INTERNATIONAL. London Heathrow is the world’s most valuable airport brand, according to a new report from consultancy Brand Finance.
The report gives Heathrow a brand value of US$919 million – more than US$150 million above second-placed Singapore Changi, at US$754 million.
Incheon (US$737 million), Frankfurt (US$547 million) and Paris Charles de Gaulle (US$544 million) round out the top five, with an illustration of the top ten viewable in the chart below.
Independent brand valuation consultancy Brand Finance said its report was the first of its kind analysing the world’s strongest airport brands. ‘Brand value’ is understood as the net economic benefit that a brand owner would achieve by licensing the brand in the open market.
The report uses a variety of metrics such as service quality, customer reviews and ratings, airport capacity, number of destinations, investment and utilisation to measure the value and strength of airport brands around the world.
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Brand Finance said Heathrow’s ability to accommodate a record-breaking volume of 80.1 million passengers was impressive. “The challenge now for top-ranked Heathrow is to think beyond the runway debate and to monetise its valuable brand and world-class reputation,” it said. Heathrow can do this “by stretching the brand into adjacent categories such as consulting and managing aviation-related services, such as advising other airport operators on management and operations, and training programmes”.
Brand Finance Director of Aviation Savio D’Souza commented: “A world-class airport hub is one that can operate seamlessly with heavy volumes of passengers transiting, departing and arriving while also maintaining high service standards across its terminals, a superior customer service offering and a pleasant travel experience for customers.
“The most valuable airport brands are those that manage to meet the demands of discerning business travellers and frequent flyers, as well as providing a comfortable and well-equipped environment to accommodate for a family embarking on their annual summer holidays.”
As well as calculating overall brand value, Brand Finance also determined the relative strength of brands through a balanced scorecard of metrics evaluating marketing investment, stakeholder equity, and business performance. “Along with the level of revenues, brand strength is a crucial driver of brand value,” it said.
According to this measure, Singapore Changi is the strongest brand in the sector, with a Brand Strength Index (BSI) score of 86.90 out of 100 and a corresponding AAA brand rating. “Changi Airport is renowned for its world-class duty free shops and transfer services as well as ease of access for passengers,” Brand Finance said. The consultancy also noted the opening of Jewel as a vital development.
In the brand strength measure, Changi is followed by Hong Kong (86.26), Incheon (85.85), Tokyo Haneda (80.9) and Heathrow (74.9) in the top five.
The full Brand Finance report can be read here.
