Continual innovation, increased revenue from advertising, and growth in its cloud business has helped Google reclaim from Apple the No.1 position in the 2016 BrandZ Top 100 Most Valuable Global Brands ranking, released by WPP and Millward Brown.
The brand increased its value 32 percent to USD 229 billion, while last year’s leader Apple dropped to No.2 after declining -8 percent in value to USD 228 billion. Microsoft remains at No.3, growing 5 percent to USD 122 billion, while Facebook (+44 percent No.5) and Amazon (+59 percent, No.7) entered the Top 10 for the first time. The total brand value held by the Top 100 rose 3 percent year on year to hit USD 3.4 trillion.
The BrandZ data and analysis indicates that this was a stable year for the world’s most powerful brands in the face of global financial pressures, including the economic slowdown in China. However the brands that innovated, and then showcased their innovations to consumers through the brand experience, have achieved standout growth with Google, Amazon and Facebook acting as prime examples.
Disruption was the dominant trend, with brands changing the status quo with their offerings in a number of ways, often beyond the use of digital technologies. Brands of all kinds moved to build a multi-faceted ecosystem around the consumer’s needs and desires, often by diversifying into new categories.
“The brands that thrive, regardless of sector, are those that behave like challengers and adopt disruptor models and mindsets. They’re shaking up other categories with innovation that goes beyond new products or technologies – transforming the way a service is delivered, enhancing the consumer experience or changing a format. The power these brands already hold, combined with the strength of their platforms, is enabling them to quickly and successfully move across sectors,” said David Roth, CEO EMEA and Asia, The Store WPP.
Doreen Wang, Millward Brown’s Global Head of BrandZ, commented, “By stretching their brands in innovative ways and expanding into new categories, the strongest brands in the Top 100 are increasing their penetration and their relevance in people’s day-to-day lives. There is a risk in doing this, however: it blurs the lines between categories and can leave brands struggling for identity. Defining and articulating a very clear positioning and purpose will play a more crucial part than ever in building a strong, distinct brand.”
