Qatar National Bank (QNB), Qatar’s largest bank by assets, entered the survey for the first time securing 441th place with a brand value of $3.8bn. The company’s brand value rose 56 percent year-on-year driven by its continued robust financial performance and its successful international expansion.
The Global 500, an annual ranking from the leading valuation and strategy consultancy, ranks brands by monetary value and also calculates the most “powerful” brands, as defined by the companies whose enterprise value is most positively impacted by the strength of their brand.
In order to determine a brand’s value, Brand Finance first evaluates factors such as marketing investment, familiarity, loyalty, staff satisfaction and corporate reputation to determine the ‘strength’ or ‘power’ of a brand. Brand power determines the proportion of overall business revenue that is contributed by a brand.
Saudi Telecom Co. (STC), the kingdom’s biggest operator, is the Arab world’s most valuable brand, while Emirates, the world’s largest airline, continues to be most valuable brand in the United Arab Emirates (UAE), according to Brand Finance’s Global 500.
STC of Saudi Arabia moved up to 252nd place in the rankings, making it the Middle East’s most valuable brand. The company’s brand value rose 11 percent during 2016 to $6.2bn. The increase was primarily driven by STC ‘humanising’ its marketing campaigns, and reengaging with its stakeholders with a fresh, more personable outlook.
Despite an oil slump, the strengthened US dollar and global economic softening that has impacted consumer appetite for air travel globally, Emirates secured 264th place in the rankings with a brand value of $6.1bn. The company’s Brand Strength Index score even increased from 85 out of 100 in 2016 to 87 out of 100 in 2017, securing it a AAA rating once again.
Etisalat, the biggest of two telecom providers in the UAE, rose to 293rd place, up from 404th place in 2016.
Andrew Campbell (pictured), Managing Director of Brand Finance Middle East, said: “Middle Eastern brands continue to make their mark in the Global 500. The brand value of the four companies from the region represented in our 2017 ranking grew on average by 23 percent year-on-year, which reflects the scale of their achievements when it comes to driving brand awareness, recognition and advocacy. We expect more brands from the Middle East to enter our Global 500 in time as oil prices readjust and companies from the region continue to expand into new geographic markets.”
Google replaced Apple as the world’s most valuable brand, with a brand value of $109.5bn. Google’s brand value rose during 2016 by 24 percent (from $88.2bn) whilst Apple’s declined from $145.9bn to $107.1bn.
Lego (196) has regained its status as the world’s most powerful brand, with a brand strength score of 92.7. Much of it success owes to its media licensing deals and partnerships which have driven growth and introduced the likes of Lego Star Wars, Lego Harry Potter and Lego Batman.
