm when they don’t need to rush, and help create adaptable frameworks and resilience.
Sport can also change how children perceive a range of views surrounding gender. When girls and boys are competing in the same context on the field, children will see ability absent of stereotypes. Whether that is leadership, commitment, or teamwork, sport tells our students that ranging forms of talent, commitment, and discipline has no gender. Challenging children to accept inclusive practices at a young age helps them to develop into more empathetic, confident, and respectful individuals both on and off the field in relation to equality.
Sports help students connect across cultures and understand each other better. They build teamwork, respect, and openness in a natural way. These experiences prepare young people for a globalized world. In this sense, sports truly strengthen cultural intelligence.
If one word could define the 21st century, it would be ‘Speed’. In a world moving faster than ever, technology has become the driving force, shrinking distances, transforming lives, and accelerating everything around us. Speed isn’t just a preference anymore; it’s a way of life.
And when it comes to the thrill of speed, few things capture it better than the high-octane world of Formula 1 (F1) racing. With roaring engines, global fanfare, and jaw-dropping precision, F1 isn’t just a sport, it’s a billion-dollar spectacle.
But behind the glamour, fast cars, and famous drivers lies a fascinating business model. So, how exactly does F1 make its money? In this article, we take you into the fast lane of Formula One’s revenue engine, unpacking how the sport sustains its enormous operations and still drives impressive profits.
Even if you are not a diehard fan, you must have heard it somewhere around the world. Maybe in a film or just when you tinker with the television. Formula one is one of the most popular sports in the whole world. It is a racing sport, where players (the drivers) try to win the race by being the fastest. It is the finest and highest class of international racing with single-seated cars. It has an official federation of boards that looks after the events and also the sportsmanship. Formula One is sanctioned by an international federation known as the Fédération Internationale de l’Automobile (FIA) which was established on 20 June 1904.
F1 is owned by Liberty Media, a large American media company that also owns SiriusXM and has shares in Live Nation and the Atlanta Braves. Formula 1 is managed by Liberty Media through its company called the Formula One Group. This group has been in charge of F1’s business and commercial side since Liberty Media bought it in 2017.
How Does FIA Make Money?
Formula one was inaugurated on 13 May 1950, under the name ‘World Drivers championship’. The inauguration was hosted at Silverstone in the United Kingdom. The inaugurated name was changed to FIA Formula One World Championship in the year 1981. Although it was formally organised and inaugurated in 1950, the inception can be traced much back to that.
The origins of Formula One begin from the European Championship of the 1920s and the 30s. Then came World war II, which stopped the racing fad. Once it was over, motor racing enthusiasts came back to the track, challenging the wheels. Thus, even after the big shaky war, the sport stood firm in people’s hearts.
Later in the year 1946, Formula one was agreed on the set of rules that the players have to comply with. The 1946 Turin Grand Prix was the first Formula One Grand Prix event held.
The races happen on tracks that are specifically built for that purpose. The tracks are checked and certified by the FIA. Most of these tracks are located in Off-sites of cities, that are connected to cities and disconnected at the same time.
F1 Silverstone Track
Within the sport, there are many divisions like the British Grand Prix and the Singapore Grand Prix, which can also be seen be happening in closed public areas. As mentioned before, formula one is the most premium form of racing sport in the world. Having said that, it also draws huge attention and audiences.
F1 Mexico Stadium
The First World Formula One championship
Guiseppe Farina
Guiseppe Farina, an Italian driver won the first-ever world championship. Driving an Alfa Romeo, narrowly defeated Juan Manuel Fangio, the Argentine and his teammate and walked away with the first Driver Crown, of the most premium racing sport ever. Fangio did not lose hope and tried again to get better, eventually winning the 1951 championship.
After the technology that was brought to the table, Formula One stood off as an effective and profitable sport. It had all the ingredients that make someone fall in love with the sport.
In the year 1971, Bernie Eccelstone brought the Brabham team, thus racing a seat on the association of boards (Formula One Constructors’ Association or FOCA). With the inclusion of Eccelstone in the association, the circuit owners negotiated with individual teams. Which in return persuaded the FOCA to offer circuit owners a collective deal, which was more beneficial for them.
FISA was formed in 1979 which asserted rights over the revenues that came from the television. When FOCA had a dispute with FISA over technical regulations, FOCA boycotted a Grand Prix. FISA later gave up the administration of television rights to FOCA. There were further disputes.
Out of the blues of conflicts, Formula One emerged as a big business when sponsors came in and poured money. The FIA earned good money along with the teams. Participating Teams in turn started to spend millions on technology and ways that can make the car run faster. All these events grew a nice demand for a thrilling sport that Formula One promised.
F1 Business Model
Formula 1 operates a unique business model that combines global sports entertainment with strong commercial management. Owned by Liberty Media, F1 is run through the Formula One Group, which oversees the sport’s commercial rights, partnerships, and promotion. The model focuses on hosting races worldwide, building long-term partnerships with sponsors and cities, and growing a loyal global fanbase through media and digital engagement. By managing the sport’s image, events, and distribution, F1 turns high-speed racing into a profitable, global business empire.
How Does Formula One Make Money?
If this is such a big and premium sport then how does it run itself, or how does it sustain itself? These questions are normal to have and that is the reason why we are here in this article. Let us not beat around the bush then and find out how it earns money.
It is here to be importantly noted that Formula One has not just a single source of revenue, but it has multiple sources. We will discuss each and every source in a brief and in detailed manner. Let us get to it.
How F1 Teams Make Money | Formula 1 Revenue Breakdown
As mentioned before, F1 makes its money in many ways. There’s prize money, the management, sponsorships and sponsors, partnerships and investments from the car manufacturers and other arrangements of the financial sort.
There may be more than just these heads of income, but primarily the whole source is built upon the basic boundaries of these heads of income. Let us first discuss the first and by far the foremost and most popular source of revenue in the 21st century, the Sponsorships.
F1 Revenue from FY16 to FY23
Sponsorships
Sponsorships are the most common source of revenue for any popular entity. The entity can be a product, a sport and it can even be a person. This most obvious source is a big contributor to the speedy and premium sports business of formula one. The most common brands that we always witness in these leagues are Petronas, HP, DHL, Red Bull to name just a few of them.
The Introduction of Sponsorships
Over the next two decades of the sport, the participating teams saw a need for specially made cars. That was the only possible way to take the sport ahead in line. As the cars changed shape from being front-engined to mid-engined, the need grew stronger. The Ferguson P99 was the last front-engined car to compete in the World Championships.
In 1962, came the greatest technological breakthrough. They introduced an aluminium monocoque chassis for making cars. This marked the time when brands started to advertise on racing cars. The first was probably the Cigarette manufacturers “Imperial Tobacco” sponsoring in 1968. This technological breakthrough made the norm of advertising in this sport normal for the world.
It is not to mention that sponsorships are completely based on the performance of the underlying entity. It will cost more depending on how well or how good the team does in the game.
As we all know that a Mercedes sponsorship will surely cost more than Haas. The reason behind this is that these cars (the most noted and the luxury) have more exposure and more goodwill among the fan bases. This also results in more sales of merchandise of the brand and thus sponsors display logos a lot.
The story of sponsorships started with the first brand of tobacco that tried to display their product to the prospective public. In the year 1968 when Team Lotus F1 took to the circuit with flying colours of tobacco’s products.
Since that time, the sport was not the same and it emerged as a hotspot (rather hot sport) for the world of sponsorships. Now sponsorships and the thrilling sport of Formula One go hand in hand and are inseparable.
Let us see how the sponsors fit into the game. So, the game has teamed with players or teammates, each team in the formula one can hold up about 25 sponsors who fit into various categories. According to the various categories of sponsors, they pay the fee for sponsoring the event. Title sponsor is the highest form of sponsorship or is considered the highest of all and thus, comes with the highest fees for a sponsor.
Here’s a look at sponsorship deals of the top 3 F1 teams in 2020.
Mercedes Petronas F1 Top Sponsors
Sponsor
Sponsorship Cost
Mercedes-Benz
$75M
Petronas
$57M
Ineos
$24M
UBS
$6M
EPSON
$4M
Red Bull Racing F1 Top Sponsors
Sponsor
Sponsorship Cost
Red Bull
$200M
Aston Martin
$30M
Honda
$25M
Mobil 1
$15M
Tag Heuer
$5M
McLaren F1 Top Sponsors
Sponsor
Sponsorship Cost
Bat
$40M
Dell
$12M
Darktrace
$10M
Huski Chocolate
$6M
Arrow
$6M
Sports like these tend to have a huge rate of title sponsorships. The reason is that it is the most visible sponsorship of all.
After the highest pitch of sponsorship partners, then comes the land of technology partners. These are the partners or sponsors that supply teams with essentials that they will be needing during the course of the sport. Examples in this domain include Pirelli which is a tyre supplier and DHL as the official logistics partner.
DHL was the official logistics partner of F1
These companies however are called sponsors supply the essentials. Essentials that are supplied by these companies cut costs on the participating teams.
Corporate Partners
Corporate partners are those partners who can be seen working on the sidelines of sporting events. Like for example, Mercedes has 12 Sponsors, some notables include, HP Enterprises, Monster Energy, IWC Watches, AMD and Tommy Hilfiger. Corporate partners come to the picture when there is a team event, a product launch, a party or a charitable occasion.
If you are a fan of this sport then you must have seen Lewis clicking with his IWC watch. You might think that he likes the brand but it turns out that he has signed a contract with the watchmaker.
Lewis Hamilton on Podium
According to the signed pact, Lewis has to be wearing his watch when he is on the podium or at any other public event. Sponsorship deals like these are worth between £10 million to £15 million every season.
Then there are some sponsors that can be laid on the category of minor sponsors. They usually get a small logo positioned over the car. These small promotional logos can cost a brand about £1 million to £3 million.
Mercedes F1 Car
The Sales of Merchandise
F1 Official Merchandise Store
The second big fat source of revenue is the merchandise. They offer a huge stream of revenue. Merchandise can be defined as the official signature products of an entity. However, there are no figures that are published yet but we know how fans of some brand or sport can go to places for buying merchandise of their favourite player.
Ferrari is said to be in a report to have generated around £8 million in 2006. These numbers are rookie numbers when compared to the Schumacher era when sales were bombed in Germany, he was really famous.
Every Formula one team sells merchandise to its fans all over the world. It has become easier to reach out to everyone, with a simple website. Some small teams also have specially made tents for selling this merchandise at the racing events. People come in huge numbers at these events and it offers a big market for the team’s merchandise. However, merchandise sales are solely based on the popularity of teams among fans, the popularity has a direct relation to these sales revenue.
Media Rights (Around 30% of Revenue)
F1 earns a big part of its money by selling the rights to show races on TV and online. TV channels and streaming platforms like Netflix pay a lot to show these exciting events. F1 also has its own service called F1 TV. These deals are usually made for different countries or regions, and the strong demand helps F1 grow and earn more.
For FY23, total revenue increased by 25% year-over-year, reaching $3.2 billion. Here’s a breakdown of the key areas:
Race Promotion: Revenue grew by 28% Y/Y to $0.9 billion.
Media Rights: Revenue grew by 11% Y/Y to $1.0 billion.
Sponsorship: Revenue increased by 33% Y/Y, amounting to $0.6 billion.
Other Income: This category saw a 42% Y/Y increase, reaching $0.7 billion.
The company achieved a gross margin of 30%. Key costs included:
Team Payments: $1.2 billion.
Other Costs (such as hospitality, FIA annual fees, and commissions): $1.0 billion.
Selling, General, and Administrative Expenses: $0.7 billion.
Depreciation and Amortization: $0.2 billion.
These expenses contributed to an operating margin of 12%.
Formula One Administration
The whole sport of Formula One is maintained and managed by the Administering body. It is responsible for organising each and every event that happens in the sport. It can be either casual types of events or racing events. They get all the access to the track fees, Commercial Rights on T.V. (which cost broadcasters huge amounts.), driver super licences and etcetera.
According to the reports, all these sales and revenue sources add up to a revenue of one billion Euros to the association. In addition to that, broadcasters always try to eye this opportunity of getting special rights in the association. For example, the BBC(British Broadcasting Channel) has paid over 240 million euros for a three-year contract in the racing sport. This is multiplied all over the globe, in over 200 countries, and 40 individual broadcasters. Sky Sports won the broadcasting rights in 2019 which was reported to be worth around £1bn.
Sky Sports F1
The Formula One Administration also awards the participating teams with a prize fund. Out of about 2 billion euros that they were able to raise through various sources is shared among the teams, the basis of which is qualifying race results. The number is hypothetical that can be assumed to be near the actual figure.
Due to the nature and secretive attitude of the FIA, an exact number cannot be published but it is seen in reports and evidently.
Speaking of money, ever wondered how much the steering wheel of a racing car costs?
The Formula One Management
FOM payments or Formula One management is another part of the process of revenue distribution and direction. There are mainly five divisions of payments in Formula One management.
In the First division is 36 million dollars paid to every team and the time of which is two seasons straight. The division one payment and every single team receive this.
The second division of payments is the prize money based on the number to which the team finished. For example, the luxury car brand Mercedes received sixty-one million dollars for winning the title while Williams just received thirteen, for finishing at last. This feels right and pleasant but there’s more to it.
