Spain 100 2021

The annual report on the most valuable and strongest Spanish brands

Only 17 of Spain’s Top 100 Most Valuable Brands Record Brand Value Growth; Día is Fastest Grower, up 56%.

• No movements in top 10 this year. Top 10 most valuable brands in ranking account for 60% of total brand value
• 45 brands rise ranks and 32 maintain rank  
• 81% of brands in ranking lose brand value. Meliá (down 65.0%), Merlin Properties (down 55.8%) and eDreams (down 47.2%) are fastest fallers
• 17 brands increase in brand value. Día is fastest growing, up 55.9%, followed by MasMóvil (up 29.0%) and Ibercaja (up 28.9%)
• Sum of top 100 most valuable brands in Spain down 13%  
• Santander, Zara, and Movistar claim top 3 spots  
• BBVA, Mapfre and Stradivarius claim top 3 spots for brand strength  
• 7 new entries in ranking: Puleva (72nd), Chufi (82nd), MasMóvil (90th), Cintra (93rd), OHL (94th), Pepephone (96th) and Campsa (100th)
• Sectors that have best responded to pandemic are banking, technology, telecommunications, food, beverages, logistics, and distribution
• Most impacted sectors are tourism (hotels and airlines), apparel, insurance, and media

This year, the total value of Spain’s top 100 most valuable brands has decreased by 13.4%, down €15.8 billion to €102.3 billion. Seven brands have entered the ranking for the first time: Puleva (72nd), Chufi (82nd), MasMóvil (90th), Cintra (93rd), OHL (94th), Pepephone (96th) and Campsa (100th).  

Madrid is the most valuable region, with Madrid-based brands contributing 40.3% of the total brand value in the ranking. Galicia follows in second, home to 13.5% of the total brand value, the Basque Country sits in third with 13.4% of the total brand value, Cantabria follows with 11.9% and Catalonia contributes 10.5%. The remaining 11.6% is distributed among the Valencian Community (7.8%), the Balearic Islands (1.9%), Andalusia (0.6%), Aragon (0.2%) and the Principality of Asturias (0.1 %).

Spain’s top sectors and brands  

The reputation of the banking sector improves

In the Brand Finance Banking 500 2021 ranking, the sum of the world’s top 500 most valuable banking brands fell by 10% to €1.08 trillion.  

Despite losing brand value, banks have played a vital role over the last year in supporting communities through the pandemic. These positive actions are reflected in the increase in positive perceptions about the sector’s reputation – perceptions that have increased globally and across Spain. Traditionally, the banking sector is among the least reputable, but according to Brand Finance’s Global Brand Equity Monitor, perceptions are changing, and banks now have the opportunity to react to this shift.    

The total value of Spain’s banking brands has fallen by 21% this year and three of the ten banks that feature in the ranking have recorded a drop in their Brand Strength Index (BSI) score, mainly a result of poor financial results. It is the four strongest banks in Spain that have lost the most brand value. Aside from CaixaBank, Spanish banks have seen their reputation scores.  

Santander has maintained its position as the most valuable brand in Spain despite recording a 23.4% drop in brand value to €12.2 billion. Its brand value is over double the value of the second most valuable banking brand, BBVA (brand value €6.5 billion). Santander benefits from its global presence that results in a significantly higher income compared to its Spanish rivals. Exposure to increased risk in the South American market, however, has contributed to the drop in brand value as profitability is less optimistic than in previous years.

In addition to measuring 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. BBVA is Spain’s strongest brand, with a BSI score of 85.2 out of 100, and is the only bank that has an AAA brand strength rating.

According to the Global Brand Equity Monitor, BBVA is perceived as being particularly innovative, as well as for having an excellent website and digital offerings – both factors that have been even more important given the increase in online presence during the pandemic. The bank has the highest growth ratio for the consideration metric, as well as scoring an almost perfect score on the heritage metric, scoring 97.5 out of 100.  

Banco Sabadell has suffered one of the largest drops in brand value, falling 27.5%. This steep drop in brand value has enabled Bankia to overtake following a 9.2% brand value loss this year. Banco Sabadell’s failed merger with BBVA has left the bank seeking a restructuring of its operations and more job cuts are expected in 2021.

Spanish technology companies suffer during pandemic, while the sector grows 9% internationally

As the pandemic continues to wreak havoc on the global economy, tech brands have managed to emerge relatively unscathed. The top 100 most valuable technology brands in the Brand Finance Tech 100 2021 ranking have grown 9% on average year-on-year, performing well compared with other sectors worldwide.  

