BOSTON–Tata Sons, the holding company of the Tata group of companies, is the only Indian company that made to the List of 100 Most Valuable Brands, according to Brand Finance, which complied the list. While Apple remained the brand #1, forty-four US companies accounted for nearly half of the brands.
Tata Sons ranked number 54 in the list, down from 46 in 2015. Tata Sons has 36 major brands attached to its name.
Every year, leading branded business valuation and strategy consultancy Brand Finance puts thousands of the world’s top brands to the test. They are evaluated to determine which are the most powerful and the most valuable by country, by industry and against all other brands worldwide. The companies with the highest total value of brands under management can be found in the Brand Finance Portfolio 100.
The total value of the table is US$3.2 trillion, half of which is from the 44 US companies which total US$1.68 trillion, according to brand finance.
14 Chinese companies feature in the table, rendering it the country with the second highest number of portfolios. They make up US$347 billion of the total sum. Nine European Union countries make the table and are home to 29 brands, nine of which are UK-based – more than any other European country.
The portfolio table lists the companies with the most brand value under their management. Some companies, like Apple, only include one highly valuable brand, while other companies, like Nestlé S.A., operate hundreds. Apple does operate more brands, however, due to their reporting, it is not possible to identify and value these sub-brands from their financial statements.
The fastest growing portfolio this year is Agricultural Bank of China, with a value of US$32.3 billion after enjoying 42% growth. China Construction Bank and ICBC make the top five, with values of US$35.4 billion and US$36.3 billion after rising 34% and 32%, respectively.
China Construction Bank is in fact the world’s most powerful banking brand. Chinese banks are performing well on brand equity measures such as familiarity, consideration, recommendation and preference as a result of investing in their brands. It must be noted that none of the Chinese portfolios in the table dropped in value.
Unilever’s impactful innovations have boosted its performance. The launch of the new Axe range and the ‘Find Your Magic’ brand campaign appealed to a wider audience as it encouraged men to break free from assumptions about how they should behave and express themselves. Unilever grew 18% to a value of US$42.7 billion this year.
Vodafone Group is the only other UK company to enjoy an increase in value this year, rising 2% to US$27.8 billion. It is no secret that smartphones are becoming increasingly prominent, and the growing proliferation of smartphones in both developed and emerging markets is the main driver behind a surge in data demand and revenue. Vodafone Group’s global presence positions it well to cater to the rising demand. Moreover, the oligopolistic nature of the industry coupled with Vodafone’s immense size gives the company a competitive edge amongst its peers.
With over 500 brands in its portfolio, Nestlé S.A. owns the largest number of brands in the table. It climbs up the ranks to seventh place after 14% growth to a value of US$66.6 billion. Accelerated growth in North America was largely due to the turnaround in frozen meals, whilst in Latin America, Nestlé cited instant coffee as the core reason for growth. Nestlé’s category dynamics and innovation, which can be seen in its range of bottled water, are also factors that contributed to its strong growth.
Furthermore, an increase in health awareness in relation to carbonated drinks gave Nestlé the opportunity to promote its bottled water segment which other companies may have failed to embrace. Nestlé’s success is largely due to the range of product segments it provides, allowing it to more effectively overcome challenging global trends than its competitors.
Volkswagen Ag was the biggest faller in the table this year. Its portfolio value dropped 36% to US$42.2 billion. The latest emissions scandal negatively impacted Volkswagen. However, on a broader spectrum, the light vehicle industry – albeit growing at its slowest rate in the last decade, is forecasted to grow nonetheless. This is somewhat due to the upward surges in China, India and across continental Western Europe which compensate for reductions in Brazil, the US and the UK. Toyota Motor Corp, ranked 10th this year, conforms to the forecasted industry trend, enjoying a 30% increase in portfolio value to US$55.3 billion this year.
