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A RETURN TO POSITIVITY, BUT NOT TO MORE OF THE SAME
This has been a year in which economies across the region have moved back into positive territory. And, in climbing out of recession, they have taken consumer confidence up at the same time.
David Roth
CEO, The Store WPP, EMEA & Asia
David.Roth@wpp.com
Twitter: @davidrothlondon
Blog: www.davidroth.com
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But this does not signal a return to
business as usual. In fact, it signals the
start of a new era, in which much of what
we previously thought of as normal has
changed. Normal consumer behavior,
normal communications strategies for
reaching them, and normal ways to get
goods and services to market. All are
being redefined.
This is a recovery that is inconsistent
across the region and is being felt by
different consumer groups to varying
degrees. This variation is reflected in
our BrandZ™ brand valuation rankings,
which show overall growth in the
BrandZ™ Top 50 Most Valuable Latin
American Brands 2018 of 18 percent.
Look behind this strong, top-line figure,
though, and there are brands that have
increased their brand value by as much
as 99 percent in the past 12 months,
while others have suffered a 33 percent
decline, and there are brands at every
point in between.
Average brand value growth among the
top Brazilian and Chilean brands has
been over 20 percent, while Mexican
brand value growth is up just 4 percent,
and the leading Argentinian brands
have grown in value by 45 percent. This
volatility is indicative of the new normal.
Even within categories, there are
significant inconsistencies; while some
retail brands, communications providers
and financial institutions have made
great strides, for example, others in
those categories have seen significant
losses in brand value over the same
period.
In this report, we strive to make sense
of the current state of play for brands,
drawing on nearly a century of WPP
company expertise in LatAm, working
with some of most valuable and iconic
brands in the region. Our network of
talented and experienced colleagues
have an intimate knowledge of the
countries in which they work, and a
deep understanding of what motivates
the changing consumer.
We couple this market knowledge with
more than a decade of BrandZ™ global
brand valuation research, which has
tracked over 100,000 brands in more
than 50 markets to identify the key
drivers – local, regional and global – of
long-term growth in brand value.
In the pages ahead, we analyze the
unique demands and opportunities for
brand builders in each of our featured
markets. While each market has unique
conditions, challenges and cultural
nuances, there are some common
themes to the new normality in which
brands now must operate. And it is
largely the extent to which individual
brands have grasped these themes that
has influenced how they have fared in
the past year.
Go to brandz.com to learn more.
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