The Top 100 now better prepared to sustain growth
Equity gains strengthen resilience for post-pandemic world
Analysis of the 2020 BrandZ™ Global Top 100 reveals improved brand marketing effectiveness that should help strengthen resilience during the world-altering disruption of Covid-19.
The volatility of the BrandZ™ Global Top 100 has declined significantly since the disruption of the global financial crisis over a decade ago. Two factors account for greater stability. First the composition of the Top 100 has changed, with a large proportion of brands now in technology-related categories rather than in financial services. Second, brand equity has strengthened.
All three BrandZ™ components of brand equity have improved: Meaningful (relevantly meeting functional and emotional needs), Difference (standing out and setting trends), and Salience (coming to mind easily when making a purchase decision).
Significantly, brands that increased in value are higher in Meaningful Difference than brands that declined. Declining brands could improve their marketing ROI by investing in building innovation, creativity and other brand attributes that drive Meaningful Difference, while continuing to maintain Salience.
Navigating the uncertainty of the post-Covid world also will require high trust, which underpins Difference. Trust delivers both reassurance and an easy rationale for brand choices. Building trust requires reliability, consistency, intimacy, and corporate responsibility.