Nestlé is world’s most valuable food brand at $22.4 billion valuation
Nestlé (up 8% to USD22.4 billion in brand value) has been named the world’s most valuable food brand once again, according to a new analysis from brand valuation consultancy Brand Finance.
Nestlé’s brand value has consistently improved this year as a result of robust sales growth across its diverse brand portfolio.
Every year, brand valuation consultant Brand Finance tests 5,000 of the world’s most valuable brands and releases over 100 reports ranking companies across all industries and nations. The annual Brand Finance Food 100 2023 list includes the world’s top 100 most valuable and strongest Food brands.
Nestlé’s ability to match changing consumer preferences, stay ahead of trends, and successfully launch new products has been a driving force in the company’s sustained brand value expansion. Nestlé increased its plant-based portfolio this year with the release of a new milk substitute, responding to the growing global demand for plant-based goods. The company also debuted its first-ever Nescafé Ice Roast coffee, which was created to meet increased consumer demand for iced coffee at home.
“As an iconic global brand, Nestlé continues to raise the bar, setting new industry benchmarks and inspiring trust among consumers worldwide,” says Savio D’Souza, Valuation Director, Brand Finance. Nestlé has developed a record of success and an unrivaled global reputation with a rich past and a portfolio of trusted brands, bolstered by its enduring commitment to ensuring a healthier and more sustainable future for all.”
Yili, the world’s second-most valuable food brand, has increased its brand value by 17% to USD12.4 billion. Yili has built significant consumer loyalty in its home market by continuously supplying high-quality products with claimed health benefits.
This has contributed to the brand’s robust local sales growth, while its global presence has also boosted its abroad revenue. Yili goods are sold in over 60 countries across five continents.
In the post-pandemic world, the snack business has continued to expand in brand value, with this year’s top five snack brands (Lay’s, Doritos, Want Want, Cheetos, and Tostitos) growing their brand values by an amazing 40% on average. Lay’s (brand value up 29% to USD11.1 billion) is a strong performer, maintaining third place in the Food 100 list overall. Lay’s outstanding performance since the pandemic may be credited to its extensive heritage and global presence, as well as its innovation and product advancements, popular and far-reaching marketing campaigns, and enhanced e-commerce strategies.
ConAgra Foods’ frozen food brand Healthy Choice (brand value increased 190% to USD1.2 billion) is a new entrant in this year’s Food 100 ranking. Food brands are under increasing pressure to create and promote more nutritious alternatives as customer demand for healthier options grows in the aftermath of the pandemic.
This tendency, combined with the robust demand for frozen foods, has benefited the Healthy Choice brand greatly, which carefully portrays its goods as nutrition-packed and convenient, while also offering a variety of modern and delectable recipes.
Brand Finance, in addition to assessing brand value, establishes brand relative strength through a balanced scorecard of measures measuring marketing investment, stakeholder equity, and business success. Brand Finance’s assessment of stakeholder equity is compliant with ISO 20671 and uses actual market research data from over 100,000 respondents in 38 countries and 31 industries.
Hershey (up 12% in brand value to USD3.9 billion) reigns supreme as the world’s strongest food brand, building on last year’s success with a AAA+ rating and a 91/100 Brand Strength Index (BSI). Customer demand for Hershey goods remains high despite rising inflation rates, supply chain interruptions, and an extended period of global economic instability. In addition to increasing its global recognition, the American confectionary behemoth is constantly seeking to adapt and expand its product portfolio in order to fulfill the needs of its massive consumer base.
Nestlé, this year’s most valuable food brand, also has the highest Sustainability Perceptions Value (USD1.35 billion) in the Food 100 2023 rating. The Swiss conglomerate’s continued commitment to environmental and social responsibility, responsible sourcing, and nutrition has led to the company’s global reputation as a sustainable one.
Nestlé’s ranking at the top of the SPV table does not reflect its total sustainability performance, but rather how much brand value it has invested in sustainability perceptions. Nonetheless, the firm has made great progress toward its environmental goals. Nestlé, for example, is the first corporation to reveal the nutritional worth of its complete worldwide product portfolio, comparing it to the Health Star Rating system.
As part of its “Good for You” theme, the brand seeks to lead the industry in offering delicious and balanced meals around the world. The company has also decreased its greenhouse gas emissions dramatically and is supposedly on target to reach 100% renewable electricity by 2025. The full report can be accessed here
