According to the latest Kantar BrandZTM ranking of the world's most valuable brands for 2021, the world's most valuable brands recorded record growth, and the total value of the brands included in the ranking reached 7.1 trillion USD, equivalent to the combined GDP of France and Germany.

Key Kantar BrandZ 2021 trends

The 42% increase, more than four times the average annual percentage growth of the last 15 years, stems from consumer optimism brought about by vaccine availability, economic support packages, and increasingly better GDP growth forecasts. As many as 56 American brands made the top 100, and the leaders of the ranking are Amazon and Apple – each of these brands is now worth over half a trillion USD.

Here are the most important trends from this year's Kantar BrandZ study:

  • Amazon maintained its position as the world's most valuable brand, achieving 64% growth to 684 billion USD. This brand first appeared in the BrandZ ranking in 2006, and its value increased this year by nearly 268 billion USD, making Amazon the first brand worth more than half a trillion dollars. Only Apple, valued at 612 billion USD, joins it in this group.
  • Tesla is the fastest-growing brand, and it also earned the title of the most valuable brand in the automotive world, increasing its value by 275% year on year and reaching 42.6 billion USD.
  • Five brands more than doubled their value. These are: Pinduoduo, Meituan, Moutai, and TikTok from China, as well as Tesla from the USA.
  • The value of the entire ranking list increased thanks to 69 brands that have increased their value by at least 5% since 2020, as well as 13 newcomers in this group, among which were: Zoom, Nvidia, AMD, and Spotify.
  • Technology brands dominate the top of the Kantar BrandZ ranking – as many as seven brands in the top ten come from this sector. New technologies also enabled significant growth for brands in other industries, as exemplified by Gucci, which skillfully used the power of TikTok during the pandemic, and Domino's – a brand that benefited from combining online services and food delivery. At present, the value of the 10 most valuable brands is estimated at 3.3 trillion USD, while the top ten in 2011 was worth 800 billion USD.
  • American brands grew fastest in 2021, with their value increasing by an average of 46% year on year. This means that the United States now accounts for 74% of the total value of the Top 100, even though this country's share of global GDP is only 24%.
  • China strengthened its advantage over Europe. The share of Chinese brands rose from 11% of the Top 100 ranking value in 2011 to 14% this year. Meanwhile, European brands now account for 8% of the ranking value, whereas in 2011 it was 20%.
REPORT: The World's Most Valuable Brands 2021! — illustration 1
“The 2020/2021 period was record-breaking in terms of brand growth, and although many brands faced difficulties during this time, our research once again proved that strong brands deliver significantly higher shareholder returns, are more resilient to difficulties, and emerge from them faster,” comments Kantar Chief Marketing Officer Nathalie Burdet. “In 2020, e-commerce's share rose from 12% to 15% of total global sales, meaning it was a positive year for brands participating in this value chain – from retailers to courier companies such as FedEx and UPS. However, growth was also recorded in industries that were predicted to struggle at the beginning of the pandemic. For example, the combined growth of apparel brands in the ranking turned out to be even greater than that of the media and entertainment industry, and luxury brands – despite travel restrictions and lockdowns around the world – redirected their energy and as a result achieved growth.”

Across all industries, it turned out that brands were rewarded for meeting changing consumer needs and behaviors:

