Starbucks has dominated as the world’s most valuable restaurant brand since 2016, only missing out on the top spot in the inaugural Brand Finance Restaurants ranking in 2015. However, this era has now come to an end, as Starbucks loses its position as the sector’s most valuable brand, now ranked second.

Beyond the Restaurants 25 2025 ranking, Starbucks has experienced a sharp decline in this year’s Brand Finance Global 500 ranking, falling 30 places from its highest-ever position of 15th in 2024 to 45th in 2025 - its lowest ranking since 2016.

Starbucks made its debut in the inaugural Brand Finance Global ranking in 2007 in 117th place. Over nearly two decades, the brand has displayed steady progress, especially following its lowest-ever ranking of 185th in 2011. Since then, Starbucks has experienced consistent growth, with a notable leap between 2014 and 2015, when it entered the top 50 globally for the first time.

However, in this year’s rankings, the brand’s value has plummeted by 36% to USD38.8 billion, down from USD60.7 billion last year. This year, McDonald’s has overtaken Starbucks as the world’s most valuable restaurants brand, with a 7% increase in brand value to USD40.5 billion.

Brand Finance data highlights a decline in several key brand strength metrics within the US, with the most notable decreases observed in the brand’s ability to Meet Customer Needs, as well as its Reputation and Recommendation scores. Overall, Starbucks’ Brand Strength Index (BSI) score declined from 83.9 out of 100 to 73.0.

These declines reflect deeper issues for Starbucks, including a misalignment with customer expectations. Starbucks' heavy focus on app-based sales has drawn criticism from loyal customers who value the brand's traditional coffeehouse experience. Combined with its high prices, this shift has contributed to a decline in sales and growing dissatisfaction among consumers.

Globally, Starbucks faces significant challenges, particularly in China, where its ambitious 2022 expansion plan to open one store every nine hours has faltered under intense competition from local rival Luckin Coffee, which now ranks 19th among the world’s most valuable restaurant.

According to Brand Finance data, Starbucks has experienced declines in two key metrics within the Chinese market: Reputation and Recommendation. Meanwhile, Luckin Coffee’’s brand value has risen by 17% to USD1.7 billion, underscoring Starbucks’ struggle to maintain market leadership.

Reputational issues have further compounded Starbucks’ challenges. A high-profile boycott campaign related to the conflict in Gaza has dented consumer trust in key international markets. Leadership instability has exacerbated the situation, with four CEOs in two years and key roles left unfilled, including the North American CEO position following Michael Conway’s retirement.

However, Starbucks’ new CEO, who entered the role in September 2024, Brian Niccol, who earned a reputation for successfully revitalizing brands within the sector, may be able to turn the brand’s direction around. Notably, during his tenure at Chipotle from 2018 to August 2024, Brand Finance data reveals Chipotle’s brand value almost doubled from USD2.7 billion to USD4.9 billion.

The elimination of the Global Chief Marketing Officer role also raises concerns about Starbucks' ability to maintain a cohesive global brand and marketing strategy. In March 2024, Starbucks announced that it would replace the top marketing job with several regional CEOs supported by regional marketing teams as part of its new strategy, which could potentially hinder its efforts to effectively navigate these turbulent times.

Starbucks now faces the daunting task of rebuilding its brand value amid operational challenges, global competition, and reputational setbacks. As it looks to recalibrate under new leadership, the brand must refocus on its core strengths of community, experience, and innovation to regain its standing in the global rankings.

Brand Finance Restaurants 25 2025

Read our new report on the world's most valuable and strongest restaurant brands. 

Starbucks has experienced a sharp decline in this year’s Brand Finance Global 500 ranking, falling 30 places from its highest-ever position of 15th in 2024 to 45th in 2025 - its lowest ranking since 2016.

