Uncertainty after the UK’s vote to leave the EU has triggered changes in consumers’ priorities and purchase behaviours. It has never been more important for brands to understand how they are perceived in the market, and what this means for their future health. By measuring how they perform against five ‘vital signs’ of health, brands can get a strong indication of their growth potential. 

BrandZ research has measured the world’s leading brands on consumer perceptions of key brand attributes since 2006. Those that have grown their value the most during that time exhibit strength in five areas. They live by a powerful purpose that serves to improve consumers’ lives in some way, and use it to guide their innovation. They make their innovations clear and meaningful to consumers through creative and memorable communications, and bring everything to life with a great brand experience. Over time, consumers develop love for the brand. 

Brands that score highly with consumers on all five of the above vital signs have the best chance of driving purchase, commanding a price premium, and expanding successfully into new categories and geographies. This is why the ‘healthiest’ brands in the BrandZ Global Top 100 have vastly outperformed their rivals, increasing their brand value 232% since 2006, while the less ‘healthy’ brands have grown 15%. 

One of the healthiest is Amazon, which has grown its brand value by an astounding 2,228% since 2006, having evolved from an online bookseller into a platform that is integrated into every part of our daily lives. It has a compelling purpose: to be ‘the Earth’s most customer-centric company’. Put simply, it wants to make people’s lives easier. It delivers this promise through innovations such as Amazon Prime, Alexa and the ‘Go’ shopping concept, plus an exceptional brand experience that continues to appeal to consumers.

Adidas, another all-round high performer, has increased its brand value 259% since 2006. It has sharpened its purpose – to inspire and enable people to harness the power of sport – by focusing on speed, key consumer targets and an open-source attitude to collaboration. The brand innovates constantly, capitalising on the evolution of fitness and health into more of a lifestyle movement, and forming unique collaborations that blend technology, fashion and luxury. Perceptions of innovation are driven through a forward-looking approach to digital communications, alongside physical experiences, such as its London fitness studio. 

The rising stars

BrandZ research has highlighted a number of younger brands, with robust vital signs, that have the potential to become forces to be reckoned with in the next few years. 

Netflix is one that scores highly in all five areas. A new entry into the Global Top 100 after growing its value 30% in a single year, the streaming platform has redefined how consumers access film and other entertainment – helping to accelerate a whole new way of watching content and changing completely the traditional ‘appointment to view’ landscape. It is an innovator, producing high-quality original content such as House of Cards and Narcos, and has improved the customer experience by launching offline viewing to make it accessible to subscribers everywhere.

Best known for inventing the bagless vacuum cleaner, Dyson may not yet be in the Global Top 100, but it’s an all-rounder that scores particularly highly on purpose and innovation. Positioning itself as a design and engineering pioneer unfettered by category boundaries, it also manufactures fans, heaters, lighting, hand dryers, hairdryers and tools – and, from 2020, intends to produce electric cars. Dyson’s advertising features striking demonstrations of the effectiveness of its products, and its brand experience is excellent; customers are guaranteed access to expert advice and hassle-free help in the event of a problem. 

A shot in the arm

Brands that measure their performance against each of the five vital signs can improve their overall form and, as a result, their future financial health, by focusing investment on any areas in which they’re lacking.

This is of particular importance for the UK’s leading brands. Overall, they lag their global peers when it comes to healthy vital signs; only 22% of the BrandZ UK Top 50 are classed as healthy, compared with 50% of the 2017 Global Top 50. Over a decade, the value of the UK Top 10 has grown less than a third as fast as the Global Top 10 ( 67% v 249%). They’re seen as less innovative than they were in 2006, and are less loved. 

As the foundation of a healthy brand, a clear, compelling and differentiated purpose should be the highest priority. It acts like an anchor for everything the brand says and does, and must be recognisable, coherent and consistently expressed in every innovation, advertising campaign and interaction within the brand experience. 

While a purpose does not need to be ‘worthy’ – based on societal issues or changing the world – it must clearly and genuinely articulate how consumers sit at the heart of the brand. 

For example, Tesco’s long-standing mantra ‘Every little helps’ refers to value for money, as well as its work promoting good causes. Its current ‘Little helps to healthier living’ campaign directly supports this purpose, and brings it to life through Tesco’s advertising, in-store experience and community projects. The retailer has recently refocused on the customer, launching innovations including a one-hour delivery service and ditching the ‘price war’ in favour of improving its brand experience. This strategy is paying off: Tesco scores very highly on purpose, communications, experience and love, and is currently the UK’s seventh most valuable brand, at $8.9bn (£6.7bn). 

Sustaining healthy vital signs in an increasingly tough and competitive environment will be an ongoing battle. How consumers define and perceive a purpose that reflects their values, for example – or an innovation that meets their needs – will continue to evolve. 

Brands will need to use human and data insights to track shifting trends, attitudes and habits, and meaningfully communicate their benefit to consumers if they are to stay relevant. 

Jane Bloomfield is head of UK marketing at Kantar Millward Brown