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Manchester United's brand value at stake following a disappointing Premier League season

Yashvanth Ram
3.02K   //    26 May 2014, 15:41 IST

Manchester United’s huge brand value is at stake after a weak performance in the recently concluded Premier league season. According to a report by Brand Finance, an International brand valuation consultant, Manchester United’s brand value has been damaged after a dismal season. Manchester United finished 7th in the league missing out on a European Cup next season. This season ended as a nightmare for the Red Devils without a single trophy.

The report highlights that the Bavarians retain their top position in the brand value chart after clinching the Bundesliga title in record time. Despite winning a double, Real Madrid ends up in the second position behind Bayern Munich due to the economic crisis in Spain. The third placed Manchester United brand is worth $739 million (£439 million), which is down $98 million on last year.

Contrastingly, Manchester United were the global giants in brand value charts during the 2010-2012 topping the list at a whooping £412 million worth of brand value, with a growth of  £39 million over the previous year. They were pushed behind by Bayern Munich after their league and UEFA Champions League double in 2012-13 and now have been pushed further down to third place due to their worst season in more than 24 years.

The report also says that the position of Manchester United could have been worse, but for the shrewd commercial management which has shielded them from more financial embarrassment.

Brand Finance defines brand value as the cost another party would have to pay to license the use of a brand. To calculate that cost the consultancy looked at a range of factors, including the mix of revenue, value of squad, and club heritage.

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