Shell (brand value up 8% to EUR46.5 billion) earns title of fourth most-valuable European brand, according to a new report frrom leading brand valuation consultancy, Brand Finance.
Every year, leading brand valuation consultancy Brand Finance puts 5,000 of the biggest brands to the test, and publishes over 100 reports, ranking brands across all sectors and countries. The world’s top 500 most valuable and strongest European brands are included in the annual Brand Finance Europe 500 2023 ranking.
Shell has played a global leadership role in helping customers divest from Russian following the Russian invasion of Ukraine, helping to mitigate damage to Europe’s energy security. The economic fallout of the pandemic, leading to rising oil demand and increased hydrocarbon prices, has further benefitted Shell. With the appointment of a new CEO in 2023, the brand anticipates continued growth. However, concerns about high profits from increased energy prices and insufficient commitment to alternative energy sources could present a risk to brand perceptions.
Annie Brown, General Manager of Brand Finance UK said, “Throughout the past year, Shell has enjoyed the advantages of soaring hydrocarbon prices, driven by disruptions in gas supplies and a surge in oil demand as global economies began to return to normalcy in the aftermath of the Covid-19 pandemic.
“However, despite record profits off the back of this, Shell’s decline in brand equity has tempered the company’s growth in brand value, casting a revealing light on the complex dynamics shaping Shell’s overall performance.”
Dettol is sparkling clean as the third-strongest European brand
In addition to 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. Compliant with ISO 20671, Brand Finance’s assessment of stakeholder equity incorporates original market research data from over 100,000 respondents in 38 countries and across 31 sectors.
Dettol (brand value up 51% to EUR1.5 billion) has shot up an impressive 38 places to be named the third-strongest European brand. Consumers across Europe recognise Dettol for its effectiveness in killing germs and preventing infection spread. Post-pandemic, awareness around hygiene and health has risen and consumers appear to trust Dettol. This is reflected in the brand’s strong familiarity and consideration scores. As such, Dettol benefits from consumer willingness to pay more for its products compared to off-brand alternatives.
UK banking brands increase their brand values in this year’s ranking
HSBC (brand value up 23% to EUR19.1 billion) and Barclays (brand value up 23% EUR11.9 billion) are this year’s first and third most valuable European banking brands. Improved economic forecasts in the post-pandemic era have hugely benefited UK banks, which have enjoyed significant profit increases. While expecting higher costs due to inflation and increased investments, rising interest rates have helped major UK banks to offset these effects and maintain their competitive edge in the European market.
UK gambling brands jump up the brand strength ranking
William Hill (brand value up 20% to EUR1.3 billion) and bet365 (brand value up 10% to EUR3.9 billion) are the second and third biggest brand strength climbers in this year’s Europe 500 ranking. William Hill commands significant recognition in the UK and in Europe, earning a familiarity score of 71, well above the industry average. A much newer brand, bet365 has nonetheless solidified its position as a dominant player in the industry, renowned for its extensive array of sports markets, in-play betting options, and relatively user-friendly interface.
Deutsche Telekom is the most valuable European brand, brand value EUR60.7 billion
German telecoms provider Deutsche Telekom (brand value up 17% to EUR60.7 billion) has surpassed former champion Mercedes-Benz (brand value up 8% to EUR56.7 billion) to become the most valuable European brand. Building on its success as the second most valuable telecoms brand globally, Deutsche Telekom’s latest title as the most valuable European brand comes as a result of strong revenue growth across European markets and increasing customer numbers. The latter has also significantly propelled the brand’s growth in the US, which has seen record customer additions.