Nike has retained the title of the world’s most valuable apparel brand for the 7th consecutive year, despite recording a 13 percent brand value drop to $30.4 bn, in the latest Brand Finance Apparel 50 2021 report. The brand still maintains a considerable lead over second-ranked Gucci, with a brand value of $15.6 bn, down 12 per cent from 2020.
Nike’s sales took a hit last year as the brand was forced to shut the majority of its stores across North America, EMEA and, Asia Pacific due to the COVID-19 pandemic. The brand, however, saw an impressive uptick in online sales, which almost doubled in Europe, the Middle East and Africa.
“Nike – a brand eminent in innovation – has continued to make leaps and bounds with new technology in its products, most significantly the controversial Nike Vaporflys, a shoe that has dominated the international athletics arena in recent years, with athletes wearing them claiming 31 of the 36 podium positions in the six world marathon majors in 2019. With the shoe surviving a ban for the now-postponed Tokyo Olympics, Nike can once again showcase itself as a brand that has helped to change the face of world athletics and sport,” the Brand Finance report said.
The total value of the world’s top 50 most valuable apparel brands has declined by 8 per cent, decreasing from $301.9 bn in 2020 to $276.4 bn in 2021, according to the report, in which all brand values have a valuation date of January 1, 2021.
“2020 was undoubtedly a tough year for the apparel sector. Global and widespread economic disruption caused a sharp decrease in demand and lockdown-induced store closures forced brands to digitalise quickly or face dire consequences to sales and profits. Despite the total brand value of the world’s top 50 most valuable apparel brands declining 8 per cent year-on-year, on the whole we have witnessed remarkable agility and innovation across the sector, which will no doubt stand brands in good stead in the coming year,” Richard Haigh, Managing Director, Brand Finance, said.
Brand value is understood as the net economic benefit that a brand owner would achieve by licensing the brand in the open market.