Saudi Aramco Dominates as KSA’s Most Valuable Brand
stc Named Nation’s Strongest Brand for First Time
Saudi Aramco has claimed the title of Saudi Arabia’s most valuable brand for the second consecutive year, with a brand value of US$37.5 billion.
Last year’s Brand Finance Saudi Arabia 50 ranking saw the new arrival of the oil & gas behemoth, following the top oil exporter’s recording-breaking IPO. The brand maintains a considerable lead over the rest of the ranking, despite it losing 20% of its brand value this year.
As with other oil & gas brands globally, Aramco has suffered major dents to its profits in the first half of last year as it negotiated reduced demand and lower oil prices, which turned negative in April of last year. As the global economy starts to pick up and return to some level of normality, the brand will be hoping this uptick will be reflected in its profits.
For national oil companies (NOCs), like Aramco, economic contribution to national wealth is paramount to their mandate. To ensure this economic contribution is sustainable, NOCs must increasingly venture into new sources of energy for the world after oil. Aramco has made substantial strides towards building a sustainable future and is focusing on utilising technology and embracing digitisation to reduce CO2 emissions and create next-generation materials.
SABIC retains 3rd spot
SABIC has retained its position as the third most valuable brand in KSA, despite recording a 7% brand value loss to US$4.0 billion.
SABIC is committed to its vision of becoming the world’s preferred world leader in chemicals by 2030, undertaking several strategic partnerships over the last year and aligning with the chemical arm of Saudi Aramco. The brand has strategically aligned with the UN’s Sustainable Development Goals (SDG) and developed more open and creative collaborations with other companies, NGOs, academia, and governments to better meet the expectations of customers and stakeholders.
Andrew Campbell, Managing Director, Brand Finance Middle East, commented:
“SABIC continues to consolidate its position near the peak of the chemicals industry, this year becoming the second most valuable chemicals brand in the world. The brand has maintained its investments in its global brand advertising campaign while also strengthening its highly regarded specialised technical sales teams. Both of these have contributed to its strong performance this year in spite of tough economic conditions.”
Mobily up 17%
Telecoms giant Mobily is the fastest growing brand in the top 10 recording a 17% brand value growth and jumping two places place in the ranking to 7th position. Mobily (brand value US$1.3 billion) has strengthened its business and brand over the last three years by positioning the brand as the everyday hero. It has attained the highest Brand Strength Index score in its history at 75.4 out of 100 (brand strength rating AA+) and is in a strong position to capture the next wave of growth by seizing opportunities in the digital economy.
Dr. Sulaiman Al Habib Medical up 24% following IPO
Following an impressive 24% brand value growth to US$234 million, Dr. Sulaiman Al Habib Medical is the fastest growing brand in the ranking, simultaneously jumping six spots from 38th to 32nd.
Dr. Sulaiman Al Habib Medical is one of the biggest healthcare providers across the nation, currently operating 20 medical facilities across KSA, UAE, and Bahrain, and employing more than 2,000 physicians. The brand undertook the first IPO in the nation since Aramco’s record-breaking IPO in December 2019, in March 2020 as the brand sought to leverage the government’s plans to ramp up the private medical space. This IPO saw founder Dr Sulaiman Al Habib become one of the richest doctors in the world.
stc is nation’s strongest
Apart from calculating 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. Certified by ISO 20671, Brand Finance’s assessment of stakeholder equity incorporates original market research data from over 50,000 respondents in nearly 30 countries and across more than 20 sectors. According to these criteria, stc is Saudi Arabia’s strongest brand, with a Brand Strength Index (BSI) score of 83.9 out of 100 and a corresponding AAA- brand strength rating. According to the Global Brand Equity Monitor research, telecoms providers do not have especially strong reputations in Saudi Arabia, but stc bucks that trend somewhat, being the only telecoms brand in the top 25 of those assessed in KSA.
stc has also celebrated an impressive 14% increase in brand value to US$9.2 billion. stc has recently doubled the capacity of its network, never compromising on customer service – something the brand prides itself on. stc is playing a crucial part in KSA’s Vision 2030 – a strategic framework to diversity the economy away from oil – through establishing a digital hub for the whole region, to accommodate future growth in the IT sector.
Andrew Campbell, Managing Director, Brand Finance Middle East, commented:
“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, recognised as the first tech unicorn in Saudi Arabia.”
Despite relinquishing the top spot for brand strength this year, Al-Rajhi Bank’s (BSI 81.6 out of 100) Reputation score in KSA (8.4/10) is far higher than that for any other Saudi bank, but more importantly well above the average for all brands assessed in this market – in a sector where high scores are not easily achieved. Al-Rahji has a clear lead on functional dimensions such as customer service and value, but also connects well emotionally with Saudi customers, with high scores for popularity and closeness.