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World’s Top Auto Brands Defend Their Rankings

Brands are forever jockeying for superiority over their rivals.
#europe #Audi #Buick

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Brands are forever jockeying for superiority over their rivals. It’s no different among automotive marques…except at the top.

So says this year’s ratings of 500 brands by Brand Finance, the London-based firm that describes itself as the top dog among brand valuation consultancies.

The firm again ranks Ferrari as the world’s “strongest” brand and Mercedes as the most valuable of all automotive brands.

Auto Sector on Top

Ferrari F8 Tributo    (Image: Ferrari)

Brand Finance has been producing its top 500 list, along with several other measures of brand success, for four years. The firm analyzes 1,500 brands in 10 market sectors and across 29 countries each year.

Guess who outscores all others among those 10 sectors? It’s Automotive, with a score of 6.9 out of 10. Next up are Tech (6.8) and Apparel and Restaurants (tied at 6.6). They are followed by airlines, retail, insurance, utilities, banks and telecoms.

Brand Finance says a key factor in a high score here is the ability to connect with consumers. Lower-ranking sectors may garner acceptance and appreciation, but not love and devotion. The firm says a poor reputation is the “default position” for utilities, telecoms and banks.

Strong Brand

Brand strength is a separate Brand Finance metric that enables specific marques to be compared across sectors. For the second year in a row, Ferrari outscores all 499 rivals with a Brand Strength Index of 94.1 out of 100.

Ferrari Roma  (Image: Ferrari)

The BSI is derived from a blend of measurements involving marketing investment, business performance and “stakeholder equity.” That latter term is an indicator of the emotional attachment consumers feel toward a brand.

Ferrari’s overall top billing is no small feat, folks. Consider the next two runners up: media giant Disney (93.9) and Chinese internet service WeChat (92.9).

Brand Finance says Ferrari has built a phenomenal BSI rating through exceptional brand management, including the strategic use of the Ferrari name on select clothing and other merchandise.

To maintain its stratosphere-level exclusivity, Ferrari restricts production of its supercars regardless of demand, holding sales in 2019 to 10,000 cars. The company also is shrinking its number of licensing agreements by 50% and dropping 30% of current product merchandise categories.

What about Brand Value?

Mercedes GLE Coupe  (Image: Daimler)

Ferrari’s actual brand value is a modest $9.1 billion, which makes it 206th on Brand Finance’s list of the top 500 global brands. The heavy hitters atop that score sheet are Amazon (nearly $221 billion), Google ($260 billion) and Apple (almost $141 billion.

 

Mercedes is tops among car companies in overall value, ranking 11th on the 500 list with a calculated brand value of $65 billion. Others in the first 100 are:

  • Toyota............... 15th place at $58 billion
  • Volkswagen...... 25th at $45 billion
  • BMW.................. 30th at $41 billion
  • Porsche............. 41st at $34 billion
  • Honda................ 45th at $33 billion
  • Hyundai/Kia......82nd at $20 billion
  • Ford................... 94th at $19 billion
  • Nissan............... 97th at $18 billion

Brand Finance doesn’t publicly disclose the relative value of the remaining 400 brands on its list (except for Ferrari). But here’s where the next 13 automotive marques fit in:

  • Audi.................... 105
  • Volvo.................. 106
  • Chevrolet........…133
  • Tesla..................  147
  • Renault.............. 169
  • Lexus................. 200
  • Ferrari................206
  • Subaru............… 217
  • Land Rover....… 259
  • Mahindra...........361
  • Suzuki................383
  • Geely................. 430
  • Buick..................455

Note that Ferrari’s $9.1 billion brand value rates only 206th on the 500 list. That suggests that the brand values for most, if not all, automotive nameplates that didn’t make the cut are in the millions, not billions, of dollars.

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