A new report from Brand Finance reveals that Corona is also the world’s fastest growing beer brand
LONDON, 24th July 2024 – Mexican beer brand Corona Extra (brand value up 40% to USD10.4 billion) has reclaimed the title of the world’s most valuable beer brand, according to a new report by Brand Finance, the world’s leading brand valuation consultancy. Heineken (brand value up 18% to USD9 billion) and Budweiser (brand value up 11% to USD7.4 billion) claim second and third spot.
Following a 3.9-point increase in its Brand Strength Index (BSI) score to 85.9 out of 100, Corona has also recorded a noteworthy uptick in brand strength, securing the position as the third strongest beer brand globally. According to research conducted by Brand Finance, consideration, familiarity, overall reputation, and usage metrics have shown a global uptick year-on-year.
Corona's strategic initiatives have bolstered its brand recognition and reputation beyond its consumer appeal. Earlier this year, the announcement of Corona Cero as the official sponsor of the Paris 2024 Olympics marked a historic moment, as it became the first beer brand to sponsor the event.
Corona Extra is also the world’s fastest growing beer brand, followed by Spain’s Estrella Damm (brand value up 37% to USD1.4 billion) and Singapore’s Tiger (brand value up 30% to USD1.5 billion).
“Corona has once again reclaimed the title of the world’s most valuable beer brand, a position it previously held for four consecutive years between 2019-2022. This reaffirms the brand's leadership and mirrors evolving consumer preferences for premium and quality offerings. It also offers insights into the broader landscape of the beer industry, where brands committed to quality and innovation are redefining market standards.”
Henry Farr, Director, Brand Finance
China’s Tsingtao (brand value up 21% to USD 2.6 billion) is the world's strongest beer brand, with a BSI score of 87.0 out of 100. Tsingtao maintains a robust presence at home and abroad, with its products now available in over 100 countries worldwide. Through strategic partnerships with distribution channels, Tsingtao continues to fortify its position in key markets, ensuring its widespread accessibility and market growth. Recently, the brand unveiled a new non-alcoholic alternative, showcasing its dedication to adapting to changing consumer preferences.
Tsingtao is not alone in its pursuit of international markets. For years, Asian beer brands have been expanding into Western territories. Notably, Japan's Asahi Group Holdings and Kirin (brand value down 1% to USD 3.1 billion), have made significant inroads into Western markets through strategic acquisitions and partnerships, demonstrating a longstanding trend of globalisation in the beer industry.
Brand Finance is the world’s leading brand valuation consultancy. Bridging the gap between marketing and finance for more than 25 years, Brand Finance evaluates the strength of brands and quantifies their financial value to help organizations of all kinds make strategic decisions.
Headquartered in London, Brand Finance has offices in over 20 countries, offering services on all continents. Every year, Brand Finance conducts more than 5,000 brand valuations, supported by original market research, and publishes over 100 reports which rank brands across all sectors and countries.
Brand Finance also operates the Global Brand Equity Monitor, conducting original market research annually on over 5,000 brands, surveying more than 150,000 respondents across 38 countries and 31 industry sectors. Combining perceptual data from the Global Brand Equity Monitor with data from its valuation database enables Brand Finance to arm brand leaders with the data and analytics they need to enhance brand and business value.
Brand Finance is a regulated accountancy firm, leading the standardization of the brand valuation industry. Brand Finance was the first to be certified by independent auditors as compliant with both ISO 10668 and ISO 20671 and has received the official endorsement of the Marketing Accountability Standards Board (MASB) in the United States.
Brand is defined as a marketing-related intangible asset including, but not limited to, names, terms, signs, symbols, logos, and designs, intended to identify goods, services, or entities, creating distinctive images and associations in the minds of stakeholders, thereby generating economic benefits.
Brand strength is the efficacy of a brand’s performance on intangible measures relative to its competitors. Brand Finance evaluates brand strength in a process compliant with ISO 20671, looking at Marketing Investment, Stakeholder Equity, and the impact of those on Business Performance. The data used is derived from Brand Finance’s proprietary market research programme and from publicly available sources.
Each brand is assigned a Brand Strength Index (BSI) score out of 100, which feeds into the brand value calculation. Based on the score, each brand is assigned a corresponding Brand Rating up to AAA+ in a format similar to a credit rating.
Brand Finance calculates the values of brands in its rankings using the Royalty Relief approach – a brand valuation method compliant with the industry standards set in ISO 10668. It involves estimating the likely future revenues that are attributable to a brand by calculating a royalty rate that would be charged for its use, to arrive at a ‘brand value’ understood as a net economic benefit that a brand owner would achieve by licensing the brand in the open market.
The steps in this process are as follows:
1 Calculate brand strength using a balanced scorecard of metrics assessing Marketing Investment, Stakeholder Equity, and Business Performance. Brand strength is expressed as a Brand Strength Index (BSI) score on a scale of 0 to 100.
2 Determine royalty range for each industry, reflecting the importance of brand to purchasing decisions. In luxury, the maximum percentage is high, while in extractive industry, where goods are often commoditised, it is lower. This is done by reviewing comparable licensing agreements sourced from Brand Finance’s extensive database.
3 Calculate royalty rate. The BSI score is applied to the royalty range to arrive at a royalty rate. For example, if the royalty range in a sector is 0-5% and a brand has a BSI score of 80 out of 100, then an appropriate royalty rate for the use of this brand in the given sector will be 4%.
4 Determine brand-specific revenues by estimating a proportion of parent company revenues attributable to a brand.
5 Determine forecast revenues using a function of historic revenues, equity analyst forecasts, and economic growth rates.
6 Apply the royalty rate to the forecast revenues to derive brand revenues.
7 Discount post-tax brand revenues to a net present value which equals the brand value.
Brand Finance has produced this study with an independent and unbiased analysis. The values derived and opinions presented in this study are based on publicly available information and certain assumptions that Brand Finance used where such data was deficient or unclear. Brand Finance accepts no responsibility and will not be liable in the event that the publicly available information relied upon is subsequently found to be inaccurate. The opinions and financial analysis expressed in the study are not to be construed as providing investment or business advice. Brand Finance does not intend the study to be relied upon for any reason and excludes all liability to any body, government, or organisation.
The data presented in this study form part of Brand Finance's proprietary database, are provided for the benefit of the media, and are not to be used in part or in full for any commercial or technical purpose without written permission from Brand Finance.
