Aramco remains the Middle East’s most valuable brand despite falling brand value and strength
Aramco, the most valuable Middle Eastern brand, has experienced a decline in brand value this year, falling to USD41.6 billion. This decrease is primarily revenue-driven due to a fall in crude oil prices and lower volumes sold. Ongoing economic uncertainty resulted in lower prices for hydrocarbons and lower refining and chemicals margins, compared to 2022, resulting in a drop in profits and reduced brand value.
Aramco’s falling brand strength has also contributed to its reduced brand value. It has strong perceptions amongst its traditional b2b audiences with opportunities to improve perceptions such as favourability. The brand is relatively weaker amongst b2c audience, where it has big ambitions to be a primary global retail player. Aramco has been investing heavily to build the brand amongst this audience, with material impacts to be seen in years to come.
stc is Saudi Arabia’s strongest brand, driven by ongoing diversification and digital transformation
stc is Saudi Arabia’s strongest brand achieving a Brand Strength Index score of 88.1/100. It is also the second most valuable brand in the country and the most valuable telecoms brand in the Middle East, with its brand value up 12% to USD13.9 billion.
stc has taken significant strides in its expansion strategy in both size and scope, creating an integrated system of subsidiaries specialised across digital infrastructure, the Internet of Things, cloud computing, cybersecurity, and business outsourcing services. This comes in addition to its telecommunications services and recent extensions of the brand into fintech with stc Pay/Bank and entertainment with stc TV and stc Play.
stc’s acquisition of an interest in Telefonica, one of the largest telecommunications companies in the world, marks a key milestone in stc’s growth journey. The stc brand has also strengthened further this year, playing an important part in enabling stc's commitment to ongoing growth and diversification. stc now holds the position as the second strongest telecoms brand in the Middle East.
Fellow telecoms brand Mobily's brand value has surged by 18% to reach USD2.1 billion, marking an impressive 151% increase over the past five years. In line with its regional and global telecoms counterparts, digital transformation is a central pillar to Mobily’s GAIN (Grow, Accelerate, Implement, Nurture) strategy. Guided by Saudi Arabia's national Information and Communications Technology (ICT) strategy, Mobily has fostered a robust digital ecosystem, aligning with national objectives and evolving needs. This growth strategy has helped drive robust revenues, a key contributor to Mobily’s growing brand value.
Management is taking an integrated approach to enhance brand consistency, build trust loyalty and a distinctive brand identity in the minds of consumers. The brand has been recognised by the Communications, Space & Technology Commission (CST) for excellence in user experience for three consecutive years and has most recently reached its highest brand strength ever at AA+.
ACWA Power is Saudi Arabia’s fastest-growing brand, up 72% to USD314 million
Utilities provider, ACWA Power is the fastest-growing Saudi Arabian brand, up 72% to a brand value of USD314 million. This correlates with the brand’s expansive growth and diversification efforts, highlighted by its acquisition of a 20% stake in Shuweihat CMS International Power Company, facilitating ACWA Power’s entry into the United Arab Emirates market, in addition to several solar initiatives. ACWA Power’s improved value sees it climb 21 positions in the Middle East 150 ranking.
Although not seeing as much brand value growth, Saudi Electric Company (SEC) (brand value up 6% to USD1.5 billion) remains the Middle East’s most valuable Utilities brand. SEC continues to actively invest to meet the region’s escalating electricity demand. Looking towards sustainability, SEC aims to source 50% of its energy from renewable sources by 2023, aligning with its ambitious goal of achieving Net Zero emissions by 2050 and contributing to the global energy transition. Notably, SEC retains its AA+ brand strength rating, solidifying it as the strongest utilities brand in the Middle East.
Saudi Arabia’s top banking brands grow steadily
Al-Rajhi Bank continues to elevate its stature in the banking sector, now standing as the second most valuable bank brand in the Middle East, with a notable increase in brand value of 13% to reach USD6.4 billion. This achievement underscores its position not only as a market leader in terms of valuation but also as the strongest brand among Middle Eastern banks, a testament to its robust reputation and customer trust.