  • Because consumers spent more time at home during lockdown, the 10 most valuable brands in the media and entertainment sector in the Kantar BrandZ ranking recorded impressive growth (+50%). Gaming technology (chip) providers Nvidia and AMD entered the ranking for the first time.
  • However, the apparel category outpaced the media and entertainment sector, recording 53% growth in value because during the pandemic people had to redraw the line between clothes worn for work and in their free time. The driver of this growth was everyday sportswear as part of the athleisure trend, and Adidas, Nike, Puma, and Lululemon each achieved over 50% growth in value. Although fast fashion as a whole did not grow as quickly, the valuations of brands such as Uniqlo (+88%) and H&M (+47%) increased significantly.
  • Because during the pandemic more consumers began shopping online, this allowed the 20 largest retailers to increase the value of their brands by 48%. In addition to Amazon's success, Chinese e-commerce brands achieved significant growth. Alibaba, in 7th place in the global ranking, strengthened its position as the second most valuable retail brand, while Pinduoduo was the fastest-growing retail brand. However, e-commerce giants are not the only winners in the retail sector: Home Depot recorded a 22% increase in brand value thanks to an 86% increase in online sales1, while Walmart gained 30% in value and Lowe’s 51%.
  • New to the ranking, Zoom turned out to be one of the biggest technology discoveries of 2021, and the ease of use and reliability offered by this brand drove its popularity among both business and individual users. Zoom entered the ranking in 52nd place with a valuation of 36.9 billion USD.
  • For many companies, subscription models proved to be an important driver of success. One of the best examples is Microsoft (+26%), which gained value by introducing innovative offerings that made it easier for users to adapt to new work environments and by moving to subscription models to increase convenience and scalability. Xbox (+55%), Disney (+13%), and Netflix (+55%) achieved growth, while Spotify appeared in the ranking after recording an impressive 454% increase in subscribers between 2015 and 2020 and significantly improving its position in consumers' eyes. Subscription-based models make it possible to increase value for a wide range of brands beyond the technology sector as well – examples include brands such as Lululemon, Nike, Mercedes-Benz, and Heineken.
  • The alcoholic beverages sector maintained growth throughout the pandemic thanks to Chinese baijiu brands. The world's most valuable alcohol brand is Moutai (109.3 billion USD), which doubled its valuation in one year and is now four times more valuable than Budweiser (the world's second most valuable alcohol brand: 25.5 billion USD). The fastest-growing beer brand turned out to be Heineken, achieving a 16% jump in value (No. 4 in the alcohol sector ranking).

The key role of trust and brand building

The world's most valuable brands 2021: trends and ranking leaders

Brand reputation is increasingly the driver of brand growth, especially in the context of sustainability and ethical aspects of business. In the luxury goods category, brand value grew by 34%, mainly thanks to French and Italian luxury fashion houses such as LVMH, which are investing in corporate reputation through pandemic-related initiatives, sustainable transformation, or support for social movements such as Black Lives Matter. Meanwhile, the L’Oréal Paris brand successfully went against the tide and – contrary to the trends among cosmetics brands during the pandemic – secured growth by strengthening its strengths and promoting women's power and agency.

“This year's results prove that deliberate brand building remains the key factor ensuring growth,” explains Nathalie Burdet. “By tracking the stock market performance of the strongest brands in our ranking, we observed that they emerge from difficulties twice as fast as brands belonging to other key indices. Our analyses showed that 70% of a brand's success comes from good execution of four fundamental principles: i) providing the best customer experiences at consistently branded points of contact with the brand, ii) an assortment of well-designed, functional products and services, iii) convenience, and iv) brand exposure through great advertising. However, the COVID-19 pandemic brought values important to consumers, such as trust and reliability, to the fore. Brands that develop their world of values and become leaders in this respect are able to effectively stand out from the crowd.”

Summary

The Kantar BrandZ™ ranking shows that the world's most valuable brands increased their total value by 42%, reaching 7.1 trillion USD. Amazon remained the leader (684 billion USD), followed by Apple (612 billion USD). Tesla grew fastest (+275%), and among the newcomers were Zoom, Nvidia, and Spotify. Technology brands dominate the top ten, and Chinese e-commerce giants such as Alibaba and Pinduoduo are strengthening their position.

Interestingly, contrary to earlier forecasts, apparel brands recorded higher growth (53%) than the media and entertainment sector (50%), mainly thanks to the athleisure trend. Kantar experts emphasize that strong brands emerge from crises faster, and trust and reliability built through deliberate actions are crucial.