WeChat is the world’s fastest-growing brand
WeChat is the world’s fastest-growing brand, after clocking up 1540% 5-year brand value growth (75% CAGR), according to the latest report by Brand Finance.
WeChat is the world’s fastest-growing brand
The report works by tallying the growth rate of different brands, against the Brand Finance database that ranks 5000 businesses brand value.
WeChat has over one billion users globally, helping to fuel its growth as a brand over the past five years. Brand Finance said WeChat gained this position by broadening its appeal in recent years and expanding into Western markets.
Alex Haigh, valuation director, Brand Finance, commented: “WeChat has successfully entrenched itself in Chinese society, a feat unmatched by any other brand. However, despite attempts to launch in the Western world, the brand has failed to gain a strong foothold in the market, against stiff competition from incumbents, such as Facebook and WhatsApp. Now the Chinese economy is starting to stall, it raises the question of whether Chinese brands can match domestic growth internationally.”
The list was dominated by both Chinese and US brands, according to the research, with the top 100 featuring 39 brands from each market. According to Brand Finance, the Chinese brands dominate, however, claiming two out of every three spots in the top 30, and with their combined worth accounting for 48% of the total brand value in the ranking and equating to a staggering US$856.8bn.
The fastest-growing brand that wasn’t from China or the US was Porsche, while the company to achieve the greatest-growth was Amazon. According to the ranking, it sits at a brand value of US$142.8bn. Chinese competitor Alibaba (5-year brand value growth 143%; CAGR 19%) was also in the top 100 rankings for fastest-growing, while other retailers on the list included Circle K (ranked 46th), Ross Dress for Less (50th), T.J. Maxx (65th), and Marshalls (71st).
Haigh added: “With four out of the six retail brands in the ranking operating in the bricks and mortar space, it is clear that there is still hope outside of e-commerce. Traditional retailers are able to compete successfully by applying smart strategies and tapping into the customer base which prefers in-store purchases. As retail convergence – where digitally native brands open bricks and mortar stores – picks up pace, the distinction in the market will start to obscure.”
Of all the verticals, the list saw finance brands appear the most, with 15 banking brands making the top 100.