Brazil’s 25 most valuable brands in 2021 – Interbrand

RIO DE JANEIRO, BRAZIL – Interbrand consultancy on Friday, December 10, released its annual ranking of the 25 most valuable brands in Brazil.

First placed was Itaú bank (ITUB4), with a brand value of R$40.5 (US$7.2) billion, followed by Bradesco bank (BBDC4), whose brand is worth R$27.5 billion, and Ambev group’s Skol beer (ABEV3), worth R$18.8 billion. In fourth place comes Brahma beer with R$12.7 billion and the top 5 is completed with Natura cosmetics (NTCO3), reaching R$10.2 billion in brand value.

All 5 companies maintained their respective positions compared to last year’s ranking.

In this edition, 2 companies are new to the ranking: phone company Claro, with a brand value of R$1 billion, and clothing manufacturer Hering, worth R$520 million.

During the press conference, Interbrand São Paulo executive director Laura Miloski explained the consultancy’s selection process and how it reaches the final ranking.

“We start from the largest companies in Brazil, but to compete for a place in the ranking they need to follow five macro criteria: to be of Brazilian origin; to have published financial information; to publish the individual results of its brands; to have a positive economic profit; and to reach a Brand Strength index higher than 50 points,” she says.

To reach the financial values, the survey uses brand assessment methodology conducted in partnership with the London School of Economics, which analyzes the financial performance, perception, and influence of brands among consumers.

In addition, the consultancy conducts an analysis of Brand Strength, supported by a quantitative survey conducted by Provokers.

“Brand Strength is a diagnosis of how the brand is performing and where it needs to improve. The final score for this item is based on ten factors divided into three pillars: leadership, engagement, and relevance. The companies selected for the ranking receive a score from 1 to 10 for each factor, and the sum of all factors results in Brand Strength. If it is higher than or equal to 50 points, it is eligible to enter the index,” Laura explains.

Thus, the final result includes the financial analysis plus the Brand Strength performance. It is worth noting that the study calculates brand value, and does not assess the market value of companies, a more traditional attribute calculated by the financial market.

“We are noticing that brands are increasingly focusing on products, businesses, and niches that exceed their category of origin. Banks in retail, retail in the financial system, telecommunications in education, among other border blends. The main threats and opportunities are beyond the core of their sectors. That’s why looking only at their category creates blind spots for opportunities,” says Interbrand executive director Rodrigo Marques, also present at the online press conference.

This year’s study considered 137 brands, of all Brazil’s regions, and over 1000 interviews conducted in October this year. The ranking has been conducted for over 20 years and the companies included must be of Brazilian origin.

MOST VALUABLE BRANDS

1. Itáu – R$40.53 billion
2. Bradesco – R$27.51 billion
3. Skol (Ambev) – R$18.82 billion
4. Brahma (Ambev) – R$12.78 billion
5. Natura – R$10.22 billion
6. Banco do Brasil – R$9.89 billion
7. Petrobras – R$3.27 billion
8. Magazine Luiza – R$2.9 billion
9. Vivo – R$2.83 billion
10. Americanas – R$1.79 billion
11. XP Inc. – R$1.77 billion
12. Renner – R$1.74 billion
13. Ipiranga – R$1.16 billion
14. Claro [new] – R$1.08 billion
15. Cielo – R$1.06 billion
16. Drogasil – R$1.05 billion
17. Porto Seguro – R$883 million
18. Havaianas – R$860 million
19. Casas Bahia – R$706 million
20. Assaí – R$654 million
21. Atacadão – R$608 million
22. PagSeguro – R$570 million
23. SulAmerica – R$564 million
24. Localiza – R$551 million
25. Hering [new] – R$520 million

Laura points out the evolution of companies in the ranking over time. “In 2010, the 25th position was worth R$87 million, in 2017 the last company in the ranking was worth R$413 million. This year, Hering is worth R$520 million,” she says.

SIGNIFICANT GROWTH

The study also shows that the average growth in the value of brands in the table this year stood at 9%, evidencing a rapid recovery in reaction to the challenging context of the pandemic in Brazil.

Five of these brands showed double-digit percentage growth: Magazine Luiza (66%), despite a very difficult year, with shares dropping over 70% year-to-date; Lojas Americanas (25%), Havaianas (16%), Assaí (13%), and Renner (12%).