Updated: Aug 10
Bucking the trend across Europe’s largest industries, the retail sector has recorded a 4% uptick in cumulative brand value. It is the third most valuable sector, behind autos and banking, with the 49 brands that feature accounting for 9% of the total brand value.
Unsurprisingly, various types of retailers have been impacted by the pandemic differently, as consumer habits have been forced to change. Notably, delivery apps and e-commerce platforms are among the fastest growers in the ranking this year. Delivery apps have benefited from the displacement of hospitality spend, where demand for quality food and small indulgences cannot be fulfilled by lockdown-hit restaurants and bars, with consumers turning to takeaways.
Germany’s brick-and-mortar retailers Aldi, and Lidl still claim the podium for the sector’s most valuable brands in Europe. The German supermarket rivals have posted contrasting results, however, with Aldi recording a 2% increase in brand value and Lidl a 14% decrease.
Aldi (brand value €13.2 billion, US$ 16 billion) has embarked on a foray into the online retail space, successfully pivoting its offering in the face of the pandemic. The same strategy has not been undertaken by Lidl (brand value €9.6 billion, US$ 11.5billion), with the CEO of the LIDL GB arm, Christian Härtnagel, arguing the pandemic has artificially inflated demand for online shopping and that the costs are simply too high.
German brands represent a quarter of total brand value
With the Germany’s 65 brands making up 25% of the total brand value in the ranking, Germany is well ahead of the pack.
See here for more: https://brandirectory.com/rankings/europe/table