Reliance targets small businesses to boost IPL revenue after merger

After finalising an $8.5 billion media merger with Walt Disney, Mukesh Ambani owned Reliance is now focusing on small businesses and exploring neuroscience-driven strategies to increase revenue from the Indian Premier League (IPL), according to a Reuters report.

The hefty cost of IPL and other cricket broadcast rights, which Disney and Reliance have spent nearly $10 billion on in recent years, is expected to be a major financial burden for the newly merged entertainment giant.

As it competes with Netflix and Amazon in India’s $28-billion streaming market, Reliance is hosting closed-door seminars in seven cities to attract small businesses as IPL advertisers, offering ad packages starting at $17,000.

"Ads are integral to IPL coverage," the company stated in a document outlining its goal of reaching 40 million smart TVs and 420 million mobile users during the 60-day tournament starting on March 22.

The document also reveals that Reliance is privately presenting advertising agencies with "brain mapping" research, claiming that its analysis of participants' neurons demonstrates a higher engagement rate for its streaming ads compared to Google.

As mentioned in the report, Reliance is focusing on bringing in small advertisers to expand its digital ad inventory and boost streaming revenue, according to five media executives, company sources, and two internal pitch decks. The move is part of a broader strategy to monetise IPL coverage more effectively.

To generate additional revenue, Reliance plans to sell ad space on tiny scorecards displayed on mobile screens. This follows its recent decision to end free IPL streaming on the JioHotstar app, marking the first major shift in its approach amid growing financial pressures.