21% increase adds record $748 billion in new value

147 Pages·2017·58.39 MB·English

21% increase adds record
$748 billion in new value
Brand building powers rise in every category
Photograph by Paul Reiffer
TOP
100 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27
28
100 Welcome to the... Top 10 Most Valuable Global Brands Top 10 Risers 29
Top 10 B2B Brands
$ = Brand Value US $MIL. % = Brand Value Change 2018 vs. 2017 $ = Brand Value US$ Mil. % = Brand Value Change 2018 vs. 2017
$ = Brand Value US$ Mil.
99 Technology $302,063 +23% # = Top 100 Rank Technology Retail $20,933 +94% 30
$200,987 #4
Technology $300,595 +28% Retail $113,401 +92%
31
98 Retail $207,594 +49% Alcohol $32,113 +89%
Technology
Logistics
Technology $200,987 +40% $96,269 #11 $60,412 #16 Payments $35,440 +85% 32
97 Technology
Technology $178,990 +65% Entertainment $20,819 +73%
$55,366 #17
33
96 Technology $162,106 +25% Luxury $22,442 +66%
Total Value of The $4.4Trillion Payments $145,611 +31% Regional Banks Technology $178,990 +65%
95 Top 100 Most Conglomerate 34
$54,952 #18
Valuable Global Brands Fast Food $126,044 +29% $39,041 #28 Technology Cars $9,415 +60%
35
94 $33,723 #32
Retail $113,401 +92% Luxury $3,612 +54%
93 BrandZ™ Portfolio outperforms the S&P 500 Index 36
Telecom Providers $106,698 -7% Technology $17,831 +53%
an d the MSCI World Index 172.1%
92 Source: BrandZ™ / Kantar Millward Brown (including data from Bloomberg) Technology
The BrandZ™ Strong Brands Portfolio is a subset of the
91 B ra nBdZra™n dTZo™p 1S0t0ro Mngo sBtr aVnadlusa Pboler tGfololiboal Brands. 102.0% Newcomer Brands $28,316 #38 $25T,e8c0hn2o log#y45 Technology 37
S&P 500 # = Top 100 Rank $ = Brand Value US $Mil.
90 MSCI 50.3% $24,922 #48
Download 38
89 April April #27 #90 SF Express the Mobile app
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 20172018 Telecom Providers $39,372 Logistics $14,537 Year-on-Year Category Changes
88 % = Brand Value Change 2018 vs. 2017 www.brandz.com/mobile 39
#59 #91 Instagram $ = Total Category Value US $Bil.
$20,933 $14,496
87 Retail Technology Insurance 40
+34%
#81 #99
86 $108.7Bil.
Transport $16,045 Regional Banks $12,674 Global Banks 41
+24%
85 #89 #100 $131.8Bil.
42
Top 10 in Brand Contribution Technology $14,797 Apparel $12,456
84 Personal
Retail Care
+35% Luxury +8% Apparel 43
+28%
$578.0Bil. $124.7Bil. +5% Beer Oil &
83 Technology $133.1Bil. +3% Gas
$111.3Bil.
Baby Care Beer Luxury Beer Luxury +28% +1% 44
$82.6Bil.
Regional
$1,592.3Bil. $97.6Bil.
Banks Fast
82 +16% Food
+13% 45
Brand Contribution $263.2Bil. Soft
81 mofe barsaunrde sa tlohnee in aflnude insc e $242.2Bil. +C7ars% +Dr4ink%s
measured on a scale Telecom Providers
Soft Drinks Personal Care Beer Retail Beer
of 1 to 5, with 5 the $149.6Bil. $160.7Bil. +2% 46
highest. All of these
80 brands scored 5. $455.6Bil.
