Saturday, November 15, 2008

The Brand Bubble

Through extensive research using brand and financial data on thousands of brands, I and my colleagues at Young & Rubicam have found that the multiples that markets place on brand valuations far overstate actual consumer sentiment. This means that the value creation most brands are bringing to their companies, and ultimately to their shareholders, is greatly exaggerated. Put simply, most businesses and the financial markets think brands are worth more than the consumers who buy them.

changethis

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