Vivo retains IPL title sponsorship till 2022

Vivo, the Chinese mobile handset manufacturer, has retained the title sponsorship of the Indian Premier League for the next five seasons from 2018 till 2022 with a winning bid of INR 2199 crores (approximately US $341 million), a jump of 454% over the five-year contract signed in 2012.
Vivo had replaced PepsiCo as the title sponsor of the high-profile tournament in 2015, worth INR 396 crore. The move had come after PepsiCo decided to suddenly pullout from a five-year deal that was to end in 2017, two years ahead of schedule.

In 2015, Vivo had bid Rs 200 crore for the title sponsorship. In this period, Vivo bid Rs 2,199 crore for the title sponsorship, a whopping increase of 554 percent from their previous bid.

The base price for this cycle of title rights was set at 15% more than what Vivo paid last year and the company edged out the only other bid of INR 1430 crore from Oppo, another smartphone manufacturer. Incidentally, Oppo had trumped Vivo for the sponsorship rights of the India team in March, with the two companies being the only bidders again.

The bids were opened on Tuesday in Mumbai, in the presence of both parties along with IPL chairman Rajiv Shukla and BCCI's acting secretary Amitabh Choudhary.

Two other companies - Xiaomi and Intex - had picked up the tender document but did not go through with the bid. When asked about the trend of three of the four interested parties being Chinese mobile handset manufacturers, Johri said Oppo and Vivo had adequate exposure to cricket sponsorships.

"You have to understand that both these companies have been involved in cricket sponsorships," he said. "Oppo is one of the sponsors of the ICC, so they have cricket exposure. And, Vivo is an existing IPL sponsor, so they are continuing their investment into cricket, so that shows the importance of cricket, especially Indian cricket. It's not the first time they are doing it, they understand the value."

Speaking on the announcement, IPL chairman Rajeev Shukla commented, “We are delighted to have Vivo joining us once again as the title sponsor for IPL for next five years. The association with Vivo has been great for the past two seasons and I am sure they will continue to make it bigger and better.”

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