Starbucks made its debut in the inaugural Brand Finance Global ranking in 2007 in 117th place. Over nearly two decades, the brand has displayed steady progress, especially following its lowest-ever ranking of 185th in 2011. Since then, Starbucks has experienced consistent growth, with a notable leap between 2014 and 2015, when it entered the top 50 globally for the first time.

However, in this year’s ranking, the brand’s value has plummeted by 36% to USD38.8 billion, down from USD60.7 billion last year. The has led to the loss of its title as the world’s most valuable restaurant brand. This year, McDonald’s has overtaken Starbucks, in 42nd place globally with a 7% increase in brand value to USD40.5 billion.

Brand Finance data highlights a decline in several key brand strength metrics within the US, with the most notable decreases observed in the brand’s ability to Meet Customer Needs, as well as its Reputation and Recommendation scores. Overall, Starbucks’ Brand Strength Index (BSI) score declined from 83.9 out of 100 to 73.0.

These declines reflect deeper issues for Starbucks, including a misalignment with customer expectations. Starbucks' heavy focus on app-based sales has drawn criticism from loyal customers who value the brand's traditional coffeehouse experience. Combined with its high prices, this shift has contributed to a decline in sales and growing dissatisfaction among consumers.

Globally, Starbucks faces significant challenges, particularly in China, where its ambitious 2022 expansion plan to open one store every nine hours has faltered under intense competition from local rival Luckin Coffee.

According to Brand Finance data, Starbucks has experienced declines in two key metrics within the Chinese market: Reputation and Recommendation. Meanwhile, Luckin’s brand value has surged by 68% to USD2.4 billion, underscoring Starbucks’ struggle to maintain market leadership.

Reputational issues have further compounded Starbucks’ challenges. A high-profile boycott campaign related to the conflict in Gaza has dented consumer trust in key international markets. Leadership instability has exacerbated the situation, with four CEOs in two years and key roles left unfilled, including the North American CEO position following Michael Conway’s retirement.

However, Starbucks’ current CEO, Brian Niccol, has earned a reputation for successfully revitalizing brands within the sector, bringing optimism to the role. Notably, during his tenure at Chipotle from 2018 to August 2024, Brand Finance data reveals Chipotle’s brand value almost doubled from USD2.7 billion to USD4.9 billion.

The elimination of the Global Chief Marketing Officer role also raises concerns about Starbucks' ability to maintain a cohesive global brand and marketing strategy.

In March 2024, Starbucks announced that it would replace the top marketing job with several regional CEOs supported by regional marketing teams as part of its new strategy, which could potentially hinder its efforts to effectively navigate these turbulent times.

Starbucks now faces the daunting task of rebuilding its brand value amid operational challenges, global competition, and reputational setbacks. As it looks to recalibrate under new leadership, the brand must refocus on its core strengths of community, experience, and innovation to regain its standing in the global rankings.

Brand Finance Global 500 2025

Read our new report on the global 500 most valuable and strongest brands. 

In today's dynamic and competitive business landscape, marketing leaders are constantly seeking ways to demonstrate their marketing activities' effectiveness and return on investment (ROI). Traditional metrics like sales data, market share, and customer surveys provide valuable insights, but they often fall short of capturing the long-term impact of marketing efforts. This is where brand valuation comes into play. This article will explore why marketing leaders should prioritise brand valuation, how it is a crucial tool for long-term marketing effectiveness, and the practical steps to integrate it into your strategic planning.

Understanding Brand Valuation

Brand valuation is the process of estimating a brand's total financial value. It involves assessing various elements such as brand strength, market position, customer loyalty, and the brand's overall impact on the company's economic performance. Unlike traditional metrics that focus on short-term gains, brand valuation provides a comprehensive view of the long-term value created by marketing activities.

The Origins and Methodology of Brand Valuation

Brand valuation has its roots in financial accounting and marketing research. Over the years, various methodologies have been developed to measure brand value. These include cost-based, market-based, and income-based approaches. The cost-based approach calculates the total cost incurred in building the brand, while the market-based approach compares the brand with similar brands. The income-based approach, often considered the most comprehensive, estimates the future earnings attributable to the brand and discounts them to present value.

