Yesterday, Forbes came out with a list of top 5 brands of 2018. Kurt Badenhousen, a writer on Forbes.com has published an article regarding the brands which have stand out in the 5 months of 2018. These 5 brands have established themselves very well and have increased their profit in the first half of 2018.
Importance Of Brand Name
One of the most priceless possession of these five brands is their strong established name. They dominate all the other brands in their respective field. A well-formed company helps drive demands to their products and improve pricing power. These five brands do it better than any other. Their total worth according to Forbes’ is $586 billion which is up by 20% from last year’s value. Apple, which is the leader in Forbes’ list for eight consecutive years has a total worth of $182.8 billion, 8% more than that of last year. Although Samsung sold the most number of mobile phones in the market, Apple captured the revenue with its expensive iPhone X. Apple generated four times profit than its counterpart Samsung Electronics.
Analyzing the brand power of Apple, it sold 29 million phones (iPhone X) with a $999 tag within two months of its launch. China, one of Apple’s major target was responsible for one-quarter of that sale. Despite some rumors regarding the growth of Apple in China, they announced a growth of 21% in the last quarter.
According to Forbes, the top 5 brands of this year are-
- Apple – mobile|tablet|computer.
- Google – search engine and various other services.
- Microsoft -software company.
- Facebook – Social Media.
- Amazon – online shopping.
Google Closing Down Apple
Google has been in the second position for three years now. The net worth of Google is valued at $132 billion dollars 30% more than that of the previous year. Though Apple has a 38% lead on Google’s total worth, Google has been closing down in the last few years as the difference in their total worth were 121% before three years. Alphabet, Google’s parent company has been focusing on various other technologies like smart-home tech, self-driving cars and many more. Although they are trying a lot to make more revenue, it is Google which drives the company as the other sectors mostly suffer losses in and out. The search engine had a 26% rise even when its competitors – Bing, Yahoo, and Baidu are trying a lot to cut the 80%+ market share held by Google.
Amazon Having An Upper Hand
In the top five most valued brands, Amazon taking over Coca-Cola was the only change visible. Coca-Cola’s brand value is at $57.3 billion which is a 2% rise from the previous year. Also, Coca-Cola is the only non-technical brand in the top seven most valued brands in the World, according to Forbes’. Forbes’ evaluated nearly 200 global brands to find the top 100 brands in the world and the only criteria was the presence of these brands in the United States. This is the only reason due to which China’s Alibaba did not make it into the list.
Other brands in the top list like Microsoft had 21% gain on its total worth from previous year making it to $104.8 billion and Facebook had a tremendous 31% increasing its worth to $94.8 billion.
Evaluation Of The Brands
Forbes’ evaluated the brands on their last three year earnings and allocated the percentage depending on the role they play in various industries. The top 100 brands in the World had a combined worth of $2.15 trillion which is a 10% rise from the previous year. KFC ranks at the 100th position with a value of $7.4 billion. Technical brands have the upper hand as they occupy 20% of the list with all the top 5 brands being a tech brand. US companies dominate the list with 54 out of 100 among the 16 different countries which contribute to the list. The biggest gainers were Netflix and PayPal with 35% and 33% rise respectively.