Home Business NewsBusinessAutomotive News Controversies surrounding Elon Musk have affected the electric car maker’s reputation

Controversies surrounding Elon Musk have affected the electric car maker’s reputation

by Amy Johnson LLB Finance Reporter
22nd Feb 24 9:35 am

Mercedes-Benz overtakes Tesla to regain its position as the world’s most valuable Automobiles brand, according to a new report from Brand Finance, the world’s leading brand valuation consultancy.

Tesla’s drop to second position comes in the context of controversies surrounding Elon Musk which have affected the electric car maker’s reputation, impacting its brand value (down 12% to USD58.3 billion). Meanwhile, Mercedes-Benz’ brand value grew 1% to USD59.4 billion.

Luxury sports car manufacturer, Ferrari, maintains a high brand strength with a score of 90.0/100, earning a AAA+ rating and solidifying its status as the world’s strongest automotive brand. Research conducted by Brand Finance underscores the brand’s robust familiarity, recommendation, and reputation metrics, while optimistic forecasts have further contributed to its increased brand value (up 43% to USD10.6 billion).

Alex Haigh, Managing Director, Brand Finance, Asia Pacific said, “The decline in Tesla’s brand value is made all the more compelling against the backdrop of an automotive industry increasingly focused on electric vehicles, however, Tesla’s brand strength persists, a sign that the company’s core identity is resilient.

“As other EV manufacturers, such as BYD and New Flyer, see considerable growth, Tesla’s enduring high levels of consumer familiarity and recommendation are likely to be pivotal for the company to stay competitive.”

The Chinese auto sector continues to grow, fuelled by strong global EV interest which is driving investments and exports. BYD is China’s most valuable auto brand, with its brand value increasing by 20% to USD12.1 billion.

While Chinese auto brands experienced fluctuations in brand value, brand strength is rising – Brand Finance research reveals that 19 out of the 22 Chinese brands featured in the 2024 Brand Finance Automobiles ranking improved in brand strength.

New Flyer’s brand value has increased by three-and-a-half times its previous value (up 250%) to reach USD646 million. This follows burgeoning demand for electric vehicles in the public transport sector, New Flyer’s distinctive position in the EV bus market, and the steadfast support from the British and Canadian Governments in funding public transport initiatives involving EVs.

Bosch’s is the most valuable and strongest Auto Components brand, with a valuation of USD14.6 billion. Brand Finance research shows it is excelling in metrics like ‘Brand I Admire’ and ‘Positive Contribution’, indicating growing respect for its brand and contributions. Updates in Familiarity and Consideration evaluations reinforce this recognition.

Leave a Comment

You may also like


Sign up to our daily news alerts

[ms-form id=1]