High-tech behemoths Apple and Google have been unseated by US retail giant Amazon as the world’s most valuable brand, a major survey released June 11 indicated.
The brand value of Amazon skyrocketed by 52% to US$315 billion (S$430 billion), global market research agency Kantar said in its 2019 BrandZ Top 100 report.
Amazon jumped from third to first place outshining Google – which slid from first to third place with Apple holding on to the second spot.
Founded in Jeff Bezos’ garage in 1994, the Seattle-based retail giant topped the table by way of successful acquisitions, high-caliber customer service and a disruptive business model, Kantar said in a statement.
“Amazon’s smart acquisitions, that have led to new revenue streams, excellent customer service provision and its ability to stay ahead of its competitors by offering a diverse ecosystem of products and services, have allowed Amazon to continuously accelerate its brand value growth,” said Kantar.
The agency, which is owned by British advertising group WPP, added that Amazon showed “little sign” of slowdown in its growth.
In Kantar’s survey, the top 10 companies were once again dominated by US firms, with Apple on US$309.5 billion, Google on US$309 billion and Microsoft on US$251 billion.
“Amazon’s phenomenal brand value growth of almost US$108 billion in the last year demonstrates how brands are now less anchored to individual categories and regions,” said Doreen Wang, Kantar’s global head of BrandZ.
“The boundaries are blurring as technology fluency allow brands, such as Amazon, Google and Alibaba, to offer a range of services across multiple consumer touch points,” she said.
“Using their consumer experience and expertise, these brands are crossing over into the business services sector, creating new opportunities for brand growth,” Wang said.
“Disruptive ecosystem models are flourishing in regions such as Asia, where consumers are more technology-enabled and where brands are integrating themselves into every aspect of people’s daily lives,” she added.
Brand value on the key survey is calculated on the basis of the companies’ financial performance and their standing among consumers around the globe.