2017中东50强品牌报告（英文版）_11页-2mb

Summary of Middle East 50 2017

Core Content

The Middle East 50 2017 report by Brand Finance presents an annual assessment of the most valuable Middle Eastern brands. It aims to bridge the gap between marketing and financial strategies by providing a clear, quantifiable measure of brand value. The report emphasizes the importance of understanding brand value as a financial asset, highlighting how it can be leveraged to improve business performance and decision-making.

Main Points

• Purpose of Brand Value: Brands are not just marketing tools but financial assets that should be managed with the same rigor as other business assets. They contribute to profitability and can be licensed, sold, or used to enhance business performance.

• Methodology: Brand Finance uses the Royalty Relief approach to calculate brand values. This involves estimating future brand-related sales and applying a royalty rate to derive the brand's financial value. The Brand Strength Index (BSI) is used to assess brand strength, which is then used to determine the royalty rate.

• Brand Value Calculation:

  • BSI scores range from 0 to 100, with higher scores indicating stronger brands.
  • Brands are rated on a scale from AAA+ to D, similar to credit ratings.
  • The final brand value is calculated by applying the BSI score to forecast revenues and discounting post-tax brand revenues to a net present value (NPV).

• Key Sectors:

  • Banks dominate the Middle East 50 with 43% of total brand value, followed by Telecoms (28%) and Airlines (14%).
  • Dubai Islamic Bank saw the highest growth in brand value (136%), while Emirates experienced a 21% decline.

• Top Brands:

  • STC (Saudi Arabia) became the most valuable brand in the Middle East for the first time.
  • Emirates remained the most powerful brand by BSI (87.3), but lost its position as the most valuable airline brand to Aeroflot.
  • Etisalat (UAE) and QNB (Qatar) were among the top performers, with significant increases in brand value.

• Brand Contribution:

  • Brand Contribution refers to the uplift in shareholder value derived from owning a specific brand.
  • It is a critical metric for understanding how effectively a brand is driving business value, beyond just its financial performance.

• Brand Strength Index (BSI):

  • BSI is a key indicator of brand strength, based on marketing investment, brand equity, and business performance.
  • It is used to determine the appropriate royalty rate and to assess brand performance against competitors.

Key Information

• Total Brand Value: The total brand value of the Middle East 50 in 2017 was US$75.3 billion.
• Country-wise Breakdown:
  • UAE had the highest total brand value at US$33.1 billion (44% of total).
  • Saudi Arabia followed with US$24.5 billion (32% of total).
  • Qatar had US$11.3 billion (15% of total).
• Growth and Decline:
  • Dubai Islamic Bank showed the highest growth (136%).
  • Emirates saw a 21% decline in brand value.
  • Qatar Airways lost its position as Qatar's most valuable brand.
• Brand Portfolio Strategy:
  • Companies with multiple brands, such as Etisalat and Ooredoo, demonstrated strong growth through portfolio diversification.
  • Etisalat was the most valuable brand portfolio in the Middle East, with a total value of US$5.512 billion.

Conclusion

The report underscores the importance of brand management as a strategic business function. It highlights the need for a more rigorous, financial approach to brand evaluation and provides actionable insights for marketers and financial teams to work together in maximizing brand value. By understanding and measuring brand strength, companies can better allocate resources, make informed decisions, and drive long-term profitability.