Sports and fashion have an integral link. Young sports fans are equally fashion conscious, and event organizers well know this. In fact, for most popular sports teams globally, the mark-up for high-end memorabilia is well justified by the brand value. It usually works when a team or its star players tend to achieve cult status (just as, say, Liverpool or Manchester United charge hefty premiums for an official embossed T-shirt.
The ongoing IPL cricket tournament is another example of this. The cost price of an IPL T-shirt manufactured in the factories of Tiruppur, Bangalore and Chennai is between 15-20 per cent of the final cost, according to an estimate. Brands such as Puma and Adidas have a fixed cost sharing ratio with the teams. Though the marketers are unwilling to divulge the revenue-sharing arrangement with the cricket or football teams, teams roughly get up to 20 per cent by way of royalty.
Last year, KKR had launched actor and KKR owner Shahrukh ‘Khan’ special jersey with Reebok. It was priced at Rs 1,999, with King Khan’s name on the back. This time – for the second edition of IPL – franchisees have increased the scope of their portfolios to introduce more categories to gain from the IPL fever. The products range from Rs 50 to 2,000 plus.
Most of the IPL teams retail caps, mugs, badges, key chains and flip flops, all of which bear the insignia of all the participating IPL teams. IPL merchandise is slowly becoming a rage as fans are not averse to paying premiums.
The team owners know there are enthusiasts who consider all these items a prized possession than mere another piece of clothing or accessory. As you would read in one of our upcoming posts, sports memorabilia is becoming popular for gifting purpose. Of course, you should be able to get the choice right as each sports fan has different favorite teams or players.