Apple has overtaken Amazon and Google to regain its position as the world’s most valuable brand in a new ranking by Brand Finance. The last time it was in no. 1 spot was half a decade ago.
Brand Finance, described as the world’s leading brand valuation consultancy, compiles its list based on a slightly esoteric, complex formula. This takes into account factors like “brand impact” and “brand strength,” based on metrics like how much the brand would charge for royalties if it was to lease out its branding.
As Brand Finance explains in its report:
“The BSI score is applied to the royalty range to arrive at a royalty rate. For example, if the royalty range in a sector is 0-5% and a brand has a BSI score of 80 out of 100, then an appropriate royalty rate for the use of this brand in the given sector will be 4%.”
Got it? Good. Nonetheless, it’s an interesting report which gives a sense of which are the top brands from a business and consumer perspective each year. As can be seen from the below report, Apple ranks no. 1 this year. Amazon ranks number two and Google number three. Microsoft and Samsung round out the top five.
The most valuable brands
Comparing that to market cap, Apple currently stands at $2.4 trillion, Amazon is at $1.6 trillion, Google (or parent company Alphabet) at $1.26 trillion, and Microsoft at $1.8 trillion.
“Steve Jobs’ legacy continues to flow through Apple, with innovation built into the brand’s DNA,” said Laurence Newell, Managing Director, Brand Finance Americas, in a statement. “As Apple reclaims the title of the world’s most valuable brand from Amazon five years since it last held the top spot, we are witnessing it Think Different once again. From Mac to iPod, to iPhone, to iPad, to Apple Watch, to subscription services, to infinity and beyond.”
Apple will be revealing its latest quarterly earnings later today.