SPOTLIGHT The business of IPL - Running Kolkata Knight Riders Shirshendu Roy Share Tweet

Venky Mysore at the IPL auction table for Kolkata Knight Riders ©BCCI

In the first three years of the Indian Premier League (IPL), Kolkata Knight Riders were the only franchise to not make it to the knockouts. That they needed a major overhaul was no secret. For a franchise which had tried something as alien as the multiple-captain theory, it was no surprise when they brought in someone vastly experienced, but from financial services? An outsider.

Venky Mysore had worked across different geographies for two decades and a half, and admits that his last connection with the sport directly was when he represented the Madras University cricket team. For someone as passionate about sports, life came a full circle when he took over as the CEO of KKR. "Sports management is more like a lightning that struck, not something I woke up and planned for." Six years since, there are two IPL trophies in the closet, a successful acquisition in the Caribbean Premier League and a brand that is international and runs on its own steam.

Just the evening before this interview took place, Venky Mysore was seen knocking a few balls around as the team went through its net sessions. He wears a smile almost tirelessly, seamlessly switches between responding to his phone calls and texts, to continue greeting everyone warmly. For someone who spent most of his time in suits across plush glass-door offices to wearing the dazzling purple tee with the Knight Rider logo stitched on his chest, cricket was destined to happen. Venky looked relaxed as he settled across the sofa at the ITC Sonar in Kolkata. He quickly breaks the ice by asking, "All easy questions, right?" before breaking into a laugh. Over the next half an hour, the KKR CEO sheds light on starting afresh at KKR, the different challenges involved in franchise sports, how creating brand KKR independent of brand Shah Rukh was critical to their success and how they took it to a global audience.

On the need to start afresh in 2011: "It was never about an individual player; Team KKR comes first.."

Obviously, it was very difficult because Sourav [Ganguly] was a fabulous player, great player, icon in all respects but our thought process was.. it was the year of the big auction and they had just introduced the retention plan, actually it was not supposed to be. The original planning was everyone goes into the auction every three years. The direction we took.. obviously I initiated it but I needed the support of the owners to do it. It had nothing to do with individual players, it was just an approach. Obviously, I don't think anyone was happy with the results. Unfortunately, we were the worst performing team in the first three years, in terms of how the placings were. We were the only one of the eight teams who had not qualified for the playoffs, all other seven had qualified in three years, so that causes you to reflect (on) what happened and what we should do differently.

So the different approach was basically a team approach, as to say, team KKR comes first, and so now we are going to sort of wipe the slate clean and start as if we are starting again. So, it was more that approach rather than any individual player. For that matter, we had Chris Gayle also, who is now.. we know what he has done in IPL. We had Brendon McCullum, we had all kinds of fabulous players, David Hussey, list goes on.. we had Ishant Sharma. Solid individual players and for whatever reason, it did not work. Okay, so we said, let's try a different approach, may not work but we will try a different approach which is to wipe the slate clean and move on.

When you put talent in a very good environment, invariably some magic happens. And that's true of any business and not just cricket. ***

On the introduction of data analysis ahead of 2011 auction: "I am not going for names, let's go for skills.."

We won in 2012 but I initiated it (data analysis) in 2011 itself. It was a Chennai based firm first, then of course, we have continued every year with different firms. So it was I suppose, as everyone told me and I was not aware of, that we were the first one to use data analysis. My thought process was, I said 'Okay, it is one thing to say to wipe the slate clean and go to the auction. Then what do we do?' We did a lot of digging and homework because once you release all the players, there's no think-tank, other than your head coach and support staff. And with all due respect, what happens in the conventional way of thinking is name-based. So when you go to the auction, you are thinking of names.

It was a bit of a shift, many others have now adopted it but for me it was all about skills. I am not going after names. And see what are the skills needed to build a team, keeping in mind Calcutta conditions, what should we do? So, for me, it was specifically a paradigm shift to ask whatever think-tank I had at that point to say, can we build a team with skills and not names because in auctions, we realised it were the names that generate the big price, which means top of the mind recall is what happens.

On how the whole data analytics opened a pool of players who weren't quite the top of the mind recall: "Data is something that doesn't lie. You need to know what you want out of it.."

