Top Risers

Brand building drives increases in brand value

Focus on brand building drove the value increases of the BrandZ™ Top 10 Risers, a ranking of brands that increased the most in brand value year-on-year.

All of the Top 10 are either market driven brands or Competitive SOEs, State Owned Enterprises that operate in categories with market driven competitors, and depend more on brand contribution than government for success.

The health care and food and dairy categories produced the two fastest growing brands, CR Sanjiu and Yili, both up 86 percent. Food and dairy also led the list of categories with the most brands represented, four. Three health care brands are listed.

Consumer interest in health and wellness helped drive the brand value growth of CR Sanjiu and other health care brands. Social factors like China’s aging population also benefited the brands. To reach wider audiences, these TCMs (Traditional Chinese Medicines) stretched their brands to include some cosmetics and other products. Yunnan Baiyao increased 72 percent in brand value, Tong Ren Tang, 50 percent.

The value of food and dairy brands increased because of international alliances and other initiatives to develop world-class food processing expertise and guarantee food supply safety. Acquisitions marked the beginning of industry consolidation.

Along with Yili, the other food and dairy brands in the Top 10 Risers include Shuanghui, which increased 60 percent in brand value. Shuanghui purchased Smithfield Foods, Inc., the largest pork processor in the US. In addition, Bright rose 42 percent in brand value, Mengniu, 30 percent.

The presence of Tencent, up 68 percent in brand value, reflects the overall strength of the technology category in China. The growth of Tencent indicates how a brand, launched in 1998 as an Internet portal, has integrated itself into the lives of customers with mobile and social media innovations. Its WeChat messaging service draws over 400 million users.

Brands from two other categories also made the Top 10: Ctrip, a travel agency, which rose 47 percent in brand value; and the beer brand Tsingtao Beer, with a 40 percent rise in value. Ctrip extended its reach with mobile apps that facilitate access to travel and especially appeal to younger customers. Tsingtao Beer promoted the brand with a series of beer festivals, touching the growing consumer need to better balance work and leisure.

BrandZ China Top 100 2014

BrandZ China 2014 Report Top 100 Report
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Top 100 Chart
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2014 BrandZ China Top 100 Infographic

BrandZ China 2014 Infographic

Methodology and valuation by Kantar Millward Brown

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