· Lego becomes Denmark’s most valuable brand – value tops US$4.5 billion
· Pandora, ISS and Vestas are strong performers, up 33%, 44% and 32%
Every year, leading brand valuation and strategy consultancy Brand Finance puts thousands of the world’s top brands to the test. They are evaluated to determine which are the most powerful and the most valuable by country, by industry and against all other brands worldwide. Denmark’s most valuable brands can be found in the Brand Finance Denmark 50.
For the first time, Lego has become Denmark’s most valuable brand. Brand value rose by 16% to US$4.5 billion (31 billion DKK) in what Chief Executive Jorgen Vig Knudstorp described as the company’s ‘best year ever.’ Lego Group’s revenue grew by 25% in 2015 as the company’s products reached an estimated 100 million children. Parents are increasingly putting greater emphasis on toys, like Lego, that inspire learning. It has also benefitted from global blockbuster films like Star Wars: The Force Awakens, though the franchise’s new owner Disney has received a more significant boost to its brand, which helped it to take Lego’s place as the world’s most powerful brand.
Maersk, in second place, experienced a difficult second half of 2015 as its brand value went rose just 2% to US$3.8 billion (26 billion DKK). The transport and logistics company was severely impacted by a widening supply-demand gap across most of its businesses, which led to significant oil price and freight rate reductions. With the oil price expected to remain relatively low for a longer period, Maersk’s brand value is unlikely to rise significantly over the course of this year.
Pandora Jewellery has seen an outstanding 33% growth in its brand value in 2016, seeing its brand value rise from US$1.5 billion to US$2 billion (14 billion DKK). Pandora’s release of the rose gold line has played a significant part in this success, with revenues increasing 36% in the fourth quarter of 2015. The notional royalty rate applied to the brand has also improved significantly. This reflects the increase in the strength of the brand brought about by improving scores for all key consumer metrics (familiarity, consideration, preference, satisfaction and recommendation) this year.
Wind energy brand, Vestas, enjoyed great growth in brand value of the top 50, seeing an increase of 32% to US$939 million (6.5 billion DKK). Vestas is recognised as the industry’s market leader and its wind turbines generate more than 145 million MWh, enough electricity to supply over 80 million Europeans’ residential needs. Its brand value surge has been driven by soaring revenue expectations, both year on year and over the medium term (subsequent 5 years) as well as favourable tax rate changes across its many markets.
ISS has put in another strong performance. Sometimes referred to as ‘the biggest company you’ve never heard of’, the global leading facility services provider brand is nonetheless clearly resonating with the relevant audiences, increasing its brand value by 44% to US$1.9 billion (12.7 billion DKK).