To demonstrate, we went through few rounds and I had asked this firm to do certain things for me. Supposing, I don't want to give out too much, I want a batsman with a 150-plus strike-rate, maybe left-handed, with an average of say whatever, tell me who all come to your mind. So, then they all started writing names. And then what we did with the software is, we had built a very strong database and when you query this, then it brings back names. I can tell you right now, even today, more than half the names, nobody would have thought of because it was all name-based recall. If you see our team from 2011, you will start seeing names, people would not have thought of or would not have felt that so and so is... But that's where we were efficient in the auction because we were always going in with a sort of finite amount of money, and you had to build a team, you had to build a competitive team. So yeah, I am myself, sort of very fond of analytics and always feel that data is something that doesn't lie. Of course, it is always garbage in garbage out, so you had to be very clear as to what you are looking for. So, whatever we have done, knock on wood, so far works. We could have fallen flat on our face and say, who is this corporate guy who came in and trying to screw all these things up? (laughs) But fortunately, we got vindicated slightly in whatever we have done.

'Whichever jersey you look at - KKR jersey, TKR jersey - the brands are all similar' (Image courtesy KKR) ©Agencies

On how skills are paramount: "Ryan ten Doeschate, people could not even pronounce his name after 4-5 years of him playing the IPL.."

We have been a bunch of very passionate people, both in India and abroad. You know, so today, what happens is it is all relationship-based. It's not like we are spending tonnes of money doing this, because at the end of the day, the auction process, personally which I am very happy with, we campaigned for that, for transparency sake that everyone comes into the auction, even first-class players. Hence, our ability to spot someone early. For example, we picked James Pattinson before even Australia did, before he was even on the radar. We eventually saw what Pattinson did, unfortunately because of injuries, he could not (do much of it at KKR). Ryan ten Doeschate, people could not even pronounce his name after 4-5 years of him playing the IPL, so people like that. It's been interesting. Shakib Al Hasan, for example - amazing player. He is the No.1 ICC all-rounder, eventually, when we picked him, look what he has done for us now. People don't look at these names like that. Look at Chris Lynn, unfortunately for his injury, he has not been able to fully showcase, but he will be back and there's no question.

So, when we pick these types of players, it is a very different sort of a thought process on what we know of them. I am always a big believer in someone who has got the skills and who has a reasonable track record but most importantly if he is hungry to go out there and do ...that combination works most of the times, which is what we have tried to focus on.

On the challenges involved in franchise sports: "American sports or the EPL are all franchise-based but it works very differently, because they are there throughout the year.."

That's clearly the challenge in franchise sports, particularly in a format like the IPL, CPL or any other league because these are very short windows. American sports or the EPL are all franchise-based but it works very differently, because they are there throughout the year, they don't play for the country like cricket happens. It is a challenge but it is a nice challenge. See, the relationships we have built over the years, many of our players who played for us are playing for opposition teams now, but somehow they still have a great affinity and we have a great relationship. We stay in touch, we work through various things, little things they want, reaching out to me, to us for help because it is all about relationships. But I heard someone, a very smart person who told me once, what happens is that, when you put talent in a very good environment, invariably some magic happens. And that's true of any business and not just cricket.

On the importance of creating a happy dressing room atmosphere: "Little things are the ones which drive them [players] crazy"

What therefore we have attempted to do is simplify 'what is franchise sports management?' You can complicate this a lot if you start thinking and breaking your head over it. What we have attempted to do, and a lot of it flows from our owners also, Shah Rukh, Jay [Mehta] and Juhi [Chawla], it is always about creating a very comfortable environment and an honest environment, which is what we do at KKR. If there's one thing that we work very hard on is to ensure that the dressing room is calm, the team that we work with, the back-end team, they do so much hard work that they make me look good, they make KKR look good, our objective is to make sure that the players are not breaking their heads or worrying about this and that.

Little things are the ones which drive them crazy, we try to take care of all that stuff, so that they are in a calm state of mind. Then you create an environment. We don't indulge players. That much I can tell you, we are not sort of doing this and doing that lavishly. All we do is take care of their needs, keep them happy in an environment. People like that. People initially might say this franchise used to do this, this is how we handle it. But very quickly they understand that we are very honest about what we do, sincere about it, and have worked very hard that the environment is comfortable. Invariably, what that does is it attracts people, the word spreads around also, and that's how, thank God for this, we have built a good reputation as a franchise that most players have enjoyed being part of, and who wouldn't mind coming into our setup. There are players who we have had, have been with 2-3 franchises, you learn from that also and figure out. So I don't think that it is anything brand new or very novel that we do, we work on basics like this.

"Is SRK coming for the game?" Ohh my God, what is the power of this brand? He says he is coming and it is a sell-out just like that. ***

On how to keep brand KKR active even when the IPL is not on: "My strategy was always to say this a common mother brand that is Knight Riders..."

