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UPS posts record brand value in global market

05 June 2019
This article is more than 4 years old.

· US giants UPS and FedEx defend first and second place in the global top 25 as brand values both surge 33%
· Hong Kong’s MTR remains the strongest brand with Brand Strength Index (BSI) score of 84.4 out of a 100 and AAA- rating
· French brands La Poste (brand value soars 49% to US$5.5billion) and Bolloré (up 51% to US$2 billion) achieve best brand value growth
· Royal Mail (up 7% to US$ 2.35 billion) shunted into 18th position by Hong Kong champion MTR, is one of only four brands to fall in the ranking
· Esteemed US brand CSX (up 16% to US$4.6 billion) moves up and joins global top ten
· SF Express and XPO logistics are this year’s surprise newcomers

View the full Brand Finance Logistics 25 2019 report here

Best ever brand values for US Giants UPS and FedEx

UPS strengthens and maintains its position as the world’s most valuable brand, according to the latest report by Brand Finance, the world’s leading independent brand valuation consultancy. Brand value surges 33% to a record US$29.3 billion following further investment in sustainability and ground-breaking technology. Improving its carbon footprint, UPS is currently trialling new electric delivery trucks in London, Paris and the US and has just launched a new logistics service to deliver medical samples via unmanned drones in North Carolina. The trucks are forecast to deliver on costs by the early 2020s.

FedEx, the other titan in the logistics sector, retains second place and mirrors UPS increase in brand value (up 33% to US$24.2billion). A marketing campaign launched in 2018 which seeks an emotional connection with customers may have helped. It illustrates that FedEx is not just about packages, but also about what the deliveries mean for the people shipping and receiving them. The relief effort of supplies delivered with FedEx after Hurricane Michael delivered hope.

Amazon’s massive investment in shipping, Amazon Air, and trucks to control its own logistics costs, whilst impacting on returns for UPS and FedEx, is not, as yet, a cause for concern.

David Haigh, CEO of Brand Finance, commented:

“Outstanding performances from FedEx and UPS reinforce the US dominance in the logistics industry. With vast areas to supply, both at home and abroad, the US brands are adept in addressing and resolving complex situations for customers seeking swift delivery solutions.

E-commerce, insurance ventures, adaptability and emotional intelligence are heightening brand values for other players in this growing sector.”

Mighty mover MTR opens first high-speed rail link to China from Hong Kong

MTR (up 20% to US$2.64 billion) a global operator of sustainable rail transport systems, which consistently maintains its passenger on-time journey at an outstanding level of 99.9%, is worthy of its strongest brand accolade, improving on last year with an 84.4 out a 100 Brand Strength Index (BSI) score. A big boost for business in 2018 was its opening of the first high-speed rail link between mainland China and Hong Kong.

French Brands Flourish

France’s Bolloré (brand value soars 51% to US$2 billion) is the world’s fastest growing logistics brand. Its shift from 24th to 21st position is boosted by an ability to constantly adapt to the customers’ changing needs. Bolloré Logistics, previously known as SDV and rebranded as of January 1, 2016, is the transport and logistics business unit of Bolloré Transport & Logistics, a fully owned subsidiary of the Bolloré Group. The brand offers five types of services including multimodal transport, customs and regulatory compliance, logistics, global supply chain, and industrial projects. With its headquarters in Puteaux, on the western outskirts of Paris, France, the company runs a global network of 602 offices and employs 21,400 professionals worldwide in 105 countries.

La Poste jumps from 12th to 7th position (up 49% to US$5.5billion) and is tackling the decline in its core mail business with lucrative new ventures. As well as last year’s merger with insurer CNP Assurances, La Poste’s use of Oracle Big Data Appliance has helped identify 70 new services it can provide using its existing infrastructure and labour pool.

Global mail revenue share is currently about 40%, but it is declining. The global volume ratio of letters to parcels originally 13:1 in 2005 is forecast to reach 1:1 parity by 2025. La Poste, and other postal services are right to take innovative action.

Parcel-led business at Royal Mail enhanced to offset revenue loss in letters

Royal Mail (up 7% to US$2.35 billion) nudged down one place by Hong Kong’s logistic giant MTR has had a mixed year.

The brand’s performance in its core UK business has fallen due to a worse than expected decline in the number of letters sent by Britons, its struggle to squeeze more efficiency out of its vast networks, and difficulty hitting productivity and cost savings targets. The Brexit delay has had a detrimental impact too.

To offset letter revenue decline and capitalise on good growth in its parcel service, Royal Mail CEO Rico Back’s strategy is ‘to build a parcels-led, more balanced and more diversified international business’.

New arrival in top ten

CSX’s jump from 11th to 10th position (up 16% to US$4.6 billion) takes the total number of US brands in the top ten to six. Success is linked to its Network Planning Division which use simulation modelling technologies including AnyLogic to establish cost effective solutions to logistics problem.

China and US brands join top 25

New entrants are China’s SF Express (brand value US$3.6 billion) in 14th place and US XPO Logistics (brand value US$1.9 billion) in 22nd position.

SF Express, one of three Chinese brands in this year’s top 25, is China’s second largest courier. The other two are MTR and CRSC (up 8% to US$1.4 billion). As China sharpens its underdeveloped logistics network to support rising consumerism and the e-commerce explosion more brands are set to flourish by taking advantage of assets in outlying cities. Unless its trade war with the US escalates growth prospects in China remain strong with real GDP growth set to exceed 6% in 2019

US brand XPO Logistics, a third-party provider in 32 countries, has acquired 17 companies in the last seven years. Successful use of synergies has facilitated explosive growth.

MTR is world’s strongest
Aside from calculating overall brand value, Brand Finance also determines the relative strength of brands through a balanced scorecard of metrics evaluating marketing investment, stakeholder equity, and business performance. Along with the level of revenues, brand strength is a crucial driver of brand value.

The strongest brand in the sector belongs to Hong Kong’s MTR with a Brand Strength Index (BSI) score of 84.40 out of 100 and a corresponding AAA- brand rating.


Note to Editors
Every year, leading valuation and strategy consultancy Brand Finance values the world’s biggest brands. The 25 most valuable logistics brands are included in the Brand Finance Logistics 25 2019.

Brand value is understood as the net economic benefit that a brand owner would achieve by licensing the brand in the open market. Brand Strength is the efficacy of a brand’s performance on intangible measures relative to its competitors.

Additional insights, more information about the methodology, as well as definitions of key terms are available in the Brand Finance Logistics 25 2019 report.

Brand Finance helped craft the internationally recognised standard on Brand Valuation – ISO 10668, and the recently approved standard on Brand Evaluation – ISO 20671.

Brand Finance is a chartered accountancy firm regulated by ICAEW and also the first brand valuation consultancy to join the International Valuation Standards Council (IVSC).

Data compiled for the Brand Finance rankings and reports are provided for the benefit of the media and are not to be used for any commercial or technical purpose without written permission from Brand Finance.

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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