FINANCE-BASED BRAND VALUE MEASUREMENT OF SPORTS ACTIVITIES SECTOR COMPANIES TRADED IN STOCK ISTANBUL 100: HIROSE METHOD

Abstract

The aim of the study is to determine the brand values of Turkey’s four largest football clubs ¬-Galatasaray, Fenerbahçe, Besiktas, and Trabzonspor- whose shares are traded in Borsa Istanbul, using financial data and evaluating the relationship between championship success and branding. Hirose method was used to calculate brand values. The Hirose method was employed to calculate brand values due to its ability to provide objective and reliable results by utilizing quantitative data in the brand valuation process. This method relies solely on financial statement data, ensuring a more impartial valuation by eliminating subjective interpretation in research findings. Financial reports for the 4th quarter of 2018-2022 were used in the analysis. These reports were obtained from the Public Disclosure Platform (www.kap.org.tr) and the official websites of the companies. Although there are studies in the literature on calculating brand value in different sectors using the Hirose method, no prior research has examined the relationship between branding and championship success by determining the brand values of Turkey's four major football clubs. The findings indicate that in 2022, Galatasaray Sportive Industrial and Trade Investement Inc. had the high value. Additionally, Galatasaray was the champion of the 2022 Turkish Super League. The limitation of the study is that the sample consists of only 4 sports companies in the BIST 100 index. The increasing importance of the power of intangible assets such as brands, as required by the corporate governance approach in 21st century companies, underscores the relevance and significance of this research.

Keywords

• Brand Value
• Hirose Method
• Financial Analysis
• Football Teams
• Sports Companies.

BORSA İSTANBUL 100'DE SPOR SEKTÖRÜNDE İŞLEM GÖREN ŞİRKETLERİN FİNANS TEMELLİ MARKA DEĞERİ ÖLÇÜMÜ: HİROSE YÖNTEMİ

Abstract

Çalışmanın amacı, hisseleri Borsa İstanbul'da işlem gören Türkiye'nin dört büyük takımı olan Galatasaray, Fenerbahçe, Beşiktaş ve Trabzonspor takımlarının marka değerlerini şirketlerin finansal verilerini kullanarak tespit etmek ve şampiyonluk ile markalaşma arasındaki ilişkiyi değerlendirmektir. Marka değerlerinin hesaplanmasında Hirose yöntemi kullanılmıştır. Hirose yönteminin tercih edilmesinin temel nedeni, marka değerlemesi sürecinde sayısal veriler kullanılarak objektif ve daha güvenilir sonuçlar elde edilmesini sağlamasıdır. Bu yöntemin, marka değerinin hesaplanmasında yalnızca finansal tablo verilerine dayanmakta olması araştırma sonuçlarında kişisel yorumlardan kaçınarak daha sağlam ve nesnel bir değerleme süreci sunmaktadır. Araştırmada kullanılan finansal raporlara Kamuyu Aydınlatma Platformu'ndan (www.kap.org.tr) ve şirketlerin resmi internet sitelerinden ulaşılmıştır. 2018-2022 yıllarının 4. çeyreğine ait finansal raporlar analizde kullanılmıştır. Literatürde Hirose yöntemi kullanılarak farklı sektörlerde marka değerinin hesaplanmasına ilişkin çalışmalar bulunmasına rağmen, Türkiye'nin dört büyük takımı Galatasaray, Fenerbahçe, Beşiktaş ve Trabzonspor'un şirketlerinin marka değerini bularak marka olmayı şampiyonlukla karşılaştıran bir çalışmaya rastlanmamıştır. 2022'de marka değeri en yüksek şirket Galatasaray Sportif Endüstriyel ve Ticari Yatırım A.Ş. olmuştur. Türkiye Süper Ligi'nin 2022 yılındaki şampiyon takımı Galatasaray'dır. Örneklem sadece BIST 100 endeksinde bulunan 4 spor şirketinden oluşması çalışmanın sınırlılığıdır. Marka gibi maddi olmayan varlıkların gücünün 21. yüzyıl şirketlerinde kurumsal yönetim anlayışının gereği olarak artan önemi çalışmanın amacına yön vermektedir.

Keywords

• Marka Değeri
• Hirose Yöntemi
• Finansal Analiz
• Futbol Takımları
• Spor Şirketleri.