Al Rajhi’s Impressive Brand Strength is built upon its market leading brand equity across all verticals. It’s brand appeals to a wide demographic while also leveraging is long legacy within the kingdom. It has a very strong position in Islamic banking and a high market share amongst a digital natives customer segment. The bank is constantly reviewing its customer segments and adapting its brand to be flexible enough to appeal to them. This adaptability has helped it lead in the b2c space and our research finds the halo effect for b2c is supporting the brand in b2b too.
Riyad Bank has achieved impressive growth in its brand value this year, recording a 17% increase over the last year, pushing its brand valuation over the USD2 billion threshold for the first time. This substantial growth in brand value to USD2.1 billion reflects a successful period of rebranding and repositioning that has resonated positively with both existing and potential customers.
The bank's achievement is underscored by notable improvements across various Brand Strength Index (BSI) parameters, including brand imagery attributes, familiarity, consideration, and Net Promoter Score (NPS). These metrics collectively indicate a stronger connection with customers and a significant shift in public perception. Historically perceived primarily as a government entity, Riyad Bank has been actively working to transform this view and reposition itself with a more dynamic and customer-centric brand image.
This transition away from a purely 'government bank' image towards a more favourable positioning has enabled Riyad Bank to attract a broader client base and foster deeper loyalty among its customers. By enhancing its service offerings and focusing on customer engagement and satisfaction, Riyad Bank has not only improved its operational metrics but also strengthened its brand equity in a highly competitive market. This strategic shift is evidently paying dividends, as reflected in the bank's robust growth in brand value.
SABIC demonstrates resilience with brand value growth amid tough market conditions.
SABIC has witnessed a 4% increase in brand value to reach USD4.9 billion, positioning it as the fourth most valuable brand in Saudi Arabia. Despite facing challenging market conditions over the past year, SABIC demonstrated brand resilience by achieving growth in brand value, even after spinning off its metals segment, Hadeed. This strategic move was aimed at focusing on key assets and optimising its brand portfolio.
Looking ahead, SABIC anticipates another challenging year for the petrochemicals industry in 2024, particularly in Europe where demand is expected to remain limited. However, the company is looking to capitalise on a projected rise in demand for petrochemicals in Asia. For instance, SABIC initiated commercial operations at a new polycarbonate plant in Tianjin, China, through a joint venture with SINOPEC. Additionally, the final investment decision was made on the SABIC Jujian petrochemicals complex in China, a USD 6.4 billion project aimed at furthering growth in the region.
Moreover, SABIC is heavily investing in Formula E sponsorship, aligning with its vision to play a pivotal role in Saudi Arabia as the national chemicals champion and enabler for Saudi Vision 2030
Healthcare brands growing quickly to sustain demand and drive Saudi Arabia’s transformation into a healthcare hub
The Middle East's healthcare market is experiencing swift evolution, driven by aspirations to become a global hub in the healthcare sector. Substantial investments are being directed into this market with the aim of becoming a leader in the transition toward a digitally advanced healthcare landscape. This drive is further fuelled by the imperative to meet the needs of a growing, health-conscious population and to capitalise on the potential of medical tourism to the region.
King Faisal Specialist Hospital & Research Center (KFSH&RC) has seen solid brand value growth of 31% in 2024, taking its brand value to USD1.5 billion, making it the Middle East’s most valuable Healthcare brand. KFSH&RC has also increased its Brand Strength Index score by 1.2 points for 2024, achieving a score of 73.9/100. This means it has maintained its standing as the 20th strongest Academical Medical Centre worldwide for the second consecutive year in Brand Finance’s Global Top 250 Hospitals ranking for 2024.
The hospital scored highly in local and regional awareness and familiarity, while also having a strong reputation for research, and for adopting the latest medical treatments and technology. This reflects KFSH&RC’s continued efforts to advance medical technology, highlighted by its successful performance of the world’s first fully robotic liver transplant in 2023, helping position it as a global leader in minimally invasive transplant surgery.
