Julia Faria
Research lead covering advertising and marketing
Brand value - statistics & facts
Brand value describes worth based on the implication that the owner of a well-known brand can generate more money than the owner of a less-known brand. Valuable brands enhance business performance primarily through their influence on customers, employees, and investors. They affect customer choice and create loyalty; attract, retain, and motivate talent; and lower the cost of financing. In 2023, the aggregate value of the world’s 100 most valuable brands amounted to 6.9 trillion U.S. dollars, down 20 percent from the value estimated a year earlier. That indicates not only low consumer confidence but also of mistargeted marketing activities.
A premium tech brand taking the lead
In 2024, Apple overtook Amazon as the most valuable brand in the world. The technology company headquartered in the Silicon Valley has strengthened its position among consumers worldwide, with a brand value of over half a trillion dollars. While grabbing the top of the ranking, Apple recorded a brand value increase of over 77 percent. It has a track of launching numerous successful new products, and a key factor is the company's spending on research and development. R&D expenses of the tech giant reached 30 billion dollars in 2023.An AI champion recording top growth
Nvidia – a technology company headquartered in California – was the fastest-growing brand worldwide in 2024. It recorded a brand value growth rate of 163 percent, which can be attributed to its activities in the booming semiconductor sector as well as its work with artificial intelligence (AI). In 2024, Nvidia emerged as the second-largest technology company by market cap at over three trillion dollars, just behind Microsoft, as it continues to grow in the financial markets. Furthermore, in its 2024 fiscal year, Nvidia's annual revenue more than doubled, exceeding 60 billion dollars.Reasons for general brand value drop
Brand value is an important indicator of business success. Any effective marketing campaign will lead to an uplift in the value. During a 2024 survey, digital advertising expansion, testing improvement, and shipping and fulfillment development emerged as the top three areas of greatest opportunity for direct-to-consumer (DTC) brands worldwide. However, when consumers were asked to name brand loyalty drivers, none of these factors were named. Respondents listed good products or services, good customer service, as well as low prices. According to a 2024 study conducted across multiple markets, over seven out of ten consumers were willing to boycott a brand if it acted in a way they objected to. Therefore, marketers must listen to their target audiences better and properly adjust their strategies.Julia Faria
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Jun 24, 2024
Julia Faria
Research lead covering advertising and marketing