Having said that we do a lot of work on continuity, for me, more than staying in touch with the players, the challenge is how do you keep the brand alive when IPL is not happening. So part of our strategy has been that, growing our sports business like IPL, CPL [Caribbean Premier League]. Who knows, somewhere we might acquire another asset.

My strategy was always to say this a common mother brand that is Knight Riders, and if we can sort of own 2-3 or 4 assets which are all timed in such a way that it becomes a round the year strategy. Then I have got a common platform that I have created. In an ideal world, if I have a handful of common players, which is what we have done with CPL - my assistant coach here Katich is head coach there, and Jacques Kallis comes there as a mentor and we have got three players who are common. So what it does is people understand very quickly that the common culture we have, infiltrates there also. And people understand. 'Ohh this is how KKR does it, this is how TKR does it.' It is all pretty much the same. That helps me to keep the brand going.

So now, who knows within the next 2-3 years, we might acquire another asset. I think if we create a portfolio such as that and on a common brand platform, and on a common culture and also associations, some of my brands who are associated with us on KKR, came on board there also, which is great. So, whichever jersey you look at - KKR jersey, TKR jersey - the brands are all similar. For them also, it gives them other windows to activate. So that's how we have tried to work through, and in the process it is also how you also stay in touch with players as well, and they want to come and play for you in whichever franchise you want, which is terrific.

On how it became increasingly important to grow brand KKR independent of brand Shah Rukh Khan: "There was no brand KKR in my opinion, everything around KKR was all about SRK.."

It goes without saying that having a massive brand like a brand SRK behind us solidly, is a huge advantage, there's no doubt about it. And he's so passionate about it and I would say, involved in the sense of basically, sitting in all the meetings and telling us what to do or not. But you know that he's always there as a sounding board, always interested. My style is always to keep my stakeholders always informed on what we are doing. There's very little disagreement on that or different thought process. He always has great insights on things that are.. it is amazing how he stays in touch with things, even some of the younger players that are coming through of whom most people would not have heard of, somehow he would be aware to an extent. Having said that, what we set out to do from 2011 onwards - when I came in basically, when I presented my plan to my owners, I said to them what I observed and therefore what I want to do.

What I observed was that brand KKR and brand SRK were sort of synonymous in the first three years. There was no brand KKR in my opinion, everything around KKR was all about SRK. He would do the ads, he would come to the games, he would do the interviews, he would be quoted on everything, team selections, this, that, irrespective of whether he was involved or not. So, I said to him, for the health of the business, because it is a business at the end of the day, let's be very clear, it's a business, everyone's passionate about that, somewhere you have to separate the two. It was very important to ring-fence brand KKR, otherwise it will not survive as a brand. The fortunes of KKR will move up and down based on how brand SRK moves.

So I said to him that I really want to ring-fence brand KKR and we have to demonstrate that it can run on its own steam. Only then, we can sort of claim that we have actually built something. I think we have succeeded in doing that. So, I will give you an anecdote which is quite amazing to me. In the initial years, you know how Eden is, you know where the owners sit. Right below that there is a 'B' stand, good viewing from right below the box. People used to hound me, reporters, everyone mainly asking me, "Is SRK coming for the game?" And then he used to come for a lot more games, the moment the word got out that he's coming, that stand used to be sold out. People who used to come and sit there, and all they were doing were turning this side, looking at him in the balcony and clicking pictures. He used to say, "Game going on there, look there.." I was blown away by that, Ohh my God, what is the power of this brand? He says he is coming and it is a sell-out just like that.

'It was important to ring-fence brand KKR' ©BCCI

But I took it as a different challenge, this is not sustainable. If I am going to fill up the stadium based on whether he comes or not, that means brand KKR and what we are putting out there as a product is not as appealing as it should be to the consumers of my product. So, I said, basically what I had to do is change this around in a way where we sell out the games irrespective of whether he comes or not. When he comes, it is an excitement to another level, so you know that we have been successful at that. We initiated a lot of strategies, and of course the on-field performance makes a difference, everyone wants to see a team winning. So it was quite amazing that it actually worked in a way where... what we have succeeded in a way (if you have kept a track), I have not kept a track, say over the last three years, to how many games has he come compared to the first three years. You would see it has declined for a variety of reasons. I run Red Chillies also, so we keep him very busy because we are doing a lot more, with films and everything else. He's been shooting, travelling, therefore he has not been able to come to the games.

