Apple Tops Samsung as World's Most Valuable Brand, Ferrari Rated Most Powerful
Apple has topped Samsung has the world's most valuable brand; however, Ferrari is ranked the world's most powerful brand, reports Brand Finance.
Electronics giant Apple had a roller coaster year in 2012 – its enterprise value rocketed from US$350 billion to US$600 billion only to dip to US$400 billion in the space of 12 months. Despite a raft of new product launches such as the new iPhone and iPad the company continued to lose ground to Samsung and it was only its sheer size that helped Apple maintain its lead position over its smaller but more nimble South Korean rival. The net result for Apple’s brand value was a rise from $70 billion to $87 billion but a slight weakening of its brand rating from AAA+ to AAA.
The mighty Apple brand is supporting the company as it arguably loses its competitive edge to Samsung in the wake of the launch of Galaxy S3, the most pre-ordered smart phone of all time. Samsung’s brand value leaped by a staggering 54 per cent (US$20.6 billion) and more new digital consumer products are expected to be launched during 2013.
Notably, Ferrari (owned by Fiat), had the highest brand rating in BrandFinance's Global 500 list.
A key driver of brand value is revenue. Clearly Ferrari cannot compete in terms of the size of the multi-national brands. However its brand rating takes into account other financial metrics such as net margins, average revenue per customer, marketing and advertising spend as well as qualitative measures such as brand affection and loyalty.
Taken together, Ferrari outperforms not only rival auto manufacturers BMW, VW, Mercedes Benz, Lexus and Audi but all brands worldwide. Ferrari today announced record results for the first nine months of 2012, recording an increase in net profits by 7.6 per cent to €152.4m on a turnover of €1.76 billion.
"It is always a pleasure to top any list and still more so when the competition includes some of the world's most famous companies. This achievement proves that even in very tough economic times, Italy can still offer the world businesses of excellence," commented Ferrari Chairman Luca di Montezemolo. "Behind this acknowledgement are exceptional products made by equally exceptional men and women. They made it possible and for that I thank them."