Clarivate, the data company, has produced its first annual ranking of the most significant new brands in “The Top 100 New Brands of 2022.” The timing of this report is interesting as the Business Valuation Board of the IVSC intend to release new guidance on brand value by the end of this month.

Clarivate reviews nonfinancial data to create their rankings of the impact of the brand, including:

• Market footprint, which evaluates a measure of how dominant the brand is with each relevant category (and how many different product categories the brand covers);
• Geographic and economic coverage, which is rated by the number of registries where the trademark appears, weighted for country GDP;
• Online presence, which is determined by how many top-level and country-level domains have been registered to protect the brand; and
• History, which assumes that a trademark that has sustained longer is more powerful and more valuable.

What are some trends?

• China is the leading source of new brands this year, with 23 in the top 100.
• Many of the top brands leverage very large, very well-established brands, by “carving out” existing businesses. One example, Yunex Traffic, is a new road traffic brand carved out of Siemens Mobility.
• Brand introductions are most frequently led by global digital marketing investment. A company’s ability to perform in social media is a primary driving factor in brand value.
• The digital world, where a brand may run afoul of a Twitter handle, for example, makes brand protection more expensive and brand research more demanding. It also means that financial claims against a poorly researched brand may come from unexpected sources.