The third division goes to the long-standing team. As the name suggests, it is for the longest standing team, and not to mention the division name is synonymous with Ferrari. Hence, the division is also known as the Ferrari budget, as they are the ones who always get that. The sum of money is 68 Million Dollars.
Next is the constructor’s championship bonus which is 35 million dollars to Ferrari and Mercedes, Red Bull and McLaren for winning some titles that can be called miscellaneous in layman terms. Lastly, there are payments like Heritage payment to Williams ($10 Million), Ferrari ($35 Million), Red Bull ($35 Million), for signing the Concord Agreement first.
Where do the F1 Teams Spend their Money?
The above discussed all the primary sources of revenue for the Formula One management but it is not the whole story. Running a successful team in this speedy game is hard and as well as expensive. The cost of running a Formula One Team is humongous just because they have to work at the pinnacle of their efficiency. A little here and there and their team can lose all credibility. So they have to be cautious and active on all ends of effectiveness. They mainly spend on these four heads, namely –
Salaries
This head of income does not really need an introduction. Salaries are the most basic form of expense in any sort of business. In this domain of Formula One, teams have all sorts of labour available for their work. It has engineering people and marketing people to make team’s working a full-fledged operation. It also can include the payments to drivers of these supercars.
Research and Development
R and D, or simple research and development is not as easy as it sounds. It consists of all the scientific terms that you can think of in driving a car faster than light. It includes wind tunnel testing, race track testing and all sorts of testing that can make the racing a smooth sail. It is important that everything is perfect, to improve the performance of the game and the safety of drivers.
Production
Production means that part of the team is responsible for producing the car for the event. It starts with the manufacturing or procurements of new components. It can include reversing the engine and just that part can cost about 10 million pounds by itself. Thus, the production is what makes the car fit for racing at the speed of light.
Operations
Operations are all things that come in a business routine. It can include things like client entertainment, logistics for the car and the team, technology costs that are incurred to run the website and the marketing end of things. Operation costs can also include things like the fuel cost of the racing car. These are miscellaneous but when added, can become big
Conclusion
Above, we all read about the beginning of the sport of Formula One. What is shinier is the money transactions that it brings to the table. For speed lovers, Formula One is their favourite refuge. The sport has managed to get to the hearts of people from all over the world. This trend not only shows the success of Formula One but also provides testimony of the tendency in challenging the science of speeds.
The business aspect of the sport is as interesting as the sport itself, if not more than that. One may think and admire these sports as nothing but a leisure activity but they sure are way more than just that. The money-making capacities of such ventures almost never fail to surprise us.
FAQ
How much does it cost to run an F1 team?
It requires F1 teams approximately $150 to $200 million.
How much is F1 prize money?
In 2023, the total F1 prize money pool was estimated at around $1.2 billion, distributed among the 10 teams based on their performance in the Constructors’ Championship. The top team (1st place) typically earns over $140 million, while lower-ranked teams receive smaller amounts. Some teams also receive special bonuses like the Ferrari heritage bonus or long-standing team payments.
How much does Rolex pay to sponsor F1?
Rolex paid approximately $45 million annually.
How do F1 teams make money?
F1 teams make money mainly through prize money, sponsorships, merchandise sales, and partnerships. Top teams also earn from brand deals, investor funding, and selling technology or engineering services.
What is Formula 1 business model?
Formula 1’s business model is based on organizing global races, selling media rights, securing sponsorships, and offering premium fan experiences. It’s managed by Liberty Media through the Formula One Group, turning racing into a global entertainment business.
Which country has hosted the most grands prix since its first in 1950?
Italy has hosted the most Formula 1 Grands Prix since the championship began in 1950. The Italian Grand Prix at Monza is the only race that has been held every year without interruption since F1’s inaugural season, making Italy the country with the longest and most consistent presence in F1 history.
Are F1 teams profitable?
Some F1 teams are profitable, but not all. Top teams like Mercedes, Red Bull, and Ferrari often earn profits due to strong sponsorships, prize money, and commercial deals. However, smaller teams may struggle to break even because of high costs (around $135 million per season, even with the cost cap). Profitability depends on performance, brand value, sponsors, and how well a team manages expenses.
Whether cricket or football, sports have continued to entertain every generation. Over the years, the sport has become an industry generating billions of dollars in revenue each year. The global sports market has experienced rapid expansion, growing from $486.61 billion in 2021 to an estimated $512.14 billion in 2023, and is projected to exceed $700 billion by 2026.
Lodging at the forefront of innovation and adaptation, sports leagues are a significant part of the global market, with showbiz glamor and attract fans widely.
Here’s the list of the 10 Biggest Sports Leagues in the world.
Top 10 Richest League in the World – National Football League
Formed in 1920, the National Football League, or NFL, being the most valuable and expensive sports league, tops the chart with a total revenue of $18 billion in 2024, with the Dallas Cowboys having the highest value of $10.32 billion. Aaron Rodgers from the Green Bay Packers was set to take $59.465 million in 2023, but he restructured his contract and now will make $75 million for two years.
With the NFL’s 32 franchises receiving the lion’s share of the revenue, the league also houses 29 of the world’s 50 most expensive stadiums. The NFL is known for its intense competition and high-stakes games. It is the highest level of professional American football, making it one of the most-watched sporting events in the world, and is one of the top sports leagues in the world.
Most of its revenue comes through broadcasting rights, sponsorship, and ticket sales, and the league’s long-term contracts with telecom companies like ESPN, Fox, NBC, and others, which fetch billions of dollars annually. The NFL has also partnered with several MNCs as PepsiCo, Nike, and Visa, to name a few. During the 2020 COVID-affected season, the league experienced pandemic-related shortfalls that decreased revenue, causing the NFL to reduce the salary cap. But after two great seasons, the NFL is back on track with an ambition to reach $25 billion in revenue by 2027.
Indian Premier League
League
Indian Premier League
Sport
Cricket
Formed
2008
Sponsors
Vivo, Dream 11, Byju’s
Top 10 Richest League in the World – Indian Premier League
The Indian Premier League, better known as IPL, is second to the NFL as the second richest sports league and one of the most valuable sports leagues, after hitting the $9 billion mark. With Mumbai Indians (MI) as the most valuable IPL team with a brand worth $86.4 million, IPL is also second in cutting big fat cheques, with players earning an average of $5.3 million annually. It is second in the top 5 richest league in the world.
The Indian T20 league, which commenced in 2008 as India’s first unicorn with a $1.1 billion valuation, has seen a 16-fold jump since its inception. Played each year during the Indian summer with ten teams in a 70-match tournament, followed by playoffs and the IPL Trophy for the past 15 seasons, the second-most lucrative league in world sports is now rubbing shoulders with the NFL, NBA, EPL, etc.
With uncontrollable popularity, the IPL has brought lucrative media and sponsorship deals, thus emerging as a premier sporting event with global viewership and popularity. IPL has partnerships with several major companies like VIVO, Paytm, TATA, and Dream11, to name a few. And this year, at $6.2 billion for the 2023–2027 cycle, IPL recorded a three-fold jump in media deals, breaking Walt Disney Star’s monotony, which had continued for the previous 5-year cycle in 2017. This media rights deal made IPL the second biggest sporting event after the NFL on a per-match basis.
Top 10 Richest League in the World – Major League Baseball
The third richest league by revenue we have is America’s Major League Baseball, or MLB, with $11.5 billion in revenue in 2024, with the Los Angeles Dodgers earning the most remuneration of $5 million, and is one of the top 5 richest league in the world.
With an average player salary of $4.9 million, the salary cap jumped 11.1% to record the largest since 2001. In the history of MLB, Aaron Judge became the highest-paid position player with a $360 million nine-year contract with the New York Yankees. With 1992 as the starting point, the baseball league houses 30 teams that play 162 games each year, followed by playoffs and the World Series, attracting millions of viewers. It is one of the most profitable sports leagues.
After being adversely impacted by the pandemic, America’s baseball league rebounded and hit a home run in 2022, propelling itself to record a spike in revenue and becoming one of the top ten leagues in the world. The MLB generates most of its revenue through broadcasting rights, sponsorships, and ticket sales, and has a long-standing deal with television networks that brings in billions of dollars each year. The league is in partnership with several major companies– Chevrolet, Mastercard, and Nike, to name a few.
Global Sports Market Size
National Basketball Association
League
National Basketball Association
Sport
Basketball
Formed
1946
Sponsors
Nike, Pepsi, Ste Farm
Top 10 Richest League in the World – National Basketball Association
With just over $10 billion as its revenue in 2024, the NBA, or National Basketball Association comes fourth in the top 5 sports leagues in the world. North America’s NBA is the world’s most prestigious and affluent basketball league, with the average team worth around $3 billion and the Golden State Warriors being the most valuable, worth $7.56 billion. It is in the list of top 5 richest league in the world.
After being adversely affected by the pandemic for two consecutive years and posting $6.4 billion in revenue for the COVID-impacted 2020/21 season, the NBA jumped to record a $10 billion revenue last year. This implies that the NBA’s annual income has nearly tripled over the past decade, going from $3.7 billion in 2012 to $10 billion in 2024.
In addition to the world’s wealthiest players playing in this league, it has secured national television broadcasting contracts worth $500 million in international media revenue. But the main driver of this increase is the NBA’s jersey deal with Nike and their jersey patch program with individual teams, which reportedly fetched above $200 million in revenue last year alone.
Nike x NBA JERSEY UNVEILING | Partnership Launch Event
English Premier League
League
English Premier League
Sport
Football
Formed
1992
Sponsors
Barclays, Nike, EA Sports
Top 10 Richest Leagues in the World – English Premier League
The English Premier League is the fifth richest and biggest sports league, which generates an annual income of nearly £6 billion in 2024. With the average Premier League club worth $1.51 billion, the collective value of the league’s 20 clubs comes to a whopping $30.3 billion. It is one of the most valuable leagues in the world.
Excluding the COVID-impacted 2020/21 season, the revenue generation of EPL teams has increased significantly, mainly due to the successful acquisition of high-profile players like Cristiano Ronaldo and Romelu Lukaku by Manchester United. Television broadcasting licenses, business operations, and sponsorship deals have leveraged EPL’s revenue, and this increase in media attention, global fan engagement, and lucrative sponsorship deals has boosted the financial prospects of EPL clubs. For the first time in 30 years, EPL witnessed more revenue generated from overseas broadcasters than domestic stations. With £5.1 billion generated for domestic rights after the pandemic, the league signed agreements to roll over the existing deals with Sky, BT Sport, and Amazon Prime Video through 2025.
National Hockey League
League
National Hockey League
Sport
Hockey
Formed
1917
Sponsors
Geico, Honda, Budweiser
Biggest Sports Leagues in the World – National Hockey League
North America’s National Hockey League, or NHL is the sixth richest sports league — one of the top sports leagues in the world, with an estimated value of $5.5 billion, with the New York Rangers being the most valuable team, worth $2.2 billion.
The ice hockey league is home to 32 teams that play an 82-game season each year, followed by playoffs and the Stanley Cup Finals. NHL generates most of its revenue through broadcasting rights, sponsorships, ticket sales, and lucrative deals with television networks that bring in billions of dollars each season. With the new ESPN TV contract and the addition of the Seattle Kraken, the NHL is projected to cross the $5 billion mark. It has also partnered with MNCs like Adidas, Coca-Cola, and Discover, to name a few.
La Liga Santander
League
La Liga Santander
Sport
Football
Formed
1929
Sponsors
Santander, Nike, Puma
Biggest Sports Leagues in the World – LaLiga Santander
Spain’s La Liga Santander is one of the most popular and one of the most valuable sports leagues in the world, with an estimated value of €4.5 billion in 2024. It houses Real Madrid, the richest football club in the world in 2024, with a net worth of $6.6 billion.
The La Liga Santander, one of the biggest leagues in the world, is home to 20 teams that play a 38-game season each year, attracting millions of viewers annually. Comprising some of the top European clubs like Real Madrid, Barcelona, Atlético Madrid, Sevilla, Valencia, Villarreal, etc., the football league generates most of its revenue through broadcasting rights, sponsorships, and ticket sales.
With lucrative deals with television networks, the league has also partnered with several major companies, such as Santander, Nike, and Coca-Cola, to name a few. According to estimates, the La Liga club sponsorship revenue is $930.95 million.
Bundesliga
League
Bundesliga
Sport
Football
Formed
1962
Sponsors
Adidas, Deutsche Telekom
Top 10 Sports Leagues in the World – Bundesliga
Home to 18 teams that play a 34-game each year, Germany’s Bundesliga generates about €4.3 billion to rank eighth richest sports league in the list of top 10 sports leagues in the world and is one of the top sports leagues in the world, with FC Bayern Munich having a value of about €3.8 billion in 2023. The German football league that draws large crowds to its stadiums— on an average of 42,738 tickets sold per game– has reported a 5.4% increase in combined revenues for the country’s professional teams.
Generating most of its revenue through broadcasting rights, sponsorships, and ticket sales, the league has a lucrative deal with television networks. Earning €1.1 billion ($1.2 billion) yearly from national television rights, the Bundesliga, one of the biggest leagues in the world, has partnered with several major companies such as Adidas, Coca-Cola, and Puma.