Indra Sistemas’s brand value is down 7% this year, mainly due to pandemic-related challenges. Its performance has suffered despite the fact that in recent years the brand has celebrated strong income and profitability. The COVID-19 crisis has brought new challenges in Indra's Transportation and Defense division and, to a lesser degree, in the IT services division.  

Panic purchases save the logistics and distribution sectors  

Despite the pandemic disrupting supply chains, pandemic-induced panic purchases have fuelled the logistics industry. However, the reduction in demand for certain products, the implementation of social distancing and other safety procedures to combat the virus in warehouses, have all posed significant challenges for some brands. That said, this year the total value of the top 25 most valuable logistics brands in the world, according to the Brand Finance Logistics 25 2021 ranking, has increased from €143 billion to € 148.5 billion.  
UPS ranks first in the Brand Finance Logistics 25 2021 ranking for the seventh consecutive year, registering a modest 2% increase in brand value to €25.2 billion and maintaining a healthy lead ahead of FedEx (up 2% to €19.7 billion).

MTR is once again the strongest logistics brand in the world, with a BSI score of 81.1 out of 100 and a AAA brand strength rating. Chinese SF Express is the fastest growing logistics brand this year, recording an impressive 54% brand value growth to €5.8 billion. McLane, on the other hand, is the fastest falling brand, registering a 25% brand value loss to €3.7 billion.  

Spain’s Abertis recorded a 13.6% brand value loss to €1.2 billion. Revenue was impacted by restrictive government-imposed measures associated with commercial and economic activities, coupled with mobility constraints.

Regarding the distribution sector, e-commerce brands have thrived over the last year, registering an average 38% growth in brand value.

Amazon continues to dominate the sector as the world's strongest and most valuable retail brand, with brand value of €213.2 billion. Chinese brands have recorded solid growth too - Alibaba.com is the fastest growing brand in the Brand Finance Retail 100 2021 ranking. Traditional bricks and mortar brands that have invested in technology have also prospered, including Walmart which has recorded a 20% brand value increase this year. The supermarket segment has registered an average growth in brand value of 6%. 
Sfera has lost 12.4% of brand value as the effects of the pandemic left its parent company El Corte Inglés struggling to reorganise and reallocate its resources. Despite this, El Corte Inglés has posted an 11.7% brand value increase to €5.2 billion due to its successful shift to online shopping.  

In the supermarket segment, Día has recorded a significant 55.9% brand value increase, partly thanks to the change in consumer habits during the pandemic, which saw a shift to favour neighbourhood retailers. Its partnership with Amazon allowed Amazon Prime customers to access a two-hour home delivery service.  

Almost all Spanish telecommunications brands grow in brand value  

Cellnex’s brand value has grown by 28.4% due to impressive revenue growth as the brand undertakes significant geographical expansion across Portugal, France, the United Kingdom, and Poland. Euskaltel is also expected to grow rapidly with revenues projected to double over the next five years due to growth of the mobile and fixed line customer base.  

Grupo MasMóvil is the fourth largest telecommunications operator in Spain and provides fixed, mobile, and broadband internet services for residential, commercial, and wholesale customers. Three of its brands (Yoigo, Pepephone and MasMóvil) are some of the fastest growing brands in the ranking this year. Despite the pandemic, the group has managed to maintain its growth momentum, adding more than 500,000 new customers in 2020.  
The COVID-19 has hit Movistar and companies of the Telefónica group hard. Despite the challenging environment, Telefónica has remained at the forefront of developments in the sector, activating its 5G network, with the aim of achieving 75% coverage by the end of the year.  

Food and drink brands record growth  

Ebro Foods (brand value up 10.6%), the owner of the Minute Rice brand (brand value up 17%), has successfully capitalised on the pandemic by increasing sales of non-perishable products in North America and Europe.  

Puleva and Chufi are new entries into the ranking this year in 72nd and 82nd positions, respectively. Looking ahead, Chufi should see an increase in sales after having received a UHT milk certification for China last year.  

The outbreak of the pandemic has had a significant impact on the beer industry as the sector grapples with the closure of bars and restaurants as a result of global lockdowns. The most valuable Spanish beer brands have performed relatively well amid optimism of a quick rebound. Spanish brands that have grown strongly include: Damm (up 26.7%), Estrella Damm (up 23.3%), Voll-Dam (up 15.4%), San Miguel (up 14.9%) and Mahou (up 3.8%). In contrast, Cruzcampo’s brand value dropped by 13.6% and Xibeca Damm was down 7.8%.

