A recently released study revealed the top retail 20 brands of 2010 and the key trends of 2010: internet shopping boosts Amazon's rankings while the shop-customer relationship is experiencing changes thanks to modern technology.
A report released June 29 by insight and consulting agencies Kantar Retail and BrandZ, revealed that consumer relations with the brand and brand value are the two most important facets of retail success.
Though the top ten brands have remained relatively unchanged over the last five years, two brands that have experienced a large value growth are internet company Amazon and supermarket chain Aldi which went from number 16 in 2006 to 8 in 2010. Amazon leapfrogged from number 8 in 2006 to number 2 this year, with a 359 percent increase in brand value. Amazon is now valued at $27.5 billion making it the fastest-growing brand in all sectors and placing it one spot behind Wal-Mart department stores; eBay, an online auction site, was also in the top ten, highlighting the importance of e-commerce.
According to the report the key trends of this year are value, trend analysis, competitive strategy and communication. The study found that brands which matched value with an emotion-based connection to consumers continue to do well in attracting post-recession shoppers. Brands that invested in studies of shopping behavior and trend analysis also benefited; retailers will also have to fight to keep shoppers from returning to their previously favored outlets as societies emerge from recession.
Communication was considered very important by the report, with mobile commerce affecting how and when people shop: this should encourage brands to be active in digital conversations and actively engage consumers. The role of technology, the report believes, is changing retail as customers are now able to browse an enormous selection of products and find the best offers at a touch of a button. The report recommends that retailers begin regarding e-commerce not as a supplement but as an integral part of their business.
BrandZ and Kantar Retail also found that while consumers emerging from the recession were keen to purchase new goods, they also considered the impact their purchases would have on the environment.
The top ten brands in ranking order are: Wal-Mart department stores, online leisure goods store Amazon, Tesco and Carrefour supermarket chains, Target department store, online auction site eBay, domestic goods store Home Depot, Aldi supermarket chain, Auchan hypermarket and home improvement store Lowes.
Ten to 20, in descending order are: electronics outlet Best Buy, Swedish furniture maker IKEA, home wear, clothing and food store Marks and Spencer, ASDA supermarket, lifestyle shop Kohl's, Lidl supermarket, CostCo supermarket, discount brand retailer Sam's Club, Safeway supermarket and Sainsbury's supermarket chain.
The full report is available at www.brandz.com