Serie A
League
Serie A
Sport
Football
Formed
1898
Sponsors
TIM, Puma, Coca-Cola
Biggest Sports Leagues in the World – Serie A
Italy’s top-tier football league Serie A is the ninth wealthiest sports league generating a revenue of €2.8 billion and is at the bottom of the list. With its rich and storied history, Serie A’s AC Milan franchise has the highest market value of €1 billion in 2023.
Home to 20 teams that play 38 games, Serie A is known for its strategic play style over high-speed thrills. The Italian football league is gearing up to increase the revenue flow. It currently holds a domestic deal with sports streaming service DAZN for €2.5 billion (US$2.7 billion) that will run till 2024 along with Pay-TV broadcaster Sky Italia Serie A has reported a €262.5 million (US$280.9 million) deal over three years.
UEFA Champions League
League
UEFA Champions League
Sport
Football
Formed
1955
Sponsors
Gazprom, Nissan, Heineken
Most Valuable Sports Leagues – UEFA Champions League
Sitting at the bottommost, we have the UEFA Champions League as the tenth richest sports league with an estimated revenue of €3.5 billion, with Manchester City squad having the highest value squad worth €4.1 billion in 2024.
Featuring the top club teams from across Europe— the Premier League, La Liga, Serie A, and the Bundesliga, UEFA Champions League is one of the top 10 leagues in the world. For the 2021-22 season, UEFA, one of the top sports leagues in the world, suffered a drop in revenue of almost €2 billion after setting a record mark in the previous year— notably boosted by the delayed European Championship.
Despite the downfall, UEFA still recorded its second-best financial year since 2016-17, with most of the media revenue coming from UEFA’s four-year deal with global streaming service DAZN signing in June 2021. The hike figures come after UEFA adopted a new competition structure for the UWCL that included a group stage and a centralized commercial and broadcast rights model for the 2021-22 to 2024-25 cycle.
FAQs
Which are the top 10 richest leagues currently in the world?
Here’s the list of the 10 richest Sports Leagues in the world:
National Football League
Indian Premier League
Major League Baseball
National Basketball Association
English Premier League
National Hockey League
LaLiga Santander
Bundesliga
Serie A
UEFA Champions League
What is the revenue of the Indian Premier League?
The revenue of the Indian Premier League as of 2023 is $9.5 billion.
Which sports league makes the most money?
The National Football League or NFL makes the most money with a total revenue of $13 billion in 2023, with the Dallas Cowboys having the highest value of $10.32 billion.
Which are the top 5 richest leagues in the world?
The top 5 richest leagues in the world are as below:
Run by the most affluent cricket board in the world– BCCI– the Indian Premier League is among the world’s highest-paid lucrative tournaments.
As mentioned by Forbes, IPL is the sixth most valuable sports league in the world, ranking behind the NFL, the Champions League, and Europe’s four big football leagues.
A franchise-based T20 game that began in 2008 has seen several youngsters soaring to new heights, and a few players have earned more than INR 100 crore from the league so far.
No wonder this game attracts the best players in the world to play in the IPL every year. Let’s find players who have earned the most through IPL since its inception in 2008.
Here’s the list of players who have earned INR 100 crores or more in the IPL.
Players Who Have Earned the Most Through IPL – Rohit Sharma
Standing on the top of the list, we have Rohit Sharma, with an overall IPL earning of INR 178.6 crore. Leading the Ambani-owned franchise’s success and turnaround in the IPL since 2013, Rohit Sharma has propelled the side to 5 IPL titles from 2013 to 2020.
His IPL career began in 2008 with Deccan Chargers, a Hyderabad-based franchise, for INR 4.8 crore. After playing for three seasons, he was sold to Mumbai Indians for INR 9.2 crore in the 2011 IPL mega auction. Since then, the franchise has retained him as their No.1 choice player in every mega auction. After playing for three seasons at MI in 2014, his salary increased to INR 12.5 crore and then to INR 15 crore in 2018. And ahead of the 2022 IPL mega auction, MI retained Rohit for a whopping INR 16 crore.
Rohit, the 3rd leading run-scorer in IPL history, is one of the few players who have been featured in all 15 seasons of the IPL so far. Sharma has played 232 IPL matches and amassed 6014 runs, averaging 30.22. Rohit Sharma is considered to have the highest earning in IPL history with a staggering INR 178.6 crore.
Mahendra Singh Dhoni
Player
Mahendra Singh Dhoni
Country
India
IPL Franchise
Chennai Super Kings
Earning
INR 176.8 crore
Players Who Have Highest Earning in IPL History – Mahendra Singh Dhoni
With an overall earning of INR 176.8 crore in the IPL, the former captain of Team India, MS Dhoni, comes second on the list.
The wicketkeeper-batsman joined CSK in 2008 as a marquee player for INR 6 crore and remained at the team’s helm. After leading the team to their title win in 2010, his salary saw a hike that reached INR 8.2 crore, and in 2014, CSK retained him for INR 12.5 crore.
When CSK got banned in 2015, RPSG picked Dhoni for INR 12.5 crore and played for the franchise for two years. When CSK returned in 2018, Dhoni played for INR 15 crore as their first player, and in 2022, CSK retained Dhoni for INR 12 crore, which continued in 2023.
Dhoni, who announced his retirement from international cricket in 2020, had played 13 seasons for CSK and two seasons for Rising Pune Supergiant in 2016 and 2017 when CSK was banned. He is the 9th highest scorer in the IPL with 4878 runs, averaging 39 with a strike rate of 135. For the 16th season of IPL, Mahi is back in action, but perhaps for the last time. He is one of the highest earning IPL player all time.
Players Who Have Highest Earning in IPL History – Virat Kohli
The former Royal Challengers Bangalore’s captain and star player, Virat Kohli, has a net IPL earning of INR 173.2 crore and comes third on the list.
In 2008, RCB picked up Kohli for INR 12 lakhs for the first 3 IPL seasons, and in 2011, RCB retained him for INR 8.2 crore. As his performances soared in the sky and he attained the captaincy post, his price also shot up. In 2014, Virat Kohli was retained for INR 12.5 crore, and in 2018, his price was INR 17 crore– and he was the first player in the IPL to get INR 17 crore per season making him the highest paid IPL player.
After Kohli stepped down as captain from all formats of cricket, his IPL salary in 2022 was shaved off by two crores, making it INR 15 crore from INR 17 crore, which he drew from IPL 2018 to 2021. The RCB skipper will carry the same salary in IPL 2023 as well.
The leading run-scorer in the IPL’s history, the RCB skipper, Virat Kohli, has played all 15 editions for RCB – and is the only player to achieve that for a single team. The 34-year-old star player has played 229 IPL matches, with a score of 6903 runs, averaging 36.72.
Players Who Have Highest Earning in IPL History – Suresh Raina
The now-retired Southpaw still stands in fourth place in terms of net IPL earnings. Suresh Raina has earned INR 110.74 crores, making him the 4th highest earner in the IPL.
In 2008, the Chennai Super Kings bought Raina’s services for INR 2.6 crores for the first three IPL seasons, and since then, he has been the backbone of the franchise. Raina had been the highest run-scorer in the IPL before Virat Kohli overtook him after IPL 12. In 2011, CSK retained Raina for INR 5.9 crores— and throughout his IPL career, Raina has batted at the number 3 position. When CSK disbanded in 2015, Gujarat Lions took him for INR 12 crores, which dropped to INR 9.5 crores in 2017. In 2018, when CSK returned, Raina was taken in by the team for INR 11 crores and retained in 2019 as well.
Popularly known as Mr. IPL, Suresh Raina had played 205 IPL matches and amassed 5528 runs, averaging 32.51. Raina had played with CSK for 11 seasons but was left unsold in 2020. He last played IPL in 2021 for CSK at INR 11 crores, and he took his retirement from the T20 league in September 2022. Kohli is one of the top 10 highest paid players in IPL history.
Players Who Have Highest Earning in IPL History – Ravindra Jadeja
In the number five spot, we have Ravindra Jadeja, who started his IPL career as an uncapped player– and now has a net IPL income of INR 109 crores.
Following his exploits in the ICC U-19 World Cup in 2008, Ravindra Jadeja was picked up by the Rajasthan Royals for INR 12 Lakh. However, later in 2010, he was banned for violating the IPL code of conduct.
In 2011, he was picked up by now-defunct Kochi Tuskers Kerala for INR 43 lakhs. And after the franchise disbanded in 2012, CSK took Jadeja for INR 9.2 crore. In 2014, playing for CSK, his salary was increased to INR 5.5 crores and was the same amount when Gujarat Titans bought his services in 2016 when CSK was banned. In 2027, Gujarat retained him with a hike of INR 9.5 crores, but he returned to CSK in 2018 for INR 7 crores till 2021. In 2022, Jadeja stayed with the franchise for a whooping INR 16 crores ahead of the 2022 auction that will continue in 2023 making him in the top 10 highest paid player in IPL history.
The Left-handed all-rounder Ravindra Jadeja has played 215 IPL matches and has scored 2541 runs, with an average of 26.20.
Sunil Narine
Player
Sunil Narine
Country
West Indies
IPL Franchise
Kolkata Knight Riders
Earning
INR 107.2 crore
Players Who Have Highest Earning in IPL History – Sunil Narine
KKR’s go-to player, Sunil Narine, entered the 100-crore club in 2022 to become the second overseas player to earn a salary of 100 crores— with a net income of INR 107.2 crores.
The Trinidadian bowler Sunil Narine played his first IPL match in 2012 for KKR and has featured KKR for every season since 2012. Starting his IPL journey with INR 3.51 crore, Narine, with his top-quality bowling attacks with his flamboyant stroke play, saw a spike in his earnings— from 2018 to 2021, he earned Rs 12.5 crore per season.
But in 2022, that sum only reached INR 6 crore. However, after this, hebreached the 100-crore mark and became the second-richest overseas player in the tournament, after RCB star AB de Villiers. In a decade-long ongoing IPL career, Narine has played 154 matches and has taken 158 wickets, with an average of 25.41, conceding nearly 6.70 runs per over.
Players Who Have Highest Earning in IPL History – AB de Villiers
At the seventh spot is now retired South Africa’s finest batsman, AB de Villiers, with a net IPL earning of INR 102 crores. He is one of the cricketers who has most money earned in IPL.
The finest IPL player, ABD, started his IPL journey in 2008 with the Delhi Daredevils franchise for INR 1.2 crores and played for the franchise in the first three seasons at an income of INR 1.4 and 1.3 crores. Later, in 2011, he was bought by RCB for INR 5 crores, initiating his long journey with the franchise till his retirement. As RCB’s most successful batsman, he single-handedly won many matches for his team. In the 2014 IPL auction, RCB bought the South African player for INR 9.5 crores. With his consistently good performance, ABD’s salary kept increasing— in 2018, RCB bought his services for INR 11 crores. He was retained in the team in 2019 and 2020 for the same price. He is one of the highest earners in IPL history.
In 2021, RCB bought de Villiers for INR 11 crores, which marked the last season before his retirement. ABD has played 184 IPL matches and scored 5162 runs, averaging 39.70.
Gautam Gambhir
Player
Gautam Gambhir
Country
India
IPL Franchise
Delhi Capitals
Earning
INR 94.62 crores
Players Who Have Highest Earning in IPL History – Gautam Gambhir
Gautam Gambhir is one of the most decorated players in the history of the Indian Premier League (IPL). The left-handed batsman amassed a staggering ₹94.62 crores in earnings throughout his illustrious 17-year IPL career making him in the list of highest earning player in IPL history. Gambhir first debuted his IPL in 2008 for the Delhi Daredevils (now Delhi Capitals). He went on to play a crucial role in the team’s success over the next few seasons, emerging as one of the league’s most reliable opening batsmen.
In 2011, Gambhir was bought by the Kolkata Knight Riders for ₹11.04 crores, a then-record fee for an Indian player. He justified the price tag by leading the team to IPL title victories in 2012 and 2014, scoring 3,035 runs across 122 IPL innings at an average of 31.77 and a strike rate of 124.23 during his time with KKR. Gambhir’s performances and leadership helped establish Kolkata Knight Riders as one of the IPL’s dominant franchises in the early 2010s. After leaving KKR in 2018, he had stints with the Delhi Daredevils and the defending champions Mumbai Indians before announcing his retirement from the IPL in 2019.
Players Who Have Highest Earning in IPL History – Shikhar Dhawan
Veteran opener Shikhar Dhawan is one of the highest-earning players in the history of the Indian Premier League, having accumulated a staggering ₹91.8 crores throughout his IPL career. Dhawan first entered the IPL in 2008, representing the Deccan Chargers. He became a vital part of their batting lineup, emerging as one of the consistent run-getters in the league. In 2013, he was purchased by the Sunrisers Hyderabad for ₹5.5 crores.
Dhawan’s performances only improved after that, and he cemented his reputation as one of the most reliable opening batters in the IPL. He was a key contributor to the Sunrisers Hyderabad’s title-winning campaign in 2016, scoring 501 runs at an average of 38.54.
In 2019, Dhawan was traded to the Delhi Capitals, where he has continued to deliver match-winning displays. Over the years, his consistent run-scoring, explosive starts, and experience have made him an invaluable asset for the various franchises he has represented.
