BrandZ_2015_China_Top100_Report_EN

Part 1 | Introduction - Overview
TOP 100 Most Valuable Chinese Brands 2015
OVERVIEW | Market-Driven vs. SOE Brands
Market-driven brand value
doubled, SOE value declined
The value of market-driven
brands in the BrandZ Top 100
Most Valuable Chinese Brands
increased 97 percent year-onyear,
as China rebalanced and the
government encouraged market
competition.
Market-driven brands rose
97% in value in 2015...
Market-driven brands almost doubled in value
year-on-year, while the value of the SOEs (State
Owned Enterprises) declined 9 percent.
China Top 100 Brand Value by Ownership
2015 Total Value
464,234
2014 Total Value
379,787
268,958
71%
-9%
245,506
53%
The ecommerce giant Alibaba,
whose IPO (Initial Public Offering)
raised a record $25 billion, drove
much of that brand value gain.
Even without Alibaba, however,
the value of market-driven brands
rose 43.5 percent.
+97%
218,728
47%
Meanwhile, the value of SOEs
(State Owned Enterprises)
declined 9 percent.
Market-driven brands now
comprise 47 percent of the total
value of the BrandZ China Top
100, up from 29 percent in 2014.
… Market-driven brands comprise
half the value of the Top 10…
Three market-driven technology brands –
Tencent, Alibaba and Baidu – comprise almost
half the value of the Top 10.
China Top 10 Brand Value by Ownership
2015 Top 10
Total Value
322,916
2014 Top 10
Total Value
252,653
110,828
2014 2014
2015 29%
2015
% Share of Value
% Share of Value
(US$ Mil.)
(US$ Mil.)
198,787
79%
166,257
51%
53,865
21%
156,658
49%
The SOE proportion of the China
Top 100 total value declined to 53
percent from 71 percent a year ago.
Similarly, three market-driven
technology brands – Tencent,
Alibaba and Baidu – comprise
almost half the value of the Top
10. In the 2014 BrandZ China Top
100, market-driven brands made
up only about one-fifth of the Top
10 brand value.
Because of the value growth
of these three market-driven
brands, 70 percent of the total
brand value of the BrandZ China
Top 100 2015 is concentrated in
the Top 10, which increased 28
percent year-on-year. The Top 10
also includes seven SOEs.
In addition, the combined value
of just these three market-driven
brands – Tencent, Alibaba and
Baidu – produced over one-third
of the total value of the BrandZ
Top 100 Most Valuable Chinese
Brands 2015.
Although the debut of Alibaba
in the BrandZ China Top 100
influenced the sharp year-on-year
rise in market-driven brand value,
the value of market-driven brands
has increased steadily over the
past five years, while SOE brand
value has fluctuated.
Between 2011 and 2015, marketdriven
brands in the BrandZ Top
50 Most Valuable Chinese Brands
appreciated 278 percent in value.
… Market-driven brand value rose 278 percent in five years
Market-driven brands appreciated 278 percent in value from 2011 to 2015, while SOEs
grew just 6 percent in brand value.
China Top 50 Brand Value by Ownership
223,926
258,591
242,360
263,435
236,361
The brand value of SOEs grew
just 6 percent.
This disparity illustrates a global
trend reshaping many national
economies as some technology
brands – social networks, device
manufacturers, and software and
network providers – become as
valuable as large cap financial and
industrial corporations.
The difference in China is that
these large cap corporations are
government owned or controlled.
Within this ownership structure,
SOEs increasingly recognize the
imperative of effective brand
building for sustained success in
China’s rapidly evolving economy.
99,027
207,400
2011
2012
2013
2014
2015
(US$ Mil.)
77,864
66,778
+6% 54,923
+278%
SOEs
45 Brands
Market-Driven Brands
55 Brands
SOE Brands
in Top 10
Market-Driven Brands
in Top 10
SOE Brands in Top 50 Market-Driven Brands in Top 50
Source: BrandZ / Millward Brown
Source: BrandZ / Millward Brown
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