Monday 1 June 2020

Saudi Aramco most valuable brand in Mideast: study

DUBAI, April 1, 2020

Oil and gas giant Saudi Aramco with a brand value of $46.8 billion has claimed the title of the Middle East’s most valuable brand, said Brand Finance, the world’s leading independent brand valuation consultancy, in a new report.

Saudi Aramco is focused on leveraging its strength in upstream, while growing its downstream operations through acquisitions, both in Saudi Arabia and key global markets, said Brand Finance in its release of Middle East 50 report on the region’s top 50 most valuable and strongest brands, of which 20 are Saudi Arabian brands, 17 from the UAE, 9 from Qatar and 4 from Kuwait.

David Haigh, CEO of Brand Finance said: “The harsh reality is that many Middle Eastern brands are not going to make their 2020 targets due to the unprecedented challenges of the Coronavirus outbreak. Having a strong brand is more crucial now than ever, as this might which will truly help to weather the storm and bounce back from this crisis.”

Adnoc breaks $11 billion barrier

Abu Dhabi National Oil Company (Adnoc) is the Middle East’s second most valuable brand, up 29 per cent to $11.4 billion. The brand is also the first UAE brand to achieve a brand valuation of more than $11 billion, a testament to the success of the Group’s ongoing transformation strategy.

Etisalat Middle East and Africa’s most valuable consumer brand AAA rating

Emirati telecoms giant Etisalat is the most valuable consumer brand in the Middle East 50 2020 ranking for the third year in a row. With a brand value of $8.5 billion, Etisalat has demonstrated a consistent performance over the years. The brand is also the strongest telecoms brand in the Middle East and Africa – making it the sole brand in the region to maintain the prestigious AAA Brand Rating.

The brand’s growing role in fulfilling the UAE’s National Innovation Strategy and its dominant influence in shaping the region’s digital future are behind its continued success.

Etisalat’s footprint in 16 countries across Asia, Middle East, and Africa makes it home to an impressive portfolio of brands including Mobily, Ufone, Maroc Telecom, PTCL, and Etisalat Misr with a combined portfolio brand value of $11.0 billion.

Banking brands dominate

Of the Middle East’s top 50 brands, 21 are from the banking sector, with Qatar’s QNB (up 20 per cent to $6 billion) leading the charge as the region’s biggest lender. QNB’s brand value has grown solidly since 2019 – despite a regional embargo on Qatar – as the bank has been pursuing expansion across new markets, with a notable strategic focus on Southeast Asia.

Following last year’s three-way merger between Union National Bank and Al Hilal Bank, ADCB is the region’s fastest growing brand, up 41 per cent since last year to $2.7 billion. Up five places to be named the Middle East’s 13th most valuable brand, ADCB is to be commended for a successful roll out its new brand across physical and digital channels only five months after completion of the merger.

Aviation worst impacted by Coronavirus

Assessed by Brand Finance as the hardest hit sector under COVID-19 are airlines, leisure and tourism, aviation, aerospace and defence. The global airline industry has said most carriers will run out of money within two months as a result of the closure of borders for arrivals as governments order shutdowns to contain the coronavirus outbreak.

A large number of major airlines, including Emirates (up 9 per cent to $6.8 billion) and Etihad (down 38 per cent to $0.8 billion) have grounded most of their fleets as they now confront a crisis unlike anything ever seen before in the airline industry.

In addition to measuring overall brand value, Brand Finance also evaluates the relative strength of brands, based on factors such as marketing investment, familiarity, loyalty, staff satisfaction, and corporate reputation. Alongside revenue forecasts, brand strength is a crucial driver of brand value.

According to these criteria, Emirates is the Middle East’s strongest brand with a Brand Strength Index (BSI) score of 86.2 out of 100 and it is this brand strength and positive sentiment amongst its passengers worldwide which will help support the airline, as it significantly reduces passenger flights across the network in response to the Coronavirus pandemic. – TradeArabia News Service


More Industry, Logistics & Shipping Stories

calendarCalendar of Events