Deutsche Telekom is the most valuable European brand, valued at EUR60.7 billion

German telecoms provider Deutsche Telekom (brand value up 17% to EUR60.7 billion) surpasses former champion Mercedes-Benz to become the most valuable European brand, according to a new report from leading brand valuation consultancy, Brand Finance.

Every year, leading brand valuation consultancy Brand Finance puts 5,000 of the biggest brands to the test, and publishes over 100 reports, ranking brands across all sectors and countries. The world’s top 500 most valuable and strongest European brands are included in the annual Brand Finance Europe 500 2023 ranking.

Building on its success as the second most valuable telecoms brand globally, Deutsche Telekom’s latest title as the most valuable European brand comes as a result of strong revenue growth across European markets and increasing customer numbers. The latter has also significantly propelled the brand’s growth in the US, which has seen record customer additions.

David Haigh, Chairman and CEO of Brand Finance commented:

“Deutsche Telecom has had a remarkable year, surpassing Mercedes-Benz to become the champion of European brands. Thanks to its rebranding efforts, the German telecoms giant has successfully enhanced its brand visibility and strength across diverse international markets and consumer segments, aligning with its ambition to become a market leader, not just in Europe, but globally.”


Mercedes-Benz is the second-most valuable European brand, brand value EUR56.7 billion

Mercedes-Benz (brand value up 8% to EUR56.7 billion) leads the pack for luxury automobiles as the second-most valuable European brand. Despite dropping to second place this year, the brand continues to enjoy international growth. This growth can be attributed to innovative new product developments, reflecting an industry-wide transition to electric vehicles and an all-electric future.

Another German brand makes up the top three as Allianz Group overtakes Shell

Allianz Group (brand value up 20% to EUR46.6 billion) is this year’s third-most valuable European brand. Allianz’s brand value has increased due to record results in revenue and operating profit in 2022, demonstrating particularly strong performance in the Property-Casualty, Life/Health, and Asset Management segments. Customer and employee satisfaction for the brand also reached an all-time high, solidifying its position as one of the world’s largest and most trusted financial institutions.

Swisscom is the strongest European brand, with a Brand Strength Index (BSI) score of 91.7/100

In addition to calculating brand value, Brand Finance also determines the relative strength of brands through a balanced scorecard of metrics evaluating marketing investment, stakeholder equity, and business performance. Compliant with ISO 20671, Brand Finance’s assessment of stakeholder equity incorporates original market research data from over 100,000 respondents in 38 countries and across 31 sectors.

Swisscom (brand value up 18% to EUR6.1 billion) is the strongest European brand. The Swiss telecoms giant has boosted its brand strength through its pioneering initiatives in the European 5G market, announcing its new Fixed Wireless Access 5G service for business customers at the end of last year. Swisscom is committed to boosting its brand strength and global reputation through the establishment of more physical shops worldwide, as well as revising its branding efforts, both in stores and online.


Nespresso is the European brand with the biggest change in brand value

Nespresso (brand value up 245% to EUR2.8 billion) is a new entrant this year as the European brand with the biggest change in brand value. Well-reputed for quality and luxury, Nespresso has maintained consumer loyalty by consistently developing new and innovative products across its coffee capsule and machine ranges.

In addition, Nestlé changed it’s reporting to enable enhanced transparency on financial information and an identification of Nespresso’s revenue separate from other brands in the portfolio. This caused a boost in brand value against estimated sales volumes from the year before. Improved financial reporting on brands is best practice for management to enable investors and third-party users of accounts to add accountability on brand management.


Porsche has the highest Sustainability Perceptions Value (SPV) at EUR7.8 billion

Porsche (brand value up 22% to EUR35.4 billion) has the highest Sustainability Perceptions Value of any brand included in the Europe 500 ranking, at EUR7.8 billion. It should be noted that Porsche’s position at the top of the SPV table is not an assessment of its overall sustainability performance, but rather indicates how much brand value it has tied up in sustainability perceptions. That said, Brand Finance research finds that sustainability is a key driver of choice for consumers in the luxury sector, at 22.9%. Despite the well-known negative environmental consequences associated with the automotive industry, Porsche is one of several luxury auto brands incorporating ESG (Environmental, Social, and Governance) principles into its communication strategies, thereby bolstering favourable consumer perceptions. Porsche has committed to offering more electric and hybrid vehicles, promoting cleaner energy sources, and implementing innovative technologies to improve energy efficiency and reduce emissions.