Top Brands Thrive Despite Economy According to Millward Brown’s Latest BrandZ[TM] top 100 Most Valuable Global Brands Study
NEW YORK, May 22, 2012 /PRNewswire/ –
No1 Brand Apple Grows 19% to $182.9 Billion While IBM Eases Past Google to
Take No.2 Spot
First African brand enters ranking
The world’s biggest brands have continued to grow in value during the current economic
uncertainty, according to WPP company Millward Brown’s annual BrandZ[TM]Top 100 Most
Valuable Global Brands study. The No1 brand for the second year, Apple, rose 19% in value
and is now worth $182.9 billion. IBM grew 15% in value to $115.9 billion and overtook
Google, which dropped to third place in the ranking and is now worth $107.8 billion. In
advance of its IPO, eight year old Facebook rose 74% in value, making it the fastest brand
value riser in the ranking. Worth $33.2 billion the social network moved up to No.19 from
No.35.
The study, commissioned by WPP and conducted by Millward Brown Optimor and now in its
seventh year, identifies and ranks the world’s most valuable brands by their dollar value,
an analysis based on financial data, market intelligence and consumer measures of brand
equity.
The 2012 BrandZ Top 100 Most Valuable Global Brands ranking demonstrates the power of
strong brands as both a driver of new business growth and a critical support in hard
times. Between 2006 and 2012, the total value of the BrandZ Top 100 rose 66% and is now
worth $2.4 trillion.
“Brands are an insurance policy for businesses,” said Eileen Campbell, Global CEO of
brand research company Millward Brown. “Despite a prolonged period of economic stress,
political uncertainty and natural disasters that buffeted brands across many categories,
the value of the world’s leading brands keeps rising across many categories, sustaining
and nurturing businesses.”
The Top 10 Most Valuable Global Brands 2012
Brand
Rank Rank Rank Value
2011 change 2012 Category Brand 2012 ($M)
1 0 1 Tech Apple 182,951
3 1 2 Tech IBM 115,985
2 -1 3 Tech Google 107,857
4 0 4 Fast Food McDonald's 95,188
5 0 5 Tech Microsoft 76,651
6 0 6 Soft drinks Coca-Cola 74,286
8 1 7 Tobacco Marlboro 73,612
7 -1 8 Communication Provider AT&T 68,870
13 4 9 Communication Provider Verizon 49,151
9 -1 10 Communication Provider China Mobile 47,041
David Roth for WPP said “Brands help businesses create competitive differentiation,
command a price premium and become more resilient to crises or economic turbulence. This
year, those businesses that leveraged technology, focused on the customer experience or
boosted control of their brands thrived”.
Apple continues to innovate and maintain its ‘luxury’ brand status, but faces future
competition from Samsung. Now worth more than $14.1 billion, thanks in part to the success
of its Galaxy handsets, Samsung is successfully outpacing Apple in a significant number of
markets by positioning as a cool, well-priced alternative to the ubiquitous iPhone.”
Key findings highlighted in this year’s research report include:
- Technology Prevails: Technology has become ubiquitous in all areas of our
lives. Seven of the top 10 brands are technology or telecoms brands. However, the
power of smart, simple-to-use technology can also be seen beyond these two sectors. In
other categories - cars, financial services, luxury and retail for example - we can
also see that brands are gaining significant advantages by using smart technology to
enhance their customer experience. For example, Burberry - up 21% to $4 billion -
created a virtual world where younger brand followers can view fashion shows and more.
- The Rise of Africa: This year's ranking highlights the progress of Africa's
economic development with the arrival of the first African brand in the Top 100 -
South African mobile company MTN - No 88 at $9.2 billion. But it's not just African
brands that are thriving south of the Sahara. Around 40% of Guinness's sales come from
Africa, Airtel's third quarter results showed a 16% increase in revenue in Africa.
Similarly, Orange enjoyed rapid growth in Africa in 2011, while Walmart invested there
with the acquisition of Massmart.
- The Future is Mobile: The future of the internet will be predominantly mobile
rather than computer based. Mobile, to some extent, has been shielded from the
recession as one of the few items consumers don't want to give up or cut back on. The
most valuable telecoms brand is AT&T worth $68.8 billion. Whilst the USA's largest
mobile service provider, Verizon, increased its brand value by 15% in the last year
and is now worth $49.1 billion.
- Retail: Constructing an Omni-Channel Business: The customer experience is a
new focus for many retailers as they recognise its importance in keeping customers
loyal and the need to be present anywhere and everywhere on the path to purchase.
