Walmart most valuable global retail brand in study by Kantar Retail
Boston Walmart tops the list of a newly released study by Kantar Retail and BrandZ that examines the most valuable global retail brands, with Amazon.com, Tesco, Carrefour, and Target rounding out the top five.
The “Top 20 Most Valuable Global Retail Brands” report combines retailer and shopper insights and analyses from Kantar Retail with the Top 100 Most Valuable Global Brands ranking produced annually by Millward Brown Optimor and powered by the BrandZ database.
While the Top 10 most valuable global retail brands have remained quite consistent during the past five years, two instances of dramatic brand value growth -- at Amazon and Aldi -- reflect major marketplace trends. On the strength of a 359% increase in brand value, Amazon moved from a ranking of Number 8 in 2006 to No. 2 in 2010, indicating the revolutionary impact of e-commerce, according to the report. Aldi's 241% increase in brand value signifies the consumer's increased concern with price and embracement of private label.
The retail brand that grew most in value last year was Amazon. While the retail category as a whole declined 1% point in brand value, the value of the Amazon brand appreciated 29% points to $27.5 billion, making it one of the fastest growing global brands across all categories and moving it into second place behind Walmart. Walmart's brand value declined slightly last year to $39.4 billion.
"Competitive advantage in retailing no longer can be accomplished by saturating markets with stores and attracting customers with a combination of range, price and service," said Bryan Gildenberg, chief knowledge officer for Kantar Retail and major contributor to the report. "Success requires a thoughtful portfolio of shopping venues -- both physical and virtual--that appeal to specific shopper segments. Every retail brand needs to find a proposition that makes visiting these retail spaces worth the shopper's time."
Among the report’s key takeaways:
- Value remains critical. Brands that combined value with a more emotion-based connection to consumers did well last year. That ability will continue to be key to engaging post-recession shoppers;
- Successful retail brands increasingly will be built on intimate knowledge of shopping behavior. Retailers that invest in this capability will thrive;
- The battle for shopping trips will drive competitive strategy coming out of the recession. Retailers will fight to keep shopping trips gained during the downturn by keeping shoppers from returning to the outlets they abandoned;
- Mobile commerce will be a game changer in how, when and where shoppers purchase products;
- Brands must become active participants in digital conversations surrounding purchases or risk becoming irrelevant; and
Best-in-class retailers will maximize share of wallet from their most profitable shoppers.
Here are Kantar Retail’s top 10 global retail brands:
1. Walmart 2. Amazon.com 3. Tesco 4. Carrefour 5. Target 6. eBay 7. The Home Depot 8. Aldi 9. Auchan 10. Loew’s Cos.