Why did Liverpool slipped to fifth and Man City firstly dominates Real Madrid.

 

List of most valuable brands in world football released, with Liverpool taking fifth place.

According to a recently published report, Liverpool is the fifth most valuable brand in world football.

While the Reds’ brand value increased by 8.8% year on year, the Reds slipped one place from last year’s list and were overtaken by Manchester United after the team from Old Trafford posted a 10.7 per cent increase from the 2022 list and its number one. brought a brand value of £1.174 billion compared to Liverpool’s £1.173 billion

The Brand Finance Football 50 Report 2023 details the brand value of Europe’s top football teams, with Premier League champions Manchester City taking the top spot for the first time after a 15.4% increase taking brand value from Pep Guardiola’s team at 1.299 billion euros. That puts them ahead of Real Madrid (£1.258bn), Barcelona (£1.185bn) second and third respectively, with United and Liverpool completing the top five.

Brand equity is calculated by assessing club revenue that is specifically related to brand reputation. Clubs own and control their revenue by owning the trademark rights.

Brand valuation consultancy Brand Finance tests 5,000 of the top brands every year and publishes over 100 reports evaluating brands from many industries and countries. The top 50 most valuable and strongest brands in the football industry are included in the annual Brand Finance Football 50 rankings. This rating, generated by professional accountants in accordance with ISO brand valuation standards, attempts to estimate the net economic benefit that a brand owner would gain from licensing the brand in the free market.

In addition to calculating brand equity, Brand Finance also determines the relative strength of brands through a balanced scorecard of metrics that evaluate marketing investment, stakeholder equity, and business performance.

These stats mean that Liverpool’s brand power is regarded as the second highest in world football, with 93.3 out of 100 giving them an AAA+ rating. Only Real Madrid’s brand strength is higher (94.8), with Barcelona, ​​Manchester United and Manchester City making up the rest of the top five. “Premier League brands make up 45 per cent of the value of the top 50 and the league has the most brands (18) represented; London’s seven is more than either Serie A or Ligue 1 combined,” said Hugo Hensley, associate director of Brand Finance.

“This is obviously due to the financial clout Premier League teams have thanks to huge broadcasting deals, but this is only a reflection of the attractiveness of the league and its clubs to fans and sponsors around the world. The research Brand Finance’s market share shows that the league is seen as the most competitive and exciting league to watch, and is seen as featuring more world-class players and clubs than any other league, with Manchester United and Liverpool first and third respectively for the statistic ‘the team has a global fan base’.

“A relatively even distribution of television revenues and the league’s reach that also allows smaller or newly promoted clubs to secure meaningful sponsorship perpetuates the competitiveness that keeps the league exciting.

“Manchester City’s recent dominance can be seen as a threat to their competitiveness, winning the title five times in the last six years and reflecting a problem that has emerged in the Bundesliga, Ligue 1 and more recently Serie A.”

 

City have continued their rise as both a competitive and financial force, with the club’s approach resulting in further success off the pitch, which will make the challenge for the honors even more difficult for players like Liverpool in coming seasons. Roel de Vries, Chief Operating Officer of City Football Group, owners of Manchester City, said in a statement: “Recognition as the world’s most valuable football club brand reflects the phenomenal growth that Manchester City have enjoyed in recent years.”

This success rewards the development not only of the brand but of the club as a whole. The club has been consistent this season, breaking records on and off the pitch while operating in a way that promotes financial sustainability.

“As we look to the future, we want to continue to invest in the right things – our football talent, the city of Manchester and our local community, infrastructure and the fan experience. We have a proven track record in innovation and we look forward to the next chapter in the great history of this club.

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