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      04-29-2008, 03:05 AM   #1
scollins
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BMW ranks as the #2 most powerful car brand

I received a copy of Milward Brown Optimor's "Brandz Rankings", which uses various factors to determine a brand's value creation. If someone wants the full breakdown on the methodology, just read up on the FAQ.

Anyway, they rank BMW as the #2 most power car brand, and it captures #17 overall. The top car brand in terms of value creation is Toyota, according to their research. Here are the Top 10 most powerful Car brands:
1. Toyota
2. BMW
3. Porsche
4. Mercedes
5. Honda
6. Nissan
7. Ford
8. Chevrolet
9. VW (Volkswagen)
10. Lexus


Anyway, I thought it was interesting to see how various brands were valued. The company I work for is ranked #3 in its segment (beer.)
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File Type: pdf BrandZ-2008-RankingReport.pdf (367.8 KB, 152 views)
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      04-29-2008, 03:14 AM   #2
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that's really interesting, good find
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      04-29-2008, 03:35 AM   #3
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tell me #7 is a typo. did you mean f...errari?
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      04-29-2008, 04:09 AM   #4
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I thought Lexus would be a lot closer to Toyota or even vice versa....
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      04-29-2008, 04:33 AM   #5
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I would have assumed Honda was higher.
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      04-29-2008, 06:54 AM   #6
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Quote:
Originally Posted by WuDynasty View Post
I would have assumed Honda was higher.
in terms of reliability and residual values in general sector Honda is ranked #1.
but here the factor is brand.

and residuals
in luxury brands within US
lexus is ranked #1 and then BMW.
4th is Acura
and 6th is Mercedes
i don't remeber who are 3rd and 5th but yeah its not nissan or infiniti.

i see adverts saying ford = toyota in quality
well ford hasn't done better toyota because its the new GM has worsen quality measures
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      04-29-2008, 08:01 AM   #7
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Is this most powerful brands as in brand exposure, loyalty, recognition, respect, what?

It makes a big difference.
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      04-29-2008, 08:08 AM   #8
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Great info. Thanks. I am surprised Audi is not in there.
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      04-29-2008, 08:16 AM   #9
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Porsche is not only the highest earning but also owns most of the car brands in Europe, how can they not be the most powerful?
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shit, if i had that kind of money id buy a gtstreet for monday, an ascari a10 for tuesday, a DBS for wednesday and id just ride jessica alba the rest of the week.
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      04-29-2008, 08:20 AM   #10
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Great info. Thanks. I am surprised Audi is not in there.
WHY? Less and less people are buying them. Sales are down 90% of the time every quarter and most people where I am from consider Audi to not as upscale and nice as a BMW. From what I hear this is true in most arears in the US. Europe on the other hand is a different story.
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      04-29-2008, 08:26 AM   #11
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Audi has been consistently building its brand, and has new initiatives in the US (R8 Superbowl commercial, etc.) If you are correct about peoples perception of Audi in your area, then that is only one area, not the entire US. I guarantee that many people consider Audi to be as upscale and nice as a BMW. This is based on personal opinion, not trying to start Audi v. BMW SH here. This is my opinion after driving an Audi.
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      04-29-2008, 10:31 AM   #12
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Quote:
Originally Posted by Acemetrical View Post
Is this most powerful brands as in brand exposure, loyalty, recognition, respect, what?

It makes a big difference.
Those questions are answered in the FAQ in the .pdf link. But here is their explanation of what they are showing:
Quote:
How We Calculate Brand Value
Brand Value is the financial value of a brand, defined as the sum of all earnings that a brand is expected to generate.
For the purpose of the BrandZ ranking, Millward Brown Optimor values brands in three steps:
1. Establish a companyís intangible earnings and allocate them to individual brands and countries of operation, based on publicly available financial data from Bloomberg, Datamonitor (www.datamonitor.com) and Millward Brown Optimorís own research.
2. Determine the portion of intangible earnings attributable to brand alone, as opposed to other factors such as price. This metric, known as Brand contribution, reflects the share of earnings from a product or serviceís most loyal consumers or users. For this second step, we use research-based loyalty data from the BrandZ database.
3. Project the brand value forward based on market valuations, the brandís risk profile, and its growth potential. Data for this step is sourced from the BrandZ database, Bloomberg and Millward Brown Optimorís own research. Using these growth inputs, we create the final metric available from the BrandZ ranking, Brand Momentum, the index of the brandís short-term growth potential.

