- Kantar BrandZ Top 40 most valuable Australian brands with a brand value of more than $125 billion
- Banks (37%) and Retail (24%) are the dominant categories in the Top 40
- Australians reward brands that are meaningful and relevant
Design platform Canva is now the country’s second most valuable brand after the Commonwealth Bank of Australia, according to the Kantar BrandZ Top 40 Most Valuable Brands 2023 Ranking.
Canva is worth about A$24 billion (US$16.01 billion), behind CBA’s US$21.6 billion brand valuation, but is still privately owned and only ten years old – 100 years less than Australia’s largest bank .
The only other tech scale-up to make its presence felt in the top 40 is buy now pay later fintech Afterpay, at 20 with a brand value of $1.2 billion. It is also the youngest brand on the market, just behind the country’s oldest brand, Australia Post (No. 19; US$1.4 billion), founded in 1809.
Ryan France, head of brand strategy at Kantar Australia, said that while Canva is a relative newcomer to the brandscape, it is a local success story that has become something of a global phenomenon.
Their analysis shows that brands that start by focusing on a compelling point of difference – being unique from competitors and/or setting trends – create value by becoming meaningful, i.e. by meeting needs in relevant ways and/or build affinity, as well as standout – easy on the mind – making them strong and successful brands.
“Canva continues to focus on the product, but also on communicating what makes it different and making it relevant to a wider audience,” said France.
“Canva has been working on just that, increasing its prominence by showing how it can be used by consumers with a wide range of needs. Not only is it a tool to create presentations, it has shown how it can help with an ever-widening range of tasks, from advertising a house for sale to organizing a baby shower.
“However, the brand Canva could probably learn the best from is Canva! In Brazil, the brand has already increased its meaningful awareness and is therefore quickly closing in on the market leader.”
Last week, Canva held a showbiz-style event in Sydney for thousands of users to unveil the latest product developments, including the addition of AI to the platform to help users design.
As a brand, the value of the scale-up compared to some of Australia’s largest and most well-known companies is astonishing, with Kantar estimating the tech company’s brand to be worth $4.5 billion (A$6.6 billion) more is than Woolworths, and US$6.1 billion (A$9.2 billion) than the country’s largest telco, Telstra.
The combined value of all 40 companies is US$125 billion, with banks worth the most, with a combined value of US$45 billion, followed by retailers with a total value of $30 billion, and business services and technology the third largest with US$16.01 billion – and that’s all Canva.
The 2023 edition of Most Valuable Australian Brands includes 13 categories, which Ryan France says reflect the diversity of the economy.
The 10 retail brands in the Top 40 are worth more than $30 billion in brand value. Woolies’ main rival, Coles, is at number 6, worth $7.2 billion and Bunnings at number 9, worth $4.6 billion, and then BWS at number 12 with $2.4 billion.
Make the difference
Ryan France says this year’s ranking shows that any brand, old or new, can increase its value by understanding what makes it different, as well as meaningful and easy to remember.
“At the core of a brand’s value is its ability to appeal to both existing and new customers, and CommBank, with its long history and ability to adapt to changing market conditions, does this with ease, along with other enduring brands like Coles, Bundaberg Rum and Qantas,” he said
“However, current economic challenges, along with growing concerns about sustainability and the environment, have the potential to change the way Australians buy and consume products and services.
“Our expectations of brands are evolving, we want them to work, but brands that can also articulate how they make life better – for people, for the community, for the planet – will find a firmer footing with investors, employees, And consumers. It is not just wishful thinking, the data shows us that sustainability references can make a meaningful difference, and that stimulates choices.”
Marketing also helps.
The beer for up here, Great Northern, is number 39 with a brand value of $368 million. Most Australians think it’s new, but in 1927 the Cairns Brewery celebrates its 100th anniversary and is now the country’s top selling beer brand – and worth more as a brand than the retailer Liquorland at 40.
France said Kantar’s analysis shows that consumers reward brands that are both meaningful and easy to remember
“When brands achieve meaningful salience, they are known for something that consumers believe is relevant to their lives,” he said.
“Brands that invest in this area tend to increase their market share as a result.”
Kantar BrandZ Top 10 Most Valuable Australian Brands 2023
Kantar is the world’s largest marketing data and analytics company. You can download the Most Valuable Australian Brands report at kantar.com/campaigns/brandz/australia