According to Brand Finance’s Australia 100 2024 report which ranks the 100 most valuable and strongest brands in the nation, the total value of Australia’s top 100 brands has risen by 2.5% to reach AUD199 billion, with 60 of the brands in the rankings seeing an increase in brand value. 36 others posted declines while four new brands entered the rankings.
Mark Crowe, managing director of Brand Finance Australia, commented: “This year’s Australia 100 highlights the important role of strong brands during challenging economic times in growing or minimising loss of value and mitigating reputational risk while providing reassurance to consumers confronted by cost-of-living pressures.”
The retail sector was severely affected by inflation in 2023 which led to a reduced growth rate. It nonetheless remains the most valuable sector in our rankings with an aggregate brand value of AUD46.5 billion, which accounts for 23% of the total value of Australia’s top 100 brands. In addition, while the Australian economy managed to avoid a recession in 2023, the retail sector faced other challenges. For instance, real retail spending experienced a decline for three consecutive quarters due to consumers tightening their discretionary purchases amid rising living costs. This impacted brands such as Woolworths, Coles and Bunnings.
Woolworths defends most valuable brand crown despite a 5% brand value decline
The top four most valuable Australian brands maintained their rank positions despite posting brand value declines. Woolworths defended its most valuable brand crown despite a 5% decline in brand value to AUD15.4 billion. Completing the top three most valuable Australian brands are Telstra (brand value down 1% to AUD13 billion) and Commonwealth Bank (brand value down 7% to AUD10.6 billion). Coles, maintaining its position as the 4th most valuable brand, saw a 9% decrease in brand value to AUD9.8 billion.
Airlines brands posted brand value declines; Qantas falls 22 places in brand strength rank
Despite a brand value decrease of 7% to AUD2.8 billion, Qantas climbed a spot to become the nation’s 17th most valuable brand on the back of increased revenue and forecasts. However, after a decline of four points in last year’s rankings, Qantas has experienced a further drop of seven points in brand strength, with its score now standing at 71 out of 100. This performance was mainly due to reputational issues that generated negative media coverage.
The performances of Qantas and Jetstar see them moving in opposite directions – with Qantas falling 22 places to become Australia’s 41st strongest brand (it was the strongest in 2019) and Jetstar climbing 20 places to 46th strongest.
Bunnings is the nation’s strongest brand for three consecutive years; NRMA Insurance jumps seven spots in brand strength rank
Bunnings (brand value up 20% to AUD6.5 billion) is Australia’s strongest brand for the third year running, with a Brand Strength Index score of 88.2 out of 100. It saw an increase in store sales by 3.7%, with store-on-store sales growing by 1.8%. Additionally, the brand demonstrated growth in both consumer and commercial segments across all regions in the nation.
Following behind Bunnings, NRMA Insurance (brand value up 91% to AUD2 billion) jumped seven spots to be placed as Australia’s 2nd strongest brand, displacing Woolworths one position to 3rd strongest while Telstra retained 4th. NRMA Insurance is also one of the fastest growing brands in the rankings this year, posting a 91% brand value increase.