One of our preferred sources for updates on big brands is CoreBrand’s BrandPower reports. CoreBrand specializes in helping organizations understand, define, express and leverage their brands for measurable results. They offer practical and applicable brand research, valuation, strategy, identity systems and management. Independent since their founding 40 years ago, CoreBrand focuses on using brand as a business asset to improve corporate value.
We recently spoke with CoreBrand’s CEO, James Gregory, about their latest Brand Respect report, just published in August. Jim is the founder of CoreBrand, and the creator of the Corporate Branding Index®, an annual research survey designed to capture vital reputation and financial statistics for CoreBrand’s various measurement products. The Brand Respect report factors in ‘familiarity and favorability’ to identify the most-respected and least-respected brands, based on a survey of a large panel of business executives.
BTN: What common characteristics do you see in the Top Ten Most Respected Brands that place them so highly?
JG: If I could put it into a single word I would say “consistency” — Consistency of vision and communication, consistency of business processes, consistency of the culture within the company are all keys to getting the most out of your brand building efforts.
BTN: What do you think is keeping Apple out of the Top Ten, and/or what could they do to move to the head of the class?
JG: Apple is not universally loved except by those us who are brand zealots. Certainly Apple has been moving up over the years and is doing very, very well as a brand but it has not yet achieved the Top Ten status among the business leaders we survey.
BTN: Do you see a relationship between the Favorability decline and the rising influence of Millennials and their notorious lack of brand loyalty?
JG: Certainly something has been putting downward pressure on Favorability. We look at inflection points such as when did all of this start and we can trace it back to 2003-2004 when Sarbanes-Oxley was enacted holding management more accountable for their financial statements. We have not arrived at a conclusion as to the drivers of the decline — certainly Millennials may play a role in the decline of Favorability.
BTN: Your report mentions that Delta and Best Buy, while among the least respected, are on the rise. Can you offer any insights or examples on what they’ve been doing that may be contributing to that rise?
JG: The “Least Respected” list represented companies with the greatest divergence between Familiarity and Favorability. Best Buy is going through a major reinvention of its brand and we’re watching it closely to see if it has traction. Delta has nearly universal Familiarity but quite low Favorability for a company of that size. Delta’s merger with Northwest and their rebranding efforts are starting to show signs of improving the brand, but they have a long way to grow. Also, this was not a reflection about their customer service but rather about three attributes of Favorability including: Overall Reputation, Perception of Management, and Investment Potential. The airlines industry scores very poorly on Investment Potential and all companies within the airline industry could use more respect.
- Corporate Executive Think These Are The 10 Best Brands In America (businessinsider.com)