As for the price of the logo, it is complicated for great technologies. In Forbes’ 2020 list of the 100 most valuable logos, the five most sensitive are the same as last year: Apple, Google, Microsoft, Amazon and Facebook. And while the 4 sensitive highs have maintained or accelerated their expansion rate, Facebook has fallen. In fact, the price of the social network logo fell by 21% between fiscal year 2018 and fiscal year 2019.
Several brands have experienced adjustments to the annual ranking, which reviews last year’s monetary awareness. Visa went from 25th to 18th place, Adidas went from 61st to 51st place and Netflix went from 38th to 26th place. Some luxury brands have also undergone adjustments, with Chanel going from 79 to 52 and Cartier from 64 to 56.
This year’s list includes several newcomers: Nintendo, Hennessy, Burger King and AXA are among the 100 most sensitive. Meanwhile, some of the corporations with the largest losses were classically generation corporations such as GE, HP Inc. and IBM, which saw overall values minimize to 14%, 12%, and 10% respectively. Phillips, Hewlett Packard Enterprise and Kellogg were completely eliminated from this year’s ranking.
“The price of lopass is very rigid, which is pretty surprising when you think about it,” said Christie Nordhielm, a marketing professor at Georgetown University. “Then, at the same time as the generation and the new lopasss take off, there is control over the lopass, whether it’s express lopasss or corporate lopasss. And it’s moving on to lopass rankings, and that adhesion provides a false sense of security that can go wrong. Like everything we are experiencing now, there is a delaying effect”.
Walmart is particularly superior this year. The retailer’s logo rose 12% year-over-year to $29.5 billion, from 26th to 19th place.
“Walmart has gone to great lengths to modernize its delivery and seek to compete,” Nordhielm said. “They oppose Amazon, and it’s a tough competitor, yet Walmart is rarely a very waning violet. They’re not sinking in silence. In a sense, Amazon is helping Walmart and forces them to play their game.”
There have also been giant falls, particularly in the automotive sector. While Mercedes-Benz dropped from 17th to 23rd and BMW fell from 21 to 27, Nissan was completely removed from the list, falling from 81st place just a year earlier. Other drops in ratings come with Wells Fargo (42 to 69) and KFC (86 to 96).
The price of the brand is falling because corporations struggle to protect the positioning of the logo, according to Tim Calkins, a marketing professor at Northwestern University’s Kellogg School of Management. As a result, corporations can compete, resulting in falls that reflect tension over them.
“HP (Inc.) is a logo that actually struggles to delimit itself,” Calkins said. “The most productive logos are actually well outlined. And when you have a logo that loses its unique meaning, it will almost have difficulties in the market and then in the valuations.”
Older brands with new competition have also suffered price and ranking losses. For example, Gillette continues to face developing tensions from start-ups such as Harry’s, which last year acquired $1.4 billion through Edgewell Personal Care, Schick’s parent company, and Dollar Shave Club, which Unil bought in 2016 for $1 billion.
The 100 most sensitive in the coming year may be others this year, as the consequences of the Covid-19 crisis and economic recession continue on the world’s largest and smallest companies. But for now, corporations that have made great strides in 2019 such as Amazon, Netflix and PayPal also seem to be on track to be big winners during the pandemic in terms of e-commerce, transmission and payment adjustments.
“People have been saying for a long time that logos are going to disappear and they’re not that vital now with the Internet,” Calkins said. “You don’t want to accept the logo as true and just read the reviews. But what you see is that the logos are still incredibly vital and incredibly strong. Now they create price in other tactics, but there’s no doubt when you look at those corporations whose logos have a genuine price for those corporations.”
Methodology
After comparing a universe of two hundred global logos with a significant presence in the United States, our first step in comparing all was to income and earnings before interest and taxes. We then calculate the average earnings before interest and tax (EBIT) for the last 3 years (2017 to 2019) and subtract from the profits a rate of 8% of the contracted capital of the logo, estimating that the average logo deserves to be able to earn at least 8%. in this capital. Forbes also implemented the corporate tax rate in the parent company’s country to net income, and then allocated a percentage of the proceeds to the logo based on its role in its industry. At this figure of the net logo revenue, we implemented the multiple average price/profit of the last 3 years to download the final price of the logo. For personal companies, we have implemented multiple benefits for comparable public companies.
Marks in numbers
I am editor-in-chief of the Forbes CMO network, guilty of marketing and advertising coverage, in relation to the ever-changing role of marketing directors. Me too
I am editor-in-chief of the Forbes CMO network, guilty of marketing and advertising coverage, that is, in relation to the ever-changing role of marketing directors. I also manage several Forbes lists, adding the world’s most valuable brands, CMO Next and 30 Under 30 (marketing and advertising). Previously, I was a technical reporter at Adweek and previously covered business and politics in Alabama for the Associated Press and The Birmingham News. Email me at [email protected] with news suggestions or other article ideas.