IPL Suspended: JioHotstar, Brands Brace For Fallout

The fight for 22 yards was nearly scorched out as clashes on the 3,323 Km India-Pakistan border began on May 7. The Board of Control for Cricket in India (BCCI) decided to suspend the ongoing TATA IPL 2025 with immediate effect, leaving brands and the digital streaming platform JioHotstar with an uncertain few days.

While the suspension has been brought in for one week, the India-Pakistan ceasefire announced on May 10 has rekindled the hopes of return to the pitch.

“Further updates regarding the new schedules and venues of the tournament will be announced in due course after a comprehensive assessment of the situation in consultation with relevant authorities and stakeholders,” BCCI said in a statement on May 10, a day before the ceasefire came into effect.

The BCCI halted the 58th match of the tournament, between Punjab Kings and Delhi Capitals, on May 8 as explosive-laden drones from Pakistan swarmed the Indian skies. Following this, the IPL Governing Council took the decision after consultation with all key stakeholders, including the franchisees, to safeguard the players, officials and spectators, said the regulator.

JioStar, which holds the broadcast and streaming rights through JioHotstar asserted that it is firmly committed to prioritise national interest over all other considerations, while extending support to the government and armed forces. The company said it will work with the BCCI to bring back IPL at an appropriate time.

Brands Get A Bouncer

JioStar was reportedly eyeing a revenue of INR 4,500 Cr and onboarded 20 sponsors, including startups such as My11Circle, PokerBaazi, PhonePe, Dream11, and Zupee.

In a brochure sent by the broadcaster to ad and market agencies in February, plans of INR 15 Lakh to INR 1.5 Cr across five options – INR 15 Lakh, INR 25 Lakh, INR 50 Lakh, INR 90 Lakh and INR 1.5 Cr – excluding GST. To onboard more startups and SMEs as advertisers for this year’s IPL, the platform also launched an SMB outreach programme across 10 cities.

Now, as many brands across sectors depend heavily on the IPL season and line up substantial marketing budgets for it, the suspension has put them in a tight spot.

This isn’t the first time that the IPL faced a bouncer that pushed it to a mid-season pause. Back in 2021, when India was battling an unprecedented surge in COVID-19 cases, the BCCI had to suspend the tournament indefinitely. A media buyer said that the COVID lessons taught brands how to respond to such crises.

“With billions of impressions now off-the-track, brands should focus on maximising efficiency and ensuring that their redirected spend reaches real, human audiences. But, during such high-pressure moments, the risk of media fraud increases due to urgency and lack of oversight,” Dhiraj Gupta, cofounder and CTO of mFilterIt, said.

As brands pivot, it’s crucial they adopt a validation-first media strategy to stay safe and steady, he added.

Sources argued that nearly 25% of the committed deal money has been paid, which makes it financially challenging for the brands to pull out entirely and puts them in a wait-and-watch mode. “The advertising brands are now keeping their fingers crossed for the resumption of the tournament,” one source said.

At the same time, no one wants to be seen as indifferent to a national crisis. Hence, most are adopting a very cautious approach.

“At this point, we all recognise that the consumption of non-essential goods is going to be a challenge. In that sense, we’re actually relieved that the IPL has been postponed, airing our campaigns during a period when the public mindset isn’t receptive would have meant wasted media spends,” Shradha Agarwal, COO of digital media agency Grapes Digital, said.

Out of the remaining 16 IPL matches, four are considered prime advertising opportunities, she pointed out and the three playoff games and the grand finale. Media buyers believe that with most part of the event over, the impact will be minimal, though it does carry a sentimentally negative tone.

“Typically, with IPL, you commit to a fixed slot and there’s no going back. But now, if things settle down and the tournament resumes later, audiences will be in a better emotional space. And, as we know, after a period of grief, people naturally seek moments of joy,” Agarwal added.

As Pakistan pleaded for a ceasefire after being battered by missiles and India responded in the affirmative, keeping Operation Sindoor on hold, optimism has resurfaced and is expected to run high as soon as fresh schedules are announced.

“The government has taken some steps in the right direction, so we’re holding off until we know what the next move will be, and then we’ll take a call. A brand that has already invested in the IPL and made it a mandatory part of its marketing calendar cannot afford to miss the final prime matches,” the CXO of a fantasy gaming startup said.

JioHotstar Feels IPL Suspension Heat

The impact of the IPL disruption isn’t limited to advertisers alone. For JioHotstar, the newly rebranded OTT platform, IPL 2025 is its biggest property for engagement and user retention. This is the first IPL after the merger of Viacom18’s JioCinema and Disney+ Hotstar, ending months of speculation and culminating in the launch of JioHotstar on February 14.

Within just five weeks of launch, JioHotstar crossed the 100 Mn paid subscriber mark, reaching 503 Mn monthly active users (MAUs), driven largely by sporting events like the IPL, according to Reliance’s earnings statement.

The IPL 2025 delivered the biggest opening weekend ever, recording 1.4 Bn digital views (a 35% YoY growth), a TV reach of 253 Mn (14% YoY growth), and a combined TV+Digital watch time of 49.6 Bn minutes, a 33% jump year-on-year. These staggering figures underline just how crucial IPL is to JioHotstar’s business strategy.

The platform has been leveraging IPL not only to drive ad revenue but also to increase its paid subscriber base through both direct sign-ups and telecom-bundled offerings. While there may be a dip in overall viewership due to the temporary halt, experts believe subscriber churn is unlikely since most users are on annual plans. However, the platform stands to lose out on significant per-impression ad revenue for any matches missed.

With the IPL being central to both reach and retention, JioHotstar is now dealing with two primary challenges: absorbing a potential revenue hit and avoiding the spillover of impressions to lower-quality inventory. In such a scenario, the focus must shift from volume to the quality of impressions delivered.

Once the situation stabilises and the tournament is resumed without any major delay, JioHotstar may still avoid a long-term setback, believe insiders.

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