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BrandZ™ Category Analysis: Technology

Technology leads every

category in Vital Signs

 

The BrandZ™ Vital Signs results should settle any argument about the relative health of the technology category, at least until now. The BrandZ™ Technology Top 20 achieves a phenomenal average score of 116 across all five Vital Signs, scoring highest in Brand Purpose and Innovation. (An average score is 100.)

 

Business-to-consumer (B2C) brands like Google, which increased 556 percent in brand value over the past 12 years, reshaped the category. In 2006, the BrandZ™ Technology Top 20 was evenly split between B2C and Business-to-business (B2B) brands. Today, the split is two-thirds B2C and one-third B2B. The average B2C brand value increased 408 percent in the past 12 years, while B2B brands increased an average of 84 percent.

 

Although the B2B brands score above average on key BrandZ™ metrics, they are no match for the B2C brands with these average scores: Meaningful Difference, 140; Innovation,119; Brand Experience, 118; and Love, 120. With some fluctuations, Apple, Google, and Microsoft have sustained their Meaningful Difference over the past 12 years.

 

There is also this metric— “Excited by what they might do next”—where B2C scores 122 compared with 108 for B2B. All these numbers measure past performance, and the future may unfold differently because the next phase of technology, including the Internet of Things (IoT), autonomous cars, smart homes and smart cities, will require more collaboration between B2B and B2C brands.

 

Brand Implications

The BrandZ™ metrics for the technology category are strong, especially for B2C brands. But the data measures history. It is possible that technology, the category that has disrupted every other category, will itself be disrupted as brands work separately and in collaboration on the IoT and other society-altering projects. As technology companies move into new areas, with the B2B players developing cloud businesses, for example, brands need to keep the Vital Signs strong. They especially need to maintain clear Brand Purpose and link it to Innovation.

 

 

 

B2C brands reshape category…

In 2006, the BrandZÔ Top Technology Top 20 was evenly split between B2C and B2B brands. Today, the split is two-thirds B2C and one-third B2B.

  

… And outscore B2B in key metrics

The B2B brands score above average on key BrandZ™ metrics, but they are no match for the B2C brands.