Performance by Industry Sector

Beer, Food & Personal Care

The Beer, Food & Personal Care category continues to be the leader in value contribution to the BrandZ™ Top 50 LatAm 2014, with an increase of 9% in terms of value. The category enhanced its presence in the Latin America region, contributing 33% of the total brand value, against 29% of the previous year ranking.

Beer is the main subcategory, representing 78% of the category (73% in 2013), with growth of 13% driven by Mexican, Brazilian and Peruvian beers: Modelo from Mexico had the strongest growth, (51%). The capital markets’ financial performance of the organizations that own the beer brands – Anheuser Busch, SABMiller, Grupo Modelo and CCU, among others – justify the success of the beer subcategory, reflecting the increasing consumption of beer in the region (according to Euromonitor, from 2008 to 2013 the consumption of beer increased 76%).

The increasing middle class and the consequent improvement in purchasing power have benefited the category as a whole.

Financial Institutions (Banks and Insurance)

This category is still the second most important in the region, contributing 22% of the total brand value, in spite of a fall of 3% from 2013 to 2014 driven by Brazil (-20%) and Chile (-13%). The Mexican brand value increased 43%, compensating for the poor performance of the other countries.

In Latin America (except for Banorte and Bancolombia), almost all Brazilian and Peruvian brands decreased brand value due to failure to deliver expected earnings and a decrease in interest rates. This generated pressure to reduce costs and, consequently, reduced the value of the brand. In Brazil, specifically Banco do Brasil, there is a decrease in value due to Government intervention, this created a negative perception among investors, which was consequently reflected in its market capitalization.

Retail

The Retail category showed the second highest growth on the previous year (5%), increasing 14% in 2014. Among the eleven brands that compose the category, Falabella and Sodimac – with participation of 41%, showed 11% growth on average. These brands have been successful in meeting the needs of the growing middle class.

Services (Communication Providers and Airlines)

This category, that represented the biggest fall in 2013 (-31%), decreased in 2014 by -4%. Mexico dominated the Service ranking, with four brands out of the six in the total. The 21% average decrease of Telcel and Claro was compensated by the good performance of Televisa and Telmex, which grew 11% (mainly in terms of financial performance).

B2B (Energy/Oil and Industrial)

B2B is the category showing the biggest decrease this year (-19%). The category is dominated by the Energy/Oil subcategory, which decreased 26% due to the fall in commodity’s price. The industrial category, represented by the subcategory Cement, compensated this fall, increasing by 35%.

BrandZ LatAm Top 50 2014

BrandZ LATAM 2014 Report Top 50 Report

Top 50 Chart


Methodology and valuation by:

Millward Brown Vermeer

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