The figure is likely to surprise some, with Manchester United being viewed as a bigger brand. However, many of its supporters are international.
With sales of overall branded merchandise soaring by 82%, sales of branded products through Arsenal is set to increase by 20%, according to Granada Ventures.
Granada Ventures, which owns 10% of the club, has predicted another big year for the Arsenal brand in 2005/2006 as the club prepares to move to its new home, Emirates Stadium in Ashburton Grove for the 2006/2007 season.
Arsenal, which lost yesterday's Community Shield match 2-1 to Chelsea at the Millennium Stadium, has an estimated global fanbase of 27m people and is one of the biggest clubs in the world after Man Utd and Real Madrid.
Research by Ipsos has shown that the club's fanbase is young and affluent, with 53% in the ABC1 demographic category and half in the 16-34 age bracket.
Last season saw a huge increase in revenue for the club with video and DVD sales growing by 196%, official annual sales increased by 80% and calendar sales increasing by 300% in 2004.
The naming rights of the club's new stadium is expected to represent the biggest club football sponsorship deal to date.
Charlie Donaldson, head of licensing at Granada Ventures, said: "Arsenal is a massive brand, probably one of the biggest in worldwide sport. Research by Ipsos RSL in February 2005 shows that Arsenal has the fastest growing support in the Premiership.
"The fanbase has increased from 3% of the population in 2002 to 4% in 2005."
Research revealed that 20% of all live matches broadcast in the UK feature Arsenal and 89% of people who support a Premiership football team say Arsenal is one of the three most successful clubs ever.
Thierry Henry came out top as the favourite Premiership player among fans who support a Premiership club.
As well as owning a stake in Arsenal, Granada also owns a stake in premiership club Liverpool. As part of ITV, Granada is currently considering whether to sell its football holdings as it concentrates on its core business.
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