While the specifics of these methodologies can be complex, the key takeaway for marketing leaders is that brand valuation encapsulates the cumulative impact of all brand-building activities, providing a single, unified metric for long-term brand performance.

The Importance of Brand Valuation for Marketing Leaders

Long-Term Marketing Effectiveness

One of the primary reasons marketing leaders should care about brand valuation is its ability to measure long-term marketing effectiveness. Brand value represents the long-term uplift in business value resulting from historical advertising, marketing, and brand-building efforts. This perspective shifts the focus from immediate returns to sustained growth and brand equity.

Filling the Gap in Long-Term Metrics

Traditional metrics, such as econometrics, are effective in measuring short-term impacts but often fall short of capturing long-term effects. Econometric models typically analyse the immediate return on marketing investments, providing insights into short-term performance. However, they cannot measure the enduring impact of brand-building activities. Brand valuation fills this gap by offering a long-term perspective on marketing effectiveness. It's important to note, however, that brand valuation is not without its challenges. It requires access to accurate and comprehensive data, and the methodologies used can be complex. Therefore, it's crucial to work with brand valuation experts and ensure the process is rigorous and transparent.

Strategic Decision-Making

Brand valuation is not just a measurement tool but a strategic asset. As marketing leaders, your understanding of the financial value of your brand is crucial. It enables you to make more informed decisions about brand strategy, marketing investments, and business growth. For instance, when considering a rebranding initiative or a change in brand architecture, your insights from brand valuation can help assess the potential long-term impact on brand equity and business value.

Building a Business Case for Marketing Investments

Marketing leaders often face the challenge of justifying marketing budgets to senior executives and stakeholders. Brand valuation provides a robust framework to demonstrate the financial return on marketing investments. Showing the long-term value created by marketing activities helps build a compelling business case for sustained investment in brand building.

Aligning with Investment Analysts

Investment analysts and financial markets increasingly recognise the importance of brand value in assessing a company's overall worth. There is a growing consensus among investment analysts that advertising should be considered an investment that creates an asset rather than just an operational cost. Aligning marketing metrics with financial analysis strengthens the credibility of marketing efforts and reinforces their strategic importance within the organisation.

Practical Steps to Integrate Brand Valuation

1. Establish a Baseline

Establishing a baseline is the first step in integrating brand valuation into your marketing strategy. This involves conducting an initial brand valuation to understand your brand's current value. Collaborate with brand valuation experts to choose the most appropriate methodology and gather the necessary data.

2. Track and Monitor Brand Value

Once a baseline is established, tracking and monitoring brand value over time is crucial. Regular brand valuations can help identify trends, measure the impact of marketing activities, and make data-driven decisions. This ongoing monitoring provides valuable insights into your marketing strategy's effectiveness and highlights areas for improvement.

3. Use Brand Valuation in Strategic Planning

Incorporate brand valuation into your strategic planning processes. Use it as a key performance indicator (KPI) to evaluate the long-term impact of marketing initiatives. For example, assess how these actions might affect your brand value before launching a new campaign or entering a new market. This approach ensures that all marketing decisions are aligned with long-term brand growth.

4. Communicate the Value to Stakeholders

Effectively communicating the value of brand valuation to stakeholders is critical. Use clear and compelling narratives to explain how brand value contributes to overall business success. Highlight the financial benefits that result from substantial brand equity, such as increased market share, customer loyalty, and revenue growth.

5. Leverage Industry Standards and Best Practices

Stay informed about industry standards and best practices in brand valuation. Organisations like Brand Finance and the International Organization for Standardization (ISO) provide guidelines and frameworks for brand valuation. Adopting these standards enhances the credibility and reliability of your brand valuation efforts.

