At 9.4 billion euros, Porsche’s IPO on the Frankfurt Stock Exchange at the end of September was the largest in Germany in more than 25 years. For Brand Finance, the operation’s success confirmed the company’s value.
According to Brand Finance, Porsche lost 2% in brand value this year compared to 2021 but remained in first place among the world’s most valuable luxury brands.
Over the past five years, the company has maintained its lead, rising from a value of US$19.05 billion in 2018 to US$33.7 billion currently – a 77% increase in value over that period.
“Porsche’s new listing demonstrates the value of the brand in a very vivid way, similar to the spinoff of Ferrari under the leadership of Sergio Marchionne years ago,” says Alex Haigh, chief financial officer at the consultancy.
“It made a lot of sense to extract the value hidden in the Volkswagen Group, especially when you have an iconic luxury brand like Porsche that is so valuable.”
After Porsche, Brand Finance’s ranking comprises apparel and accessories brands, with Louis Vuitton and Gucci in second and third place.
Louis Vuitton saw a 58% increase in value last year, representing a brand value of US$23.4 billion.
According to the consultancy’s report, the luxury brand benefited from increased spending on products during the pandemic, as social isolation curtailed spending on travel and services.
Another highlight this year for Brand Finance is Estée Lauder, which entered the world’s top ten most valuable luxury brands with an estimated value of US$7.9 billion.
“Estée Lauder has grown rapidly this year, benefiting partly from a recent surge in airport sales driven by the recovery of the global travel sector,” the report said.
Among the companies that have lost value in the past year, Ferrari has lost 13%, from a valuation of US$9.2 billion last year to US$8 billion.
The consultancy highlights that the shift to electric vehicles presents both a challenge and an opportunity for the brand, “as [Ferrari] plans to build its first all-electric vehicle by 2025 and expects electric vehicles to account for 40% of its product offering by 2030.”
Check out the top ten most valuable luxury brands in the world (in billions of U.S. dollars):
Porsche – 33.7
Louis Vuitton – 23.4
Gucci – 18.0
Chanel – 15.2
Hermès – 13.5
Cartier – 12.4
Dior – 9.0
Rolex – 8.4
Ferrari – 8.0
Estée Lauder – 7.9