Mercedes-Benz is the most valuable car brand on Earth.
This is probably not a huge surprise if you don’t follow Brand Finance’s Global 500 index, but Mercedes wasn’t always the most valuable name in carmaking. Toyota was the previous front-runner with a name that’s known the world over for boring, reliable, and economical cars. For Mercedes to take over with their brand of luxury and performance is a big shift in the automotive landscape.
The strength of a brand isn’t all wrapped up in sales and word of mouth. To determine their index of top 500 brands, Brand Finance consider a number of factors like how much each company spends on marketing, how effective that marketing is in terms of generated sales, and the performance of the company overall.
Mercedes’ ascension to number one car brand can be attributed to a few things, such as recent marketing that de-emphasizes the quality engineering that all Mercedes’ enjoy, and instead emphasizes how great a Mercedes fits into a person’s lifestyle.
"Mercedes-Benz is the most valuable brand in Europe with a brand value of US$43.9 billion, ranking 15th in the Brand Finance Global 500,” the marketing research company wrote.
“Mercedes prioritised content marketing as part of a new brand approach, putting a greater focus on people rather than product engineering. As social media and word of mouth continue to influence car purchases, the company is using a more casual and light-hearted marketing approach to help the brand appeal better to younger car buyers."
Finance added, “Their success has been driven by the introduction of a new generation of vehicles led by their renewed foray into SUVs and smooth evolution of new technologies to move away from traditional internal combustion engines.”
Rounding out the top 10 list of carmakers was Toyota in second, BMW in third, followed by Volkswagen, Honda, Nissan, Porsche, Ford, Audi, and Chevrolet.
Brand Finance also noted that Ferrari was the third strongest brand overall in terms of immediate recognition from consumers. Only Disney and Visa pulled ahead of the Italian supercar maker.