47
79 www.brandz.com
48
78
77 76 75 74 73 72 71 70 69 68 67 66 65 64 63 62 61 60 59 58 57 56 55 54 53 52 51 50 49
BrandZ™ Top 100 Most Valuable Global Brands 2018
5
CONTENTS
The Categories
8 WELCOME
126 BRANDZ™ ANALYSIS
David Roth, CEO,
3 Category Changes
The Store WPP, EMEA & Asia
Chairman, BAV Group
130 THE CONSUMER CATEGORIES
4 Apparel
Cars
Luxury
1
Personal Care 6
Retail
Disruption
THOUGHT LEADERSHIP
174 Value, Values, And Vogue
and Change Regions and
2 by Anusha Couttigane, Senior Fashion
Analyst, Kantar Consulting, Retail &
Countries Resources
Shopper Practice
Introduction
178 THE FOOD AND DRINK CATEGORIES
58 BUSINESS-TO-BUSINESS
Beer
Fast Food
64 DISRUPTION
96 REGIONS AND COUNTRIES Soft Drinks 256 BRANDZ™ BRAND
14 OVERVIEW The BrandZ™ Overview VALUATION
THOUGHT LEADERSHIP
North America THOUGHT LEADERSHIP METHODOLOGY
70 Disruption
18 BRANDZ™ STOCK Asia 198 E-commerce Innovation
Global Top 100
by Uri Baruchin,
PORTFOLIOS Continental Europe by Eric Heller, CEO, 260 BRANDZ™ GENOME
Strategy Partner, Superunion
UK Marketplace Ignition MAPPING
20 KEY RESULTS Latin America
74 Blockchain
202 THE FINANCIAL CATEGORIES 264 REPORTS AND APPS
by Bediz Eker
24 CROSS CATEGORY TRENDS THOUGHT LEADERSHIP Global Banks POWERED BY BRANDZ™
34 THE TOP 100 RANKING Group Strategy Director, Y&R 110 Consumer Revolution Regional Banks
30 TAKEAWAYS by Nihar Das, Global Account Insurance 270 WPP COMPANY
38 BRANDZ™ ANALYSIS 78 THE FUTURE OF BRANDS Director and Archana Ram, CONTRIBUTORS
Top Risers Product Lead (Team P&G), THOUGHT LEADERSHIP
Newcomers THOUGHT LEADERSHIP MediaCom 218 Women & Finance 284 WPP COMPANY BRAND
Brand Contribution 86 Paradox of Digital by Rosi McMurray, Planning Director, BUILDING EXPERTS
Brand Imprint by J. Walker Smith 114 BEST COUNTRIES UK Financial Services & Technology,
Chief Knowledge Officer,
Overview Kantar TNS 288 BRANDZ™ GLOBAL
Brand & Marketing,
Methodology TOP 100 TEAM
Kantar Consulting
222 THE COMMODITY CATEGORIES
Oil & Gas 290 BRANDZ™ BRAND
90 Experience
VALUATION CONTACT
by Doreen Wang
THOUGHT LEADERSHIP DETAILS
Global Head of BrandZ™
228 Premium Redefined
Kantar Millward Brown
by Dayoán Daumont, Consulting 291 BRANDZ™ ONLINE
Partner, Innovation & Digital AND MOBILE
Transformation, OgilvyRED
232 THE TECHNOLOGY CATEGORIES
Technology
Telecom Providers
THOUGHT LEADERSHIP
250 Voice
by Whitney Fishman Zember,
Managing Partner, Innovation and
Consumer Technology, Wavemaker
6 7
BrandZ™ Top 100 Most Valuable Global Brands 2018
Welcome
David Roth
CEO, The Store WPP, EMEA & Asia and Chairman, BAV Group
[email protected]
Twitter: davidrothlondon
Blog: www.davidroth.com
Record increase in value
touches every category
Brands more necessary
in complex market
The WPP BrandZ™ Top 100 Most Although this year’s stronger global And the gap is getting even wider. Greater challenge for brands ago. Brands need to be present online, This is why, in a year of record-
Valuable Global Brands 2018 set a economy influenced the value Brands that are different and We created this report to help especially on mobile, and offline in breaking value growth, it is important
record this year, increasing 21 percent, increase, it was only one factor. innovative—themselves disruptive— brands understand how to grow and traditional stores and any other pop- to acknowledge that it’s not just
the highest year-on-year percentage A rising tide floats all ships, but a grow value faster than even the sustain value in today’s disruptive up or experiential venue. Because the the economy. It’s brand and brand-
increase in a decade and the greatest growing economy does not float all strongest brands. Over the past marketplace. Our analysis finds that consumer could be in any of these building that makes the difference. As
addition of value ever—$748 billion. brands, at least not equally. Strong 12 years, our BrandZ™ Strong and brands grow value by anticipating places, or in more than one of these the marketplace becomes ever more
The surge rippled across every brands do better—usually much better. Innovative Brands Portfolio increased and fulfilling the needs and wants places—simultaneously. complex, brands will only become
category without exception. The best evidence is the stock market. 226.7 percent in value, more than of consumers in relevant ways that more important. And that’s why I urge
twice the rate of the S&P 500. are innovative, create an emotional Or, the consumer could be at home, you to read through this report closely.
