Apple’s 5-year domination has finally come to an end as Google becomes the world’s most valuable brand in 2017.
The Global 500 2017
An independent brand valuation business and consultancy firm, Brand Finance has presented “Global 500 2017”. The report states that Google’s valuation has increased 24% since 2016 with a new brand value (BV) of $109.5 billion. Brand Strength Index (BSI), Brand Royalty Rate and Brand Revenues basically merged together to introduce Brand Value. According to the report:
“Google remains largely unchallenged in its core search business, which is the mainstay of its advertising income. Ad revenues were up 20% in 2016, despite a fall in cost per click, as ad budgets are increasingly directed online. Desktop advertising remains far more lucrative than mobile, despite its prematurely diagnosed decline”
The report further stated:
“Increasing revenues are not the only explanation for Google’s success however. Its brand strength score is up by two points indicating improving underlying brand equity”
Apple’s Downfall
Apple’s innovative products, ideas and its user friendly feature made customers loyal towards it. Being the world’s most valuable brand for 5 years, it hit record for quarterly revenue through selling iPhones. But Apple has been losing its customers as it struggles to keep up its technological edge. As per the report:
“Apple has over-exploited the goodwill of its customers. It has failed to generate significant revenues from newer products such as the Apple Watch. In addition, it cannot demonstrate that genuinely innovative technologies desired by consumers are in the pipeline. Its brand has lost its luster and must now compete on an increasingly level playing field not just with traditional rival Samsung, but a slew of Chinese brands such as Huawei and OnePlus in the smartphone market, Apple’s key source of profitability”
With an increase of 53% BV from 2015, Amazon has earned the third spot. The company has been developing consistently and is redesigning its retailing skills.
AT&T is on fourth place while Microsoft grabs the fifth place. Samsung, Verizon, Walmart hold 6th, 7th and 8th position respectively. Facebook’s BV has increased significantly with 82% and with 1.86 billion active users as it grabs the 9th position.
You can have a crack at the list of 500 brands by clicking here.
image: nymag
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