There are quite a number of brands out there that are instantly recognizable. Simply take a single glance and you’re bound to know what it is, what they make, and what the brand is all about. Coca-Cola, Nike, Disney, and Apple are some of those instantly recognizable brands, but topping all these brands is Ferrari.
The Italian brand with the prancing horse proudly on display has been awarded the title of the world’s strongest brand for the second consecutive year by Brand Finance, the leading international independent brand valuation and strategy consultancy. With a Brand Strength Index (BSI) score of 94.1 out of 100, Ferrari tops the rankings of only 12 brands to be awarded the highest AAA+ rating. Reigning at second among automakers is Porsche, with a score of 86.
Former Chairman Luca di Montezemolo enforced a strict annual production cap of 7,000 vehicles, convinced that this was essential to maintaining perceived exclusivity and brand strength. However, since Sergio Marchionne took command, Ferrari’s annual production cap has been raised to 9,000 and a new Ferrari theme park is set to open at PortAventura in Spain on April 7th. This will be Ferrari’s second theme park, the first one being Ferrari World in Abu Dhabi.
Fortunately, the increased commercial exploitation of the Ferrari brand has seen its brand value surge by 40% to US$6.15 billion this year, without diluting its image as an aspirational brand.
Brand Finance determines brand value by estimating the net economic benefit to the brand owner of licensing the trademark on the open market. It measures brand strength on the basis of the efficacy of a brand’s performance on intangible measures compared to its competitors.