Abu Dhabi National Oil Company (Adnoc) is the most valuable brand in the Middle East, boasting a brand value of $8.9 billion, said a new report by Brand Finance, the world’s leading independent brand valuation consultancy.
Adnoc, this year’s new entrant to the Brand Finance Middle East 50 2019, is forging ahead on its integrated 2030 Strategy, to make its upstream operations more profitable, its downstream operations more valuable and unlocking is a sustainable and economic gas supply.
Adnoc entered the global capital markets for the first time two years ago. The Abu Dhabi oil and gas brand is focused on responding to changes in the world’s energy markets and unlocking huge reserves of previously uneconomical gas that will ultimately put the UAE on a path to gas self-sufficiency.
Adnoc has opened its first fuel stations in Dubai and Saudi Arabia, announced plans to increase its oil production capacity to 4 million barrels per day by the end of 2020. These initiatives are part of the 2030 Strategy, which is aimed at balancing market conditions with long-term future growth.
Etisalat boasts valuable portfolio of brands
Valued at $8.3 billion, up 8 per cent since last year, Emirati telecoms giant Etisalat remains the most valuable B2C brand in the region for the 3rd year in a row. Etisalat Group also boasts the most valuable portfolio of brands, with an important regional presence of networks including Mobily, Ufone, Maroc Telecom, and PTCL, which has exceeded the Middle East’s record of $10 billion. Operating in 15 countries across Asia, the Middle East, and Africa, Etisalat’s success can also be attributed to its customer loyalty programmes, as well as strategic sports and events sponsorships.
As the premier digital partner of Dubai’s Expo 2020 showcase, Etisalat is preparing to deliver the event’s visitors and delegates with a cutting edge and immersive digital experience. Sports sponsorships provide an international platform through which Etisalat can connect with its loyal customers, sharing and supporting their interests and passions.
David Haigh, CEO of Brand Finance, commented: “The Middle East is home to so many world class brands which are asserting their presence on both a domestic and regional scale. As the UAE looks ahead to Expo2020, Saudi Arabia races towards its Vision 2030 and Qatar gears up to host the World Cup in 2022, it is ever more important for these home-grown brands to be nurtured and catapulted to the global stage.”
Saudi’s Sabic sees success
Saudi Arabia’s petrochemicals giant Sabic has seen its brand value boosted 6.5 per cent since last year, valued now at $4 billion. This success can be attributed to the brand’s continued expansion of investments across China, despite an expected slowdown in the country’s economic growth. Sabic has also continued to raise its presence in Africa which remains a promising lucrative market.
All eyes are now on Saudi Aramco which for the first time earlier this month, chose to publicly declare earnings and give a detailed breakdown of its financial performance. Aramco announced recently that it would buy a 70 per cent stake in Sabic in a pledge to support the Kingdom’s modernisation campaign and bolster its downstream strategy.
New entrants: brands to watch
This year’s league table has seen a host of notable new entrants from a variety of sectors: education, banking, oil and gas. Emirates Islamic Bank (brand value $476 million), GEMS Education ($525 million), NMC Healthcare ($ 570 million), Arab Bank ($ 475 million) and Woqod ($663 million).
While both the UAE and Saudi Arabia contribute 19 brands each to the top 50, UAE brands account for 49 per cent in total brand value while Saudi Arabia brands account for about 31 per cent, the report said.
Emirates flies high as Middle East’s strongest brand
Aside from calculating overall brand value, Brand Finance also determines the relative strength of brands through a balanced scorecard of metrics evaluating marketing investment, stakeholder equity, and business performance. Along with the level of revenues, brand strength is a crucial driver of brand value.
According to this criteria, Dubai’s flagship carrier Emirates is the strongest brand in the Brand Finance Middle East 50 2019 ranking, with a brand strength index (BSI) score of 85.8 out of 100 and a corresponding brand rating of AAA. The airline continues to win praise from its customers for its variety of long-haul routes, world class lounges, superb on-board service and punctuality. Emirates is the world’s largest international airline, with a network that spans 159 destinations in 85 countries, operating one of the world’s youngest wide-body fleets made up of Boeing 777 and Airbus A380 aircraft.
“Growth in the Middle East’s airline market is dependent on a brand fully grasping and meeting the demands of its customer, something which, with the rise of social media, is constantly evolving,” said Haigh.
“Whilst pricing, routes and service remain central to repeat business, airlines such as EK which update their in-flight offering, maintain a modern fleet and uphold high punctuality and safety standards are those which will see solid growth in brand value.”
Every year, leading brand valuation and strategy consultancy Brand Finance values the world’s biggest brands. The 50 most valuable Middle Eastern brands are included in the Brand Finance Middle East 50 2019 ranking.
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