A recent report by Brand Finance indicates that Canada’s major banks and telcos are among Canada’s most valuable brands.
Banks and telcos are Canada’s most valuable brands
In addition, the big five and the big three made the top 500 most valuable brands in the world. Rogers, Bell and Telus all made the list, though they couldn’t quite crack the top 100 global brands.
Bell is the highest rates telco at 144th place, down from 129th place last year. Rogers on the other hand jumped significantly from 340th place last year to 218th this year. Lastly, Telus jumped up to 237th place from 312th place last year.
In addition, Canada’s largest banks remained steady, with Royal Bank of Canada (RBC) scoring 106th place, up from 118th place last year. TD Banks follows closely behind in 107th place, up from 124th place last year. Next to make the list was Scotiabank, up to 166th place from 178th last year.
Bank of Montreal (BMO) jumped to 188th from its 2016 listing at 236th place. Lastly, CIBC moved significantly higher to slot 248, from 314th last year.
Of these companies, RBC maintained its place as Canada’s most valuable brand, with a brand valuation at $16.6 billion, which grew by 26 percent since last year. In addition, Tim Hortons continues to gain traction among Canadians, up to 6th from 9th place last year.
“The ranking is an interesting snapshot of corporate Canada and our domestic economy – banks and telcos at the top, with movement between retail companies, branded producers and resource producers,” says Mack Ferguson, a senior advisor to Brand Finance in Toronto, in a statement.
Brand value on the global stage
Interestingly, Google replaced Apple this year as the world’s most valuable brand, with a brand valuation at $109.5 billion USD. While Google’s brand rose by 24 percent during 2016, Apple’s brand fell from $145.9 billion to $107.1 billion.
“Apple has struggled to maintain its technological advantage. New iterations of the iPhone have delivered diminishing returns, and there are signs that the company has reached a saturation point for its brand,” said David Haigh, CEO of Brand Finance, in a statement.
He goes on to say that while Google remains largely unchallenged in its core search business, the markets in which Apple operates are being further divided by other players.
Brand value doesn’t equal brand power
Brand power and brand apparently have little to do with each other, as Lego is once again named the world’s most powerful brand. Currently, Lego’s brand strength equals 92.7 percent.
Much of its brand strength is reportedly due to media licenses for products such as Lego Star Wars, Harry Potter Lego and Lego Batman (the Batman Lego movie will premier in February.
Google, Nike, Ferrari and Visa complete the rest of the top five most powerful brands in the world.
Brand Finance calculates brand value by using the “Royalty Relief Approach.”
Source: Brand Finance