References

1. Akbel, C. (December 2, 2023). Brands that reach the championship. Marketing Turkey. Retrieved from https://www.marketingturkiye.com.tr/haberler/sampiyonluga-uzanan-markalar-2/
2. Akbulut, R., and Rençber, Ö. F. (2018). Determining the brand value of companies in the furniture sector listed in BIST using the Hiroshi method. In Proceedings of the 12th-14th September Business and Organization Research Conference (pp. 314-330). Safranbolu/Karabük.
3. Akyüz, K. C., Ersen, N., and Akyüz, İ. (2022). Determining the brand values of companies in the paper and paper products industry listed on Stock İstanbul using the Hirose method. Turkish Journal of Forest Science, 6(2), 427-439.
4. Alper, D., and Aydoğan, A. G. E. (2019). The effect of financial-based brand value on firm performance. Journal of Academic Value Studies, 3(16), 141-155.
5. Aktifbank. (2016). Football economy report. Retrieved from https://www.aktifbank.com.tr/tr/Documents/FUTBOL-EKONOMISI-RAPORU%20.pdf
6. Avşarlıgil, N. (2021). Brand value: An application on companies listed in the BIST Technology Index. Journal of Proposal, 16(56), 585-610.
7. Baş, M., and Ardil, Ö. (2018). Development of an internet-based application to calculate brand value using the Hirose method. Journal of Management, Economics and Marketing Studies, 2(6), 1-18.
8. Beccacece, F., and Borgonovo, E. (2009). Brand valuation: A comparison of alternative models. International Journal of Operational Research, 6(2), 247-267.

9. Beşiktaş JK. (November 9, 2023). Football Inc. Retrieved from https://bjk.com.tr/sirketlerimiz/futbol_as/
10. Can, G., and Sağlam, M. (2021). Determining brand value using the Hirose method and an investigation of the relationship between brand value and company value: A comparison of Arçelik -Vestel and Ford Otosan-Tofaş. Journal of Current Researches on Business and Economics, 11(1), 109-128.
11. Ceylan, I. E. (2019). A study on the brand value-profitability relationship: Hirose method and panel causality analysis. Journal of Accounting and Finance, 389-414.
12. Demir, R. (2016). Financial statement-based brand value determination and an application in the BIST metal goods, machinery, and equipment manufacturing sector (Master’s thesis). Başkent University, Institute of Social Sciences, Ankara.
13. Demirtaş, M., and Orçun, Ç. (2022). Brand value analysis with the Hirose method: An application in the paper, printing, and publishing sectors. Journal of Academic Reflections, 7(2), 101-116.
14. Ekmekci, R., and Ekmekçi, A. (2010). Sport marketing. Pamukkale Journal of Sport Sciences, 1(1), 23-30.
15. Erkan, A. L. S. U., and Palta, G. (2017). Financial approach to brand value determination and measurement: An empirical study. Journal of International Afro-Eurasian Studies, 2(4), 175-186.
16. Ergül, N. (2017). Testing the relationship between football club achievements and financial performance in sports companies. Hacettepe University Journal of Economics and Administrative Sciences, 35(3), 43-71. https://doi.org/10.17065/huniibf.340696
17. Eyile, R. Y. (2019). Internationalization and brand value in the jewellery industry. Procedia Computer Science, 158, 751–760.
18. Fenerbahçe Sports Club. (October 21, 2023). General Assembly Information. Retrieved, from https://www.fenerbahce.org/fbfutbol/genel-kurul-bilgileri
19. Galatasaray Sports Club. (August 31, 2010). Read the version published in the Trade Registry Gazette. Retrieved from https://www.galatasaray.org/s/kisaca-galatasaraysportifas/38#:~:text=%C5%9Eirket'in%2031%20A%C4%9Fustos%202010,Ticaret%20Sicil%20gazetesinde%20ilan%20edilmi%C5%9F
20. Gökbayrak, S. (2019). Evaluation of brand value using the Hirose method: An application on Vakko Textile. Journal of Economics and Administrative Sciences, 1(3), 8-25.
21. Hirose, Y. (March 26, 2023). The report of the Committee on Brand Valuation. The Ministry of Economy, Trade, and Industry of the Government of Japan. Retrieved from https://dl.ndl.go.jp/view/download/digidepo_1285950_po_cbrandvalue.pdf?contentNo=1andalternativeNo
22. Investing.com. (November 13, 2023). Turkey 10-year bond yield historical data. Retrieved from https://tr.investing.com/rates-bonds/Türkiye-10-year-bond-yield-historical-data
23. Kamu Aydınlatma Platformu. (October 9, 2023) Trabzonspor Sports Investment and Football Management Inc. General Information. Retrieved from https://www.kap.org.tr/tr/sirket-bilgileri/genel/1400-trabzonspor-sportif-yatirim-ve-futbolisletmeciligi-ticaret-a-s
24. Karaca, S., and Karaca, A. (2020). Determining the financial brand value of foreign trade capital companies in the BIST sustainability index and the effect of the sustainability index on brand value. Gölen, Z., Akay Unvan, Y. and Özer, S. (Ed.), In Academic Studies in Economics and Administrative Sciences (pp. 150-172), IVPE, Türkiye.
25. Karahan, M., and Akgemci, M. A. (2024). Determination of brand value and evaluation within the scope of TMS 38. Gaziantep University Journal of Social Sciences, 23(4), 1543-1560.
26. Kaval, K. E. (2021). Brand value calculation using the Hirose method in the beverage sector. Marketing Insight Studies, 5(2), 59-70.
27. Kayıhan, B. (2019). Brand valuation techniques in strategic management accounting: An application. Manas Journal of Social Studies, 8(4), 3630-3650.
28. Keller, K. L. (1993). Conceptualizing, measuring, and managing customer-based brand equity. Journal of Marketing, 57, 1-22.
29. Kendirli, S., Kendirli, H. Ç., and Akgün, Z. (2016). Brand valuation methods: An application in the food sector using the Hiroshi method. Journal of Accounting and Finance, 71, 67-88.
30. Kılıçarslan, A., and Sucu, M. Ç. (2022). Determining brand value using the Hirose method and financial performance analysis: An application on intermediary institutions listed on Stock İstanbul. Journal of Business Studies, 14(3), 1937-1952.
31. Matzler, K., Grabner-Krauter, S., and Bidmon, S. (2006). The value-brand trust-brand loyalty chain: An analysis of some moderating variables. Innovative Marketing, 2(2), 76-88.
32. Merkezi Kayıt İstanbul (December 9, 2023). Company information. Retrieved from https://e-sirket.mkk.com.tr/?page=companyandcompany=11292#
33. Satılmış, E. (2022). Determining brand value using the Hirose method: An application on firms in the BIST tourism index (Master’s thesis). Higher Education Council National Thesis Center.
34. Soygüden, A. (2016). Examination of revenue sources in professional football clubs. Journal of Economics and Administrative Sciences, 4(9), 21-35.
35. Sumi, T. (2008). Intangible asset value evaluation and motivation. Portland International Conference on Management Engineering and Technology, 27-31. https://doi.org/10.1109/PICMET.2008.4599604
36. Tutar, E. A., and Medetoğlu, B. (2022). Evaluation of financial conditions of companies listed in the BIST sports index using the Altman Z-score model. Bandırma Onyedi Eylül University Journal of Social Sciences Research, 5(1), 15-26.
37. Ulaş, Ü. and Çıtak, L. (2020). Brand value and shareholder value: An application on BIST metal main industry companies. Alanya Academic View, 4(2), 399-410.
38. Uslu Divanoğlu, S., Bağcı, H., and Eroğlu, M. (2019). Calculation of Financial Brand Value Using the Hirose Method: An Application in the Stock Istanbul Banking Sector. Business Research Journal, 11(4), 2566-2577.
39. Uygurtürk, H., Uygurtürk, H., and Korkmaz, T. (2017). Determining brand value using the Hirose method: A study on ceramic sector companies listed on BIST. Social Science Texts, 2017(2), 10-21.
40. Uygurtürk, H., and Yılmaz, M. (2020). A study on the determination of financial performance and brand value of businesses. Journal of Economics and Business Studies, 12(2), 210-232.
41. Zengin, B., and Güngördü, A. (2015). Empirical study on brand value calculation: Finance and marketing dimension. Gazi University Journal of Economics and Administrative Sciences, 17(2), 282-298.