This stellar achievement followed Over the past 12 years, when the connection, and distinguish the brand cooking dinner while talking to Alexa or
12 years of steady growth, despite S&P 500 increased 102 percent, the Here’s the key insight: Brands that from its competition. Google Home, creating shopping lists
buffeting by the global economic crisis BrandZ™ Strong Brand Portfolio depend on the economic tide alone of items that will likely be fulfilled by
and by ongoing—ever increasing— (brands in the Global Top 100 with may be caught in the turbulence. That’s easier said than done, especially algorithm or paid search—unless brands
disruption from e-commerce, radically the strongest brand equity) increased Growth—even survival—depends on in these times when shopping hardly speak to the consumer in a louder
changed shopping habits, and new 172.1 percent. That growth gap is being innovative and different—and resembles how people purchased voice, with a Meaningfully Different
technologies, including artificial worth a lot of shareholder money. communicating those advantages in products and services even 10 years proposition urging, “Choose me.”
intelligence and fintech. innovative and different ways.
8 9
BrandZ™ Top 100 Most Valuable Global Brands 2018
Welcome
FRANCE
Total Value of French Brands in the BrandZ™ Global Top 100
$115.0 Bil.
Invaluable brand-building CATEGORY INSIGHTS Top 100 Most Valuable US Brands;
intelligence In Part 5 Categories we look closely BrandZ™ Top 50 Most Valuable
at developments in 14 product Indian Brands; BrandZ™ Top 50 Most
This comprehensive and invaluable categories, adding insights and brand Valuable Latin American Brands;
report is only an indicator of the many building takeaways from WPP brands BrandZ™ Top 50 Most Valuable
ways we at WPP can help you build experts. UK Brands; BrandZ™ Top 50 Most
and sustain high-value brands. As you Valuable French Brands; BrandZ™ Top
look through it, here are some of the In addition, we’ve included Thought 50 Most Valuable German Brands;
highlights that deserve your attention: Leadership articles written by WPP BrandZ™ Top 50 Most Valuable
company brand experts from 38 Indonesian Brands, BrandZ™ Top 30
CRITICAL TRENDS of our WPP operating companies Most Valuable Spanish Brands; and
In Part 1 Introduction, in Cross across the world. These articles offer BrandZ™ Top 20 Most Valuable Saudi
Category Trends, we identify the analysis and points of view on many Arabian Brands.
key influences affecting multiple of the topics examined elsewhere
categories, stretching them into new in the report, including disruption, We have the data, knowledge,
areas, even collapsing the category brand experience, and the changing experience, insight, determination,
walls, and we analyze the implications consumer. and single-minded purpose to help
for brands. you create and build valuable brands.
How we can help To learn more about how to harness
BRAND STRENGTHS our passion to work for your brand,
In Part 2 The BrandZ™ Global Top The BrandZ™ Global Top 100 report please contact any of the WPP
100 we examine the brands that rose demonstrates a key WPP strength— companies that contributed expertise
fastest in value year-on-year and the and a benefit for our clients—when to this report. Turn to the resource
brands that entered the Global Top we say we cover the world of section at the end of this report for
100 for the first time, and we identify brands, that’s exactly what we mean. summaries of each company and the
the strengths these brands share in We operate over 3,000 offices in contact details of key executives. Or
common. 112 countries. WPP’s proprietary feel free to contact me directly.
BrandZ™ brand building platform
DISRUPTION includes information from 3.6 million Sincerely,
In Part 3 Disruption and Change we consumers about their attitudes
explore in depth the forces disrupting about (and relationships with) 122,000
brand-building today and connect that brands in 418 categories across 51
knowledge with our assessment of the country markets. All that produces
future of brands. more than 5.1 billion data points. David Roth
WPP
GLOBAL GROWTH We have assembled an extensive [email protected]
In Part 4 Regions and Countries we library of BrandZ™ reports and I Twitter: davidrothlondon
combine the WPP branding expertise invite to you access them with our Blog: www.davidroth.com
of BrandZ™ and BAV to explore how compliments at BrandZ.com. Here
the perceived brand qualities of a are just some of the reports you will
country can influence the international find there: the BrandZ™ Top 100 Most
growth of its brands. Valuable Chinese Brands; BrandZ™
10 11
1
Introduction
Overview
BrandZ™ Stock Portfolios
Key Results
Cross Category Trends
Takeaways
1 Introduction BrandZ™ Top 100 Most Valuable Global Brands 2018
Overview
The BrandZ™ Top
21% increase drives record
100 Most Valuable
$748 billion in added value
Global Brands rose
Brand building powers rise in all categories
21% in value to
The record growth touched Retail was the bellwether category.