Dinesh Karthik
Player
Dinesh Karthik
Country
India
IPL Franchise
Royal Challengers Bengaluru
Earning
INR 86.92 crores
Players Who Have Highest Earning in IPL History – Dinesh Karthik
Dinesh Karthik first entered the IPL in 2008, representing the Delhi Daredevils. Over the next decade, he went on to play for several high-profile franchises, including Mumbai Indians, Royal Challengers Bangalore, Gujarat Lions, and Kolkata Knight Riders. In 2018, Karthik was acquired by the Kolkata Knight Riders for ₹7.4 crores, cementing his status as one of the most sought-after players in the league. His leadership skills and finishing abilities made him an invaluable asset for KKR, as he helped the team reach the playoffs in 2018 and 2019. He is one of the most earning player in IPL with an earning of INR 86.92 crore.
Karthik’s versatility as a wicket-keeper batsman, his experience, and his skills in pressure situations have seen him command high auction prices throughout his IPL journey. He has scored 4,453 runs at an average of 25.58 and a strike rate of 129.77 in 233 IPL matches.
Glenn Maxwell
Player
Glenn Maxwell
Country
Australia
IPL Franchise
Royal Challengers Bengaluru
Earning
INR 85.42 crores
Players Who Have Highest Earning in IPL History – Glenn Maxwell
Glenn Maxwell, an Australian cricketer, bats right-handed and bowls off-spin. He first played in the IPL in 2012 with the Delhi Daredevils (now Delhi Capitals). In 2021, the Royal Challengers Bangalore (RCB) bid the highest amount of INR 14.25 crore to get Maxwell on their team. Since then, he has been with RCB. In 2023, RCB decided to keep him for the IPL 2024 season with a deal of INR 11 crore.
He is known for his powerful batting, great fielding, and off-spin bowling. However, he has chosen to take a break from IPL 2024 because he feels mentally and physically tired. He has earned a whopping INR 85.42 crores through IPL.
Yuvraj Singh
Player
Yuvraj Singh
Country
India
IPL Franchise
Mumbai Indians
Earning
INR 84.6 crores
Players Who Have Highest Earning in IPL History – Yuvraj Singh
Yuvraj Singh is a former Indian cricketer who played in the Indian Premier League (IPL) for several teams, including Punjab Kings, Pune Warriors India, Royal Challengers Bangalore, Delhi Daredevils, and Sunrisers Hyderabad. He has earned INR 84.6 crore in his IPL journey.
Yuvraj is in talks with Delhi Capitals about becoming a coach for the 2025 IPL season. He also wants to help young cricketers and work with the Indian cricket team as a mentor.
David Warner
Player
David Warner
Country
Australia
IPL Franchise
Delhi Capitals
Earning
INR 83.5 crores
Players Who Have Highest Earning in IPL History – David Warner
David Warner played for Delhi Capitals (DC) in two different periods—first from 2009 to 2013 and then from 2022 to 2024. He is the fourth-highest run-scorer in IPL history with 6,565 runs at a strike rate of nearly 140, with over 2,500 runs for Delhi.
However, DC did not retain him, and no team bought him in the IPL 2025 auction. If DC wants him back, Warner, now 38 years old, will have to decide between playing in the IPL or for Karachi Kings in the PSL, as both leagues happen at the same time.
Ravichandra Ashwin
Player
Ravichandran Ashwin
Country
India
IPL Franchise
Rajasthan Royals
Earning
INR 82.4 crores
Players Who Have Highest Earning in IPL History – Ravichandra Ashwin
With R. Ashwin in their squad, Rajasthan Royals (RR) have gained a strong advantage. Alongside Yuzvendra Chahal, Ashwin forms a powerful spin duo that will be tough for batsmen to handle.
Ashwin’s record speaks for itself—he has been a legendary off-spinner with outstanding performances, including recent matches against Australia, New Zealand, and Sri Lanka. In the Mohali Test, he surpassed Kapil Dev to become India’s second-highest wicket-taker.
Known for his sharp cricketing mind, Ashwin is a hardworking and strategic player, always coming up with new tricks to outsmart the opposition. Keep an eye on this magical spinner!
Lokesh Rahul
Player
Lokesh Rahul
Country
India
IPL Franchise
Lucknow Super Giants
Earning
INR 82.1 crores
Players Who Have Highest Earning in IPL History – KL Rahul
KL Rahul plays cricket with style and elegance. He leads Lucknow Super Giants (LSG) with confidence and a calm attitude.
When LSG made their IPL debut in 2022, Rahul was the perfect choice as captain. He led the team to the playoffs with nine wins in 14 matches.
Rahul was the second-highest run-scorer in IPL 2022, scoring 616 runs at an average of 51.33. His partnership with Quinton de Kock at the top created many memorable moments.
Before LSG, Rahul played for Punjab and remains the only Indian batter to score 500+ runs in five consecutive IPL seasons (2018-2022)—a true mark of consistency!
After Lucknow Super Giants (LSG)‘s heavy defeat to Sunrisers Hyderabad in IPL 2024, Sanjiv Goenka‘s angry reaction towards KL Rahul made it clear that there were issues within the team. The video of this outburst went viral on social media. After that, it was clear that LSG would not retain Rahul for IPL 2025, which later turned out to be true.
As per reports on March 11, 2025, KL Rahul has declined the opportunity to captain Delhi Capitals. The 32-year-old batter was offered the role but chose to focus on playing in the 2025 IPL instead. Rahul, who has previously captained Punjab Kings and Lucknow Super Giants, was bought by Delhi for Rs 14 crore in the 2025 mega auction.
Rohit Sharma from Mumbai Indians has earned most money from IPL. He has made a staggering amount of INR 178.6 crore in his IPL journey so far.
Which board is the Indian Premier League run by?
Indian Premier League is run by the Board of Control for Cricket in India and is among the world’s highest-paid lucrative tournaments.
Who are the players who have earned INR 100 crores or more in the IPL?
Here’s the list of players who have earned INR 100 crores or more in the IPL:
Rohit Sharma
Mahendra Singh Dhoni
Virat Kohli
Suresh Raina
Ravindra Jadeja
Sunil Narine
AB De Villiers
Sunil Narine plays international cricket for which country?
Sunil Narine is a Trinidadian cricketer who plays internationally for the West Indies.
What is Suresh Raina IPL salary?
Suresh Raina has earned an amount of INR 110.74 from IPL.
What is AB de Villiers net worth?
AB de Villiers has an estimated net worth of INR 74 crore or $9 million, as of 2024.
Who is the highest paid player in IPL history?
As of March 2025, the highest paid player in Indian Premier League (IPL) history is Rishabh Pant, who was acquired by Lucknow Super Giants for ₹27 crore (approximately $4.92 million) during the IPL 2025 mega auction.
The global sports technology market is projected to reach USD 53.1 billion by 2030. Within this industry, a new entrant making its mark is SportsSkill. Co-founded by Abhinav Sinha and Chetan Desai, SportsSkill is bridging a key gap in the sports ecosystem. The company provides a tech-driven platform that gives real-time performance insights for athletes, coaches, and parents.
In this article, explore more about SportsSkill, its founders, business model, funding, challenges, growth, and more.
Founded in 2021 by Abhinav Sinha and Chetan Desai, SportsSkill is a tech-driven platform designed to bridge the gap in the sports ecosystem. With decades of experience in squash and tennis, the founders recognized the need for a structured way to track and analyze sports performance. SportsSkill connects athletes, coaches, and parents, offering actionable insights on performance, fitness, nutrition, and mental well-being.
SportsSkill is designed as a B2B2C platform, ensuring seamless operation for schools, academies, and parents. It’s not just about athletes—it’s about the entire ecosystem.
The company has received an overwhelming response since its inception. Recently, in rural Maharashtra, they supported a young squash player who has since risen to become one of the top players in India, reinforcing the motivation behind starting the company.
SportsSkill – Industry
SportsSkill operates within the rapidly expanding sports technology industry, encompassing innovations to enhance athletic performance, coaching, and fan engagement. As of 2024, the global sports technology market is valued at approximately USD 16.8 billion. It is projected to reach USD 53.1 billion by 2030, growing at a compound annual growth rate (CAGR) of 21.1% during 2024–2030.
SportsSkill’s target market includes athletes, coaches, educational institutions, and sports academies seeking data-driven tools to improve performance and training methodologies. It aims to capture a significant portion of this burgeoning sector by focusing on user acquisition and engagement metrics.
Over the next five years, the team at SportsSkill anticipates the sports technology industry will experience substantial growth, driven by advancements in artificial intelligence, wearable technology, and data analytics. These innovations are expected to become integral to training regimens, injury prevention, and fan interaction, leading to widespread adoption across various sports disciplines.
In alignment with these industry trends, SportsSkill envisions becoming a global leader in sports technology within the next 5–10 years. Its strategic plans include expanding its user base to 5 million across regions such as MENA, the USA, and Europe.
Abhinav Sinha (left) and Chetan Desai (right) – SportsSkill Founders
SportsSkill was founded by Abhinav Sinha and Chetan Desai, who shared common interests and met a couple of times in events and tournaments. Their shared passion for sports was the foundation of this partnership. Both of them have been deeply involved in sports for decades—Chetan has over 55 years of experience in tennis, and Abhinav has more than 20 years of experience in squash. Their professional journeys gave them firsthand insight into the gaps in the sports ecosystem, particularly the lack of accessible, data-driven training tools. These shared observations naturally led them to collaborate and start SportsSkill.
Chetan brings his vast experience in sports and a deep understanding of grassroots challenges. His ability to connect with players and coaches on a fundamental level has been instrumental in shaping the platform. Chetan oversees the sports ecosystem side of the business, focusing on understanding the needs of coaches, athletes, and institutions. He works closely on user engagement and product validation.
Abhinav’s background complements Chetan’s background, focusing on operational strategy and product development to ensure the platform delivers measurable impact. He focuses on technology, operations, and scaling the business.
Together, they drive the strategic direction of the company. They are a small but dedicated team headquartered in Pune. Their passion for sports, innovation, and collaborative approach, along with their focus on the grassroots level, helps them ensure every team member is aligned with their mission to democratize sports technology.
They prioritize hiring individuals who are not only skilled but also share a passion for sports and technology. Their mindset is simple: hire for attitude and train for skills. Whether it’s developers for their tech platform or community managers working directly with grassroots players, they look for people who understand the transformative power of sports.
Advisors and Mentors
SportsSkill benefits from the mentorship and advisory support of KP Balaraj, a seasoned professional with extensive private equity experience and a national-level athlete background. His dual expertise in finance and sports provides invaluable insights, guiding the company’s strategic direction and growth initiatives. His involvement underscores SportsSkill’s credibility and potential within the sports technology sector.
SportsSkill – Startup Story
Abhinav Sinha and Chetan Desai have been lifelong athletes—Chetan has over 55 years of experience in tennis, and Abhinav has more than 20 years of experience in squash. Through their experiences, they realized a stark gap in the sports ecosystem. While there’s a structured system for tracking academic performance in schools, sports lack a similar framework. Players, parents, and even coaches didn’t have access to meaningful, data-driven insights to guide their journey. That’s when the idea struck: Why not create a platform that bridges this gap and democratizes sports technology?
The ideation process was deeply rooted in Abhinav and Chetan’s experiences and observations in India and abroad. They identified the key pain points—lack of performance tracking, insufficient fitness, mental well-being integration, and limited tech adoption in grassroots sports. To validate the idea, they contacted coaches, academies, and parents to understand their challenges. The response was overwhelmingly positive; they were excited about a holistic platform to track an athlete’s progress.
Prototyping began with a simple framework for SportsSkill. They focused on making the system intuitive and accessible, especially for grassroots players. During this time, they spoke extensively with academies in Pune and Hyderabad and experienced professionals like KP Balaraj, a national-level athlete, who eventually became one of SportsSkill’s key investors. Their feedback validated the concept and gave the co-founders confidence to move forward.
The initial reactions from those Abhinav and Chetan spoke to were encouraging but also instructive. Many pointed out the need for affordability and seamless integration into existing systems. These insights shaped their approach, ensuring SportsSkill was impactful and accessible to athletes across all levels. The journey from ideation to prototyping has been enriching, and their support and feedback have propelled them to where they are today.
SportsSkill’s vision, both in the short and long term, is deeply rooted in the commitment to democratizing sports technology. The aim is to make it accessible to every athlete, coach, and institution, regardless of their level or location. This long-term commitment is a testament to the belief in the transformative power of sports technology.
In the short term, by 2025, the company aims to deepen its impact in India and expand into global markets like MENA, the USA, and Europe. This involves scaling the platform, enhancing features like matchplay analysis and performance tracking using big data, and developing products tailored specifically for schools to integrate sports tech into educational systems.
In the long term, by 2027-28, the team envisions a world where every athlete, whether in a metro city or a remote village, can access advanced training tools, data-driven insights, and personalized coaching. This vision guides their long-term strategy and underscores their commitment to leveling the playing field for talent everywhere.
At the core of running SportsSkill is a deep belief that sports should be more than just an extracurricular activity—a discipline that shapes lives. SportsSkill’s motto, ‘Believe to Achieve,’ reflects this ethos. It’s not just about training harder; it’s about providing the right tools and insights to empower athletes to unlock their full potential while building a supportive environment for parents, coaches, and schools to nurture this journey.
SportsSkill – Name and Logo
SportsSkill Logo
The name SportsSkill was born from the idea of celebrating the diverse and dynamic nature of sports. Every sport demands a unique combination of skills—be it physical, mental, or strategic. From an athlete’s strength and agility to a player’s precision and focus, skills are the building blocks of excellence in sports.
By combining the words sports and skill, the co-founders created a name that reflects their mission: to highlight the importance of developing, mastering, and celebrating these abilities. It’s simple, memorable, and universal—resonating with athletes, coaches, and enthusiasts alike.
At its heart, SportsSkill represents more than just the act of playing; it symbolizes growth, discipline, and the relentless pursuit of improvement. It’s a name that encapsulates the spirit of sports and the skills that make them extraordinary.
SportsSkill – Products/Services
SportsSkill is a sports technology company that bridges the gap between athletes, coaches, parents, and institutions by providing data-driven tools to enhance performance and overall development in sports. Coaches, parents, and athletes can access performance metrics, track progress over time, and receive actionable recommendations for improvement. The platform also gamifies training with features like SkillCoins to motivate and keep athletes engaged. By integrating elements like fitness, nutrition, mental well-being, and technical skills, SportsSkill offers a 360-degree approach to sports training. Over the next few years, SportsSkill looks to integrate more AI, machine learning, and relevant sensor technology.
A major gap is the need for more structured data and performance insights in grassroots and amateur sports. Athletes often train in silos without actionable feedback, and parents and coaches struggle to track development. SportsSkill resolves this by centralizing data and providing real-time feedback, enabling smarter training and better talent nurturing. Additionally, it fosters a social environment that promotes knowledge sharing and inspiration through videos and resources tailored for athletes.
Unique Selling Proposition (USP):
Holistic Data Integration: Combines data from various sources—like human intelligence, AI, wearables, sensors, and used inputs—into one intuitive dashboard.
Affordability and Accessibility: Low-cost subscription plans make it feasible for grassroots players and schools.
Personalization: AI-driven insights tailor training to individual needs, addressing everything from skill improvement to injury prevention.
Gamification: Rewards athletes with SkillCoins, encouraging engagement and motivation.
Scalable Ecosystem: A B2B2C model connects athletes, schools, academies, and parents, making it suitable for grassroots and professional environments.
Innovation
Technology: Going forward, SportsSkill will employ more AI and machine learning to analyze and interpret data. The platform is designed to integrate seamlessly with emerging tech like smart bands and sensor-equipped gear. The system processes data from multiple sources to provide meaningful, actionable user insights. Big data analytics is also key, enabling predictive insights and long-term tracking. Alongside SportsSkill, they operate Chance2Sports, a nonprofit initiative to identify and nurture talent from underserved regions. This program connects seamlessly with SportsSkill by scouting young talent, providing tools and training, and helping them secure sponsorships.
SportsSkill operates on a B2B2C business model, catering to athletes, coaches, schools, and sports academies. The platform integrates seamlessly into existing sports ecosystems to deliver personalized training, performance tracking, and data-driven insights. SportsSkill provides a unified platform for tracking and improving athletic performance. The platform is subscription-based, designed to be affordable and accessible to grassroots players, schools, and institutions. This ensures scalability while keeping the barrier to entry low for users from diverse economic backgrounds.
Revenue Model
Subscription Plans: The core revenue stream comes from low-cost subscriptions, making the platform accessible to users across different demographics.
Institution Partnerships: Revenue is also generated through collaborations with sports academies, schools, and organizations that adopt SportsSkill’s technology for their training programs.
International Strategic Partnerships: This is another source of revenue generation for SportsSkill.
Premium Features: These will soon be available, which will be revenue-generating.
SportsSkill – Launching Company Strategies
Before launching, Abhinav and Chetan validated the POC with several people across all capacities, from the sports angle with established coaches/academies and sportspersons across different sports to established individuals in the corporate sector who viewed the POC from a business and revenue/scalable model. This helped them get the first 100 users as well.
SportsSkill – Customer Growth and Retention Strategies
At SportsSkill, the team is thrilled to see significant traction within a short time. Guided by the belief that “Customer is King,” they actively engage with the users, gathering their valuable feedback to ensure they evolve in tandem with the ever-growing demands of the sports community.
To enhance user engagement and create a dynamic experience, they have incorporated features designed to keep players motivated and immersed:
Skill Coins: A rewarding system that gamifies skill development, incentivizing consistent practice and achievements.
Challenge Feature: A platform for players to test their abilities, compete with others, and push their limits.
These sticky features are more than just tools—they reflect SportsSkill’s commitment to building an ecosystem that serves, excites, and empowers the users. As the company grows, the focus remains on innovation, customer satisfaction, and fostering a vibrant community of sports enthusiasts.
SportsSkill – Challenges Faced
One of the major challenges the co-founders faced early on was convincing investors and stakeholders about the potential of sports technology. Integrating tech into grassroots and amateur sports was still relatively niche when they started. They met over 50 investors initially, many of whom didn’t fully understand the space or its growth potential. This made fundraising particularly challenging. However, when Abhinav and Chetan connected with KP Balaraj, his dual private equity and sports expertise validated their vision. His insights and eventual investment boosted their confidence and lent credibility to their efforts.
Another significant challenge was building trust among grassroots players, coaches, and parents unfamiliar with tech-driven training tools. To address this, they focused on creating a simple, user-friendly platform and kept subscription costs low to ensure accessibility. All these efforts were validated when schools and academies across Pune, Hyderabad, and Indore embraced the platform.
Experimentation and learning have been integral to SportsSkill’s journey. For example, they introduced gamification through SkillCoins to encourage engagement among athletes. This worked well, keeping players motivated and involved. On the other hand, while they initially envisioned a broader geographic expansion, they soon realized the importance of focusing on a few cities first to establish a strong foundation before scaling further.
Current challenges include scaling the platform, maintaining affordability, and addressing diverse user needs. The sports tech industry in India is still maturing, and while they see growing interest, integrating advanced tools like wearables and AI remains a work in progress. Additionally, ensuring seamless adoption in rural areas requires consistent training and awareness-building among coaches and parents. SportsSkill’s focus remains on solving these issues through innovation and strategic partnerships.
SportsSkill – Funding
SportsSkill raised funding from KP Balaraj, a seasoned investor with experience in private equity and sports. While the specific amount, stage, or valuation was not mentioned, this investment played a critical role in validating the company’s vision and scaling its operations.
The funding has enabled SportsSkill to refine its platform, expand operations to cities like Hyderabad, Baroda, Pune, Indore, and Kolkata, and enhance its grassroots programs such as Chance2Sports. It also provided the resources to build affordable and accessible sports technology tailored to schools and academies.
SportsSkill – Growth
SportsSkill’s Abhinav with Athletes
SportsSkill is growing steadily, expanding its reach, building partnerships, and offering innovative solutions to transform sports training in India. Its growth can be better understood through the following points:
Operating Locations:
SportsSkill is headquartered in Pune, Maharashtra, and has established operations in cities like Hyderabad, Baroda, Indore, and Kolkata, with plans to expand further.
Userbase and Notable Clients/Partners:
The platform caters to sports academies, schools, coaches, and players across India. It impacted over 1000 users, focusing on racket sports and expanding into team sports. Key partnerships include collaborations with sports academies and grassroots programs like the Chance to Sports initiative.
SportsSkill’s success is reflected in its strong user response, including positive feedback from schools, academies, and parents. Its efforts to integrate affordable, AI-driven tools have created significant value in underserved areas.
Investor Confidence:
A major milestone in the company’s journey was securing investment from KP Balaraj, whose expertise in private equity and personal background as a national-level athlete validated SportsSkill’s vision and scalability.
SportsSkill – Future Plans
Over the next 1-2 years, SportsSkill plans to focus on enhancing its product features and expanding its business footprint. The company aims to integrate big data analytics to improve performance tracking, matchplay insights, and goal setting while also developing specialized features tailored for schools to integrate sports technology into educational systems.
On the business front, SportsSkill is targeting global markets, including MENA, the USA, and Europe, as part of its broader strategy to reach 5 million users. At the same time, it plans to strengthen its presence in Indian cities and onboard new locations.
Additionally, grassroots initiatives like Chance2Sports will continue to play a key role in identifying untapped talent, providing advanced training tools, and offering sponsorship opportunities, ensuring holistic growth across all levels of the sports ecosystem.
FAQs
What is SportsSkill?
SportsSkill is a sports technology company that bridges the gap between athletes, coaches, parents, and institutions by providing data-driven tools to enhance performance and overall development in sports.
Who are the founders of SportsSkill?
Abhinav Sinha and Chetan Desai are the co-founders of SportsSkill.
What is the business model of SportsSkill?
SportsSkill operates on a B2B2C business model, catering to athletes, coaches, schools, and sports academies.
In the digital age, social media has become an integral part of sports marketing and fan engagement for sports teams worldwide. It provides a platform for teams to connect with their fans, share news and updates, and build a strong online presence.
However, effective social media strategies are crucial for teams to maximize their reach and engage with their fan base. In this article, we will explore some common social media strategies used by sports teams to enhance their online presence and connect with fans.
One of the key strategies sports teams employ is creating engaging content that captures fans’ attention and encourages interaction. This includes sharing highlights, behind-the-scenes footage, player interviews, and exclusive content that gives fans an inside look into the team’s activities.
Good time management is incredibly important in the sports industry, and with the limited time and resources that most teams have to dedicate to social media, creating great evergreen content that is going to give results is of the utmost importance. By providing unique and entertaining content, teams can increase fan engagement, generate excitement, and foster a sense of community among their followers.
Live Updates and Match Coverage
Social media platforms allow sports teams to provide live updates and comprehensive coverage of their matches and events in a way that has never been done before. Teams use platforms like Twitter to deliver minute-by-minute updates, share scores, and engage in real-time conversations with fans.
This strategy enables fans who are unable to attend the game to stay connected and feel a part of the action. It also provides an opportunity for fans to share their opinions, reactions, and emotions, further enhancing the fan experience.
Fan Contests and Giveaways
Another way that sports teams use social media is by organizing fan contests and giveaways as a way to incentivize participation and reward their loyal supporters. These contests may involve predicting match outcomes for online betting, captioning photos, or sharing fan-generated content.
By offering prizes such as merchandise, tickets, or exclusive experiences, teams can encourage fans to actively engage with their social media platforms, increase their following, and generate buzz around their brand.
Influencer Partnerships
Collaborating with influencers and social media personalities is another effective strategy sports teams utilize to expand their reach and connect with new audiences. Influencers often have a dedicated following that trusts their opinions and recommendations.
Partnering with influencers who have a strong presence in the sports industry or share a common target audience can help teams tap into a new pool of fans and leverage the influencer’s reach and engagement to promote their brand and events.
Hashtags and User-Generated Content
The use of hashtags and user-generated content plays a vital role in building a sense of community among sports fans. Teams create branded hashtags that fans can use to join conversations, share their experiences, and contribute to the team’s social media presence.
By encouraging fans to share their own content, such as photos, videos, and stories related to the team, sports organizations can amplify their reach, increase fan involvement, and create a vibrant online community centered around their brand.
Social Listening and Interaction
Another crucial aspect of social media strategy for sports teams is actively listening and responding to fan comments, questions, and feedback. Building a social media strategy is all about adapting and changing based on what is working, and perhaps the best way to do this is just by asking the fans themselves.
Engaging with fans through comments, direct messages, and mentions also helps teams establish a personal connection and demonstrate that they value their fans’ opinions. By acknowledging and addressing fan concerns, teams can build trust, loyalty, and a positive brand image.
Conclusion
Social media has undeniably revolutionized the way sports teams connect with their fans and promote their brand. By implementing effective social media strategies, teams can enhance their online presence, engage with fans, and build a loyal community of supporters. See you next time!
Since the beginning of the Indian Premier League in 2008, its value has grown by leaps and bounds over the 15 years. The ecosystem of Men’s IPL has registered a 75% growth since 2020, which stood at USD 10.9 billion in 2022, thus joining India’s Decacorn club.
After the auction for the 16th season of IPL, Jay Shah, Secretary of BCCI, said that IPL is the 2nd most valued sporting league in the world in terms of per-match value, with a brand worth USD 1.3 billion.
For the IPL 2023, below is the detailed list of the brands that are sponsoring IPL 2023—
Since DLF’s conclusion as the title sponsor in 2012, the Indian Premier League has seen a change in title sponsors. Until 2021 VIVO was IPL’s title sponsor, but in 2022, the Tata Group replaced Chinese mobile manufacturer Vivo as the title sponsor of the Indian Premier League (IPL) for the 2022 and 2023 seasons. Tata has had a Title Sponsorship agreement with the Board of Control for Cricket in India (BCCI) for two years, which was worth INR 670 crore.
The India-based fantasy sports website, Dream11, is the leading online fantasy gaming platform. It entered into an agreement with the IPL as its official sponsor in March 2019– for four years.
Saudi Tourism Authority
In February 2023, the Saudi Tourism Authority (STA) and IPL agreed to a partnership to be the official partner, causing the STA to make its first sponsorship deal with the government of a foreign country.
CRED
On a three-year deal, CRED was signed as one of the IPL’s Official Partners in September 2020. CRED is a Bangalore-headquartered credit card payment company, and as per the contract, they offer special discounts and access to premium experiences to IPL viewers and encourage them to clear their debts and improve their credit scores.
Upstox
Upstox— a trading service for commodities and stocks— is one of India’s fastest-growing online brokerage firms that was announced as an Official Partner of the IPL in March 2021, which will continue till the 2023 season.
