October 9, 2015

Brand Z Top 100 Brand Study


The Global list of Brand Z Top 100 Brand STUDY is out. It celebrates the creative and data genius, who have helped in keeping the Brand stay valuable.

LÓreal is running a test to reject animal tested products. The Global Top 100 Brands, have an ecological impact on their ecosystem. Alibaba is the million dollar story, which started as Jack Ma wanted the single Chinese community, to play with internet and shop for unique products that they can afford. While Pepsi, is at 88, and Louis Vuitton is at 30 on BrandZies, Google remains the undisputed number one on BrandZies.Thanks Millward Brown for the research. This research report is available on Branding Channelios.


ELigibility Criteria for BrandZ Rankings?

Millward Brown Optimor is the first study where financial data is combined with consumer measures of Branding Equity. The value of the ranking depends on the present value of future earnings. This is really the corporate earnings. The second step would be to make an estimation. What portion of earnings is attributable to product/service. This is the branded earnings. The third step would be to look at Branded Intangible Earnings. For calculating Branded attributable earnings one does need to see if the portion of brand is attributed to the brand, or to the price, or location.Brand Contribution is really the share of earnings from the most loyal users. Brand Z Database has 1 million consumer data across thirty countries. The third step is to assess Brand Future Earnings. The multiple that is calculated for Brand Future Earnings really includes Market Valuation, Brand Risk Profile, and Growth Potential. All adjusted for what category the brand is in, and what country it operates in. Branded Intangible Earnings, Brand Contribution, and Brand Multiples are used to assess the BrandZ Ranking.

This was published in 2006. Economic assessment of brand and corporate earnings, and combining that with Bloomberg, and DataMonitor data allows earnings, intangible calculation. The last step is to allocate this value across all countries wherein the brand operates. Again, the brand value is stronger than the price, and location assessment. This is the counterituitive assumption, and market valuations have to be adjusted to which category the brand its in, and the country it operates in.


Brand Z Top 100 Global List
Big Data is behavioral Data. Then there is qualitative data--one on one data. Lots of companies have big data which they are not taking advantage of. The top ten brands have record high valuation, earnings and brand multiples across countries. As there is more data around, a hypothesis can be created around the data. This gives cues into ''What is important''. Financial Institutions are back. Big growth in value brands. Technology brands dominate. Global brands have grown fast, but regional brands have grown. The biggest change has been in Beer. Nobody is drinking beer. There is rapid consolidation. There has been a bounce back in 'Banks'. Telecoms, Cars, Banking have grown. Every single category has bounced back, with sole exception of cars. The blueprint is to understand if the category is attractive, so that the brand can be acquired. Necessary promotions is done to see if the brand is underinvested. Strong brands deserve premium valuation. This brand has ability to charge premium prices, even though capital is underinvested. In certain category, banking companies do not find great brands. Bankers determine if the brand can be considered for M&A. In the large FMCG category, the scarcity value, on brands coming up for sale, is high. Multiples increase, if the consumer brands, allow synergies to make brands work.

The top Ten List.

Alibaba (Tencent)
Marlboro
Amazon
Visa
McDonalds
IBM
Apple
Google

The top Fifty List.
Ikea
HP
Exxon Mobil ($ 19745m USD)
movistar
Oracle ($ 20,913m USD)
Subway ( $ 21,020m USD)
Hermes ( $ 21,844m USD)
The Home Depot
Pampers
RBC
Zara
LÓreal
Budweiser
Nike
BMW ( $ 25,730m USD)
LV ( $ 25,873m USD)
HSBC (25,071m USD)
Toyota
Baidu
American Express

The Eighty to Hundred List.

Aldi
UBS
PayPal ($ 9,833m USD)
Prada
Docomo
Bank of America
MTN
Santander ($ 11,060m USD)
Pepsi ( $11,476m USD)
Intel (11,667m USD)
Westpac
KFC
Woolworths ($ 11,953 USD)





Brand Z Top Indian Brands List

The combined brand value of Top Indian Brands on the BrandZies study by Millward Brown is at least $ 70 B. Few of the prestigious Indian Banks, such as SBI, HDFC Bank, Kotak Mahindra Bank are leading the brand game, with a high score on brand contribution, earnings, and equity. Users visit these banks and they have been running for many years based on a loyal customer clientele.

17 Brands are multinationals, the rest are state owned or private owned banks. Not all consumers are same—and intangibles—trust, transparency, respect.

They have been adopting a digital approach of transforming product service approach to customer service approach. Provide right product, at the right place, at the right time. This award is given for brands that have managed to engage with young Indian consumers.