Just Three Aussies In Top 100 Most Valuable Global Brands As Google Regains Top Spot

Just Three Aussies In Top 100 Most Valuable Global Brands As Google Regains Top Spot
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Google has stolen back its title as the planet’s most valuable brand from Apple, while only three Australian companies – Telstra, CBA and ANZ – have made this year’s BrandZ Top 100 Most Valuable Global Brands complied by WPP and market research firm Millward Brown.

You can download the full BrandZ report here.

Predictably, half of this year’s top 10 most valuable brands on the planet were tech firms. Google won back top spot from Apple after increasing its value by 32 per cent over the past 12 months and is now worth a staggering $US229 billion.

Second-placed Apple’s value actually declined eight per cent from 2015 but the company is still worth a monster $US228 billion – a billion shy of Google. Microsoft came a distant third, adding five per cent YOY to be worth $US121 billion.

Interestingly, McDonald’s was also in the top 10 with a value of $US88 billion. The top 10 included:

Screen Shot 2016-06-08 at 10.31.09 AM

When it came to the Aussie companies, the Commonwealth Bank was our top ranked firm coming in at number 64. However, it wasn’t all great news for CBA who fell 16 places from 2015 after its value ($US16.2 billion) fell 21 per cent YOY.

ANZ came in at 77th spot (down 18 places) with a value of $US12.8 billion and Telstra came in at 78th position and was also valued at $US12.8 billion.

Other key findings of this year’s report included:

·         Strong brands outperform the market.  Brands that appear in the BrandZ Top 100 Most Valuable Global Brands ranking consistently deliver a better financial performance than brands that are not included, thereby generating a superior return for shareholders.

·         Disruption is a catalyst for value growth. The categories that increased in value were all either shaken up by challenger brands founded on a unique and meaningful proposition, such as Under Armour and Victoria’s Secret in the apparel category (+14 per cent), or innovated to a high degree in response to a new trend, such as the brands in the fast food category (+11 per cent) which successfully responded to global demand for healthier products. 

·         Innovation is the main growth driver – but it must be seen and felt by consumers. The brands that are the strongest innovators have increased their value the most over the 11 years of BrandZ Top 100 rankings. However, to have an impact on brand value, innovation must be clearly communicated and delivered through the brand experience: the brands that are perceived as innovative by consumers – which include Disney (no.19) and Pampers (no.37) – grew nine times faster than those seen as less innovative.

·         Apparel is the fastest growing category, rising 14 per cent to $US114bn. There is an emphasis on high performance, with brands including Nike (+26 per cent) and Under Armour (a new entry) launching specialist premium lines, incorporating technology such as heart monitors into their clothing, and integrating sportswear with free apps to provide a total consumer experience.

·         B2B is a category of efficient businesses but inefficient brands. They are perceived as more responsible than B2C brands, better to work for, good value and stable, but not as exciting or dynamic. B2B brands are in fact highly innovative; ensuring they are credited as such requires strong and meaningful brand communication. SAP (no.22) and Adobe (a new entry at no.100) are among the B2B brands being perceived as innovative by customers.

·         Disruption extends to the ranking itself. Close to half (46) of the brands in the 2016 Top 100 entered the ranking after it was first launched in 2006; 54 have been there since the inaugural ranking. This shows how a strong brand can sustain its value over time, but also illustrates the potential that exists for new brands to successfully shake up the status quo.

·         Strong emotional connections are boosting local brands. With a clear understanding of their consumers’ needs, local brands are gaining market share at home and, with improved functionality and marketing, are also winning share in new regions. China’s Huawei (no.50, +22 per cent), for example, has rapidly globalised and taken market share from both Apple and Samsung.

 

 

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