THE WHAT? The GVC could wipe brand value equivalent to US$35 billion from the world’s 50 top luxury and premium brands, according to a report released by Brand Finance.
THE DETAILS The analyst’s Luxury & Premium 50 2020 reveals that apparel was the most impacted, facing a 20 percent brand value loss, while cosmetics brands are expected to escape any severe damage.
Givenchy, for example, was named the fastest growing brand in 2020, jumping from 37th to 26th place, thanks to is strong performance and growth, particularly in its make-up division and through its L’Interdit perfume.
Lauder also saw its brand value rise over the year, rising to 11th spot from last year’s 14th. Guerlain ranked 13th once again, while Shiseido dropped to 14 and L’Oréal-owned Lancôme rose two places to 17th position. Clarins dropped to 20th and P&G’s SK-II gained five spots to place 24th.
THE WHY? The Chinese market has kept many a luxury brand afloat, says Brand Finance. “There is no denying the importance of the Chinese market in ensuring the good health and growth in the luxury & premium sector,” said Alex Haigh, Valuation Director, Brand Finance.