Apple has overtaken Amazon to become the world’s most valuable brand for the first time in five years, according to a global report.
The technology giant’s brand value has risen 87 percent in the past year to $ 263.4 billion, according to the Global Brand Finance Index 500 2021. The growth was due to Apple’s diversification strategy, which has seen the company expand into digital services and subscription and potential in electric cars in the future, said London-based brand valuation consulting firm Brand Finance.
Apple AAPL,
became the first US company to hit a $ 2 trillion market cap in August last year. It is also expected to record its highest total quarterly revenue and its first total of more than $ 100 billion when it reports earnings on Wednesday.
“As Apple claims the title of the most valuable brand in the world from Amazon, five years after it occupied the last top position, we are once again witnessing Think Different. From Mac to iPod, to iPhone, to iPad, to Apple Watch, to subscription services, to infinity and not only “, said the executive director of Brand Finance, David Haigh.
AMZN from Amazon,
the brand’s value rose 15% to $ 254.2 billion in a year in which the e-commerce giant benefited from worldwide home orders and growing demand. The company has also innovated and expanded in recent months, launching an online drug store as well as the Halo fitness tracker. Earlier this month, Amazon bought its first fleet of aircraft from Delta and WestJet to expand its airline network. However, the company lost its first place to Apple.
Google GOOG Technical Giant,
has the third highest brand value, 1.4% higher, at $ 191.2 billion, while rival Microsoft MSFT,
remained in fourth place with a brand value of $ 140.4 billion, an increase of 20%, and the conglomerate Samsung 005930,
kept the fifth place. Retailer Walmart WMT,
rose two places to sixth, while social networking company Facebook FB,
remained in the seventh.
In a year dominated by COVID-19, technology and innovation have helped increase the value of the world’s largest brands with the Uber UBER app
and the Chinese e-commerce platform Meituan 3690,
enjoying strong growth.
Dar Tesla TSLA,
was the fastest growing global brand in terms of value last year, jumping 158% to $ 32 billion. Brand Finance said the record number of sales, increased production and expansion into new markets have contributed to the growth of the electric car manufacturer’s brand.
While some sectors have had good results, others have endured a difficult year. Air and aerospace brands accounted for six of the 10 fastest falling brands: Boeing BA,
American Airlines AAL,
United Airlines UAL,
Delta DAL,
Airbus AIR,
and Safran SAF,
Hotels also had a tough 2020, due to travel restrictions and lock-in measures, with Hilton’s HLT,
the brand’s value is down 30% to $ 7.6 billion, while Marriott MAR,
dropped out of the top 500, along with Airbnb ABNB,
Read: What will happen to air fares in 2021?
The value of a brand is the economic benefit it would get if it were licensed on the open market, according to the consulting firm.
The combined value of the 21 brands in the UK among the top 500 in the world fell by 11% year-on-year, making it the weakest country as the uncertainty of Brexit and the COVID-19 pandemic hit the economy. Major Dutch Royal Shell RDSA,
retained its place as the most valuable brand in the UK, but fell 11% to $ 42.2 billion, while rival BP BP came in second,
fell 8 percent to $ 21.4 billion.
“As the launch of the vaccine progresses, it will be interesting to see which British brands thrive and which will be in full swing as you navigate into a future outside the European Union,” Haigh said.
The index also includes brand strength, which is calculated as the efficiency of the brand’s performance relative to its peers.
The Chinese mobile application WeChat has replaced the car manufacturer Ferrari RACE,
as the strongest brand in the world. WeChat has run several government-mandated health applications to keep track of people traveling and quarantined, providing access to real-time data on COVID-19 and online consultations and self-diagnosis services, the index said, boosting its brand.