Luxury car maker Porsche accelerated to the top rank in the Brand Finance Luxury & Premium 50 list, becoming the world's most valuable brand, while Louis Vuitton was knocked off the second spot by Cartier.
Cementing itself as front-runner in the luxury sector, Porsche has increased its brand value by 54 percent to US$29.3 billion, according to the latest report by Brand Finance, an independent brand valuation agency. No doubt, Porsche’s unwavering reputation for 70 years and the recent launch of the Taycan, the first pure-electric production car, aided the status, demonstrating the brand’s commitment to innovation and development in an increasingly eco-conscious society.
According to Peter Schwarzenbauer, President and CEO of Porsche cars North America, “Customer perception is everything in the luxury market.” A recent survey of 1600 Americans with a net worth of US$3.3million, conducted by the Luxury Institute, showed that individuals associated Porsche with “power, excitement, value, elegance, trust and respect.”
“Wealthy consumers tell us that Porsche stays true to its core values and to its enthusiasts. Porsche remains an automobile that never loses its way on the luxury highway, even at high speeds,” said Milton Pedraza, CEO of the Luxury Institute.
While ‘auto-titan’ Porsche ranked as most valuable, Ferrari chalked up a BSI (brand strength index) of 94.8 out of 100, and fashion brands like Salvatore Ferragamo and Versace slid down the rankings by around 20 percent.
In this regard, Alex Haigh, Director of Brand Finance, commented, “Connotations of luxury extend far beyond fashion brands with this becoming ever more apparent since Porsche yet again tops the Brand Finance Luxury & Premium 50 2019 ranking of the world’s most valuable luxury and premium brands.”