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CLOSE YOUR EYES! WHAT IS ‘BRAND’?. DO NOT THINK OF…

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Presentation on theme: "CLOSE YOUR EYES! WHAT IS ‘BRAND’?. DO NOT THINK OF…"— Presentation transcript:

1 CLOSE YOUR EYES! WHAT IS ‘BRAND’?

2 DO NOT THINK OF…

3 Valuable brands have STRONG RELATIONSHIPS with consumers and are MEANINGFULLY DIFFERENT

4 It is better than others It is satisfacto ry It caters for me I know about it BONDING ADVANTAGE PERFORMANCE RELEVANCE PRESENCE Top 100 brandsAll brandsCoca-Cola THE BRAND RELATIONSHIP

5 BONDING ONLY 30% ADVANTAGE ONLY 41% Coca-Cola It is better than others It is satisfacto ry It caters for me I know about it BONDING ADVANTAGE PERFORMANCE RELEVANCE PRESENCE

6 30 BONDING ONLY ADVANTAGE ONLY PERFORMANCE RELEVANCE PRESENCE NO PRESENCE COCA-COLA CUSTOMERS %VALUE %

7 BONDING/ ADVANTAGE These people account for the vast majority of sales because they are more loyal to the brand. BRAND CONTRIBUTION PERCENTAGE Coca-Cola It is better than others It is satisfacto ry It caters for me I know about it BONDING ADVANTAGE PERFORMANCE RELEVANCE PRESENCE

8 BRAND VALUATION X = Financial ValueBrand ContributionBrand Value

9 BRAND CONTRIBUTION EFFECT X = X =

10 Interbrand value $28bn BRAND CONTRIBUTION AVERAGE Values very similar BRANDZ™ value $23bn

11 Interbrand value $28bn BRAND CONTRIBUTION LOWER Interbrand fails to take account of lower Brand Contribution BRANDZ™ value $13bn

12 Interbrand value $34bn BRAND CONTRIBUTION HIGH Interbrand fails to take account of high Brand Contribution BRANDZ™ value $183bn

13 BRAND VALUE Interbrand BRANDZ™ $183BN $34BN $9bn $16bn BRAND CONTRIBUTION 3 BRAND CONTRIBUTION 4

14 $33bn YES, TOP % RISER AGAIN… $183bn YES, NO.1 AGAIN… 56 YES, FEWER USA/EUROPE BRANDS AGAIN… + 74% + 19% (74 last year and 88 in 2006)

15 A VERY TOUGH YEAR: $2.4tr Half the brands LOST value (mainly financials not brand contribution) Value of Top 100 only +0.3% ($2.4trillion) $1.4tr

16 TOP RISERS

17 STRONG BRANDS PERFORM APR 06MAY % 0.4% STRONG BRANDS S&P 500

18 CATEGORY PICTURE – SHORT TERM (vs ‘11)

19 CATEGORY PICTURE – LONG TERM (vs ‘06)

20 STRONG BRANDS GROW STRONGER $46bn $892bn $83bn $409bn Top 10 Bottom 10

21 BUZZ MEANS MONEY $511bn $112bn Value Earned Buzz

22 It is better than others It is satisfacto ry It caters for me I know about it BONDING ADVANTAGE PERFORMANCE RELEVANCE PRESENCE Top 100 brandsAll brandsFast Growing MORE ENGAGEMENT IN FAST GROWING MARKETS

23 12 FINANCIAL COMMUNICATIONS OTHER INFRASTRUCTURE IN GROWTH MARKETS DEVELOPED %FAST GROWING % TECHNOLOGY

24 TOP 10 GROWTH BY REGION Momentum Average High Low Average High

25 NORTH AMERICA Average High Momentum Average High Average

26 CONTINENTAL EUROPE Average Low Momentum High Average High Average High

27 UK Average Low Average Momentum Low High Low Average

28 ASIA High Average High Momentum High Average High

29 LATAM Average High Average Momentum Average High Average


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