Brand valuation is a vital tool for marketing leaders seeking to demonstrate the long-term effectiveness of their marketing activities. By providing a comprehensive measure of brand equity, brand valuation fills the gap left by traditional short-term metrics and offers a robust framework for strategic decision-making. It aligns marketing efforts with financial analysis, builds a compelling business case for marketing investments, and supports the long-term growth and success of the brand, fostering a sense of optimism about the future.

I am pleased to present the inaugural Brand Finance US City Index, a data-driven exploration of how American cities are perceived by the general public nationwide. The index surveys opinions of more than 10,000 respondents on the top 50 city brands in the United States, and offers a roadmap to how American cities can shape their brand strategies.

The Brand Finance US City Index is a new study that further expands Brand Finance's extensive offering in place branding and complements our annual reports on Nation Brands and Soft Power, which are widely recognized as industry benchmarks, as well as our Brand Finance Global City Index launched last year. Our purpose is to emphasize the importance of city brands and the benefits of possessing a strong and valuable city brand.

To construct a holistic evaluation of city brands, our survey delved into respondents’ general impressions, measuring Familiarity, Reputation, and Consideration across seven dimensions: living, working locally and remotely, studying, retiring, visiting, and investing, alongside 40+ city brand attributes.

This methodology not only allows cities ranked in the index to identify their strengths and weaknesses versus competitors. It has also generated a precise toolkit, developed by our team through robust statistical analysis of drivers behind reputation and consideration, which can empower any American city, big or small, to craft a tailored brand strategy.

The benefits of a strong city brand

Cities that cultivate a positive and resilient city brand reap multifaceted rewards. Foremost among these is the capacity to attract tourism, investment, and talent. A favorable city brand entices visitors and attracts investment and economic opportunities, fostering growth and prosperity. Perhaps surprisingly, Honolulu has claimed the top spot in this inaugural Index, underscoring the influence of a well-rounded city brand propelled by its flourishing tourism sector and vibrant job market.

The presence of three Florida cities – Orlando, Miami, and Tampa – among the top 10 indicates a consistent pattern of what US respondents perceive as attractive qualities in a city. All three cities are highly regarded for their liveability and are unsurprisingly perceived as appealing destinations for leisure and tourism.

As someone who calls Dallas home, I've witnessed firsthand the transformative power of a robust city brand. The Texas Triangle, also known as Texaplex, contains the state’s five largest cities: Dallas-Fort Worth, Houston, San Antonio, and Austin. All have emerged as economic powerhouses, attracting major corporations enticed by the state's business environment.

We envision this report as the start of many, initiating conversations on the value of place brands and providing a reference point for decision-makers. At Brand Finance, we firmly believe in their significance. A city with a shared identity and vision, both internally and externally, fosters a sense of belonging among its residents while also creating opportunities on a national and global scale.

Brand Finance City Index 2024

A comprehensive survey of America's top 50 city brands. 

The COVID-19 pandemic has had a profound impact on alcohol consumption habits throughout the United States and Canada, resulting in significant changes in preferences and consumption patterns. As social restrictions and the closure of establishments took effect, individuals turned to online shopping and delivery platforms as a convenient and accessible means of meeting their alcohol-related needs. This shift towards digital channels not only exemplifies the adaptability of the market, but also reflects its resilience in navigating challenging circumstances. Even as lockdown measures ceased  and we fully returned to normality, this transformation has persisted, highlighting the influence of the pandemic on consumer behavior.

Aside from where people are drinking, what people are choosing to drink is also changing – most notably demonstrated in the growth of the ready-to-drink (RTD) segment across the US and Canada. This rising trend aligns with the generational disparities observed, with Millennials leading the charge in exploring a diverse range of alcoholic beverages compared to older generations. The Millennial demographic specifically seeks RTD offerings that not only offer captivating flavor profiles but also prioritize lower sugar content, reflecting their preferences for healthier options. Demand for low or no-alcohol alternatives has also surged, reflecting the changing attitudes towards alcohol consumption overall.

