How the top 100 global brands lost $3.5 trillion: short-term gains, long-term losses, reveals Interbrand

The world’s top 100 brands have missed out on $3.5 trillion in potential value since 2000, according to Interbrand’s latest Best Global Brands report. In just the last year, this loss translated to $200 billion in unrealised revenue. The report suggests that while performance marketing tactics can yield short-term financial results, the lack of investment in long-term brand-building strategies has significantly impacted overall value creation for the top brands.

Interbrand’s 25th annual study reveals that the cumulative value of these leading brands has increased 3.4 times since the ranking was first published in 2000, from $988 billion to $3.4 trillion. Despite this growth, the study suggests that the potential for greater value remains untapped. The findings indicate a clear trade-off: while short-term tactics deliver quick wins, neglecting long-term strategies leaves considerable value on the table.

Apple remains the world’s most valuable brand, but for the first time in two decades, it saw a decline in its brand value, dropping by 3%. Automotive brands emerged as a dominant sector in 2024, with 14 of the top 100 brands belonging to the automotive industry. Toyota, Mercedes-Benz, and BMW secured spots in the top 10, with Toyota ranking highest at #6. However, not all auto brands performed equally well. Tesla, for example, experienced one of the sharpest declines in brand value, falling by 9%. Commenting on Apple, Greg Silverman, Global Director of Brand Economics, Interbrand said: “While others rushed into AI, Apple took a more deliberate path to ensure its AI releases matched its values. This slower-moving act of leadership has put long-term trust ahead of short-term revenue gains. Following these brand moves, Apple’s stock has moved up 20% YTD and we anticipate that Apple’s value will increase in the 2025 rankings.”

Luxury brands also continued their upward trajectory, with Ferrari showing the highest growth among all brands, increasing its brand value by 21%. Other notable luxury risers include Louis Vuitton, which jumped from #14 to #11, and Hermès and Prada, which saw brand value growth of 15% and 14%, respectively.

The report also introduced four new entrants to the 2024 ranking: Nvidia (#36), Pandora (#91), Range Rover (#96), and Jordan (#99), with Jordan being the first personality brand to make the list. Uber and LG re-entered the ranking at #78 and #97, respectively.

Commenting on the new global and local business culture, Ashish Mishra, CEO Interbrand India and South Asia said: “With more and more businesses focusing on quick scale-up and faster short-term growth, there is an ever-increasing stake that the investor community now has in businesses around the world. They run the show now, with businesses becoming mere instruments and asset classes in the quest for alpha. This has changed the fundamental nature of businesses and brands with greater focus on short term marketing and cost efficiencies. This is a myopic view, and more often than not, limits real and sustained value growth for businesses and brands. Performance marketing tools, capabilities and systems have fundamentally evolved over the past quarter of a century. As these tools shift, so too do the pressures and expectations placed on brand and marketing leaders. Today, CMOs and their teams are expected to deliver greater revenue returns, in much shorter time frames, for a significantly lower total investment.”

How the top 100 global brands lost $3.5 trillion: short-term gains, long-term losses, reveals Interbrand

Interbrand's 25-year analysis shows that while performance marketing tactics yield short-term gains, insufficient investment in long-term brand-building has cost top global brands $3.5 trillion in unrealised value.