Mr Prasana Krishnan, COO at Neo Sports Broadcast Pvt Ltd. visited IIM Kashipur and shared his experiences in the Business of Sports.
Mr. Prasana Krishnan has more than a decade of experience in the Broadcast Media industry during which he worked for the Times of India group before moving to his current firm, the Nimbus group, which owns two leading 24×7 sports broadcasting channels in Indian sub-continent – Neo Cricket and Neo Sports. He has also worked as a consultant with Arthur Andersen in the Power & Utilities practice.
Mr. Prasana Krishnan Interacting with the students of IIM Kashipur
Mr. Prasana Krishnan drew attention to the peculiar nature of the sports business. In stark contrast to most other industries, the stakeholders of the holding companies try to maximise the performance of their teams, rather than trying to maximise their profits. Indeed, in no other Industry than the Football clubs of Europe, does the regulator insist on limiting the loss incurred by teams, as a financial fair-play mechanism. He also spoke at length on the irresistible lure of sports, which even attracts politicians of the country, who often preside the Governing bodies of various sports.
Mr. Krishnan showcased the sheer scale with which the Sports Industry operates- Globally, it is estimated to be worth more than 600 billion US dollars. The sports infrastructure includes Infrastructure construction, Sports goods, licensed products and Events, of which Sports Infrastructure is the most expensive, often requiring generous funding from Governments. Later, Mr. Krishnan gave an overview of the Sports Value chain- which includes Rights Holders, Service Providers and Media channels. Mr. Krishnan described the various facets of Live production, and the technical prowess which makes available to us, a replay of cricketing action from the best angles, merely seconds after the original event occurs. He also enlightened the students about the financial side of the business- the risks involved in buying broadcasting rights. Mr. Prasana Krishnan cited a live example of how the purchase of IPL broadcasting rights turned out to be a stellar success story for Sony, whereas the Champions League T20 turned out to be exactly the opposite for its broadcaster.
The students quizzed Mr. Krishnan on the threat faced by all Media Channels from Live telecasts on platforms such as YouTube. He spoke of the evolving nature of the broadcasting industry and of the possible opportunities brought about by the advent of technology such as YouTube and the Digitization of cable TV in India. The students of IIM Kashipur enjoyed the lecture as they are now still closer to the Industry which rules their hearts.