Report: Real Madrid Voted World’s Most Powerful Footy Brand, But Man Utd Most Valuable

Report: Real Madrid Voted World’s Most Powerful Footy Brand, But Man Utd Most Valuable
SHARE
THIS



Valuation and strategy consultancy Brand Finance has conducted its an annual study, calculating the brand strength and value of the world’s leading football club brands. The Brand Finance Football 50 is the first of any kind to take into account the full sporting results of the 2016/17 season. Read the full report here.

In this year’s results Spanish giants Real Madrid have overtaken rivals Barcelona has teh most powerful football brand on the planet. While Manchester United is the most valuable brand at US$1.733 billion.

Screen Shot 2017-06-06 at 9.56.07 am

The brand power of both Spanish clubs was already formidable and unmatched by any other club worldwide. The fierce rivalry of El Clásico, their dominance on the European stage and footballing styles, that are as beautiful as they are effective, served to create brands that are unmatched by German, French, English or Italian rivals. Barcelona has always remained just fractionally ahead of Real however, until now. Real’s brand strength score is up from 94.6 in 2016 to 96.1, edging ahead of Barcelona on 95.4, secured after wresting La Liga title from Barça and claiming a record 12th Champions League victory.

However, whilst Real can bask in the glory of its unparalleled reputation, it could be doing a lot more to capitalise on its on-pitch success. Despite being football’s most powerful brand, in terms of brand value, it still trails Manchester United by a considerable margin. United, despite finishing a disappointing 6th in the Premier League, is the most valuable brand in football, worth US$1.733 billion to Real’s US$1.419 billion.

You can read the full list of most valuable brands here.

United’s success is partly the result of an enduring halo effect from the good times under Alex Ferguson. However, the most crucial ingredient has been the club’s commercial nous and ability to convert its success into lucrative deals across dozens of industry sectors and national territories. In contrast, while Real has blockbuster deals such as its reported billion euro agreement with Adidas, it has not leveraged its brand equity to the same extent as United, failing to pursue the same range of partnerships.

Real could perform significantly better in growth markets outside Europe too. In some, such as the Middle East, Real is popular, yet Brand Finance research into the vast and therefore critical Chinese market demonstrates that Real has a lot of work to do; it lags not just United but also Bayern Munich in popularity.

Premier League clubs continue to lead the world when it comes to commercialising their brands; six of the top ten most valuable football brands are English. Title rivals Chelsea and Tottenham have recorded some of the biggest gains this year after successful seasons that saw Chelsea regain its status as England’s best under dynamic new manager Antonio Conte.

Commercially, Chelsea stand to gain significantly through a reported £900 million, 15 year deal with Nike as well as from a near 50 per cent increase to the capacity of Stamford Bridge. Tottenham is also expanding its home; the new White Hart Lane has been innovatively designed and will offer 61,000 spectators the opportunity to see Spurs on home turf. Tottenham’s brand value is up 58 per cent on last year and Chelsea’s 61 per cent to US$1.248 billion.

All Premier League teams continue to benefit from the vast revenues brought in by the latest broadcasting rights deal with Sky and BT. The relatively equitable split is particularly helpful to smaller clubs and helps to explain how a club such as Bournemouth (which joined the Premier League just two years ago and comes from a town of just 180,000 inhabitants) controls a more valuable brand than much longer established European top tier clubs such as Olympique Lyonnais, Inter Milan, and AS Roma. The costs of missing out on Premier League status are clear too. Another season in the Championship for Aston Villa and relegation for Sunderland see both drop out of this year’s list.

Australian and New Zealand Football Codes Lack Global Reach

This year’s Brand Finance Football 50 again highlights the market challenges for Australia’s football codes. Brand Finance managing director, Mark Crowe comments, “The AFL and NRL have dominated the commercial landscape in Australia and will continue to leverage their concentrated market strength, especially in regard to media rights and in particular the opportunities presented by new and evolving digital platforms.

“However, market expansion will necessitate an increased international outlook as evidenced by AFL’s recent foray into China and Rugby League’s World Cup this year”.

Crowe added, “The stronger global footprint for rugby union and football (soccer) conversely presents challenges for Super Rugby and the A League given that the market forces for salaries makes it impossible to compete against what is on offer in Europe and increasingly Asia.”