In 2023, Saudi female astronaut Rayyanah Barnawi conducted a series of experiments aboard the International Space Station (ISS) on behalf of KFSH&RC. These experiments focused on studying immune cell reactions, monitoring responses to inflammation, and offering insights into the effects of the space environment on biology. This further solidified the hospital's reputation for medical innovation.
Fellow Saudi Arabian Healthcare provider, Dr. Sulaiman Al Habib, (brand value up 37% to USD984.2 million) is the second most valuable Healthcare brand in the region and fastest growing in the ranking. The brand has recorded strong revenue forecast following consistent growth which continue to fuel its brand value increase.
The brand has continued to invest in its healthcare offerings, completing three new medical centres in Riyadh, providing multi-specialty clinics, emergency care, and pharmacy services. It has also integrated cutting-edge medical innovations, such as using artificial intelligence for breast cancer detection through mammogram readings. Moreover, the brand has enhanced its visibility by partnering with major events as a medical sponsor, including the Formula 1 Saudi Arabian Grand Prix, the Saudi Cup for Equestrian and Horse Racing, the FIFA Club World Cup, and the Saudi Games.
Saudia flies the flag for the nation's Vision 2030
Saudia (brand value up 23% to USD797 million) improved its brand strength rating from A to A+, coupled with a 1-point BSI score uptick to 60.0 of 100. As the flag carrier of Saudi Arabia, Saudia’s alignment with the nation’s ‘Vision 2030’ plan – aimed at increasing the number of tourists to Saudi Arabia to around 150 million annually by 2030 – is vital since the brand serves as a primary point of contact for international visitors with the nation and wider region.
In this vein, Saudia underwent a rebranding in September 2023, focusing on digital transformation, such as incorporating artificial intelligence into its operations, as well as authenticity to its Saudi culture in providing customer service.
Also noteworthy is the brand’s renewed partnerships with Newcastle United FC and Aston Martin Cognizant F1 team as well as the continued activation of it’s Global partnership with Formula E as the Official Airline Partner, allowing Saudia to interact with the their fans worldwide, which provides an added opportunity for the introduction of Saudi culture to new global audiences. These initiatives are beneficial to both Saudia’s international standing and Saudi Arabia’s soft power on the international stage.
Ma’aden continues to shape the future of the Middle Eastern mining sector
Ma’aden continues to hold the position as the Middle East’s most valuable Mining, Metals & Minerals brand following impressive growth in brand value of 35% to USD833.9 million. Ma’aden is the only mining brand from the region to brush shoulders with global players and it’s growth of 35% places it amongst the top 10 fastest growing mining brands globally, well above the sector average of 16%.
Mining is poised to play a central role in Saudi Arabia's Vision 2030, aiming to develop mineral value chains and establish mining as the kingdom's third pillar industry, following oil and petrochemicals. This strategic direction leverages Saudi Arabia's substantial untapped mineral reserves, which recent estimates valued at USD2.5 trillion, a 90% increase from the previous estimate. Ma'aden, a key player, will spearhead the tapping of vast phosphate, gold, copper, and bauxite reserves in the years ahead.
In 2023, Ma'aden also expanded its scope by launching Manara Minerals, a joint venture with PIF, aimed at investing in global mining assets. This move aligns with Ma'aden's 2040 strategy, emphasising upstream mining activities and positioning itself for future mineral opportunities.
Almarai leads in Saudi Arabia for sustainability perceptions
Almarai leads among Saudi Arabian brands on sustainability perceptions, ranking first across all three ESG metrics in Brand Finance's research. In 2019, Almarai initiated its "Doing Better Every Day" sustainability strategy plan centred around caring for people, protecting the planet, and producing responsible products. Since then, the brand’s emissions reductions efforts were recognized in 2023 by the Ministry of Environment, Water and Agriculture. Almarai is also active on donating healthy meals and boosting the employability of youth and those with disabilities.