both consumer and business Having been battered and thoroughly Tencent, China’s giant internet
$4.4 trillion, adding brands and followed years of transformed by e-commerce, retail led portal and most valuable brand,
category value growth for the second entered the BrandZ™ Global
value fluctuations as brands
consecutive year, with a rise of 35 Top 5. And SF Express, a Chinese
contended with economic and
percent. Two Chinese e-commerce logistics brand joined the Top
$748 billion, the technological disruptions. It giants drove the retail surge. JD.com 100, with the addition of the
confirmed the positive effect of increased 94 percent in value, and logistics category to the report
building brands over the long- Alibaba, 92 percent. this year.
term and the importance of
largest one-year delivering consistent customer These two Chinese brands also led the Chinese brands increased 49
Top 20 Risers, the list of brands that percent in value year-on-year
experience. Strong brands
increased most in value year-to-year, and 1,445 percent over the past
caught the tailwind of a sound followed by another Chinese brand, 12 years. Fourteen Chinese
value increase in the economy. Moutai. A premium baijiu, China’s brands rank in the 2018 BrandZ™
traditional white alcoholic drink, Moutai Global Top 100, compared with
increased 89 percent in value. one Chinese brand 12 years ago.
12 years of publishing Although North America, principally An Indonesian brand entered the
the US, continued to dominate the BrandZ™ Global Top 100 for the
Global 100 in number of brands (57) first time, the regional bank BCA.
and percent of value (71 percent), And in another breakthrough,
the global report. other developments also reflected the an Indian brand, Maruti Suzuki,
growing presence of Chinese brands in entered the BrandZ™ Cars Top
the BrandZ™ Global Top 100, and the 10. In addition, the Chilean
ranking’s increasing diversity: department store Falabella
returned to the Retail Top 20,
and a Mexican brand, Modelo,
entered the Beer Top 10.
14 15
1 Introduction BrandZ™ Top 100 Most Valuable Global Brands 2018
Overview
In another demonstration of the Technology brands comprise over one- added apps to enhance the customer Brand building and the same time enjoying the indulgence of a powerful and safe. At the same time,
connection between strong brands third of BrandZ™ Global Top 100 value. experience. Artificial intelligence (AI), consumer mood hamburger or carbonated soft drink. anticipating more carbon restrictions,
and superior return to shareholders, With the addition of e-commerce in the form of personal assistants, car makers prepared for a future of
the BrandZ™ Strong Brands Portfolio giants and telecom providers, like Amazon’s Alexa, added more Facing ongoing disruption, categories McDonald’s and Burger King mobility alternatives. On the strength
increased 172.1 percent between April technology-related brands account for convenience to consumers’ lives but continued to adjust and sometimes rebounded, having improved their of its strong brand equity, Volkswagen
2006 and April 2018, outperforming 56 percent of the Global Top 100 value. also challenged brands in new ways. substantially transform. To improve restaurants and menus and matched rebounded back into the BrandZ™
both the S&P 500, which grew customer experience with the the consumer desire for healthier, Cars Top 10, having dropped from the
102.0 percent, and the MSCI World Each of the BrandZ™ Global Top 5— Voice emerged as an opportunity and right balance of online and offline better tasting food. Coke and Pepsi ranking after its emissions scandal.
Index, which grew 50.3 percent. And Google, Apple, Amazon, Microsoft, threat. Brands needed to develop their coordination, retail moved to a new leveraged consumer love for their
indicating the importance of brand and Tencent—are technology or own voice as a critical brand asset. level. master brands to gain time and enlarge Consumer-facing, downstream
innovation during disruptive times, the technology-related brands and all but They also needed to find ways to avoid their drinks portfolios with healthier businesses gained more attention
BrandZ™ Strong and Innovative Brands one, China’s Tencent, are from the US, the threat of disintermediation by voice. Amazon acquired Whole Foods, the US options. in the oil and gas category. And
Portfolio increased 226.7 percent in as is brand No. 6 Facebook. Disintermediation happens when AI grocery chain of physical stores, and exploration, especially in the US,
value, more than twice the rate of the personal assistants narrow choice, Chinese e-commerce leaders, Alibaba In apparel and luxury, brands took place closer to home, making
S&P 500. These brands expanded their responding to consumer product and JD.com, also linked with physical introduced products with bolder consumers potential influencers on
ecosystems—networks of interrelated requests with offerings of house brands store operators. Alibaba CEO Jack Ma designs and colors that fulfilled the relevant legislation and licenses to
Technology and disruption products and services that meet or brands selected by algorithms or termed this data-powered integration consumer desire for escape and operate.