100 Most Valuable Brand Portfolios (USDm)
|Rank 2016||Rank 2015||Number of Brands*||Parent Company||Domicile||Portfolio Value 2016 (USDm)||Portfolio rating 2016||Portfolio Value change (%)||Portfolio Value 2015 (USDm)|
|1||1||1||Apple Inc||United States||145,918||AAA||14%||128,303|
|2||3||17||Alphabet Inc||United States||99,046||AAA||25%||79,430|
|3||2||1||Samsung Group||South Korea||83,185||AAA||2%||81,716|
|4||5||13||Wal-Mart Stores Inc||United States||77,523||AA||7%||72,599|
|5||4||7||Microsoft Corp||United States||74,121||AAA||-1%||74,912|
|6||11||6||Amazon.Com Inc||United States||69,642||AA+||24%||56,142|
|8||7||1||Verizon Communications Inc||United States||63,116||AAA-||5%||59,843|
|9||8||1||At&T Inc||United States||59,904||AA+||2%||58,819|
|10||16||4||Toyota Motor Corp||Japan||55,285||AAA-||30%||42,546|
|11||10||43||Procter & Gamble Co/The||United States||54,668||AAA-||-5%||57,468|
|12||12||182||Pepsico Inc||United States||53,169||AAA-||-4%||55,209|
|13||N/A||82||Philip Morris International||United States||52,734||AA+||N/A||N/A|
|14||17||27||Johnson & Johnson||United States||50,651||AAA||24%||40,734|
|15||15||2||China Mobile Ltd||China||49,864||AAA-||4%||47,964|
|16||13||72||Coca-Cola Co/The||United States||48,301||AA+||-8%||52,339|
|17||25||1||Wells Fargo & Co||United States||44,170||AAA-||26%||34,925|
|18||21||3||J.P. Morgan Chase & Co||United States||43,549||AA||18%||36,777|
|19||18||3||Walt Disney Co/The||United States||43,458||AAA||10%||39,609|
|20||N/A||1||Mcdonald’s Corp||United States||42,937||AAA||N/A||N/A|
|22||22||103||Unilever Plc||United Kingdom||42,666||AA+||18%||36,179|
|24||19||3||Bayerische Motoren Werke Ag||Germany||41,532||AAA||8%||38,527|
|25||14||1||General Electric Co||United States||37,216||AA+||-22%||48,019|
|26||23||114||Anheuser-Busch Inbev Nv||Belgium||37,073||AA+||3%||36,016|
|27||34||1||Ind & Comm Bk Of China||China||36,334||AA+||32%||27,459|
|28||38||1||China Construction Bank||China||35,394||AAA||34%||26,417|
|29||30||3||Comcast Corp||United States||34,431||AAA+||14%||30,193|
|30||45||1||Facebook Inc||United States||34,002||AAA-||41%||24,180|
|31||28||3||Deutsche Telekom Ag-Reg||Germany||33,194||AA+||7%||31,108|
|32||27||4||Exxon Mobil Corp||United States||33,040||AA||5%||31,404|
|33||49||1||Agricultural Bank Of China||China||32,264||AAA||42%||22,714|
|34||24||1||Intl Business Machines Corp||United States||31,786||AA||-10%||35,428|
|35||N/A||1||Nippon Telegraph & Telephone||Japan||31,678||AA||N/A||N/A|
|36||29||1||Royal Dutch Shell Plc||Netherlands||31,665||AA+||3%||30,716|
|38||31||2||Bank Of America Corp||United States||30,940||AA||6%||29,319|
|39||26||38||Lvmh Moet Hennessy Louis Vui||France||30,759||AA||-10%||34,195|
|40||39||5||Nike Inc||United States||29,151||AAA||16%||25,103|
|41||41||1||Home Depot Inc||United States||28,798||AAA-||18%||24,471|
