• Transform magazine
  • September 16, 2019

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Seeing value in brands

Star Wars.jpg

Powerful and valuable brands are the driving force of a successful market economy. However, the contentious and unpredictable nature of capital investment calls for a need to evaluate these brands on a yearly basis – and assess how the financial landscape has shifted as a result.

The annual Brand Finance Global 500, published annually by brand consultancy Brand Finance, provides an opportunity for industry experts to compare, evaluate and assess brand performance on a regular basis.

Published this year on 1 February, the table measures traits considered the most important when assessing brand quality, such as corporate reputation, staff satisfaction and brand loyalty. The Global 500 is prone to shift according to brand popularity and market competition; regional variations are also prevalent in this year’s offering.

2016 sees the Brand Finance Global Top Ten by fiscal worth still dominated by United States-owned companies; South Korea and China also maintain a company apiece. In this measurement technology and telecommunications industries continue to lead, with industry giant Apple reaping the rewards of its successful iPhone 6 and iPhone 6S launches.

Verizon and China Mobile are also seeing the benefits of a more internationally digitally-aware global population, while Google and Microsoft have also enjoyed growth resulting from continuously high device sales, as well as brand expansion into other verticals.

Looking at brand value change, however, indicates that the United States is set to rule no longer as brand value leader. Many of the companies experiencing the highest brand value change are based in China and cover all manner of industry verticals. From technology to construction, retail and real estate, China’s markets are continuing to expand despite the recent economic turbulence threatening its position as a global leader.

In terms of brand popularity, US-based iconic media giant Walt Disney has clinched the top spot for 2016.

Despite the plethora of acquisitions proclaimed under Disney, the largely unprecedented success of the recently released The Force Awakens - the latest episode in the Star Wards franchise – is a major factor in this brand success. The media company claimed the film as its most successful ever, based on the $2bn Star Wars took at the box office. 

Brand Finance also calculated that the $4.03bn paid by Disney to purchase the Star Wars franchise from its original owner, Lucasfilm, has more than doubled in worth - $10bn is the current estimate.

Today is the twentieth anniversary of Brand Finance, and marks ten years since the league table began publication. For more information, see the website - http://brandirectory.com/