A Brand for social justice
In 2020, brands did something they’d never done before: They spoke up about race.
List of top 20 brands sold during 2013 dominated by retail brands and worth US$34.1 billion
HJ Heinz, Sprint and Bausch + Lomb were the most expensive brands acquired globally last year, according to the latest Top 20 brands list from trademark database manager, Markables.
The global list is based on the value an acquirer attributes to the brand in the purchase accounting process, and as part of the price paid to gain control of the total business and its assets. Markables said it sources the figures from reported financials of listed companies worldwide.
In the lead in 2013 was HJ Heinz, which includes the Heinz Ketchup, Lea & Perrin and Master brands. The brand portfolio was valued at US$12.13 billion when acquired by a consortium including Berkshire Hathaway and 3G Capital in a US$28bn deal completed in June 2013.
US telecommunications company, Sprint, took second position on the list after being acquired by Japanese-based Softbank Group for US$22 billion last year. Its brand value was listed as US$6.45bn.
In third place was US-based eye health company, Bausch + Lomb, which operates in the pharmaceutical, vision care and surgical segments. It was acquired by Canadian-based Valeant Pharmaceuticals in August last year for US$4.5bn in cash as well as assuming $4.2bn worth of debt. The company’s brand value was US$3.46bn.
Rounding out the top five were Crown Imports (Corona), owned formerly by Grupo Modelo SAB de CV and acquired by Constellation Brands in a deal completed in June 2013 with a brand value of US$2.3bn; and Swedish retailer ICA, with a brand value of US$1.87bn. The latter was acquired by Sweden’s Hakon Invest for US$3.1bn in early 2013.
Markables said the value of the 20 brands traded in 2013 totalled US$34.1bn, down from the US$43.6bn recorded in 2012 but close to the US$36.4bn recorded in 2011.
On average, brand assets represented 34 per cent of the total value assigned to these organisations when acquired. The brand assigned the most value across the list was Italian luxury jewellery brand, Pomellato (74 per cent).
Markables also looked at the brand profit margin or brand premium of each of these companies and found that 8 per cent of revenue on avenue is profit directly attributable to the brand. The figure was lower than that recorded in 2012 but higher than 2010 and 2011, the company stated.
The highest brand premiums (20 per cent) were recorded at Italian luxury cashmere clothing group, Loro Piana, Internet metasearch engine, Kayak, and salad dressing producer, Wish-Bone. The ‘brand champions’, or those listed brands demonstrating the highest value in terms of profit contribution and value, were Loro Piana and Wish-bone.
“The economics of brands embedded within all the other assets of an enterprise is a phenomenon which is still little understood. Acquisition accounting is a good way to measure and analyse brand value and its contribution to an enterprise,” said partner and co-founder of Markables, Stefan Russli.
“We hope that the Top20 brand ranking from Markables will make an important contribution towards a better understanding of the real financial values of brands.”
Markables also pointed out the list represented brands at the premium end of the scale. Across the 6000 brands on its trademark database, brand value accounts for an average 14 per cent of enterprise value and generates a brand premium of 3.3 per cent of revenue, the company said.
Top 20 brands that changed hands in 2013
Follow CMO on Twitter: @CMOAustralia, take part in the CMO Australia conversation on LinkedIn: CMO Australia, join us on Facebook: https://www.facebook.com/CMOAustralia, or check us out on Google+: google.com/+CmoAu
In this latest episode of our conversations over a cuppa with CMO, we catch up with the delightful Pip Arthur, Microsoft Australia's chief marketing officer and communications director, to talk about thinking differently, delivering on B2B connection in the crisis, brand purpose and marketing transformation.
In 2020, brands did something they’d never done before: They spoke up about race.
‘Business as unusual’ is a term my organisation has adopted to describe the professional aftermath of COVID-19 and the rest of the tragic events this year. Social distancing, perspex screens at counters and masks in all manner of situations have introduced us to a world we were never familiar with. But, as we keep being reminded, this is the new normal. This is the world we created. Yet we also have the opportunity to create something else.
In times of uncertainty, people gravitate towards the familiar. How can businesses capitalise on this to overcome the recessionary conditions brought on by COVID? Craig Flanders explains.
Great content and well explained. Everything you need to know about Digital Design, this article has got you covered. You may also check ...
Ryota Miyagi
Why the art of human-centred design has become a vital CX tool
Interested in virtual events? If you are looking for an amazing virtual booth, this is definitely worth checking https://virtualbooth.ad...
Cecille Pabon
Report: Covid effect sees digital events on the rise long-term
Thank you so much for sharing such an informative article. It’s really impressive.Click Here & Create Status and share with family
Sanwataram
Predictions: 14 digital marketing predictions for 2021
Nice!https://www.live-radio-onli...
OmiljeniRadio RadioStanice Uzi
Google+ and Blogger cozy up with new comment system
Awesome and well written article. The examples and elements are good and valuable for all brand identity designs. Speaking of awesome, ch...
Ryota Miyagi
Why customer trust is more vital to brand survival than it's ever been