Nestlé has retained the title of the world’s most valuable food brand following a 3% brand value increase to $20.3 billion, according to the latest Brand Finance Food & Drink 2020 report.
The company’s total brand value is now $68.5 billion, making it the most valuable food and drink portfolio in the world, ahead of the likes of Coca-Cola and Pepsi.
For another year, Nestlé has celebrated strong organic growth, following a solid performance in its key US market, highlighted by its recent rollout of premium Starbucks products.
Nestlé has also developed its plant-based offering in order to target vegan and vegetarian markets.
“With Brand Finance calculating that the food industry is one of the few sectors that should see limited impact from the pandemic, Nestlé certainly seems to be in a strong position to weather the storm.”
Looking beyond the food & drink sector, however, the value of the 500 most valuable brands in the world, ranked in the Brand Finance Global 500 2020 league table, could fall by an estimated $1 trillion as a result of the coronavirus outbreak.
Savio D’Souza, valuation director for Brand Finance, said: “Nestlé’s response and resilience to the Covid-19 outbreak has demonstrated why the brand is truly a leader both on home soil and globally. Posting solid growth in a time of turmoil is testament to the agility and strength of the brand.
“With Brand Finance calculating that the food industry is one of the few sectors that should see limited impact from the pandemic, Nestlé certainly seems to be in a strong position to weather the storm.”
Every year, Brand Finance values 5,000 brands across the globe, and the 50 most valuable food brands, 25 most valuable soft drinks brands, and 10 most valuable dairy brands are included in the Brand Finance Food & Drink 2020 report.
The organisation explains that brand value is the net economic benefit that a brand owner would achieve by licensing the brand in the open market. According to Brand Finance, the strength of a brand is the efficacy of its performance on intangible measures relative to its competitors.
