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Resilient growth: Luxury brands shine in brand value and strength in new ranking 

11 June 2024
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The world’s most iconic Luxury & Premium brands are manoeuvring through recent dips in the global economy

  • Porsche retains position as world’s most valuable Luxury & Premium brand; Louis Vuitton and Chanel round out top 3
  • High familiarity drives luxury brands’ exceptional brand strength; Rolex becomes 2024’s strongest luxury brand
  • Sustainability an increasing driver of consideration in the luxury sector; automobile sector leads for sustainability perceptions

LONDON, 11 June 2024 - Porsche (brand value up 17% to USD43.1 billion) has retained its position as the world’s most valuable Luxury & Premium brand for the seventh consecutive year, according to new data from Brand Finance. French apparel giants Louis Vuitton (brand value up 23% to USD32.2 billion) and Chanel (brand value up 35% to USD26.1 billion) retain second and third positions in the 2024 ranking. As rising cost of living and economic instability have reduced spending for many, affluent consumers have sustained their purchasing power in challenging economic conditions, translating into continued sales growth for the world’s most valuable luxury brands.

Rolex has become the strongest Luxury & Premium brand in 2024, earning a brand strength index (BSI) score of 90.1/100 and an equivalent AAA+ rating, followed by Ferrari, earning a BSI of 90.0/100 and an AAA+ rating. Chanel jumps up a considerable 16 ranks to 3rd position for brand strength, scoring 88.9./100. Notably, these brands command exceptional scores in the familiarity and reputation metrics of Brand Finance’s research, highlighting their globally renowned statuses and positive consumer perceptions. Leveraging their iconic legacies and unique heritages, these brands are further enhancing global familiarity through initiatives ranging from celebrity partnerships to product innovations, and digital experiences.  

Annie Brown, Valuation Director at Brand Finance UK, commented,

“Strong brands are built on more than just sales. This year’s leading luxury brands are remarkable for their unique ability to preserve and enhance brand strength, even in times of economic uncertainty. Traditional players are now finding new and innovative ways to deliver premium experiences that resonate with the modern luxury consumer while staying true to their distinctive heritage and iconic legacies. This balance between embracing transformation while preserving a tradition is fundamental to their enduring brand power.”

This year’s research also indicates a more influential role for sustainability in driving choice within the Luxury & Premium market segments of Auto, Apparel, and Cosmetics. In these segments, sustainability driver scores are over 1.5 times higher than for the sector overall. Luxury Auto has the highest driver score across all industries the research covers, at 23.8%. Luxury Apparel (12.2%) and Luxury Cosmetics (11.4%) also have significant driver scores.

Why would sustainability have a more influential role in luxury segments? There may be multiple effects at play.

Robert Haigh, Strategy and Sustainability Director at Brand Finance, commented,

“A brand’s sustainability commitments can imply a slight cost increase that necessitates more premium positioning. Premium-segment consumers also have less price sensitivity, enabling them to seek improvements on other attributes, including sustainability. Lastly, at the premium end of many markets, brands become more than just a guarantee of attributes to the consumer—their products also signal the purchaser’s status, taste, identity, or ethics to others.”   

In Luxury Apparel, Louis Vuitton has the highest Sustainability Perceptions Value, at USD3.8 billion, followed by Chanel and Hermès. Luxury Auto sees Porsche (USD10.5 billion) in the top spot, ahead of Ferrari and Lamborghini. The highest Sustainability Perceptions Value in Luxury Cosmetics belongs to Guerlain (USD732 million), followed by Lancôme and Estée Lauder.

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Media Contacts

Penny Erricker
Communications Executive
Brand Finance

About Brand Finance

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.

Definition of Brand

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

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 Valuation Approach

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.

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