Despite 25% growth, Chelsea fall two places to 7th most valuable brand

Clive Rose

Here's your annual reminder (if you needed one) that football is business, clubs are brands, and we are soulless automatons plugged into a giant matrix of bite-sized nuggets of useless ephemera spread out along an information superhighway.  And there are ants crawling on your legs.  In the end, the ants will win.

But I digress.

Last season we learned that Chelsea's "brand value" had grown to $418m, or roughly 50% of the German merchandising dominatrix Bayern "Unser Pokal" Munich and Manchester "We're about to appoint David Moyes so sell all your stock" United.  We were still the second most "valuable" Premier League brand franchise club though.

Brand value is defined as:

Brand value is essentially the cost that a third party would have to pay to license the use of a brand. Brand strength analysis is used to determine the royalty rate that would have to be paid in that scenario. Brand strength analysis benchmarks strength, risk, longevity and future potential of the brand relative to competitors. This takes into account financial metrics such as revenue mix and growth, football specific marketing metrics such as honors, squad value, club heritage, Kickdex data, UEFA coefficient ranking and average attendance amongst others. Brands are then awarded a brand rating, a letter grade, similar to a credit rating from AAA+ to D. Having been determined based on the brand strength, the royalty rate is then applied to revenue figures to determine the brand value.

In case you care, we're now just the fourth most valuable Premier League club, with both Arsenal and Manchester City (just barely) leapfrogging us.  Liverpool are also hot on our heels, having grown by over $100m.  That's more than even Luis Suarez could bite off in one sitting.

It's not all bad news.  Actually, it's mostly good news (I guess?) as Chelsea's brand has also grown by almost $100, from $418m to $502m.  A roughly 25% increase year-on-year is good business.  Though not as good as City's $178m growth (~50%) or PSG's $238m growth (~300%).  But at least we're not Manchester United ($98m loss).

Here's the top 10.  Check out Brand Finance for the full list of top 50 (European?) clubs in terms of brand value.

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