BT’s brand value drops as new boss prepares image overhaul

The value of telecoms giant BT’s brand slumped this year as new chief executive Philip Jansen prepares to overhaul the company’s image.

BT dropped two rankings to 10th place this year as its brand value, which is calculated as the net economic benefit its owner would receive if it licensed the brand in the open market, fell 25 per cent from £8.66bn to £6.43bn.

Read more: BT has redesigned its logo and Twitter hates it

The company’s upcoming rebrand, which was ridiculed online after its minimalist logo was revealed last week, was not taken into account for the ranking.

However, Brand Finance, which compiled today’s research, is expected to reconsider BT’s placing after the logo is rolled out in August.

The total value for the UK’s top 150 brands rose 10 per cent to £369.1bn, driven by success in professional services, retail, insurance, tourism and leisure.

The highest performing brands in these sectors included EY, which grew its value by 40 per cent to £18bn, Aviva, up 39 per cent to £5.18bn and British Airways, which saw brand value increase by 23 per cent to £3.23bn.

Meanwhile, supermarket brands saw their value continue to grow as the stores’ online services remained popular with consumers, with Tesco ranking top with growth of 17 per cent to £8.77bn.

Sainsbury’s brand value rose 11 per cent to £4.53bn, Morrisons was up 3.9 per cent to £2.56bn and Co-op soared 45 per cent to £2.05bn.

Brand Finance chief executive David Haigh said: “It is the best of British brands whose reach already extends beyond the UK which will flourish due to their international presence.

Read more: BT staff handed £50m in annual share payout

“This global reach outside of Europe is what will ultimately help sustain momentum and further brand value growth.

“Despite the weaker pound and ongoing Brexit saga, this year’s UK 150 brands show a surprising level of resilience. Lower petrol prices, cheaper flights and the continued desire to have a holiday are benefiting airline, hospitality and retail brands.”

The UK's top 10 most valuable brands