The Rankings ~ Slight category changes ~ Five Sectors CONSUMER FINANCIAL INSTITITIONS Apparel Global Banks Retail Regional Banks (+Pharmacies and Dept. Stores) Insurance Personal Care Luxury (High-end accessories and watches) Cars TECHNOLOGY Technology Telecoms FOOD & DRINK Beer COMMODITIES Fast Food Oil & Gas Soft Drinks (all non-alcoholic) BrandZ vs Interbrand BRAND VALUE Financial Value ($) Financial value of the brand rather than the company Brand Contribution (%) The proportion of financial value that is attributable to the brand alone KEY DIFFERENTIATOR BrandZ extensive consumer research Extensive consumer research Covering 10k brands Across 30+ countries Database back to 1998 Of 2m+ consumer views BrandZ Interbrand Interbrand’s assessment of brand Expert panel assessment Historical role of brand for others in sector Primary research Highly subjective Flawed assumption Limited INCONSISTENT Interbrand’s “global” exclusion criteria Publically available financial data Brands outside categories ranked Less than 30% of revenues outside home market Presence in fewer than three major continents Interbrand EXCLUDES 52% of world’s largest public brands BrandZ Interbrand BrandZ Strong Brand Portfolio vs. Interbrand T50 vs. S&P 500 60% (April 2006 – April 2013) 58% 39% 40% 23% 20% April 06 April 13 -20% BrandZ Strong Brands Portfolio -40% Interbrand Top Brands Portfolio S&P 500 -60% Note: BrandZ strong brands are those with a brand contribution of 30% or more Top brands value continues to grow UP +7% to $2.6tr +7% 2.5 USD trillion $2.6tr 3.0 2.0 1.5 1.0 0.5 0.0 2006 2007 2008 2009 2010 2011 2012 +32% +77% since 2008 since 2006 (pre-recession) 2013 GROWTH All categories show growth (except Technology, Oil & Gas) Top brands defy slowdown in Europe/UK. Asia leads growth, US recovers and LatAm suffers. FINANCIAL INSTITUTIONS Banks have bounced back into profit TECHNOLOGY Technology continues to dominate and influence VALUE Luxury and Value co-exist GLOBAL IS NOT AUTOMATIC PANACEA Many regional brands bigger than global competitors All categories up except Technology/ Oil & Gas) CATEGORY BRAND VALUE CHANGE CATEGORY BRAND VALUE CHANGE Beer +36% Soft drinks +11% Global banks +23% Luxury +6% Apparel +21% Cars +5% Insurance +19% Fast food +5% Retail +17% Telecoms +1% Regional banks +15% Technology -1% Personal care +13% Oil & Gas -4% Category Size & Growth (Top 10) vs 2012 IN ORDER OF GROWTH Only Cars still behind pre-Recession values CATEGORY SINCE PRERECESSION CATEGORY (2008) SINCE PRERECESSION (2008) Beer +82% Retail +22% Fast Food +71% Personal Care +9% Telecoms +64% Financial +6% Luxury +49% Insurance +5% Technology +45% Oil &Gas +4% Soft Drinks +39% Cars -29% Apparel +35% ALL TOP 100 +32% (Banks) Category Growth (Top 10) IN ORDER OF GROWTH Rankings: Top 20 risers from Global and Category Rankings BRAND BRAND VALUE CHANGE Prada Brahma Zara Calvin Klein Tencent Samsung Gucci Visa The Home Depot Disney +63% +61% +60% +52% +52% +51% +48% +46% +43% +40% BRAND BRAND VALUE CHANGE eBay Stella Artois Skol Next Citi Nivea Heineken +40% +40% +39% +39% +37% +36% +36% Commonwealth Bank of Australia +36% Amazon Barclays +34% +34% Banks back making profits They may not be popular but they are valuable infrastructure and can be profitable exports Financial: Top 10 Global Banks ($M) BRAND VALUE CHANGE HSBC 23,970 +24% Citi 13,386 +37% Chase Standard Chartered 10,836 10,160 +25% +1% JP Morgan 9,668 New Santander 9,232 +8% Barclays 7,989 +34% ING Bank 7,596 New UBS 7,429 New Goldman Sachs 7,351 New BRAND BRAND VALUE Category +23% The Soft Drinks ‘share of throat’ increasingly being affected by health concerns and threatened legislation Food & Drink: Top 15 Soft Drinks BRAND Coca-Cola Diet Coke Red Bull Pepsi Nescafé Tropicana Nespresso Sprite Fanta Gatorade Mountain Dew Minute Maid Dr. Pepper Diet Pepsi Nestea ($M) BRAND VALUE CHANGE 64,698 13,717 10,558 5,639 6,520 4,808 4,478 4,127 3,974 3,750 2,497 2,296 2,236 2,232 1,852 +7% -2% +6% -5% New New New +9% -1% +9% -3% New +5% -2% New BRAND VALUE Category Top 15 +5% Volatility across Technology category A temporary lull in game changing innovations US still dominates Technology: Top 10 Technology ($M) BRAND VALUE CHANGE Apple 185,071 +1% Google 113,669 +5% Top 10 IBM Microsoft 112,536 69,814 -3% -9% -1% SAP 34,365 +34% Tencent 27,273 +52% Samsung 21,404 +51% Facebook 21,261 -36% Baidu 20,443 -16% Oracle 20,039 -11% BRAND BRAND VALUE Category Great T-shirt Giveaway • How many bottles of L’Oréal Elvive Triple Resist Reinforcing Shampoo would you get for the global brand value of L’Oréal? 1 billion 3 billion 5 billion • How many Amazon delivery trucks would you need to get them to your home? 40,000 100,000 300,000 • How long would the supply last an average family? 10 years 99 years 250m years Key themes Meaningfully different and salient brands: POWER drive higher volume sales PREMIUM maximise ability to charge a fair price POTENTIAL sustain growth for the future Top 100 Brands MEANINGFUL 115 DIFFERENT 120 SALIENT 131 Average for all brands 100 Eight Years, Eight Top Risers Up ($M) BRAND VALUE CHANGE Subway 16,700 +5,798% Top 100 up Apple 185,071 +1,058% +77% Amazon 45,700 +664% Hermès 19,129 +296% Zara 20,167 +295% SAP 34,365 +259% Verizon 53,004 +256% IBM 112,536 +212% BRAND BRAND VALUE +425% Eight Success Trends Great Value Proposition Relevant for today Harnessing technology Getting abroad and about Reputation Meaningfully Different Personality A great branded experience Asia leads growth Top 10 vs 2012 Asia +13% Continental Europe +5% UK +4% US +2% LatAm -13% Rankings: Top 10 Asia +13% ($M) BRAND VALUE CHANGE China Mobile 55,368 +18% ICBC 41,115 -1% Tencent China Construction Bank 27,273 26,859 +52% +10% Toyota 24,497 +12% Samsung 21,404 +51% Baidu 20,443 -16% Agriculture Bank of China 19,975 +12% Commonwealth Bank of Australia 17,745 +36% ANZ 16,565 New BRAND BRAND VALUE Rankings: Top 10 LatAm -13% ($M) BRAND VALUE CHANGE Corona 6,620 +29% Telcel 6,577 -22% Skol Petrobas 6,520 5,762 +39% -45% Falabella 5,611 +7% Bradesco 5,446 -19% Ecopetrol 5,137 +21% Claro 4,454 +3% Itaú 4,006 -39% Aguila 3,903 New BRAND BRAND VALUE Fast Growing markets: Other ($M) BRAND VALUE CHANGE ICICI Bank (India) 14,196 +12% Sberbank (Russia) 12,655 +19% MTN (Africa) MTS (Russia) 11,448 10,633 +23% +11% Airtel (India) 10,054 -13% Gazprom (Russia) 6,182 -8% Lukoil (Russia) 5,011 New BRAND BRAND VALUE Rankings: Top 10 North America +2% ($M) BRAND VALUE CHANGE Apple 185,071 +1% Google 113,669 +5% IBM McDonald’s 112,536 90,256 -3% -5% Coca-Cola 78,415 +6% AT&T 75,507 +10% Microsoft 69,814 -9% Marlboro 69,383 -6% Visa 56,060 +46% GE 55,357 +21% BRAND VALUE BRAND (Canada: RBC 38th, TD 46th, Scotiabank 85th) +4% Rankings: Top 10 UK ($M) BRAND VALUE CHANGE Vodafone 39,712 -8% HSBC 23,970 +24% Shell Tesco 17,678 16,303 -1% -9% BP 11,520 +11% Standard Chartered 10,160 +1% BT 9,531 New Barclays 7,989 +34% O2 5,965 -30% Dove 4,927 +5% BRAND BRAND VALUE Rankings: Top 10 Continental Europe +5% ($M) BRAND VALUE CHANGE SAP 34,365 +34% BMW 24,015 -2% Deutsche Telekom Louis Vuitton 23,893 22,719 -11% -12% Zara 20,167 +60% Hermès 19,129 0% L'Oréal 17,971 +30% Mercedes-Benz 17,952 +11% Orange 13,829 -10% Movistar 13,336 -22% BRAND BRAND VALUE Consumer: Top 20 Retail 2013 BRAND BRAND VALUE ($M) BRAND VALUE CHANGE BRAND BRAND VALUE ($M) BRAND VALUE CHANGE Amazon 45,727 +34% Carrefour 7,372 -6% Walmart 36,220 +5% Costco 6,789 +33% The Home Depot 18,488 +43% Whole Foods 6,728 - eBay 17,749 +40% Walgreens 5,925 - Tesco 16,303 -9% CVS 5,620 - IKEA 12,040 +31% Falabella 5,611 +7% Target 11,879 +13% M&S 4,649 +7% Woolworths 11,039 - Asda 4,617 +19% ALDI 8,885 -5% Lidl 4,524 -2% Lowe’s 7,559 +26% Coles 4,416 - Key Take Aways PURPOSE CONSUMERS COMMUNICATION GROWTH Corporate Reputation becoming more important RepZ key measures of Top 100 (2013) Leading the way Good return on investment Being socially responsible Treat Employees well Deal fairly with Suppliers Environmentally responsible Can trust Charge fair prices 110 109 106 106 105 104 104 100 RepZ Score 106 Coming soon….