Ferrari bags the World’s Strongest Brand title yet again from Brand Finance. This is the Italian performance brand’s second consecutive time winning the award. The Prancing Horse did well in terms of how it scored with Brand Finance’s criteria, besting other brands like McDonald’s, Coca-Cola, Lego, and Disney.
Ferrari’s Brand Strength Index (BSI) was impressive in 2019 with a score of 94.1 out of 100. The Italian performance brand also gets the top spot on the AAA+ rankings list. There are only 12 brands with the AAA+ rank.
Brand Finance is the leading international independent brand valuation and strategy consultancy. It helps organizations maximize their value through effective management. It does so by dealing with the organization via its brand and its other intangible assets.
Brand Finance also ranks brands against one another. It does this by benchmarking each brand based on its strength, risk, and potential, relative to its competitors. Brand Finance then assigns them a rank based on how well they do. The rank ranges from AAA+, it being the highest rank a brand can attain, and D being the lowest possible rank. These are based on a BSI that ranges from 0-100, with 100 being the highest score.
The award presented to Ferrari was given during the World Economic Forum at Davos. The Brand Finance Global 500 2020 report calculates that the Italian performance automotive brand has a value of 9.1 billion USD. The automotive brand posted a year on year growth of 9% which was the result of positive sales and overall brand strength.
How Brand Finance determines a brand’s value is by estimating its net economic benefit to its owner. This includes licensing the trademark on the open market. Brand Finance also measures a brand’s strength based on its ability to produce results and how it performs on intangible measures compared to its competitors.