Branding trumps advertising as driver of brand value

WPP brand consultancies Lambie-Nairn and The Partners, in collaboration with Millward Brown, have released findings from a global survey, Brand Value Growth. Based on analysis of 10 years of BrandZ data (between 2006 and 2015 ), the report reveals that brands with a strong brand proposition and strong advertising have increased their brand value by 168% over 10 years.

But while brands with strong branding and weak advertising saw an average growth of 76%, brands with strong advertising and weaker branding grew in value by only 27%. Those where both advertising and branding was weak grew by 21%.

“The most remarkable finding from this study is the extent of the brand value growth that comes from establishing a strong proposition and identity at the heart of a brand,” said Jim Prior, CEO of The Partners and Lambie-Nairn.

“The data clearly demonstrates that great advertising is, by itself, insufficient and inefficient- it needs to be underpinned by broader, deeper strategic and creative definitions. While brand consultancies have long argued this point in principle, this data clearly shows it.”