Super Rugby has sought growth through entry into emerging markets. Crowe said, “Super Rugby’s strategic expansion has been stymied by the dilution of playing talent and an inability of many teams to engage with their core market, let alone extend their reach into new markets”. Crowe continues, “Super Rugby has failed to capitalise on the growing strength of the international game. Poor brand strength will continue to drive down the brand value of the Super Rugby teams”.

By way of comparison, Brand Finance estimates the All Black’s brand value to be worth more than $200m USD. This would equate to the 30th ranking in this year’s Football 50. Crowe says, “The All Blacks strength is the ability to transcend the game of rugby union and become a truly global sporting brand that can leverage commercial opportunities across the non-traditional Asian and American markets”.

Please login with linkedin to comment

charlie pickering Frontier Media

Latest News

Semi Permanent Sydney Announces New Dates For 2021 Festival
  • Marketing

Semi Permanent Sydney Announces New Dates For 2021 Festival

In light of the prolonged lockdown occurring throughout New South Wales, Semi Permanent Sydney has announced new dates for this year’s festival. It will now take place between 17-19 November 2021 at Carriageworks. “Our mission, always, is to craft the best and most valuable experience for both our speakers and audience, and to ensure the […]

B&T’s Tokyo Wrap: Your Daily Dose of Blunders, Accidents and Romance!
  • Media

B&T’s Tokyo Wrap: Your Daily Dose of Blunders, Accidents and Romance!

The Tokyo Olympics is now in full swing. This means there is some athletic greatness paired alongside mishaps and frankly good old fashioned drama. Case in point, former United States President Donald Trump can always be relied on to bring the drama. The Olympics aims to steer clear of politics and instead focus on morale […]

Ubiquity Lab Beefs Up Agency Team, Makes Two New Hires
  • Marketing

Ubiquity Lab Beefs Up Agency Team, Makes Two New Hires

Ubiquity Lab has announced two new appointments to its growing consultancy team. Kirilly Mallard (pictured right) joins as director – PR and communications and Emily McHenry (pictured left) as integrated account manager. Since launching in 2018, Ubiquity Lab has disrupted the market with its distinct offering. Founded by Matt Allison, the agency’s mantra and experience […]

Acast Adds New Brand Suitability Controls For Advertisers Via Comscore
  • Advertising
  • Media

Acast Adds New Brand Suitability Controls For Advertisers Via Comscore

Acast, the independent power source of podcasting has teamed up with Comscore to provide brand suitability controls for brands advertising through the Acast Marketplace. This new innovation is part of a global partnership with Comscore, and will be available to all advertisers working with Acast Australia and New Zealand. The brand suitability solutions offered by […]

RMIT Students Discover The Importance Of Teaching To Learn
  • Opinion

RMIT Students Discover The Importance Of Teaching To Learn

In this guest post, RMIT advertising student Perri Kapnias (main photo) lays out some innovative plans that can help likeminded ad aspirants land the first killer job… My name is Perri Kapnias, and I am a 20-something advertising student. Like almost everyone else on the planet, I scroll through social media every day. I am […]

Opinion

by B&T Magazine

B&T Magazine
HootSuit Appoints Maggie Lower As Chief Marketing Officer
  • Marketing
  • Media

HootSuit Appoints Maggie Lower As Chief Marketing Officer

Social media management solutions company Hootsuit, has announced that Maggie Lower has joined the company as chief marketing officer. Lower will own the brand’s overall global strategy, demand generation, communications, and events. Prior to joining Hootsuite, Lower was the global chief marketing officer at Cision, the first chief marketing officer at TrueBlue, and has held […]

MyDeal Appoints Ryvalmedia As Agency Partner
  • Marketing
  • Media

MyDeal Appoints Ryvalmedia As Agency Partner

Ryvalmedia has announced its appointment as SEM and performance media agency partner for MyDeal.com.au (MyDeal) after a competitive agency review. With work commencing in July, the remit includes SEM, digital media performance strategy, planning, trading, and implementation, with scope for data, technology, and analytics project work. Launched in 2011 and ASX listed, MyDeal.com.au is an […]

