United Kingdom : Nike most valuable apparel brand at $32 billion: Report

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Home / Knowledge / News / Apparel/Garments / Nike most valuable apparel brand at $32 billion: Report

Nike most valuable apparel brand at $32 billion: Report

15
Mar '17

Nike has retained its position as the world's most valuable apparel brand after a 13 per cent rise in brand value to $32 billion, according to a recent report. H&M has acquired the second position with a brand value of $19 billion after 24 per cent growth, while Zara is the third most valuable brand, valued at $14.4 billion after a 43 per cent growth.

Nike's brand strength score of 92 and AAA+ rating in the Brand Finance Apparel 50 2017 list renders it the most powerful brand in the sector and third most powerful across all sectors. The brand's strength is partially attributable to its ability to continuously innovate and deliver state-of-the-art products to a range of consumer demographics. Alongside its tangible products, Nike's delivery of powerful messages through its marketing campaigns undoubtedly bolsters its brand value and strength.

H&M continues to expand its network of physical stores, opening 442 in 2016 alone. It is also redirecting some of its efforts towards expanding its e-commerce operations to cater to the rising popularity of online shopping. The competitive business model and its investments in IT will aid it in generating future returns as it develops in emerging markets.

Zara has seen total sales rise of 14.5 per cent and net profits were up 9 per cent last year. Unlike the more rigid business models of other apparel brands, the flexibility that comes with Zara's fast fashion model allows it to adapt its clothing to unpredictable circumstances such as unusual changes in weather and the brand's value flourishes as a result of this competitive advantage.

Marc Jacobs is the fastest growing brand in the list, its brand value growing 84 per cent. This is attributed in part to its recent restructure, which involved folding its widely distributed 'diffusion' collection Marc x Marc Jacobs into its main line to offer a wide range of products under a single unified brand in an attempt to move upmarket and fortify the brand name of each collection. If the restructure proves successful, the luxury apparel's brand value will continue to rise.

Chinese sports and footwear brand, Anta, is the second fastest growing brand in the Brand Finance list, its value up 67 per cent to $2 billion. While the brand is still relatively unfamiliar to those outside of China as the home market has always been a priority, Anta is increasingly shifting its focus overseas. Having secured a deal with NBA player Klay Thompson, Anta has successfully established a direct-to-consumer e-commerce relationship in the US. If Anta continues to effectively penetrate international markets, the increased recognition of its brand will drive its brand value up further. (KD)

Fibre2Fashion News Desk – India

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