diverse consumer needs and capture a search results. of products and logistics from sourcing personal expression. With its vibrant
Although the retail category led the growing portion of customer spending. to last-mile delivery, the New Retail. patterns and colors, Gucci led the Shell, which operates the most retail
ranking in percentage value growth, The power of ecosystem brands In financial services, bank and BrandZ™ Luxury Top 10 in value service stations worldwide, surpassed
the technology category led in actual crossed categories, adding both new insurance brands attempted to counter Brands responded to the consumer growth, increasing 66 percent, making ExxonMobil as No. 1 in the oil and gas
value contribution. Technology added capabilities and disruptions. the disintermediation threat of start-up mood. Seeking convenience and it one of the Top 20 Risers. category. As more brands focused on
$348 billion in value to the BrandZ™ fintechs and blockchain technology, comfort, consumers became more the future of gas and sustainable fuels,
Global Top 100, while the retail Top 20 With augmented reality software able to provide transactional services accepting of their own inconsistent Car brands made SUVs of all sizes long-term brand building became
increase by $149 billion. increasingly embedded smartphones, at lower cost, and appeal especially behavior, articulating a desire to live to satisfy the consumer preference more important.
many brands, especially retailers, to a younger generation of potential healthier lives, for example, but at the for convenient vehicles that felt
customers.
RECORD VALUE RISE PUSHES BRANDZ™ GLOBAL TOP 100 TO $4.4 TRILLION
With an increase of 21 percent, the BrandZ™ Global Top 100 Brands added a record $748
billion in value, to reach $4.4 trillion in total value, an increase of $2.9 trillion since 2006. +21%
+8%
+3%
+14%
+12%
+0% +7%
+1% +4% +17%
+21%
+11%
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
$1.4 Tril. $1.6 Tril. $1.9 Tril. $2.0 Tril. $2.0 Tril. $2.4 Tril. $2.4 Tril. $2.6 Tril. $2.9 Tril. $3.3 Tril. $3.4 Tril. $3.6 Tril. $4.4 Tril.
Source: BrandZ™ / Kantar Millward Brown (including data from Bloomberg)
16 17
1 Introduction BrandZ™ Top 100 Most Valuable Global Brands 2018
BrandZ™ Stock Portfolios
Dynamic brands accelerate
BRANDZ™ PORTFOLIOS vs. THE S&P and MSCI WORLD INDEX
The value of the BrandZ™ Strong Brands Portfolio increased 172.1 percent between
superior shareholder returns April 2006 and April 2018, outperforming both the S&P 500 and the MSCI World Index.
The Strong and Innovative Brands Portfolio increased 226.7 percent.
BrandZ™ Strong and Innovative Brands Top 20
BrandZ™ Strong Brands Portfolio
BrandZ™ Portfolios outperform S&P 500
226.7%
MSCI
the S&P 500 Index and the MSCI
BrandZ™ portfolios significantly The performance also shows how
172.1%
outperformed the stock market Innovative and Different brands build
during the past 12 years. Between value despite market disruptions. (For
April 2006 and April 2018, the value of more about the impact of Innovation
the BrandZ™ Strong Brands Portfolio on brand value, please see Disruption,
increased 172.1 percent, and the on page 68).
BrandZ™ Strong & Innovative Brands
Top 20 Portfolio increased 226.7. The In concrete terms, $100 invested in 102.0%
S&P 500 and MSCI World Index grew 2006 would be worth $150 today
only 102.0 percent and 50.3 percent, based on the MSCI World Index growth
respectively. rate, and $202 based on the S&P 500
growth rate. That $100 invested in
The exceptional performance of the the BrandZ™ Strong Brand Portfolio
50.3%
BrandZ™ Portfolios relative to two would have almost tripled in value to
well-regarded indexes affirms that $272. Invested in the BrandZ™ Strong
valuable, Meaningfully Different brands and Innovative Brands Portfolio, $100
deliver superior returns over time. would be worth $327 today.
The key takeaways for brand owners and brand marketers
are: companies that invest in building valuable brands grow
their topline faster; and organic top-line growth is the
April 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 April
greatest determinant of total shareholder return.
2006 2018
Source: BrandZ™ / Kantar Millward Brown (including data from Bloomberg)
The BrandZ™ Strong Brands Portfolio is a subset of the BrandZ™ Top 100 Most Valuable Global Brands.
The BrandZ™ Strong & Innovative Brands Top 20 is a subset of the BrandZ™ Strong Brands Portfolio–
brands that score high in being Dynamic and Different.
18 19