Brand Value
Step 1: Intangible Earnings
Intangible corporate earnings allocated toeach brand by country, based on company and analyst reports, industry studies, revenue estimates, etc.

Step 2: Brand Contribution
Portion of intangible earnings attributable to brand.
Directly driven by BrandDynamicsTM Loyalty Pyramid and Category segmentation collected wihin the BRANDZTM study.

Step 3: Brand Multiple
Brand earnings multiple. Calculated based on market valuations, brand growth potential and VoltageTM as measured by BrandDynamics.
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      04-29-2008, 10:35 AM   #13
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Quote:
Originally Posted by vinlikesred View Post
tell me #7 is a typo. did you mean f...errari?
Nope, not a typo.....
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      04-29-2008, 12:45 PM   #14
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im confused, most powerful as in engine power? or automobile market power? if it is engine power, I don't understand how Toyota would be number #1. also, #17 overall?? That is pretty behind, there are only really around 20 car companies sold in the united states.
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      04-29-2008, 01:13 PM   #15
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Quote:
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im confused, most powerful as in engine power? or automobile market power? if it is engine power, I don't understand how Toyota would be number #1. also, #17 overall?? That is pretty behind, there are only really around 20 car companies sold in the united states.

The rankings have absolutely nothing to do with engine power. It is about BRAND power, as in, how does the strength of the brand deliver increased value to the company and shareholders over time.

As for #17 overall, that is BMW's position against ALL brands, not just car brands. So brands like Google, Microsoft, GE, Coca Cola, etc. So out of all the brands in the world, they say BMW ranks #17. I'd say that is pretty high.

If you guys are confused about what the rankings are based on, or what they mean, open the PDF file and read the report. It only has maybe 7 pages that aren't the actual rankings themselves.
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      04-29-2008, 01:34 PM   #16
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sweet!! now i wish my car was faster
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      04-29-2008, 03:03 PM   #17
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I don't see how this list is wrong. Seems very believable to me.

Toyota is easily #1, and I am actually a little surprised to see BMW in 2nd...that doesn't seem right to me.
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      04-29-2008, 03:21 PM   #18
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Quote:
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Great info. Thanks. I am surprised Audi is not in there.
as well as rolls royce or ferrari
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      04-29-2008, 03:22 PM   #19
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F*** Toyota!
Bimmer For Life!
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      04-29-2008, 07:27 PM   #20
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Quote:
Originally Posted by GreenThree View Post
Audi has been consistently building its brand, and has new initiatives in the US (R8 Superbowl commercial, etc.) If you are correct about peoples perception of Audi in your area, then that is only one area, not the entire US. I guarantee that many people consider Audi to be as upscale and nice as a BMW. This is based on personal opinion, not trying to start Audi v. BMW SH here. This is my opinion after driving an Audi.
I agree that Audi is building its brand and making nice, upscale cars. It's just that Audi is not quite there yet, in terms of establishing its brand, compared to direct competitors BMW and Mercedes.
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      04-29-2008, 07:31 PM   #21
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The question is, WHO IS YOUR DADDY. I think BMW answered that really well.
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      04-29-2008, 07:40 PM   #22
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BMW did real good by putting their cars in like 3-4 James Bonds Movies...

They introduced the Z3, new 5 series, new 7, their motorcycles, all in 007 movies.

Audi is following suit by including R8 in Iron Man movie... its rare to find car companies using movies as a form of advertisement... except for maybe DeLorean but then again that was used after it had stopped operations.
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