Tesla is Interbrand’s fastest-growing brand of 2021

Tesla is the fastest-growing brand of 2021, with an unprecedented 184% increase in brand value, according to a new report from Omnicom's brand consultancy Interbrand. According to Interbrand’s 2021 Best Global Brands, Tesla saw the largest rise in rankings, moving 26 places to No. 14, with a brand worth of $36 billion. The brand values are not the same as market capitalization. The calculation is based on Interbrand’s methodology that includes financial performance of the branded products or services, the role the brand plays in purchase decisions and the brand’s competitive strength and its ability to create loyalty and, therefore, sustainable demand and profit into the future. The research covers the period between July 1, 2020 to June 30, 2021. Tesla famously does not do much paid advertising. But in the report, Interbrand states that Tesla's meteoric rise was achieved "with a ubiquitous social media presence that enhanced its brand values, consolidating its position as the world-leading electric vehicle manufacturer.” The report also adds that the brand’s core purpose, “to accelerate the world’s transition to sustainable energy," resonates with a growing, loyal consumer base. It notes that "even with anecdotal reports of reliability issues, Tesla customers score high satisfaction, significantly above peers in this sector.” According to Interbrand Global CEO Charles Trevail, the company identified three key factors in brands’ growth this past year: direction, agility and participation. Direction indicates that brands set a clear direction, ensuring that the entire organization knows where it is going, and is working toward the same ambition. Agility denotes that brands move fast, bringing new products and services to market and, where necessary, pivoting to address changing customer needs. Participation shows that brands “ultimately bring people on a journey with them and make them part of the movement to create an engaging brand world." “Perhaps unsurprisingly, given the constantly evolving business landscape, employee buy-in, adapting to change and a strong customer base have helped certain brands to thrive,” Trevail said in a statement. “It’s worth calling out Tesla’s growth over the past year — a three-figure increase in brand value is unprecedented in the past 22 years of Best Global Brands. Tesla is a brand that epitomises the importance of brand direction, agility and participation, so I’m unsurprised Tesla made the biggest leap up the Best Global Brands ranking in 2021.” Tech domination Tesla has yet to enter Interbrand’s top 10 brands, which remains dominated by tech brands. Apple remains No. 1, valued at $408 billion, followed by Amazon at $249 billion. Having overtaken Google in 2020, Microsoft remains third at $210 billion. The top three brands account for a third of the total table value this year. The remainder of the top 10 includes Google, Samsung, Coca-Cola, Toyota, Mercedes-Benz, McDonald’s and Disney. Sephora is the only new entrant to the rankings this year, entering at No. 100. Its addition makes LVMH Group the biggest group entity in the table, with four other brands. Louis Vuitton is at 13, Dior at 77, Tiffany & Co. at 92 and Hennessy at 95. After Tesla, the biggest brand growths were experienced by Salesforce.com, moving up 20 places to 38, and PayPal, moving up 18 places to 42. The overall value of the table has increased by 15%, to $2.67 trillion, the biggest growth rate in the past 22 years of Interbrand’s Best Global Brands. That’s largely due to the economic disruption caused by COVID-19. Interbrand has published its Best Global Brands Report annually since 1999. ~ ~ ~CORRECTION: An earlier version of this story incorrectly reported the total value of the table due to incorrect information provided by Interbrand.

Tesla is Interbrand’s fastest-growing brand of 2021

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