So now, my 'B' stand down there, I sell regardless. People don't ask me that question "Is he coming" as much. When he comes, the excitement is another level, no doubt but whether I sell out my stadium or not is not predicated on that. That to me was always a litmus test on have we ring-fenced brand KKR and does brand KKR run on its own steam? So if you ask around, people would say yes. But if you ask me is it a huge advantage to have him behind us? Absolutely.

On how they created a business model where deliverables didn't have Shah Rukh by default: "This is an association with KKR, here's what I can do for you.. If this doesn't appeal to you, you shouldn't tie up with us.."

And in some way it was very funny because the brands that were associating with us on sponsorship, there was a certain expectation on their part that SRK will be a part of the deal. I said from day one, NO. I used to always tell people and still say that I don't have authority to put his name on the paper. This is an association with KKR, here's what I can do for you, players, this activation, that.. If this doesn't appeal to you, you shouldn't tie up with us. If you want SRK, I can arrange a meeting, you do a direct deal and sign him up. He will come on your time, to come and be a part of your TVC (Television Commercial). Nokia did that, Dish did that, they had him as a brand ambassador, so on the TVCs they would do with KKR, he would be there but that's not part of the deal with KKR.

So, now if you look at how our sponsorships and associations are, we work with 22 brands and I don't give SRK to anyone. When I say, I don't give, that's not even a part of our discussion. Will he do some extra things because it is his team and he likes the brands that are associated in this, be thankful for that. Of course, he will send a tweet for that, or some thing else, but he does a little bit of a bite, sure, all that is fine but so, we have successfully done that, which is credit to the team that has worked. It was a part of the strategy, fortunately we have worked on that basis. We keep leveraging him so that it keeps helping the franchise, without a doubt, but in how we do, that is how we do the normal course of business in brand KKR.

Since us coming in, if you are not aware of this data, the Indian viewership of CPL has quadrupled. It used to be 20 million viewers, last year it crossed 100 million. ***

On the two most important pillars of building a franchise: "Brand and Fan base"

I would say that, feeder system, was that the primary objective? I would say, no. It's an ancillary benefit we get out of that initiative. The primary reason for a CPL or any other asset today is much more at a strategic level. And at a strategic level, I have always maintained that the two pillars on which you build a franchise is your brand and your fan base. These are the two drivers of your franchise, so the bigger the brand and the greater the salience of the brand, there's greater value. Value not as in, because there are reports that there are floating around the brand valuation of KKR is so and so, and we are being shown at an astronomical number, we are No.1 and all that, some times I worry about it. All these valuation reports are all someone writing it, I don't want income tax people to come and stand in front, 'show me the value.' (Laughs)

But it's good to read that we are No.1 in IPL and everywhere. Basically what is actually happening - the question always is how do you keep building and how do you keep building your brand and how do you keep building your fan base?

On how the CPL provided a ringside view of talent but that wasn't the primary objective: "The CPL gave me a foot in the door in the US market.."

So you have to sort of, in my opinion, you have to sort of drive a stake in the ground, in various different geographies if you want to call yourself a global brand. That's our ambition that Knight Riders will be a global brand. It is already. We have a great following, I think, we are one of the few teams, maybe even the only one which not only has a pan India following but a global following. How do we keep building this?

So the idea of a CPL is it is in a different hemisphere. We drive a stake in the ground. It also gave me a foot in the door in the US market, two of our games were played in the US last year and I know that market. I have lived there. So it helps to sort of build your brand in a different geography, and it also helps to build your fan base there. Therefore, when you start thinking merchandising, when you start thinking in terms of how the associations would work, we are already seeing the benefit of that.

Since us coming in, if you are not aware of this data, the Indian viewership of CPL has quadrupled. It used to be 20 million viewers, last year it crossed 100 million. So the Indian brands who are associated with me liked this idea, now I have created one more window for them in August and September. During IPL, you are activating, during CPL, it's the same Knight Riders brand, the association is the same and I will get my players there to give you imagery. So you activate now there, so we keep building this, it helps the league, that's one of the reasons they wanted us more than we wanted them, to be honest. So, CPL has been a great experience in that sense.

Now, does that by the way give us a ringside view of talent? Yes. So you have seen the effect of that with a Rovman Powell, Darren Bravo. Darren Bravo plays for us there, and Hashim Amla plays for us there, Brendon McCullum plays for us there, Colin Munro plays for us. Actually Chris Lynn plays for another team but we were able to see him much closer. So just pushing the agenda, I came back and told our think-tank, we have got to find a way to play him. These are all effects of that. But did we go in there trying to do that? NO. It was much more strategic but these are one of the boxes that get ticked.

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