Luxury products and services are usually not easy to define as the doorway between luxury or premium from other common goods is subjective. People define luxury as brands that are popularly known for quality but are not usually purchased by the masses due to price. So, we decided to clarify what Next Big Brand means when speaking of the “luxury or premium” section. While researching we came across Brand Finance’s top premium brands and products worldwide report for 2021. This will sort out some important insights for the most valuable luxury brands of 2021.
For instance, in the garment division, both Chanel and Louis Vuitton are widely popular and best known for their quality; but here LV loses the battle as Chanel is a bit more expensive in comparison. It is also a more exclusive brand as a direct hike in prices.
Top 5 Luxury & Premium Brands of 2021
Germany’s Porsche is the uppermost valuable luxury brand with a brand value of $34.3 billion, far more ahead of GUCCI which is in the second position. Porsche is pushing boundaries towards its vision of redefining the future of sports cars. The auto giant aims to continue its spirit towards sustainability through the launch of Taycan with a total transaction of 20000 units sold last year. This remarkable effect means that over 10% of Porsche cars sales are now coming from EV models. Porsche brand value gained 1.2% in 2020.
Gucci secured the second position in Brand Finance’s most valuable luxury brands of 2021. Their brand value went down by 11.5% to $15.6 billion in comparison to last year’s sales. This brand is holding the top position because of its brand’s rich heritage and smart business strategy.
This brand has held a legacy since a long time now, founded in 1854, popularly known as LV among brand enthusiasts. Their leather goods collections are exclusively produced and sold worldwide. Louis Vuitton holds a valuation of $14.8 billion and a loss of 9.8% from 2020.
Apparel brands are the most dominating ones on the list. Chanel brand value of 13.2 billion in 2021. It focuses on luxury goods and accessories and is famous for its “little black dress”. They saw a 3.4% decline from last year.
Carter is a major American brand known for designing children’s apparel globally. Carter brand value was observed the most damaged in Brand Finance’s list in terms of sales. They saw around 19.5% damage in sales in relation to 2020 with a total valuation of $12 billion.
Aside from these brands; other most worthy luxury brands include Hermes, Ferrari, Rolex, Dior, Guerlain among the top 10 respectively, according to the study by BrandFinance. Among these, Celine is the fastest-growing brand, impressively up by 118%, and Ferrari is the strongest and elite brand. Apparel brands dominate, considering 62% (30 brands) of the total value in the list.
The total value of the world’s top 50 most marketable luxury and premium brands is down by 5%, from US dollar 227.1 billion in 2020 to US dollar 219.5 billion in the year 2021. Their list now has two hotels for the first time which are Shangri-La and Intercontinental.