Research from brand equity experts BrandZ—by WPP and Kantar—reveals the “Brand Power” of leading Chinese brands is up 15 percent year-on-year, compared with 5 percent growth last year. The BrandZ Top 50 Chinese Global Brand Builders 2019 report also found that Chinese “Brand Power” is rising fastest in Japan, France and Spain, representing emerging hubs of growth.
The third annual ranking of Chinese Brand Power shows just how rapidly the global marketplace is evolving. That’s why it is even more important now than ever for Chinese brands to grow their Brand Power overseas.
Huawei topped the list and scored high on three aspects of Brand Power. As of June 2018, its global presence has expanded to more than 53,000 stores and 3,500 experience stores worldwide. The sales volume of wearable devices increased by 147 percent year on year in the first half of 2018. Despite a tumultuous year, its Brand Power increased by 22 percent from last year.
The findings of this study celebrate the rising prevalence of the globalization of Chinese brands. As Japanese, French and Spanish consumers adopt increasingly positive attitudes towards Chinese brands, there are significant growth in opportunities for those wanting to expand into these markets.
Yet, the competition is fierce and the awareness of Chinese brands in international markets has declined over the past three years. Brands that can differentiate themselves from others and be more salient – staying front-of-mind for consumers – are more powerful in the competition.
As Doreen Wang, Global Head of BrandZ at Kantar put it: “They [Chinese brands] are already perceived as innovative and cutting-edge by young consumers – but they must be mindful of being a business operating within an international market and adapt their communications strategy to resonate locally.”
Featured Image Source: Kantar