Advertisement
Australia markets closed
  • ALL ORDS

    8,153.70
    +80.10 (+0.99%)
     
  • ASX 200

    7,896.90
    +77.30 (+0.99%)
     
  • AUD/USD

    0.6514
    -0.0022 (-0.33%)
     
  • OIL

    82.35
    +1.00 (+1.23%)
     
  • GOLD

    2,228.30
    +15.60 (+0.71%)
     
  • Bitcoin AUD

    109,058.76
    +2,839.22 (+2.67%)
     
  • CMC Crypto 200

    885.54
    0.00 (0.00%)
     
  • AUD/EUR

    0.6025
    -0.0006 (-0.10%)
     
  • AUD/NZD

    1.0893
    +0.0014 (+0.12%)
     
  • NZX 50

    12,105.29
    +94.63 (+0.79%)
     
  • NASDAQ

    18,267.03
    -13.81 (-0.08%)
     
  • FTSE

    7,960.97
    +28.99 (+0.37%)
     
  • Dow Jones

    39,765.32
    +5.24 (+0.01%)
     
  • DAX

    18,494.23
    +17.14 (+0.09%)
     
  • Hang Seng

    16,541.42
    +148.58 (+0.91%)
     
  • NIKKEI 225

    40,168.07
    -594.66 (-1.46%)
     

Australia's iconic brands losing millions


Some of Australia's iconic retail names took a big beating last year with bigwigs such as Harvey Norman, Kmart, Myer and David Jones shedding millions of dollars from the value of their brands, a study has found.

According to a report by Brand Finance Australia, a strong Australian dollar, cautious consumers and competition from online retailers took a major toll on the big domestic brands.

Related: Coles, Woolworths 'killing competition'

Australian retailers were hit the hardest in 2011, with Harvey Norman and David Jones losing over 20 per cent of their brand value. It amounted to more than $100 million loss for each.

Qantas dropped below the $1 billion mark for the first time - a significant milestone for an Australian icon which may have lost some of its customer loyalty following its decision to ground its planes last year.

Related: Qantas' will be back to profits: Alan Joyce

Among the country’s most profitable brands, Woolworths topped the list yet again but rival Coles took the bragging rights with an impressive growth.

The Westfarmers subsidiary remained the third most profitable Aussie brand with its value leaping 14.5 per cent over the past 12 months. Coles is now valued at $4.73 billion

Woolworths' brand slid 6.6 per cent to $7.1 billion which is still the highest.

Related: Airline profits to fall drastically

Bunnings and Target rose up the ranks too, gaining from loyal customers and smart pricing tactics.

Australia's top 30 brands, worth an estimated $50.7 billion collectively, are mostly a mixture of telecommunications giants, banks and retailers.

The value of brands is calculated using International Standards Organisation parameters and is based on how much a company would have to pay if they did not own their trademark but used it under licence.

It considers brand-specific revenue, projections, risks, the strength of the brand and typical royalty rates for the industry.

Like us on Facebook! Click here to have a look at the brand new Yahoo!7 Finance Facebook page for all the finance news you can use