China's top 100 brands climb in value
Technology giant Tencent has retained the title of China’s most valuable brand for the fourth time, recording a value of US$132.2 billion, according to the latest ranking that tracks brand value.
The combined value of the top 100 brands in China recorded a 23 percent rise to a total size of US$557.1 billion, the largest annual increase since "BrandZ Top 100 Most Valuable Chinese Brands" was first published in 2014.
Education, logistics and technology brands continue to gain in value as a result of the Chinese people's pursuit of higher qualifications, e-commerce and urbanization of inland regions, the ranking said.
“The game is changing for brands that want to compete successfully in China," said David Roth, CEO of Europe, the Middle East, Africa and Asia for WPP's global retail practice. "The country’s leadership expects brands to pursue a higher purpose: one that improves the lives of Chinese people, helps drive greater economic equality and strengthens the nation."
“Chinese consumers are also more sophisticated in their purchasing decisions and they're responding to brands that grab their attention and meet their needs in relevant ways, with products and services that are both innovative and different,” he added.
Five logistics brands entered the top 100 ranking for the first time as courier services picked up due to the e-commerce boom. SF Express took the highest ranking at 11th place.
E-commerce giant Alibaba saw its brand value surge 53 percent from a year ago to US$88.6 billion.
Overall, the combined value of China's top 100 brands climbed 80 percent over the past five years, outpacing global average growth of 27 percent.
The fast shifting competitive landscape in China also saw some brands fail to maintain their rankings within the top 100. In China, 28 brands have fallen from the BrandZ China Top 100 rankings over the past five years, compared with 17 globally.
The ranking and brand value was based on companies' financial data as well as consumer opinions gathered from interviews with over 400,000 Chinese consumers.