Brand consultancy, Interbrand, has again named Apple as the most valuable brand in its 2017 Best Global Brands report, with the top 100 list dominated by technology companies.
However, while half of the 10 brands at the top of the Best Global Brands 2017 list are in the technology sector – Apple, Google, Microsoft, Samsung, and Facebook – automotive brands make up more than 14% of the top 100 companies.
Automotive is the second most valuable sector of the BGB table’s total value, at $266.827 billion.
Since the 2009–2010 recession, most car manufacturers have been gaining value year-over-year, driven to a large degree by sales growth and expanding product lines. This year, 12 of the 16 on the list grew in value—with Ferrari returning to the fold, said Jim Hoostal executive director, client service at Interbrand.
“The automotive industry is facing unprecedented challenges that are affecting the entire ecosystem—from manufacturers to suppliers, retailers, and the brands themselves,” Hoostal said. These are being driven by changes in technology, public policies, and the consumer market—all materializing at the same time, he said.
He said that autonomous vehicles are being tested regularly on streets across the globe, and investments by both established automakers and pure technology companies, like Google’s Waymo, are accelerating.
“This technology, coupled with the burgeoning ride-sharing market, will require automotive brands to look beyond the consumer market of individual car ownership as their primary source of sales as they have for the past 100 years.
“They will have to consider expanding into mobility services and selling self-driving cars to fleet companies that offer transportation services to the market. Or perhaps the automakers themselves will become the service providers by offering ride services directly to the consumer market,” Hoostal said.
The list of vehicle brands is headed by Toyota, which saw its value decline by 6% from 2016, while second-placed Mercedes-Benz improved by 10%. Third-placed BMW was just outside the overall top 10 list, at 13th.
The world’s most valuable car brands
Other brands in the top 100 included Kia (69), Land Rover (73), Mini (87), Ferrari (88) and Tesla (98).
Interbrand’s ranking is based on three key components that contribute to a brand’s cumulative value:
- The financial performance of the branded products and services;
- The role the brand plays in influencing customer choice;
- The strength the brand has to command a premium price or secure earnings for the company.