Herbalife
Premier global nutrition company Herbalife has more than 40 years of expertise in nurturing potential in everyone and is a reputable leader in the nutrition industry. The company has inked a partnership deal with the BCCI for the 2023 IPL season.
RuPay
RuPay, a global financial services and payment system, is the flagship product of the National Payments Corporation of India (NPCI). In March 2022, RuPay was announced as an official partner of the IPL. It was reported that RuPayhad paid approximately ₹140 crore over two years and has entered the last year of its contract with the 2023 IPL season.
Swiggy Instamart
Swiggy Instamart, India’s leading quick commerce grocery service, became the official partner for the 2022 season of the TATA IPL tournament. The online food ordering and delivery platform became the IPL’s sixth official on-ground sponsor.
Official Broadcast Partner— Star Sports
Disney Star retained and renewed their TV rights for the 2023 to 2027 season, which were sold for USD 6.2 billion by the BCCI. The deal made IPL the second most valuable tournament in the world, after the NFL.
Official Digital Streaming Partner—JioCinema
JioCinema is owned by Viacom18 and is the digital media rights holder of the Tata IPL 2023. After Viacom18 outbid Disney Star and won the exclusive five-year digital rights of the league for the 2023–27 cycle by paying a whopping US$2.7 billion, it was announced that the IPL 2023 matches would be streamed for free on the company’s JioCinema and has broken records in viewership and app downloads— the concurrent viewership is touching a peak of 2.4 crore viewers.
Official Umpire Partner (INR 28 crores) — Paytm
The Noida-based, Indian fintech company specializing in digital payments and financial services has been the IPL’s Official Umpire Partner since March 2018.
Orange Cap and Purple Cap Partner—Aramco
The Saudi Arabian oil firm, Aramco, is one of the largest integrated energy and chemical corporations. And recently, the company has announced its return as the Official Orange and Purple Caps Partner for IPL 2023. With a reported deal worth ₹65 crores, it is the Official Orange and Purple Caps Partner for the 2023 IPL season.
Strategic Timeout Partner (INR 30 crores) —CEAT
India’s top tire company and the main business of the RPG GROUP, CEAT, has been the Official Strategic Timeout Partner of the IPL since April 2018.
Assistant Sponsors—
Vodafone, Yes Bank, Freecharge, Maruti Suzuki, CEAT Tyres, Tata Sky, Coca-Cola, Vimal Pan Masala, Amazon, OPPO, Park Avenue, Moov
Chennai Super Kings Sponsors List
Chennai Super Kings Sponsors List
Principal Partners
TVS Eurogrip, India Cements, Gulf, British Empire, SNJ 10000, Reliance Jio, Nippon Paint, Astral Pipes
Digital Partners
Aqilliz
Official Partners
Garuda Aerospace, Vision11, ICICI Bank, Coca-Cola, Sunfeast Supermilk
Merchandise Partners
FanCraze, FanPlay IoT, PlayR
Mumbai Indians Sponsors List
Mumbai Indians Sponsors List
Principal Partners
Slice, DHL Express
Associate Partners
Marriott Bonvoy, Reliance Jio, Astral Pipes, IDFC FIRST Bank
Official Partners
USHA International, Dream11, BKT, Performax, TeamViewer, Bira9, Bisleri, JioCinema, ACKO, DNA Network, Radio City 91.1 FM, Fever 104 FM, and My FM
Official Suv Partner
Mahindra & Mahindra
Merchandise Partners
Celio, Chupps, Cybeart, EUME, FanCode, Plaeto, PlayR, Shop The Arena
Kolkata Knight Riders Sponsors List
Kolkata Knight Riders Sponsors List
Principal Sponsors
BKT, MyFab11
Official Sponsors
Reliance Jio, Joy Personal Care, Lux Cozi, Acko, Royal Green, Money9, SRMB Steel, 1 Finance, and Wrogn
FanCraze, Bira 91, Dream11, BKT, FanCode Shop, Fever 104 FM, JioCinema, FanCraze, EUME, Bisleri, Medulance, Big Ant Studios, Punjabi Fever 107.2 FM, HRX, Karan & Moin, Asian, Amul Organic
Exclusive Ticketing Partner
PayTM
Lucknow SuperGiants Sponsors List
Lucknow SuperGiants Sponsors List
Title sponsor
My11 Circle
Principal Sponsors
Reliance Jio, Too Yumm, Greenply, Hero Vida, Shyam Steel
Associate Sponsors
Prayag, Somany Ceramics
Official Partners
FanCraze, Alcis Sports, Royal Challenge, Kingfisher Premium, Dr. Vaidya’s, Campa Cola, Macmerise, Astral Adhesive
Exclusive Radio Partner
Radio City 91.1 FM
Official Ticketing Partner
Paytm Insider
Other Sponsors
The Souled Store, Spencer’s Retail
Kit Sponsor
T10
Conclusion
Indian Premier League is one of the most popular T20 cricket leagues in the world captivating millions of viewers. This widespread appeal has made famous brands from all over the world want to work with the IPL and be associated with it.
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Sport underpins everything we do. Sport is becoming increasingly significant in the lives of more and more people, both on and off the field of competition. Every culture and community depends on it, and it is essential to our well-being.
Adidas is the second-best sports brand in the world, and its culture and workforce are what make it successful and enable it to carry out its strategy of “Own the Game.” It gives life to the brand’s identity, which is established through its mission, attitude, and purpose.
Here’s the success story of Adidas that covers all about the company, its Startup Story and Growth, its Products, its Competitors, its Revenue, it’s Business and Revenue Model, and more, you can check ahead!
Adidas is a multinational corporation, founded and headquartered in Herzogenaurach, Germany, that designs and manufactures shoes, clothing, and accessories. The company is the largest sportswear manufacturer in Europe and the second-largest in the world, after Nike.
Adidas products are marketed under several brands, including Adidas, Reebok, and TaylorMade. The company also owns the Rockport and Nine West brands. In addition to manufacturing and marketing its products, the company also licenses its brands to third parties. The company has a focus on sustainability and environmental responsibility and is committed to reducing its environmental impact.
The company’s clothing and shoe designs typically feature three parallel bars, and the same motif is incorporated into Adidas’s official logos. Adidas has been a publicly traded company since 1995 and has been listed on the Frankfurt Stock Exchange since 1988. The company has a global supply chain, including manufacturing facilities in Asia, Europe, and the Americas. Some of the key markets for Adidas include the United States, Germany, and China.
Adidas – Industry
The sportswear industry is a global market that produces and sells clothing, footwear, and accessories designed for sports and physical activities. The industry is highly competitive and is dominated by a few major players, such as Nike, Adidas, and Under Armour. The sportswear market is driven by factors such as increasing participation in sports and fitness activities, advancements in technology that improve the performance and comfort of sportswear, and the growing popularity of athleisure, a trend where athletic clothing is worn in non-athletic settings.
The sportswear market is segmented by product, including footwear, apparel, and accessories. The footwear segment is the largest, accounting for the majority of the market share, followed by apparel and accessories. Within the sportswear market, there are different sub-segments, such as running, training, and outdoor wear. The market is also segmented by distribution channels, including online and offline retail. Online retail is expected to witness significant growth due to the increasing popularity of e-commerce platforms and the convenience of online shopping.
The sportswear industry is a global market, with key markets in North America, Europe, and Asia. Asia is the fastest-growing market due to the increasing disposable incomes and the growing popularity of sports in the region. The industry is expected to continue to grow in the coming years, driven by factors such as an increasing focus on health and fitness, and the growing popularity of athleisure. However, the industry is also facing challenges, such as increased competition, changing consumer preferences, and the impact of COVID-19 on consumer spending.
Adidas – Founder and Team
Adidas was founded by Adolf “Adi” Dassler in 1948.
Adolf Dassler
Adolf “Adi” Dassler was a German cobbler and entrepreneur who was the founder of Adidas, one of the world’s leading sportswear brands. He was born in Herzogenaurach, Germany, in 1900 and began his career as a cobbler, working in his mother’s laundry room. He was also an avid athlete and recognized the need for high-performance athletic footwear.
Adolf Dassler – Founder, Adidas
Some other team members include :
David Sobeski – SVP Machine Learning & Analytics
Jacqueline Smith-Dubendorfer – Global VP, Digital Partner Commerce
Kasper Rorsted – CEO
Thomas Holleczek – Director B2B Data & Services
Walter Wählt – Senior Director Advanced Creation – Technologies Apparel
Jithesh Ramachandran – Senior Business Consultant
Markus Rautert – Senior Vice President Technology Enablement
Annie Melnic – Senior Digital Analyst
Adidas – Startup Story
In 1924, Dassler and his brother Rudolf Dassler started a shoe company, Dassler Brothers Shoe Factory, that produced sports shoes. The company was successful and supplied athletes with shoes for the 1936 Summer Olympics in Berlin. However, the brothers had a falling out in 1948 and went their separate ways, with Adi Dassler founding Adidas and Rudolf Dassler founding Puma.
Adi Dassler’s focus was on creating high-performance athletic footwear and equipment that would give athletes an edge on the field. He was heavily involved in the design and development of Adidas products, and the company quickly gained a reputation for producing innovative, high-quality sports footwear. He also supported many athletes and teams, and Adidas shoes were worn by several Olympic medallists and world champions.
Adi Dassler passed away in 1978 but his legacy lives on through the Adidas company, which is now one of the world’s leading sportswear brands. He is considered to be a pioneer in the sportswear industry and his innovations in design, materials, and manufacturing continue to influence the industry today.
Adidas – Name, Logo, Tagline
The name “Adidas” is a portmanteau of the founder’s name, Adolf “Adi” Dassler. The company was originally founded as “Dassler Brothers Shoe Factory” by Adi Dassler and his brother Rudolf Dassler in 1948. However, the two brothers had a falling out and decided to go their separate ways, with Adi Dassler keeping the company and renaming it “Adidas”. The name was created by combining the first three letters of his first name “Adi” and the first two letters of his last name “Das” to form “Adidas”.
The company’s logo, which features three parallel bars, was also inspired by the founder’s name, as it represents the letters of his name.
Adidas’ current tagline is “Creating the New” which was first introduced in 2019. It is meant to reflect the brand’s commitment to innovation and pushing the boundaries of what’s possible in the world of sport and fashion. This tagline is meant to inspire customers to push their boundaries and to be their best selves.
Adidas Tagline – Creating the New
Before that, the company had several other taglines, such as “Impossible is Nothing” (2004-2010) and “Adidas is all in” (2011-2019) which were meant to convey the brand’s message of perseverance, determination, and the celebration of the power of sport.
Adidas – Impossible Is Nothing
Adidas – Mission and Vision
Adidas’ vision statement is “To be the best sports company in the world.”
Adidas’ mission statement is “To be the leading sports brand in the world.”
Adidas – Products
Adidas offers a wide range of products for both men and women, including athletic footwear, clothing, and accessories. Some of the main categories of products offered by Adidas include:
Athletic Footwear: Adidas offers a wide variety of athletic shoes for different sports and activities, including running, basketball, soccer, golf, and more. The company’s footwear line includes both performance and lifestyle shoes.
Apparel: Adidas offers a range of athletic clothing for men and women, including t-shirts, hoodies, jackets, pants, and shorts. The company also offers sports-specific clothing, such as soccer jerseys and basketball uniforms.
Accessories: Adidas offers a variety of accessories, such as bags, hats, and socks.
Equipment: Adidas also offers a range of sports equipment like football, basketball, and other sports
Training and Fitness: Adidas also offers products like workout clothes, yoga mats, and fitness accessories
Sustainability: Adidas also has a range of sustainable product lines, which includes products made from recycled materials and using sustainable production processes.
Adidas also has collections and collaborations with various designers and celebrities like Yeezy, Alexander Wang, and many more.
Adidas – Business Model
Adidas operates using a multi-channel business model, which involves the use of multiple channels to reach customers and sell products. The company’s main channels include:
Retail Stores: Adidas operates its retail stores, which are designed to create an immersive brand experience for customers. These stores carry a wide range of Adidas products and are strategically located in high-traffic areas.
E-commerce: Adidas operates its e-commerce website, which allows customers to purchase products online. The website offers a wide range of products and features, such as product reviews, size charts, and detailed product information.
Wholesale: Adidas sells products to retailers and distributors, who then sell the products to customers. This channel makes the company reach a wide range of customers through a network of retail partners.
Licensing: Adidas also generates revenue through licensing agreements with third parties, who use the Adidas brand and logo on their products.
Sponsorship: Adidas is also involved in sports sponsorship and partnerships with sports teams, athletes, and events, which supports the company to promote its brand and products.
Adidas is also focused on sustainability, and the company is using sustainable materials, processes, and practices throughout its entire product line. They are also creating products that are designed to be recycled or repurposed, to reduce their impact on the environment.
Adidas – Sponsorships
Adidas is heavily involved in sports sponsorship and partnerships, which helps the company to promote its brand and products. Some of the major sports sponsorships and partnerships that Adidas is currently involved in include:
Team Sponsorship
Adidas sponsors several sports teams and organizations, including major soccer teams such as Real Madrid, Manchester United, Bayern Munich, and Juventus. They also sponsor various national teams such as Spain, Germany, and Argentina.