Walmart knocked Amazon from the top position and its brand is now worth $34.4 billion
whilst Amazon is now worth $34 billion.
- Brands with Women on the Board Outperform: As the number of women on corporate
boards continues to rise,the BrandZ Top100 study this year reveals the success that
women bring to brands. 77% of the brands appearing in the BrandZ[TM]Top 100 Most
Valuable Global Brands have women in the boardroom. The average value of brands with
women on the boards is $27 billion, double that of those companies without female
directors. Not only that, these brands also show an average five-year growth of 66%
compared to an average growth of only 6% for those BrandZ Top100 brands that don't
have a woman on the board.
- Strong Brands Provide Better Shareholder Value: An analysis of BrandZ Top 100
Most Valuable Global Brands as a 'stock portfolio' over the last seven years shows a
highly favourable performance compared to a current stock market index, the S&P500.
While the total return on investment (ROI) for all companies in the S&P500 index was
just 2.3%, the BrandZ Portfolio provided a 36.3% ROI, proving that companies with
strong brands are able to deliver better value to their shareholders. A graphic is
available here.
[http://www.millwardbrown.com/global/extcampaigns/?s=pr&ln=2012_BrandZ_Top100_SP-Graph ]
The BrandZ Top 100 Most Valuable Global Brands study is the only valuation in the
world that takes into account what people think about the brands they buy alongside
rigorous analysis of financial data, market valuations, analyst reports and risk profiles.
The research report, which is available online, includes a ranking and analysis of the
most valuable brands for key regions of the world and 13 market sectors. Download the
complete BrandZ ranking here
[http://www.millwardbrown.com/global/extcampaigns/?s=pr&ln=2012_BrandZ_Top100_Report ],
including regional and category breakdowns. The rankings and a great deal more are also
available as a free interactive mobile app for Apple and Android and as an iPad magazine
[http://www.millwardbrown.com/global/extcampaigns/?s=pr&ln=2012_BrandZ_Top100_iPad-Magazine ]
.
NOTES TO EDITORS:
About the BrandZ Top 100 Most Valuable Global Brands Ranking
Developed for WPP’s operating companies by Millward Brown Optimor, the BrandZ Top 100
Most Valuable Global Brands ranking is now in its seventh year. It is the only study to
combine
measures of brand equity based on interviews with over 2 million consumers globally
about thousands of global “consumer facing” and business-to-business brands with a
rigorous analysis of the financial and business performance of each company (using data
from Bloomberg and Kantar Worldpanel) to separate the value that brand plays in driving
business revenue and market capitalization. Consumer perception of a brand is a key input
in determining brand value because brands are a combination of business performance,
product delivery, clarity of positioning, and leadership. The ranking takes into account
regional variations since, even for truly global brands, measures of brand contribution
might differ substantially across countries.
About Millward Brown
Millward Brown is one of the world’s leading research agencies and is expert in
effective advertising, marketing communications, media and brand equity research. Through
the use of an integrated suite of validated research solutions – both qualitative and
quantitative – Millward Brown helps clients build strong brands and services. Millward
Brown has 82 offices in 52 countries. Additional practices include Millward Brown’s Global
Media Practice (media effectiveness unit), The Neuroscience Practice (using neuroscience
to enhance traditional research techniques), Millward Brown Optimor (focused on helping
clients maximize the returns on their brand and marketing investments), Dynamic Logic (the
world leader in digital marketing effectiveness) and Firefly Millward Brown (a global
qualitative research business). Millward Brown is part of Kantar, WPP’s insight,
information and consultancy group.
About WPP
WPP [http://www.wpp.com ] is the world’s largest communications services group.
Through its operating companies, the Group provides a comprehensive range of advertising
and marketing services including advertising; media investment management; consumer
insight; public relations and public affairs; branding and identity; healthcare
communications; direct, digital, promotion and relationship marketing and specialist
communications. The company employs over 158,000 people (including associates) in 2,500
offices in 107 countries.
For further information please contact:
Delyth Hughes
Associate Director, Global Communications and Marketing, Millward Brown
Tel: +44(0)1926-826179
Email: Delyth.Hughes@millwardbrown.com
Or
Teresa Horscroft
Eureka Communications
Tel: +44(0)1420-564346
Mobile: +44(0)7990-520390
Email: teresa@eurekacomms.co.uk
SOURCE Millward Brown
