Founded by David Haigh in 1996, Brand Finance is the world’s leading independent brand valuation and strategy consultancy. Each year, the consultancy issues a report that determines the 500 strongest brands in the world, and once again Ferrari has claimed the top spot.
Ferrari may have lost the 2018 Formula 1 title to Mercedes, but the Italian automaker claimed the title of the World’s Strongest Brand in the 2019 Brand Finance Global 500 report. This is the second time it’s won the distinction, the first being 2014. Ferrari earned a Brand Strength Index (BSI) score of 94.8 out of 100 and an AAA+ rating overtaking companies such as McDonald’s, Coca-Cola and Disney.
How to determine the strength of a brand
The first thing I wondered when I read the news was, ‘‘How do you determine the strength of a brand?’’ Brand Finance uses something they call ßrandßeta® analysis, which is their own proprietary system for calculating a brand’s strength, risk and potential in relation to its closes competitors. Data used to figure out the rating comes from their own internal research and external research from annual reports, client-commissioned research and companies such as Bloomberg.
Once the results are in, the brands are ranked from scores AAA+ to D. Ferrari is one of only 14 brands with the highest rating.
Why Ferrari beat the competition
Looking at Ferrari’s global impact through their cars, merchandise, theme parks, themed hotels and more, it’s no surprise they became the World’s Strongest Brand for a second time. Every new Ferrari is positively received, and most of the 2018 and 2019 limited edition cars quickly sold out.
The brand has maintained a consistent level of quality and mystique for decades. Ferrari has passionate and devoted fans worldwide; many have never seen one in person, few have driven one and even fewer still will ever own one. But such is the brand’s aspirational pull. The Ferrari brand’s worldwide emotional impact has been carefully cultivated through nonstop excellence and innovation.