April 22, 2008
Brandz Ranks the Value of Brand Names Globally
Millward Brown's Top 100 Most Powerful Brandz report is a major undertaking, congratulations to MB.
However, you may call me a cynic, but I always question huge percentage changes in data over a one year period.
For instance, are we to believe that during 2007
- Apple's brand value increased by 123%?
- Blackberry's brand value increased by 390%?
What it tells me more than anything is that the Millward Brown Brandz methodology, at least in some instances, is overly sensitive to input.
Having said that, the broad findings of the most powerful brands are most likely valid, but I wouldn't put a lot of stock in the yearly percent change in brand value.
The study ranks Google #1 in brand value worldwide. Maybe that's true. Maybe it's not.
Could Google's ranking, be in part, because the name is ubiquitous as both a noun and a verb or is it vice-versa?
It would be interesting to see what a buyer would pay to acquire Google, which consists primarily of intellectual property or intangible assets versus the #2 brand, GE, which consists primarily of physical assets.
David Goldstein quoted a Millward Brown exec that stated that “strong brands continue to outperform weak ones in terms of market share and share price during recessions.”
Again, I don't think so.
I'm not aware of a recession in the U.S. or worldwide during 2007, the study period. My understanding of economics is that a recession is defined as two consecutive quarters of declining GDP.
Again, am I being overly picky? You decide.
Finally, Millward Brown is to be congratulated on this major brand study, even with its perceived shortcomings by a sample of one.
TrackBack URL for this entry: