Ireland’s brand value up 110% since 2015

Ireland’s brand value surged by 110 per cent over the past four years. The country bucks the trend in Europe amid Brexit uncertainty, with brand value up by 12 per cent year on year to US$604 billion, the Brand Finance Nation Brands report shows. Since 2015, UK’s and EU member states’ nation brand values grew by 19 points and 32 points respectively.

The good news is that Ireland is the fastest-growing nation brand in Western Europe in 2019, while all other players in the region have recorded a minimal uptick or a decline. In addition, although ranked 26^th globally for absolute brand value, considering brand value per capita, Ireland now takes second spot overall, behind only Luxembourg.

Globally, developing economies saw 30 times faster nation brand value growth over the past year than developed ones. China is closing the gap on world leader US, after a 40 per cent brand value growth. India makes gains jumping to seventh spot, while no new nations broke into the top 10. Singapore remains world’s strongest nation brand.

Developing economies catching up

Globally, the average year-on-year nation brand value growth among the developing economies stands at 13.9 per cent, compared to just 0.4 per cent for the developed economies included in the annual study.  It means that on average the nation brands of developing economies have been growing at a pace 31.3 times faster than the developed ones.

Nation brand values of most developed economies have contracted or stagnated. Japan is an exception with 26 per cent growth, but it is only the 15^th fastest-growing nation brand. Eleven of the 20 fastest-growing nation brands are from the Middle East and Africa, with Ghana (up 67%), Uganda (up 56%), and Egypt (up 50%) in the top five.

The nation brand value of the US alone stands at US$27.8 trillion.

China shows no sign of slowing

Claiming second position, China recorded an impressive 40 per cent increase in brand value to US$19.5 trillion. China is closing the gap behind the US, which recorded a brand value growth of just seven per cent. The difference in value between the two nation brands has dropped from US$12 trillion last year to just over US$8 trillion in 2019.

The two largest economies in the world have been at loggerheads since July last year in a bitter trade war, with major import and export tariffs imposed by both sides. Despite this, China’s brand value has defied the expectations of a slowdown, benefiting from the success of some of its most valuable brands, including ICBC, Huawei, and Alibaba.

Japan overtakes UK

Behind the US, China, and third-placed Germany, Japan’s brand value has increased 26 per cent to US$4.5 trillion, pushing the UK into fifth place. In spite of predictions that its economy would suffer in the face of a global slowdown, Japan has been able to reap the benefits from its solid consumer spend and high levels of business investment.

Japan has jumped to a AAA brand strength rating, with a BSI score of 85.8.

Top turnaround: Turkey

Turkey recorded a major turnaround from 2018, going from a loss of almost a third of its nation brand value, to this year leaping up 47 per cent to US$560 billion. The nation is back on track following a recession and the sharp fall in value of the lira. Turkey has the youngest and fastest-growing population in Europe, as well as looser monetary policies currently in place. Continued geopolitical tensions, however, could potentially blight this improvement.

Singapore is world’s strongest

Singapore has retained its title of the world’s strongest nation brand, earning the elite AAA+ rating and a brand strength index (BSI) score of 90.5. Although this is a slight drop from 2018, Singapore is the only nation in the ranking to record a BSI over 90. The city-state is renowned for its world-class education, healthcare, transport and low crime levels.