Aidan Corrigan Joins Medium Rare As Head Of Video
  • Media

Aidan Corrigan Joins Medium Rare As Head Of Video

Content Agency, Medium Rare has announced that Aidan Corrigan has joined its multimedia team as head of video. Aidan is a producer and director with extensive experience delivering award-winning content across advertising, broadcast, digital and the creative arts. A driven storyteller, he’s worked throughout Australia, North America and Europe developing and executing creative projects while […]

Wavemaker Names Susie Si As New Vodafone Lead
  • Media

Wavemaker Names Susie Si As New Vodafone Lead

Media agency Wavemaker has appointed Susie Si as group business director – to lead the Vodafone account. Si joins from sister agency MediaCom, where she has spent the last 8 years. Most recently she was group client lead on News Corp. Si will report to Wavemaker Sydney managing director Ian Edwards, and replaces Emily Cook […]

Trade Indy Opens Sydney Office With Appointment Of NSW Commercial Director Ben Mulcahy
  • Marketing

Trade Indy Opens Sydney Office With Appointment Of NSW Commercial Director Ben Mulcahy

Headquartered in Melbourne, Trade Indy is expanding off the back of strong client retention and consistent growth through existing and new business. Founded in Melbourne in 2014, the team have since expanded the business through team members in Singapore, Indonesia, Tasmania and Queensland, and are pleased to announce the full-time employment of NSW commercial director […]

Outbrain Goes Public, Making Nasdaq Debut
  • Marketing

Outbrain Goes Public, Making Nasdaq Debut

Outbrain Inc. has announced the pricing of its initial public offering of 8,000,000 shares of common stock at a price to the public of US$20.00 per share. The gross proceeds to Outbrain from the offering, before deducting the underwriting discounts and commissions and offering expenses, are expected to be approximately $160 million. The shares began […]

HubSpot To Support The GO Foundation As Part Of World Certification Week
  • Technology

HubSpot To Support The GO Foundation As Part Of World Certification Week

HubSpot, the customer relationship management (CRM) platform for scaling companies, has announced that as part of its World Certification Week, it is supporting the GO Foundation with its mission to empower young Aboriginal and Torres Strait Islander people through education. As part of the support, HubSpot will donate $5 for every HubSpot Academy certification awarded […]

IntelligenceBank Secures $50M Investment From Five Elms Capital
  • Technology

IntelligenceBank Secures $50M Investment From Five Elms Capital

IntelligenceBank has today announced a strategic growth investment from Five Elms Capital. The $US37 million ($50 million) investment comes as brands and enterprises have realised that outdated technologies, disjointed data sources, and manual processes make it challenging to efficiently manage essential marketing workflows and ensure compliance across the organization. IntelligenceBank digitally transforms manual processes and […]

SCA Announces Ten New Dab Music Stations Via LiSTNR
  • Media

SCA Announces Ten New Dab Music Stations Via LiSTNR

Southern Cross Austero (SCA) announced today 10 all-new DAB+ music stations on LiSTNr. The introduction of the 10 new Dab stations takes the number of music stations to 25 and reinforces its commitment to growing exclusive music programs and content. The 10 new stations have been created to cater to a variety of moods and […]

SBS Launches Live Interpreting Of Daily NSW COVID-19 Conferences In Vietnamese And Arabic
  • Media

SBS Launches Live Interpreting Of Daily NSW COVID-19 Conferences In Vietnamese And Arabic

SBS has launched live interpreting of the daily NSW Government COVID-19 press conference in languages other than English, to provide communities with access to the latest information and critical health messages. The national-first initiative provides real-time interpreting of the press conferences in Arabic and Vietnamese, streamed live every day on the SBS Arabic24 and SBS Vietnamese Facebook pages, SBS […]

Linktree Chooses Snowflake To Support Intelligence And Analytics Activities
  • Technology

Linktree Chooses Snowflake To Support Intelligence And Analytics Activities

Snowflake, the Data Cloud company, today announced it has been chosen by market-leading linking platform, Linktree, to support the company’s business intelligence and analytics activities. Linktree enables creators, brands, artists, publishers, agencies, and businesses of all sizes to curate an online ecosystem and monetise their passion, instantly guiding their audience to the destinations they care […]