|42||N/A||10||General Motors Co||United States||28,011||AAA+||N/A||N/A|
|43||36||2||Vodafone Group Plc||United Kingdom||27,821||AA+||2%||27,287|
|44||N/A||76||Japan Tobacco Inc||Japan||27,797||AA||N/A||N/A|
|45||N/A||1||Bank Of China Ltd||China||27,735||AAA||N/A||N/A|
|46||35||2||Citigroup Inc||United States||27,713||AA+||1%||27,372|
|48||N/A||103||British American Tobacco Plc||United Kingdom||27,070||AA||N/A||N/A|
|50||N/A||3||Cvs Caremark Corp||United States||24,176||AA+||N/A||N/A|
|51||37||2||Hsbc Holdings Plc||United Kingdom||24,174||AAA-||-11%||27,280|
|52||N/A||4||Barclays Plc||United Kingdom||23,751||AAA+||N/A||N/A|
|55||N/A||2||Starbucks Corp||United States||23,455||AAA-||N/A||N/A|
|57||40||1||Intel Corp||United States||22,845||AA+||-9%||25,011|
|58||48||1||Oracle Corp||United States||22,136||AA||-3%||22,888|
|59||43||2||Honda Motor Co Ltd||Japan||21,576||AAA-||-11%||24,347|
|60||N/A||2||Ford Motor Co||United States||21,506||AAA-||N/A||N/A|
|61||N/A||2||Twenty-First Century||United States||21,165||AA+||N/A||N/A|
|62||N/A||2||Petrochina Co Ltd||China||20,986||AA||N/A||N/A|
|63||47||12||Fiat Chrysler Automobiles Nv||Italy||20,405||AA||-11%||22,977|
|65||N/A||1||China State Construction||China||20,214||AA-||N/A||N/A|
|66||N/A||1||China Petroleum & Chemical||China||20,144||AA||N/A||N/A|
|68||N/A||1||United Parcel Service||United States||19,565||AA+||N/A||N/A|
|70||N/A||2||Nissan Motor Co Ltd||Japan||19,312||AA+||N/A||N/A|
|71||N/A||4||United Health Group Inc||United States||19,173||AA||N/A||N/A|
|72||44||1||Cisco Systems Inc||United States||19,162||AAA-||-21%||24,324|
|76||N/A||1||American Express Co||United States||18,483||AA+||N/A||N/A|
|77||N/A||1||Bt Group Plc||United Kingdom||18,442||AAA-||N/A||N/A|
|79||N/A||62||Diageo Plc||United Kingdom||18,303||AA+||N/A||N/A|
|81||N/A||37||Kraft Foods Group Inc||United States||18,175||AA||N/A||N/A|
|82||N/A||1||Alibaba Group Holding||China||17,968||AA+||N/A||N/A|
|83||N/A||1||China Life Insurance Co||China||17,870||AAA||N/A||N/A|
|84||N/A||3||Chevron Corp||United States||17,822||AA+||N/A||N/A|
|85||N/A||4||Lloyds Banking Group Plc||United Kingdom||17,522||AAA+||N/A||N/A|
|87||N/A||1||Bp Plc||United Kingdom||16,962||AA||N/A||N/A|
|89||N/A||7||Walgreens Boots Alliance||United States||16,645||AA-||N/A||N/A|
|91||N/A||5||Tencent Holdings Ltd||China||16,448||AA+||N/A||N/A|
|93||33||9||Time Warner Inc||United States||16,210||AAA+||-33%||24,091|
|94||N/A||1||Mitsui & Co Ltd||Japan||16,183||AAA+||N/A||N/A|
|96||N/A||1||Banco Santander Sa||Spain||15,689||AA+||N/A||N/A|
|97||N/A||1||Ping An Insurance Group Co||China||15,569||AAA+||N/A||N/A|
|98||N/A||1||Hennes & Mauritz Ab||Sweden||15,510||AA+||N/A||N/A|
|99||N/A||1||Target Corp||United States||15,331||AA||N/A||N/A|
|100||N/A||5||Yum! Brands Inc||United States||15,252||AA+||N/A||N/A|