What is the value of a brand? It is really difficult to answer this question due to the high number of factors which the value of a brand depends on. Even though, there are more simple ways to answer which is the economic value of a company, like for example its market value (number of shares x price of the shares).
The brand value is rather intangible, so you cannot perceive it through touch, since that is more related to the emotions and feelings provoked in the customer. In other words, the better the brand awareness is, the better the customer´s experiences and satisfaction indices are, we will be able to say that the brand has a higher or lower impact in the Society.
Let us first define what a brand means. According to the American Marketing Association (AMA), a brand is a “name, term, design, symbol or any other characteristic that identifies the product or service of a seller and differenciates it from other sellers”. Therefore, the objective will consist of giving the brand a powerful value, meaning and set of benefits for the customers and, creating in this way a good commercial value, generating at the end the brand value.
David Aaker, the guru of the branding raises in his model “Managing Brand Equity: Capitalizing on the Value of the Brand Name” (1991) that the measurement of the brand value is influenced by a combination of the following 4 factors:
- Brand awareness: this factor lies on how the brand is recognized, identified and, especially the brand recall level.
- Brand loyalty: attachtment or connexion which a customer keeps with a brand
- Perceived quality: does the brand represent differentiated benefits compared to competitors?
- Brand associations: does the brand create attitudes and positive feelings in the customer?
For a better understanding of this concept, I would like to resort to the global brand consultancy, pioneer in the industry to advise the companies about its strategy, creativity and technology and, in this way ensure the brand value´s growth. Moreover, Interbrand does also provide precise reports about the brands value worldwide, by industries and countries, etc.
Would you like to know the car brands value within the automotive sector? Based on the latest 2018 report provided by Interbrand, out of the 100 most valuables brands in the world, 15 of them belong to the wonderful automotive industry. Further, I will show you their position in the world ranking and their position within the automotive sector, as well as a good understanding on which are the most outstanding internal and external factors which definitely impact in their brand value. On the other hand, it turns very interesting to include the satisfaction level, given by the latest American Customer Satisfaction Automobiles report.
1.- TOYOTA: Toyota manufactures a diverse lineup of vehicles all over the globe and is taking great steps to develop eco-cars, which will help us become a low carbon society. (toyota-global.com)
2.- MERCEDES-BENZ: Mercedes-Benz is the luxury automotive division of The Daimler Group, a producer of premium cars, manufacturer of commercial vehicles, and pioneer of engineering and mobility. (mercedes-benz.com)
3.- BMW: It is the luxury automobile brand of the BMW Group, an international automobile manufacturer committed to the very highest in quality for all of its products and services. (bmw.com)
4.-HONDA: Honda is a Japanese multinational corporation that manufactures automobiles, aircraft, motorcycles, and power equipment. (honda.com)
5.- FORD: Ford Motor Company is a global company based in Dearborn, Michigan. The company designs, manufactures, markets and services a full line of Ford cars, trucks, SUVs, electrified vehicles and is pursuing leadership positions in electrification, autonomous vehicles and mobility solutions. (ford.com)
6.- HYUNDAI: Hyundai is focused on delivering an outstanding customer experience grounded in design leadership, engineering excellence and exceptional value in every vehicle they sell. (hyundai.com)
7.- NISSAN: Nissan is a global full-line vehicle manufacturer that sells more than 60 models under the Nissan, INFINITI and Datsun brands. (nissan-global.com)
8.- VOLKSWAGEN: Volkswagen is a brand of the Volkswagen Group, one of the world’s leading automobile manufacturers and the largest carmaker in Europe. (vw.com)
9.- AUDI: Audi’s ethos “Progress through Technology” drives the development of every Audi vehicle, inspiring innovative solutions, revolutionary engineering, and progressive design. (audi.com)
10.- PORSCHE: Porsche, part of the Volkswagen Group, develops technologies that advance vehicle performance, improve safety, and spur environmental innovations within the automotive industry. (porsche.com)
11.- KIA: Kia is inspired by the idea that you should love driving and owning your car. Designing, engineering, building, and bringing you that car is what Kia does. (kia.com)
12.- LAND ROVER: Land Rover is the world’s leading manufacturer of premium all-wheel-drive vehicles, owned by British multinational car manufacturer Jaguar Land Rover. (landrover.com)
13.- FERRARI: Ferrari upholds the standard for Italian excellence, designing and building cars that are unique in terms of their performance, innovations, technology, driving pleasure, and design. (ferrari.com)
14.- MINI: Since 1959, MINI, part of the BMW Group, has stood for intelligent design, iconic style, and unparalleled motoring thrills. (mini.com)
15.- SUBARU: Subaru is one of the leading global automobile brands, consistently aiming for the world’s highest level of safety and functionality, combined with an enjoyment of driving that lets people everywhere get the most out of life. (subaru.com)
From my point of view, it is interesting to see how the value of the big brand Toyota (53,404$M) or Mercedes-Benz (48,601$M) would individually quadruplicate the value of brands like Nissan (12,203$M), Volkswagen (12,201$M) or Audi (12,187$M). Even in terms of market value, Toyota would overcome the total amount of Nissan, Volkswagen, Audi, Ferrari y Mini together.
This is all for today, I hope you have liked today´s article, at least as much as I have enjoyed writing it for you. As usual, please it would be a pleasure to see your comments, opinions, questions and/or any other suggestion you would like to make.
What do you think about the top most valuable car-maker brands?
Did you already know about this ranking? Are you missing any brand?
Feel free to share any information youSiéntete libre de compartir lo que sea con todos nosotros. I am convinced that you would like to share with us something curious or funny. See you soon! 😊