Computers and artificial intelligence have come along at an exponential rate over the past few decades, from being regarded as oversized adding machines to the point where they have played integral roles in some legitimately creative endeavours.
Telstra has retained top standing in Australia’s list of most valuable brands while Commonwealth Bank remains Australia’s most valuable banking brand, the latest top 100 list reports.
According to the latest Brand Finance Australia 100, Telstra held onto the top spot despite an 18 per cent decline in enterprise value and decline in customer brand equity, reporting just a 2 per cent dip in its overall brand value to $14.3 billion and a 2 per cent rise in reported revenue. In contrast, Optus came in as the 9th ranked Australian brand with a 12 per cent drop in brand value.
CommBank was ranked the second of Australia’s most valuable brands, with a 9 per cent rise in brand value to $10.bn. In third spot was ANZ, with a brand value of $10.5bn, followed by NAB, with a brand value in 2017 of $8.4bn. Across industry sectors, banks took the lion’s share of brand value (31.8 per cent), followed by retail (19.3 per cent).
Woolworths fared less well, falling from second spot into fifth with a 21 per cent drop in brand value to $8.4bn. It was just ahead of Coles ($7.9bn), which rose to sixth position this year from eighth in 2016.
“Falling profits and a significant decline in brand strength, along with intense competition, will continue to put pressure on Woolworths’ brand value, unless in particular an improvement in customer metrics can be achieved,” said Brand Finance local managing director, Mark Crowe, said.
Rounding out the top 10 were Westpac ($7.6bn), BHP Billiton ($5.1bn), Optus ($4.3bn) and Macquarie ($3.2bn). As a group, Australia’s 100 most valuable brands had a total value of $143bn.
Globally, Google overtook Apple as the world’s most valuable brand after Apple’s brand value dropped 27 per cent year-on-year. Google’s brand value rose by 24 per cent to $109.5bn, giving it the top spot for the first time since 2011.
Brand Finance CEO, David Haigh, said Apple had struggled to maintain its technological advantage.
“New iterations of the iPhone have delivered diminishing returns and there are signs that the company has reached saturation point for its brand,” he commented. “The Chinese market, where Apple has enjoyed a dominant market share, is becoming far more competitive with local players entering the market in a meaningful way. Samsung has also been successful in taking market share and financial analysts are projecting declining revenues and margins.”
Meanwhile, Lego took out top spot as the world’s most powerful brand, with a brand strength score of 92.7. It was followed by Google, Nike, Ferrari and Visa.
The brand rankings are based on a combination of factors including branded business value, brand contribution, brand value and brand strength.