Valuable Brands in 2018

Courtesy of: Visual Capitalist

When we say “the most valuable brand” we mean the brand value, which is not to be confused with the Enterprise Value (EV), which is a measure of a company’s total value. “EV is calculated as the market capitalization plus debt, minority interest and preferred shares, minus total cash and cash equivalents.” – sourced from Investopedia.

Brand Value is more of an abstract concept but one that has to be essential, long-lasting and practical. It could be intangible as an asset, but it represents the core values of a company and shapes the perception of its customers.

For eg, IKEA has the following core values (Src – 6Q Blog)

1. Humbleness and willpower
2. Leadership by example
3. Daring to be different
4. Togetherness and enthusiasm
5. Cost-consciousness
6. Constant desire for renewal
7. Accept and delegate responsibility

Back to the infographic at hand, I am not surprised to see Amazon’s influence in USA and TATA’s hold over India. Then you have Mercedes-Benz, Nestle, IKEA and LEGO – these brands nicely fall into allotted slots as well. What surprised me was Canada with RBC. Maybe I should get to know my neighbors better.

When gathering data, it is good to have absolute numbers. But sometimes it’s the unquantifiable impact, or the inherent belief, that seems to make a fraction of a difference, and could prove immensely beneficial to a company in the long run.

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