Athlete Sponsorship
Adidas also sponsors several individual athletes across various sports, including Lionel Messi, Paul Pogba, James Harden, and many more.
Event Sponsorship
Adidas is also involved in sponsoring major sporting events, such as the FIFA World Cup, UEFA Champions League, and the Olympic Games.
FIFA World Cup™ 2022 | Family Reunion | adidas
Grassroots Sponsorship
Adidas also sponsors local and amateur sports teams and events to help promote the sport and encourage participation at all levels.
Ambassadors
Adidas also uses brand ambassadors to promote their products, such as David Beckham, Kanye West, and many more.
25 Years Of Predator
Through these partnerships and sponsorships, Adidas can build a strong connection with fans, athletes, and events, which helps to increase brand awareness and drive sales. Additionally, these sponsorships allow Adidas to showcase its products and technologies at the highest level of competition, and to gain valuable feedback from athletes and teams.
Adidas – Funding and Investors
Date
Round
Amount
Lead Investors
Apr 15, 2020
Post-IPO Debt
–
–
Adidas – Investments
Date
Organization Name
Round
Money
Mar 22, 2022
Yuga Labs
Seed Round
$450M
Jul 5, 2021
Infinited Fiber Company
Series B
€30M
Oct 21, 2019
GreenPark Sports
Seed Round
$8.5M
Nov 19, 2018
PlayVS
Series B
$30.5M
Dec 4, 2017
OneFootball
Series C
–
Adidas – Acquisitions
Acquiree Name
About Acquiree
Date
Amount
Runtastic
Runtastic is a mobile fitness company
Aug 5, 2015
$240M
Adams Golf
Adams Golf, Inc. is a golf club manufacturer based in Plano, Texas.
Jun 1, 2012
–
Five Ten USA
Five Ten USA is an American manufacturer of outdoor and athletic footwear.
Nov 4, 2011
–
Textronics
Textronics develops and commercializes wearable textile sensor components and clothing solutions for fitness and health monitoring.
Dec 8, 2008
–
Mitchell & Ness
Mitchell & Ness is a sports apparel company that produces premium apparel and headwear.
Nov 12, 2007
–
Reebok International
Reebok is a global brand that creates and markets sports and lifestyle products.
Aug 3, 2005
$3.8B
TaylorMade Golf
TaylorMade Golf is a manufacturer of high-performance golf equipment and golf balls.
Jan 1, 2005
–
Salomon AG
Salomon AG designs, develops, produces, and markets athletic and sports lifestyle products worldwide.
Sep 17, 1997
$1.4B
Adidas – Competitors
Adidas is one of the leading sportswear companies in the world and competes with several other major brands in the industry. Some of the main competitors of Adidas include:
Nike
One of the biggest and most well-known sportswear brands in the world, Nike is a direct competitor of Adidas in nearly all sportswear categories and market segments.
Puma
Another major sportswear brand, Puma is a direct competitor of Adidas in several categories, including footwear, apparel, and accessories.
Under Armour
An American sportswear company that is primarily focused on performance apparel, footwear, and accessories.
A Japanese company that designs and manufactures footwear, apparel, and accessories for a wide range of sports and activities.
New Balance
An American company that designs and manufactures athletic footwear and apparel.
Skechers
An American company that designs and markets footwear for men, women, and children, and also has a focus on lifestyle and performance footwear.
Li-Ning
A Chinese company that designs, develops, and markets footwear, apparel, and accessories for sports and fitness activities.
These are some of the major competitors of Adidas, but the company also faces competition from many other smaller brands, as well as from generic and unbranded products in the market.
Adidas, being a well-established and successful global company, may not face the same types of startup challenges as a new and emerging company. However, like any other company, they may still face some challenges that may affect the growth and profitability of their business. Some of the challenges that Adidas may face include:
Competition: Adidas faces intense competition from other established sportswear companies such as Nike and Puma, as well as from many smaller brands and generic products. This competition can make it difficult for Adidas to maintain market share and drive sales.
Changing Consumer Preferences: Consumers are becoming increasingly conscious of the environmental and social impact of the products they buy, and this is leading to a shift in consumer preferences towards sustainable and eco-friendly products. Adidas must adapt to these changing consumer preferences to remain relevant and competitive in the market.
Digital Disruption: The rise of e-commerce and online marketplaces has disrupted traditional brick-and-mortar retail and changed the way consumers shop for products. Adidas must adapt to these changes in consumer behavior to remain competitive and drive sales.
Supply Chain and Logistics: The company has to ensure that the supply chain and logistics are efficient and effective.
Intellectual Property: Adidas has to protect its brand and intellectual property, especially in the global market, where counterfeiting and intellectual property infringement are major concerns.
Sustainability: Adidas has to balance its profitability with sustainability, and that means having a sustainable supply chain and products, which might increase the cost of production.
Political and Economic Instability: As a global company, Adidas may be affected by political and economic instability in different regions and countries where it operates, which can lead to uncertainty and instability in the market.
Labor Laws and Regulations: Adidas must comply with labor laws and regulations in different countries, which can vary widely and be complex, and they also have to ensure fair and humane working conditions in their supply chain.
These are some of the main challenges that Adidas may face, but the company is constantly adapting and evolving to meet these challenges and remain a leading player in the sportswear industry.
Adidas – Future Plan
Adidas has several plans for the future to continue growing its business and staying competitive in the sportswear industry. Some of the main plans for 2023 and beyond include:
Digitalization: Adidas is focusing on digitalization to drive growth and improve efficiency across the business, including in areas such as e-commerce, data analytics, and digital marketing.
Sustainability: Adidas is committed to sustainability and plans to continue developing sustainable products and reducing its environmental impact, through the use of sustainable materials, recycling and recycling programs, and reducing its carbon footprint.
Innovation: Adidas is investing in innovation to drive growth and stay ahead of the competition, including in areas such as product design, manufacturing, and technology.
Expansion in Emerging Markets: Adidas plans to expand its presence in key emerging markets, such as China, India, and Africa, where they see significant growth potential.
Direct-to-consumer Strategy: The company is planning to increase its direct-to-consumer sales and reduce its dependence on retail partners, through the expansion of its own retail stores and e-commerce platform.
Collaboration: Adidas plans to continue collaborating with other brands, designers, and influencers to create new and innovative products, as well as to expand its reach and appeal to new customers.
Personalization: Adidas plans to use data and technology to personalize its products and services for customers, to improve the customer experience, and drive sales.
Sportswear for Everybody: Adidas is committed to creating sportswear for everybody, including inclusive sizes and designs for people of all sizes, abilities, and backgrounds.
These are some of the main plans that Adidas has announced for 2023 and beyond, but the company may also make other changes and adjustments to its strategy as the market and business environment evolves.
FAQs
What does Adidas do?
Adidas designs and manufactures sports and lifestyle products, including footwear, apparel, and accessories.
Who founded Adidas?
Adidas was founded by Adolf “Adi” Dassler in 1948.
Who are the main competitors of Adidas?
The main competitors of Adidas include Nike, Puma, Under Armour, Asics, Skechers, New Balance, Reebok, and Li-Ning.
Over the last few decades, sports marketing has firmly established itself as an integral part of marketing. There is no existing definition for sports marketing. However, it is explained as a specific application of marketing principles and processes to advertise sports and non-sports products through an association with sports. It can also be described as a service through which either a physical product or a brand name is endorsed.
The design and concept of sports marketing is to meet the needs and desires of the consumers through an exchange process. The traditional four ‘P’s of marketing – Product, Price, Promotion, and Place are employed along with the four extra elements of the sports marketing mix – Planning, Packaging, Positioning and Perception. These types of sports promotions involve a variety of sectors of the sports industry like broadcasting, advertising, social media, digital platforms, ticket sales and community relationships.
Size of Sports Sponsorship Market Worldwide in 2021 and 2030
In 2021, the Indian Sports Industry spends surpassed INR 9500 crores. It was an echoing comeback for sports sponsorships and media deals, which had dropped severely during the covid struck year of 2020. Sports celebrity endorsement spends grew by 11% with a total of 444 brand endorsement deals in 2021. It was also the year of the Olympics which increased the Emerging Sports Athletes’ endorsements by 79%.
Prashanth Kumar, CEO of GroupM South Asia observed – “2021 was a year of a major comeback for the sports industry. Not only in sports but we saw growth in sponsorships, endorsements, and media expenses in 2021. This year will also be a good re-start point for brands to invest in sports properties since sports will see a rise and will in-turn deliver ROI to brands. Apart from this, we even saw esports gaining significant traction and there was a major rise in the number of gamers in the country. Properties like PKL, ISL, etc. are also seeing a major rise in followers which goes to show that India is heavily invested in overall sports from an interest and inquisitiveness standpoint. As for cricket, we are seeing a growing interest by Foreign private equity giants investing in Indian cricket which is proving that Cricket will continue seeing a huge surge in India and with 2021 getting cricket back on track, we are seeing 2022 racing ahead, aiming to cross INR 10,000 Cr mark.”
2021 saw heavy media spends in sports as broadcasters played a central role to bring consumers and brands closer. Household penetration of television and technology has been crucial in the growth of sports appreciation by the masses. This has resulted in television becoming the largest medium for viewers culminating in an overall ad expenditure of INR 5051 crores – a growth of over 59% from 2020. The digital ad expenditure grew to touch INR 965 crores.
Sports marketing is about using the content of sports to assist the marketing efforts. Apart from professional sports, sports marketing is a large part of college athletics, minor leagues and alternative sports. It can take many different forms as sports is watched on a variety of platforms. Television networks sell airtime during sports events, teams sell advertising space inside the stadiums to marketers wanting to purchase billboards and other print advertisements, and famous athletes sign contracts as celebrity endorsers and lend their image to brands.
One of the main reasons for brands to invest heavily in sports marketing is to piggyback on the popularity of athletes and the loyalty of their fans. It gives brands and companies a captive and ready audience to advertise their products.
Sports also add value to a brand by creating a unique position in the mind of the consumer. This is especially advantageous in a market that is rife with stiff competition. Smaller companies benefit immensely from improved awareness at local or regional levels.
At its highest levels, sports involve medals, world records and global awareness. This is a ready stage for global brands that want to associate themselves with excellence and ubiquity.
What Do Companies Require From Sports Advertising?
BYJU’S Sports Marketing Example
Sports advertisements and sponsorships are used by companies and brands for a variety of reasons and objectives.
Brand / Corporate Awareness
This is to expose the name in front of the consumer so that he or she will recall it favourably when exposed to other focused marketing messages.
Brand / Corporate Image
This type of sponsorship is focused on creating a particular style or niche for the brand or the company. It allows the brand to distinguish itself in the market and paves the way for premium pricing.
Customer Relations
Anyone in marketing understands the importance of building good customer relationships. Sports sponsorships are an excellent avenue to open a dialogue with other companies as well as showcasing their worthiness as a global player and a trustworthy business associate.
Employee Relations
Sports sponsorships foster pride and loyalty within the employees. This helps to retain and attract staff.
Community Relations
This is the philanthropic side of the company that can be showcased through sports sponsorships. It highlights the company’s readiness and willingness to invest in society’s future and well-being.
Different companies have different needs from sports sponsorships. However, the commonality exists in the quantifiable contribution to the brand. It also allows for media coverage and exposure, by creating opportunities for newspaper photographs and television images, showing logos or banners.
Companies and brands use sports to reach a certain segment of the population. However, the only real qualification for using sports advertising is a product that has mass appeal. Hence, it is extremely important for any marketer to understand the relevance of the product that is being marketed to the audience.
As a marketing tool, sports advertising is highly effective. It is dependent on the company or the brand to utilize this tool to its maximum advantage.
FAQs
What is sports marketing?
Sports marketing is a type of marketing that uses sports for advertising. This kind of marketing simply focuses on promoting products and services by taking advantage of sports events and teams to reach the audience.
Why do companies invest in sports marketing?
Companies invest in sports marketing for many reasons. These include:
Brand Awareness
Brand Image
Stronger Customer Relations
Better Employee Relations
Community Relations
What are the key areas of sports marketing?
The key areas of sports marketing include sponsorships and endorsements. In sponsorships, the brands offer funds to sports events and teams for the brand’s promotion and in endorsements, the brands approach sports celebrities to act as their spokesperson.
Company Profile is an initiative by StartupTalky to publish verified information on different startups and organizations. The content in this post has been approved byNike.
Sports is indeed a global medium of communication. It penetrates through cultures, nations, and divisions. It’s a long-standing consumer desire as well as a stimulus of human aspirations and development.
Individual effort, collaboration, respect, how to win, how to lose, and how to compete strongly and fairly are all valuable lessons learned via sports. In both good and terrible times, sports inspire, fascinate, and reward us. Sports is a fantastic industry to work in, and an even better one to run.
Nike has risen from a quiet small town, in Oregon to become the world’s leading sports footwear and clothing corporation. It all began with a shoe and a t-shirt. It is now a diverse and sophisticated multinational corporation. Nike is well recognised for its footwear, clothes, and accessories. It offers products under the Nike and Jordan brands, and also via its Jordan Brand and Converse divisions.
Nike – Company Highlights
Startup Name
Nike
Formerly Called
Blue Ribbon Sports, Inc.(1964–1971)
Industry
Apparel, Accessories, Sports equipment
Headquarter
Beaverton, Oregon, U.S.
