Etisalat was also crowned Middle East’s strongest brand for the first time
Oil and gas brands dominate as the Middle East’s most valuable brands writes brand valuation consultancy, Brand Finance, in their 2021 report.
Brand Finance has released their annual report on the most valuable and strongest global brands. Every year, Brand Finance conducts more than 5,000 brand valuations, supported by market research, and publishes nearly 100 reports which rank brands across all sectors and countries with the final report of the 500 most valuable brands worldwide.
Saudi Aramco remains as the region’s most valuable brand in general, despite recording a 20 percent brand value loss to US$37.5 billion. Although brand value has dropped, the company’s brand strength has remained stable, the report states.
Owing to the sheer size and scale of the business, as well as its low costs of production, Saudi Aramco has been in a stronger position to negotiate the fallout from the pandemic than many of its counterparts, but still suffered a significant hit to profits.
“Aramco is the hidden giant of the oil industry whose brand has finally emerged into the light of public attention. It has always been known as a b2b brand but has aspirations to become a well-known consumer brand. At present its scale is huge but its brand equity is at an early stage of development. We believe that over the next decade the brand will grow from strength to strength as it enters the world stage,” states David Haigh, CEO of Brand Finance.
The second most valuable brand in the region is Abu Dhabi National Oil Company (ADNOC), which recorded only a 6 percent brand value loss to US$10.8 billion, making it the most resilient of all National Oil Companies (NOC) globally.
Etisalat was crowned Middle East’s strongest brand for the first time, overtaking Emirates Airlines, with a Brand Strength Index (BSI) score of 87.4 out of 100 and a corresponding AAA brand strength rating – the only brand in the region to achieve this rating.
Brand Finance also evaluates the relative strength of brands, based on factors such as marketing investment, customer perceptions, staff satisfaction, and corporate reputation. Alongside revenue forecasts, brand strength is a crucial driver of brand value.
This increase puts Etisalat among the top 25 brands globally for BSI.
“When COVID struck in 2020, Etisalat led from the front ensuring business continuity, robust e-governance, enablement of smart cities and remote learning, to help drive the digital future of the UAE. Staying relevant and enabling the nation with the fastest network on the planet, Etisalat has earned its place as the region’s Strongest Brand, ready deliver on its ethos of Together Matters as the UAE welcomes the world at Expo 2021,” Haigh noted.
The moniker of the region’s fastest growing company goes to stc, up an impressive 14 percent to US$9.2 billion and simultaneously jumping 53 positions to 189th.
The telecom company has recently doubled the capacity of its network, never compromising on customer service – something the brand prides itself on. The brand has also achieved an AAA- brand rating for the first time because of its brand and business transformation.
“stc’s brand has evolved and grown following its successful masterbrand refresh and extension into Kuwait and Bahrain at the beginning of last year. The company continues to execute its DARE strategy successfully and has strengthened its positioning as a company that enables digital life. Its commitment to digital transformation has been shown with stc pay, recognized as the first tech unicorn in Saudi Arabia,” states Haigh.
Apple has overtaken Amazon and Google to reclaim the title of the world’s most valuable brand for the first time since 2016.
Apple has the success of its diversification strategy to thank for an impressive 87 percent brand value increase to US$263.4 billion and its position at the top of the Brand Finance Global 500 2021 ranking.
Despite relinquishing its position at the top, second-ranked Amazon has still managed to record a healthy 15 percent brand value growth to US$254.2 billion. The retail giant is one of the few brands that benefitted considerably from the pandemic and the resulting unprecedented surge in demand as consumers turned online following store closures. Over Q2 and Q3 of 2020, e-commerce platforms experienced the highest revenue growth since 2016.
Accounting for 14 percent of total brand value in the 2021 ranking, tech remains the most valuable sector in the Brand Finance Global 500, with 47 brands represented and a combined brand value just shy of US$1 trillion at US$998.9 billion.
Aided by the increased demand for home deliveries and safe means of travel during the pandemic, Uber has seen a 34 percent brand value jump to US$20.5 billion and entered the top 100 at 82nd
Software providers such as Microsoft (up 20 percent to US$140.4 billion), SAP (up 9 percent to US$18.0 billion), Salesforce (up 29 percent to US$13.2 billion), Adobe (up 25 percent to US$11.7 billion), and a new entrant to the ranking, Servicenow (up 39 percent to US$4.3 billion), all enjoyed a boost in brand value as businesses raced to transition online and offices gave way to remote working for the greater part of last year.
