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Manchester United's Brand Bigger than Ferrari
19.2.01

Manchester United, the world's richest football club, is the most valuable sports brand in Europe, beating other franchises such as Ferrari and McLaren Mercedes, according to a report by the brand consultancy FutureBrand.

FutureBrand, part of Interpublic, the global advertising group, valued each sports franchise using a methodology normally used for calculating the brand value of large commercial businesses. The company analysed the financial performance of each sports franchise, surveyed fans in 30 countries to understand what made them loyal to their sport and club, and studied the stability of each brand by considering the effect of competitors.

There was recognition of the importance of a loyal local fanbase. While Manchester United expands its interests overseas with marketing alliances with the New York Yankees baseball team, it would be well advised to maintain good relations with local supporters. "A strong passionate local fan base is the single most important factor driving brand value," the report said.

The European list was dominated by football clubs and Formula One teams, which the report attributed to the fact that both sports attract the most income from broadcasting rights. Exploitation of each sports franchise through effective marketing once the brand was established is also key. Scarcity - and the absence of nearby competing franchises - also plays a key role in creating brand value.The association of top stars with the brand, such as David Beckham and Ryan Giggs with Manchester United, was a further way to boost the value of a sports franchise, the report said.

 

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