Using a 22% rise in brand value from the previous year, Airbnb is the brand with the highest growth of 2023, based on a new analysis from Omnicom’s Interbrand brand advisory. Despite only being included in Interbrand’s yearly rating of 100 brands this past year, the rental-booking site is the top riser.
The famous rental-booking platform has benefited greatly from people’s desire for tourism and their team’s astute marketing. With its new Rooms product, which allows customers to reserve a private room on a property, Airbnb has returned to its sharing roots at a time when travelers may be looking for less expensive vacation options.
With a $16 billion brand value, Airbnb rose eight spots to No. 46 in the rankings. The report credited a “solid financial outlook” and significant brand efforts for Airbnb’s expansion. Due to the “strength in travel demand,” Airbnb recorded $3.4 billion in profits for the third quarter, an 18% increase over the same period last year.
Airbnb keeps promoting its feature-based property classification system, which goes beyond simple geographic location. The product, which was unveiled a year ago, attempts to meet the increased demand for flexibility from customers. With the launch of its Rooms service earlier this year, Airbnb now lets visitors reserve a separate room on a property. Additionally, it capitalized on the “Barbie” craze by listing a Dreamhouse.
After a 32% year-over-year rise, Airbnb overtakes Tesla, Microsoft, and Chanel as the most profitable brands in 2022. Tesla ranked 12th overall in this year’s brand ratings; it was also the most profitable brand in 2021. However, at 4%, the EV marketer owned by Elon Musk grew at the least fast rate among vehicle companies.
Among the most rapidly growing brands, three were automobile brands. Porsche secured the second position with a 20% gain in brand value, trailed by Hyundai in third place with an increase in brand value of 18%, and Ferrari in fourth place with a 16% rise. BMW ranked 10th overall and grew at the 13th highest rate, with a growth rate of 10%.
The brand value indicator used in the research is not the same as market value. The brand’s competitive strength, consumer loyalty, financial success, and potential to generate long-term demand and profit are all taken into account when determining the brand’s worth. Additionally, the brand’s influence over purchasing decisions is also taken into account. June 2022–The studies cover May 2023 time frame for the 2023 report.
What brands are leading?
Tech businesses have maintained the top positions in Interbrand’s list of the top 10 brands in terms of overall value. For the eleventh consecutive year, Apple has topped the rankings and is the first company to have a brand value greater than half a trillion dollars.
With a valuation of $316 billion, Microsoft ranked second, and Amazon came in third with $276 billion. This year, one-third of the entire table value is accounted for by the top three brands. Completing the top on Interbrand’s brand list were Samsung, Google, Toyota, BMW, Nike, Mercedes-Benz, and Coca-Cola.
What brands are declining in value?
By Interbrand’s standards, five brands had exceptionally poor years, with a more than 5% decline in brand value. With a 16% decline, Budweiser had one of the biggest declines in brand value. The decline coincides with Anheuser-Busch InBev’s ongoing battle to recover from sales setbacks brought on by Bud Light’s alliance with transgender influencer Dylan Mulvaney. The criticism from consumers has impacted sales for some of its brands.
With a 14% decline in brand value, Intel likewise dropped into the bottom five. 3M declined 7%, Facebook fell 8%, and Philips fell 12%. Interbrand attributed the drop-offs to a lack of direction, which means that the companies’ actions were neither valuable nor consistent with their objectives.