Qantas name nosedive

Global report slices $384m from airline’s brand value

A turbulent 12 months has wiped $384m off the value of Qantas’ brand, according to an annual analysis of global airlines’ brand strength and worth.

The Brand Finance report ranked Qantas 21st in the world in terms of airline brand value, down from 16th last year after a series of controversies and setbacks.

It’s the first time a dollar figure has been placed on the brand damage associated with the consumer outrage, high airfares, executive salaries and poor performance that dogged Qantas in the past year.

Brand Finance Australia managing director Mark Crowe said the 12 per cent decline in Qantas’ brand value, from $3.1bn to $2.7bn, was at odds with the average 17 per cent increase across the top ten airlines’ brands.

“This highlights how much Qantas’ performance is trending against the strong recovery in the sector,” said Mr Crowe. “However favourable market conditions are expected to uplift Qantas’ investment in customer experience to strengthen its brand, therefore arresting a further decline in value.”

US carrier Delta Air Lines topped the rankings for brand value, followed by American, United and Emirates, then Southwest Airlines, British Airways and Qatar Airways.

Mr Crowe said the largest airlines typically had the biggest brand value because of their scale. What could be more worrying for Qantas was its exit from the top 10 “strongest brands” after ranking seventh in 2023 and consistently rating in the top five since 2018.

Qantas scored a total of 71.35, its worst result in nine years – down from 78.1 last year, and a high of 86.6 in 2019.

Brand Finance CEO David Haigh said a strong brand helped a company differentiate itself from its competitors and establish a unique identity in the market, which in turn led to increased customer loyalty and retention. “In addition a strong brand can help a company attract top talent, as employees may be more attracted to work for a well known and reputable brand,” said Mr Haigh.

Qantas remained confident it was on the right track to rebuilding its reputation, after committing $230m to customer improvements, investing in new A220s, A321s and A350s and empowering frontline staff to help with a faster recovery when things did not go to plan. A spokeswoman said the airline was listening to customer feedback and was focused on earning back trust.