The latest analysis from Brand Finance plc. demonstrates that most leading Canadian brands are continuing to recover from the recession, with sustained increases in brand value since January. The combined value of the top 10 Canadian brands has now reached $47.3bn. However this is still a billion dollars less than the value of the world's most valuable brand, Google ($48.3bn).
Blackberry's dramatic decline comes as other handset providers are encroaching on the traditional B2B space, impacting handset sales. Blackberry has also failed to recently capture the hearts and minds of consumers globally in the way that Apple has managed to do. The Blackberry Playbook tablet device has struggled since its launch last April and has disappointed investors by failing to meet initial targets.
Other brands in the top 15 are focused on sales within Canada, which have allowed them to grow significantly. Imperial Oil saw the biggest jump in brand value increasing by 32%. Telco leader Bell and bank brand CIBC also saw their value rise by more than 20%. Loblaws has dropped in value as a result of sustained pressure from lower cost retailers such as Walmart. Bombardier has suffered due to the loss of contracts with key global clients.
The brand strength and value of 'Brand Canada', defined as aggregate value of all individual corporate Canadian brands and the Canadian nation brand, has also increased to $1.48tn.
The Brand Strength rating for 'Brand Canada' has moved up to AA+, taking it ahead of 'Brand USA' with a rating of AA-. A comparison of the nation brand results for 'Brand Canada' and 'Brand USA' highlights that the brand equity of 'Brand Canada' is significantly higher than 'Brand USA'.
David Haigh, CEO, Brand Finance said, "there is no disputing the consistent strong performance of brands in Canada this year. But when it comes to managing global brands, Canada appears to be weaker. There is a stark contrast when you compare the drop in brand value of Blackberry, with iPhone maker Apple, which saw a 33% rise in value over the same period. While Apple is recognised for its flow of new innovative products, Blackberry appears to have taken its foot off the gas. As ambitious brands that are prospering within Canada look beyond their national borders, it remains to be seen if Canadian brands can become truly global leaders."
"Blackberry is a tremendous high-end brand which has faltered in the last 12 months. But it still has the opportunity to capitalise on its strengths in both B2B and B2C markets. Apple is in a precarious position having over-reached itself and having lost its brand visionary, Steve Jobs. Nokia, Samsung, HTC and Motorola all face significant challenges and uncertainties. RIM has a huge opportunity to turn the tide if it can refocus its brand strategy, innovate new products, capitalize on its distribution strengths and leverage its established brand equity. We should never forget that Blackberry is a much loved brand worldwide," says Edgar Baum, General Manager, Brand Finance Canada.