Founders
Bill Bowerman and Phil Knight
Founded
January 25, 1964
Key People
Phil Knight (Chairman Emeritus), Mark Parker (Executive Chairman), and John Donahoe (President and CEO)
Nike is an American multinational athletic brand that designs, manufactures, promotes, and distributes footwear, clothing, training accessories, and service. Many of its merchandise are used for leisure or casual activities while being built for sports purposes.
The bulk of Nike’s products are made by independent contractors and sold directly to customers through Nike retail shops and online mediums, as well as through independent retailers, franchisees, and sales agents.
The company’s global headquarters are in the Portland metropolitan region, in Beaverton, Oregon, the United States. It employs about 44,000 people globally, and the company’s brand was valued at $19 billion in 2014, making it the leading name in the sporting world.
Nike sells its products under Nike Pro, Nike Golf, Nike+, Air Jordan, Nike Blazers, Air Max, and other brands, as well as subsidiaries including Hurley, Jordan, and Converse. Nike supports many popular professional athletes and sports clubs and teams throughout the globe, and its trademarks “Just Do It” and the Swoosh emblem is very well known.
Nike – Industry
The sports sector is becoming the world’s largest as more individuals participate in sports and leisure activities to improve and balance their stress, health and work regulation. It has become popular as an active and passive piece of recreation.
Customers are actively investing more in sportswear, with sportswear and accessories accounting for a substantial portion of the cost. Sport in the twenty-first century is an industry characterised by extremism. Market research is currently at the forefront of marketing sports products and accessories, as marketplaces throughout the world become highly competitive.
The worldwide sports equipment and accessories industry is booming, with the rapid acceptance of innovative technology and a willingness to adapt to demographic shifts. The sector is booming because of e-commerce, which is a prominent retail medium these days that allows users to experience all of the available sports equipment manufacturers. It is a one-stop store for all athletics equipment and products, increasing the marketability of worldwide athletic apparel.
Numerous established market participants in retail, e-commerce, sports shops, and wholesale, as well as many new startups, make the sports equipment and accessories industry extremely competitive. Growing consumer health consciousness is predicted to propel the growth of sports equipment throughout the forthcoming years. In addition, the emerging trend of following famous athletes will fuel the accessories industry.
The market for sports equipment and apparel was estimated to be $480 billion in 2021, with a CAGR of 7.2 per cent expected to reach $817 billion by 2026.
The word “Nike” was extracted from Greek mythology where Nike is the Winged Goddess of Victory. The ‘swoosh’ logo is derived from the goddess’s wing, and it represents the sound of movement, speed, drive and, strength.
Nike Logo
Nike’s very popular slogan says, “Just Do It.”
Nike – Founders
Bill Bowerman and Phil Knight founded Nike on January 25, 1964, which was then named “Blue Ribbon Sports”, and then it became “Nike”, Inc. on May 30, 1971.
Founders of Nike – Bowerman and Knight
Phil Knight
Philip Hampson Knight is a multimillionaire American entrepreneur. He, along with being the co-founder, is the former chairman and Chief executive officer of Nike. Forbes ranked Knight as the world’s 24th richest person on July 23, 2020, with his net worth being $54.5 billion.
In addition, he is the co-founder and CEO of Laika, a time-lapse film production company. Knight completed his education at the Stanford Graduate School of Business and the University of Oregon. He competed in track at the University of Oregon under Bill Bowerman, his coach and with him, he eventually co-founded Nike.
Bill Bowerman
William Jay Bowerman was a field and track coach in the United States and a co-founder of Nike, Inc. He coached 51 All-Americans, 31 Olympic competitors, 12 American record-holders, 22 NCAA winners, and 16 sub-4 minute milers in his time.
He despised the title of coach, yet during his 24 years at the University of Oregon, the Duck’s track and field team won every season except one, won four NCAA championships, and placed in the top ten in the country 16 times.
He helped Nike transition from being a supplier of other shoe brands to designing their shoes as a co-founder. He designed several of the company’s popular products, including the Cortez and Waffle Racer.
Nike – Startup Story
Nike’s roots may be traced all the way back to the year 1964 when Blue Ribbon Sports (Nike’s former name) was created. Phil Knight had recently finished his bachelor’s education at the University of Oregon, followed by a Master’s degree at Stanford University, giving him two life-changing encounters.
He ran for the University of Oregon track team, where he met Bill Bowerman, his team’s coach. Aside from his extreme rivalry, Bowerman was preoccupied with upgrading his running shoes and exploring various models on a constant schedule after learning from a local shoemaker.
Knight became the first runner to put Bowerman’s footwear to the check. Bowerman offered to bring one of his shoes and customise it with his own design, perceiving Phil as a comfortable and modest runner with someone to explore.
Knight accepted the invitation, and the shoes reputedly functioned so well that his colleague Davis grabbed them and won gold in the 400-meters track race in the year 1960 Olympics. According to him, Bowerman made the shoes for Otis Davis. Knight attended Stanford’s MBA school after graduating from the University of Oregon, where he wrote a thesis recommending that the manufacturing of running shoes be shifted from Germany to Japan, where labour costs were lower.
Knight put this theory to the test when he went on a trip to Japan shortly after graduation in 1962. He agreed to market the country’s famous Tiger shoes in the United States with a group of Japanese entrepreneurs.
Coach Bowerman endorsed Knight’s initiative, agreeing to an equal partnership with him for the ownership of their new firm, Blue Ribbon Sports, which was formed on January 25, 1964, in Eugene, Oregon.
After starting Blue Ribbon Sports, Knight evaluated the market for his foreign shoes by distributing them out of his car when he returned to America. Early on, it was clear that there was a demand for these less priced but still high-quality alternatives to Adidas and Puma, the industry’s heavyweights.
Nike – Vision, and Mission
Nike’s vision statement says, “To bring inspiration and innovation to every athlete in the world.”
Nike’s mission statement says, “Our mission is what drives us to do everything possible to expand human potential. We do that by creating groundbreaking sports innovations, by making our products more sustainably, by building a creative and diverse global team and by making a positive impact in communities where we live and work.”
Nike’s business model revolves around creating and distributing athletic and sporting goods, such as footwear, apparel, and equipment – as well as certain services. Everything is under one of the world’s most well-known brands.
Customer Segment
Nike sells sports or athletic wear, footwear, and types of equipment. Nike’s market is divided into four primary sections, also in order of revenue, geographically:
China
North America
the Asia Pacific and Latin America
Europe, Middle East, and Africa
Customer-Seller Relationship of Nike
Customers’ interactions are almost entirely limited to self-service. The consumer will examine the brand or product online or offline at the store, purchase it, and put it to use. When necessary, there will be some engagement with a salesman. A FAQs section is also available on the official website, as well as customer service through phone, email, or live chat. Nike also offers Nike ID, a customisation service that tailors Nike items to the preferences of clients.
Value Proposition
Nike makes merchandise that encourages people to participate in sports. Their goods are significantly reliant on the brand’s quality, inventiveness, and prominence. This is the brand’s core, and it’s exactly what buyers want when they buy a pair of Nikes.
Nike has a wide range of products for several sports and hobbies. What counts to the audience, though, is getting a product that has been thoroughly researched and developed using the greatest raw materials and technology available. They also want to maintain the brand’s excellent reputation, which includes superstars like Michael Jordan, Tiger Woods, and Cristiano Ronaldo.
Cost Structure
Sales costs (mainly inventories and warehouses) account for more than $21 billion in annual expenditures for Nike. A further $3 billion is allocated to marketing, which includes spending for promotion and marketing, sponsor, marketing, brand events, and brand personality display. Over $500 million is spent each year on other general and administrative expenditures.
Nike is the world’s largest footwear and clothing retailer, with these sales accounting for the majority of their income. Although its sports footwear is developed with a large investment in technology and high products, the majority of its products are utilized regularly for recreation purposes.
Nike also provides balls, sunglasses, backpacks, gloves, digital gadgets, and other sports equipment and accessories, as well as recreational items for a variety of physical and outdoor activities.
In order of sales, the corporation targets women, men, young athletes, and children. Nike’s goods are divided into six groups: running, basketball, Jordan Brand, soccer, training, and sportswear (lifestyle products). Running, Jordan Brand and Sportswear are Nike’s most profitable segments.
Nike – Investments
Date
Organization Name
Round
Amount
Dec 2, 2021
AllStar Code
Grant
$500K
Oct 14, 2021
SpringHill Entertainment
Venture Round
–
Oct 14, 2021
The SpringHill Company
Private Equity Round
–
Nov 20, 2019
HandsFree Labs
Corporate Round
–
Mar 4, 2014
Reflektion
Series A
$8M
Oct 7, 2013
Grabit Inc.
Series A
$6M
Jan 4, 2011
Rock Health
Grant
$500K
Nike – Acquisitions
Acquiree Name
About Acquiree
Date
Amount
RTFKT
RTFKT is a developer of custom sneakers designed for video game enthusiasts.
Dec 13, 2021
–
Datalogue
Datalogue uses artificial intelligence to automate data preparation.
Feb 8, 2021
–
TraceMe
TraceMe is a technology company connecting athletes, influencers, celebrities through new social media platforms.
Oct 11, 2019
–
Celect
Celect is a cloud-based, predictive analytics SaaS platform that helps retailers optimize their overall inventory portfolios.
Aug 6, 2019
–
Invertex
Invertex leverages 3D scanning to allow a customer specific e-commerce experience and create mass customization product lines.
Apr 9, 2018
–
Zodiac
Zodiac is a predictive customer analytics platform that helps marketers predict consumer behavior.
Mar 22, 2018
–
Virgin Mega USA
Virgin Mega USA is a virtual community that enables users to purchase and experience music products.
Aug 2, 2016
–
Umbro
Umbro is an English sportswear and football equipment supplier.
Oct 23, 2007
–
Converse
We make rad sneakers and apparel.
Jul 9, 2003
$309M
Hurley
Hurley is a big brand providing a large chain of Apparel
Feb 22, 2002
–
Nike – Competitors
Adidas, Skechers USA, Puma, New Balance, Steve Madden, and ASICS America are Nike’s competitors.
Child Labour Allegations – Nike was chastised in the 1990s for using child labour in factories it hired to make footballs in Pakistan and Cambodia. Despite taking steps to stop or at least limit the practice, Nike continues to outsource production to firms that operate in locations where child labour is difficult to avoid due to a lack of regulation and oversight. An investigation from 2001 revealed instances of child labour and bad working conditions in a Nike facility in Cambodia. The documentary followed six young women who worked 7 days a week, frequently for 16 hours.
Paradise Papers – Nike was one of the firms that utilised offshore entities to evade taxes, according to the Paradise Papers, a series of private electronic papers linked to offshore investment, released on November 5, 2017.
Strikes in China Factory – One of the largest strikes in mainland China occurred in April 2014 at the Yue Yuen Industrial Holdings Dongguan shoe factory, which produces shoes for Nike and other brands. Yue Yuen underpaid a monthly employee by 250 yuan. Yue Yuen’s average monthly wage is 3000 yuan. 70,000 people work at the plant. This practice had been in place for almost two decades.
Nike – Future Plans
Nike has not been spared from the covid outbreak. Revenue decreased by 1% in 2020 after falling by 38% the previous quarter. The company’s ability to enhance profit and generate substantial growth in its digital platform, however, has delighted the market.
Nike’s success has persuaded investors that the company is gaining market share throughout the pandemic and would come back stronger than its rivals. Those aspects, particularly the company’s digital capabilities, reflect well for the firm’s competition in the next 5 years.
Nike originally set a goal of $50 billion in annual revenue by the year 2020 in 2015. Due to previous setbacks when it lost momentum to Adidas, it was obligated to postpone that until 2022, but despite the pandemic’s setbacks, the business is on the path to meeting that goal. To do so, it would have to increase sales at a compound annual rate of approximately 9% from $39.1 billion in fiscal 2019.
When the pandemic was already over, the company, like the rest of the apparel industry, seemed to be well-positioned to capitalise on demand. Stores were reopened, and there was undoubtedly a surge in spending on streetwear such as Nike’s classic sneakers. Nike could be able to reach more than $60 billion in revenue by 2025, three years after surpassing its $50 billion objectives in 2022, thanks to its digital momentum and recovery from the pandemic.
However, the firm’s profit ought to increase as more of its sales shift to online and direct, where it has complete leverage over the selling process and isn’t required to share income with its partner companies. Nike’s Consumer Direct Offense has helped the company gain ground on competitors like Under Armour and Adidas, and this growth is projected to continue in the future years.
Nike seems to have a bright future ahead of them. The stock should continue to be a winner over the next five years, with profit margins improving, a headwind from the end of the covid-19 virus outbreak, and a strong leader in its sector.
Nike – FAQs
What does Nike do?
Nike is an American multinational athletic brand that designs, manufactures, promotes, and distributes footwear, clothing, training accessories, and service.
Who founded Nike?
Bill Bowerman and Phil Knight founded Nike in the year 1964.
What was the former name of Nike?
The company was founded with the name, “Blue Ribbon Sports”.
How does Nike make money?
Nike’s business model is totally based on manufacturing and selling athletic and sporting goods, such as footwear, apparel, and equipment – as well as certain services.
Which companies do Nike compete with?
Adidas, Skechers USA, New Balance, Steve Madden, and ASICS America are among Nike’s competitors.
Sanvi Barjatya
