New data from Brand Finance reveals top considerations across generations when joining or leaving an employer
4th September, LONDON – The factors influencing job choice vary widely across generations and regions, according to new data from Brand Finance, the world’s leading brand valuation consultancy. Although there are variations on what talent prioritise when considering joining or leaving a company, there are commonalities, as the new study reveals that ‘enjoyable work’ is a dealbreaker (or deal maker!) for talent of all generations.
Gen Z: Gen Z talent around the world prioritises training and development opportunities, in addition to enjoyable work. Environmental sustainability is a high-ranking priority for talent in the Middle East, driving 14.9% of decision making, but less so in the US, at just 3.3%. Gen Z workers in Europe value an inspiring vision and employer brand prestige, at 8.8% and 8.5%, respectively.
Millennials: On a global scale, Millennials place a strong emphasis on salary. In Asia and the US, Millennials want a strong team and prioritise working with top talent, at 9% and 8.6% respectively. Millennials in Europe and the Middle East care about employer vision, at 8.4% and 8.1%. What isn’t a priority for Millennial talent? Environmental sustainability ranks relatively low in the US, at 6.8%, and even lower in Europe and the Middle East, averaging 4.2%. Asian Millennials are less focused on governance and brand prestige, both at 3.9%.
Gen X: Sometimes referred to as the “Slacker Generation,” Gen X now prioritises brand prestige, employer reputation, and inspiring leadership. American Gen X talent want to work with top talent and for a company with an inspiring vision, at 9.6% and 10.7% respectively, and are less focused on flexibility, at 4.2%. Gen X in Asia has a different view and place high consideration on flexible work arrangements, at 8.3%, and accommodating staff, at 9.1%.
Baby Boomers: They may be nearing retirement age, but Baby Boomer workers consider most highly inspiring leadership, employer reputation, rewarding work, and fair pay. European and American Baby Boomers care about a prestigious brand, at 13.7% and 12.8% respectively, while in Asia, accommodating staff receives higher consideration, at 9.5%.
“By revealing the different factors driving job choice across generations and regions, the Brand Finance 2024 Employer Brand Index provides valuable data for HR and talent strategies. To attract and retain top talent, employers must move beyond a one-size-fits-all approach. The Employer Brand Index enables HR leaders to tailor their strategies to meet the different preferences of all generations. Although there is variation between generations, this new data indicates that enjoyable work is highly valued across all respondents, underscoring the growing importance of a positive work environment as a universal preference for employees of all ages and in all regions.”
Rebecca Harrop, Associate Director at Brand Finance
The Brand Finance 2024 Employer Brand Index is the result of a survey of part-time or full-time employees in 16 countries, responding about brands within the sector of their current employer headquartered in the country they live in. The focus was to discover which employer brands within their own markets are rated the highest, and what are the considerations prospective employees have when considering whether to apply for a new role.
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.
