It may have been born out ofIPL but Chennai Super Kings is looking to expand beyondcricket with plans to set up 'health cafes' and setting atarget of garnering over 60 per cent of revenues from businessoutside the T20 league in about 10 years time.
The franchise owned by India Cements has also signedup car maker Nissan and Chennai-based real estate firm VGN assponsor partners as it gears up for this season.
"It has been six years since Chennai Super Kings cameinto existence. While our core remains cricket, we have beenalso expanding in other sports such as chess, snooker, tennisand badminton. Now we are experimenting with the idea ofhealthcafes," India Cements General Manager Marketing Chandrabhantold PTI.
He said the first of the health cafes, which will alsohave merchandise stores and games facilities, will be openedin Chennai this year between April and June.
"The idea is that in about 10 years time, 60 per cent ofour (CSK's) business must come from equity outside of theIPL," Chandrabhan said, while declining to share the number ofhealth cafes that have been planned to be opened.
"Since the cafes will offer products related tohealth, besides other normal food and beverages, we need to be100 per cent right while we come up with it. So we will beslow and steady with the cafes. Moreover, it will also reflectTamil culture considering the fact that CSK is Chennai based,"Chandrabhan added.
On the plans for this season, he said: "We have signed upNissan as our official car partner, while real estate firm VGNhas also joined us in a long term partnership," he said.
The IPL franchise is targeting revenue of over Rs 10crore this year from merchandise sales alone, as compared toRs 7 crore last year.
"We will have a total of 73 range of merchandise outof which 66 will be lifestyle and 7 will be team uniformrelated.As we have increased the lifestyle range, which sellsround the year, we expect revenues to go up," he said.
Commenting on the future target of merchandise sales,Chandrabhan said: "By 2018, our aim is to sell a total of onemillion units of merchandise across all range."
CSK has roped in Tirupur-based PGC, the retailer of Swissbrand Switcher, as its lifestyle merchandise partner.
On the marketing spend for this season, he said therecould be an overall 15-17 per cent increase by all thesponsors of the team compared to Rs 39 crore last year.
Asked about CSK's contract with Pepsi, he said: "This isthe last of the three year contract we had signed. We havestarted talks for renewing it and are hopeful that we willcontinue the partnership."