The energy sector has remained somewhat stable this year as its brands’ services remain essential. Both Iberdrola and Naturgy have maintained stable growth and have recorded good financial results over the previous year. Iberdrola’s (up 1.4%) brand value was boosted by its large investment made in renewable energy. Endesa's subsidiary, Enel (down 18.3%) was affected by the group's results, as was Elecnor (down 34.4%).

Spain’s sectors and brands that have suffered most severely

Zara remains the most valuable brand in the Spanish apparel sector, but the Inditex group takes hit from pandemic  

All Inditex Group brands in the ranking (Zara, Bershka, Massimo Dutti, Stradivarius, Kiddy’s Class, Pull & Bear and Oysho) have felt the impact of the drop in the group’s financial forecasts. The fashion brands of the Inditex portfolio, including Zara (down 14.9%), Bershka (down 24.1%) and Pull & Bear (down 21.5%), have suffered the most.

End of the glory years for the insurance sector

After a few years of strong growth for insurers, with the industry as a whole more than doubling in brand value in the past decade in the Brand Finance Global 500 2021 ranking, results have been more varied this year as lockdowns produced widespread financial difficulties, with half of all insurance providers in the ranking experiencing dips in brand value year-on-year.  

Three insurance brands appear in the Brand Finance Spanish 100 2021 ranking. By far the most valuable of them is Mapfre, which sits in 8th with a brand value of €3.1 billion (down 13.6%). Mapfre is one of the most global brands in the ranking, with 44% of its operation residing in Spain and the remaining 56% worldwide.  

In contrast, Catalana Occidente, the second most valuable insurance brand in the ranking has recorded a 1.8% brand value increase to €826 million. Santalucía, has also recorded a 1.1% increase in brand value, jumping from 61st to 55th in the overall ranking.  

Regarding consumer sentiment, there is strong competition between international players AXA (more innovative), Allianz (price and quality) and Bupa (excellent website and applications). As the world begins to open up once again, insurance brands will need to position themselves intelligently to attract consumers in a world that has new risks and in response to changing priorities for consumers.  

Traditional media brands lose value

Across the media sector, brands have fared differently from the traditional media space to the newer digital media brands. In the Brand Finance Global 500 2021 ranking, gaming and streaming services enjoyed a significant boost in brand value this year as users turned to online means of entertainment in the wake of the pandemic. However, unlike its new media counterparts, COVID-19 has exacerbated the issues faced by traditional media brands.

All three Spanish media brands have recorded a brand value loss this year: Telecinco (down 5%), Antena 3 (down 15%) and PRISA (down 32%).  

The COVID-19 pandemic has had a significant effect on the television industry by the closing, suspending, and rescheduling of the production of television programs worldwide, which has negatively impacted revenue. Of the two main televisions brands in Spain, Antena 3 has more than 25% of market share. Although Antena 3 broadcast more ads than Telecinco, its total revenue decreased by 18%.  

The PRISA brand value has been significantly impacted this year falling 32.2%. Its brand strength also suffered dropping 2.0 points to 59.4 out of 100. In October 2020, PRISA reached an agreement with Sanoma Corporation to sell the Santillana business in Spain for €465 million. Analysts foresee lower revenues after the sale of their Santillana sub-brand in the coming years compared to previous years.  

Hotel brands on a long road to recovery  

The hotel and leisure & tourism sectors are among the sectors most affected by the pandemic. As holidays are cancelled and people are instructed to work from home, the hospitality sector has reached an almost complete standstill both from tourism, as well as corporate travel.

While restaurants and bars expect a rapid recovery as they begin to open again, it is feared that the road to recovery will be longer for hotels. Recent sector research suggests that recovery to pre-COVID-19 levels will not be achieved until at least 2023. Hotels in the economy segment are expected to recover faster than luxury hotels, as they can serve demand for those traveling for work, as well as long-term guests.

All hotel and leisure & tourism brands in the ranking have decreased in brand value this year. Meliá has lost the most brand value, down 65% year-on-year. However, it is interesting to note that most of the brands across these sectors have increased in brand strength.  

The airlines sector has suffered too. Iberia (BV down 25.3% and BSI down 1.0 points) and Vueling (BV down 31.9% and BSI down 5.1 points) like many other airlines have suffered significant losses in their brand values due to the global pandemic. The Spanish Government provided a rescue package of €1 billion exclusively to the Iberia and Vueling brands, which cannot be passed on to other members of the IAG group. Although Air Europa, has lost the most brand value (down 32.9%) its brand strength has increased by 4.1 points.  

Seat (up 13.4%) is the only auto brand in the ranking. Its increase in brand value can attributed to solid sales, with sales in 2021 exceeding sales in 2019.