New data out on Monday, 9 May 2011, commissioned by advertising and marketing services group WPP has found that emerging markets account for 19 of the top 100 valuable brands, while Apple superseded Google's four-year term at the top.
In publishing its sixth annual BrandZ Top 100 Most Valuable Global Brands study, WPP found that the Apple brand, as calculated by Millward Brown Optimor, a WPP company, had increased in value by 859% since 2006 and stood at US$153.3 billion.
The study found that, during the economic recovery of the last year, the combined value of all the brands in the top 100 had risen 17% to US$2.4 trillion. In terms of geography, according to the 2011 BrandZ study, 19 of the top 100 brands originated in BRICS markets (the emerging market economies of Brazil, Russia, India, China and most recently SA), versus only two in 2006.
"The importance of brand for global business success is becoming increasingly significant," said David Roth at WPP. "In the last year, the global economy shifted from recovery to real growth, and the combined value of all brands in the top 100 ranking has risen by 64% since 2006 and is now worth US$2.4 trillion. Strong brands, while not immune to the vicissitudes of the market, are more protected, prepared, resourceful and resilient."
The BrandZ Top 100 Most Valuable Global Brands study, commissioned by WPP and conducted by Millward Brown Optimor, identified and ranked the world's most valuable 100 brands by their dollar value, an analysis based on financial data combined with consumer measures of brand equity.
"Our brand valuations are a powerful measure of an organisation's ability to create real and lasting value for shareholders." said Eileen Campbell, CEO of Millward Brown. "By nurturing its brand and constantly innovating, Apple is able to command a high price premium and weather economic turbulence, providing a global business success story that other brands can learn from.
"Business leaders can embrace brand management as a critical competency for building long-term financial value," she added. "Compared with an overall improvement of 13% in the world's equity markets during 2010, the best brands grew their value 30% faster."
According to Millward Brown the growing presence of brands from BRICS in this global ranking highlighted the expanding purchasing power of people in these countries. While many of these brands were buoyed by the size of their local customer base, many more now had international ambition, including Petrobras in Brazil (No 61 in the ranking, with a brand value of US$13.4 billion); ICICI Bank in India (No 53 and worth US$14.9 billion) and China's largest search engine, Baidu. Now listed on the Nasdaq index, Baidu had a brand value of US$22.5 billion and moved up 46 places in the ranking to number 29.
Despite these successes, consumers in the BRICS regions continued to favour western brands. Louis Vuitton, for example, (for which Brazil is its second-largest market) benefited from the new energy and confidence in the BRICS group of economies. Its 23% growth in brand value to US$24.3 billion helped this luxury retailer achieve 26th place in the ranking, a three-spot increase from 2010.
The survey also highlighted that heritage brands remained relevant in a technology age, with Coca-Cola (No 6), GE (No 10), IBM (No 3) and McDonald's (No 4) having survived for more than 50 years.
Technology and telecoms brands, however, dominated the ranking. Technology brands, which make up one-third of the top 100 brands, continued to demonstrate their relevance. While Apple leads the ranking, it was followed in second place by Google, with a brand value of US$111.5 billion, and IBM in third place with a brand value of US$100.9 billion. Facebook made its debut in the top 100 ranking this year at No 35 with the highest increase in brand value, 246%, making the brand worth US$19.1 billion. Online retailer Amazon also edged past Walmart to become the No 1 retail brand and 14th overall, with a 37% rise in brand value to US$37.6 billion.
Fast food, luxury and technology brands led brand value appreciation.
Each of the 13 market sectors covered in this study grew in value over the past year. Fast food led the sector growth (22%), followed by luxury (19%) and technology (18%). The oil and gas sector experienced the slowest rate of growth (1%).
Toyota reclaimed its position as the most valuable car brand, demonstrating the power of strong brands to recover from the most fundamental challenges to product efficacy and reputation. Toyota's brand, which was rated by consumers as "great value", rose 11% to $24.1 billion.
The most valuable global brands 2011
Value in US$
Brand value change from 2010
*The brand value of Coca-Cola includes Lites, Diets and Zero
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