In Mexico, the alcohol industry has also experienced significant changes in recent years. The country is known for its rich heritage in producing traditional alcoholic beverages like tequila and mezcal. However, in addition to these iconic spirits, Mexican consumers are now exploring a wider variety of alcoholic beverages. Craft beer, for instance, has gained popularity among the younger generation, with an increasing number of microbreweries and beer festivals emerging across the country. Furthermore, Mexican wine production has been steadily growing, with vineyards in regions like Baja California producing high-quality wines that are gaining recognition both domestically and internationally. These developments in the Mexican alcohol sector reflect the evolving preferences and expanding market for alcoholic beverages in the country.

Declining beer and wine sales in Canada

The Canadian alcohol market has experienced a notable transformation in recent years, marking a departure from the longstanding dominance of beer as the preferred beverage of choice. While beer sales once enjoyed consistent growth, the past decade has witnessed a decline in its popularity, mirroring shifting consumer preferences. The volume of beer sold per person in the fiscal year ending March 2022, dropped to its lowest point since records began in 1949 (1). In parallel, the wine industry has faced challenges, also recording a downturn in sales. However, amid these changes, the market share of ciders and coolers has experienced an upward trajectory. These evolving dynamics underscore the need for industry players to adapt and respond to the changing landscape of consumer preferences in the Canadian alcohol market.

Despite the challenging sales landscape, the Canadian government has realized noteworthy revenue streams through the regulation and sale of alcohol. The government exercises control and distribution through provincial liquor boards, which serve as substantial revenue generators for the government.  For the fiscal year ending March 2022, the Canadian government earned a total of CAD15.2 billion in revenue from the sale of alcohol and recreational cannabis, with CAD13.6 billion from alcohol sales alone (2).

The resilient whiskey market

Whiskey holds a prominent place in American and Canadian culture, captivating consumers with its distinct characteristics and historical significance. As the whiskey market evolves, brands face the challenge of staying relevant amid new competitors and shifting preferences. Legacy brand Jack Daniel's has successfully navigated this changing landscape, reflected in its strong position as the 5^th most valuable alcohol brand in North America with an impressive 21% increase in brand value this year to USD3.5 billion. Jack Daniel's embodies the enduring appeal and widespread admiration for American whiskey. Similarly, Canadian whiskey brand Crown Royal has made its mark, ranking 11^th among the top 10 brands in the region, with a brand value of USD1.6 billion.

Factors such as the rise of premium cocktails, the influence of bartenders, and the popularity of American-inspired cuisine have contributed to whiskey's resurgence. American whiskey's accessibility, flavored variations, and presence in the craft movement have also propelled its mainstream success. Furthermore, the industry continues to adapt, honoring whiskey's rich heritage while embracing evolving consumer tastes.

[1] https://www150.statcan.gc.ca/n1/daily-quotidien/230224/dq230224a-eng.htm

[2] https://www150.statcan.gc.ca/n1/daily-quotidien/230224/dq230224a-eng.htm

Brand Finance Alcoholic Drinks 2023

Visit our ranking on world's most valuable and strongest alcoholic drinks brands in 2023. 

Kellogg's proactive response includes legal action against the Mexican government over this labeling policy, as well as recipe updates. And they're not alone – Coca-Cola and Kraft Heinz are similarly navigating this landscape and finding loopholes to exploit. 

As global marketing restrictions continue to expand, from health warnings to plain packaging akin to the tobacco industry, brands face a new challenge. These stringent marketing regulations erode a brand's unique identity in the market, consequently diminishing the value it brings to the business.

Brand Finance's series of analyses, most recently in 2021, delve into the potential consequences of marketing restrictions. Our estimations project a staggering $521 billion loss for businesses if such restrictions were globally imposed across the alcohol, confectionery, savory snacks, and sugary drinks sectors.

In light of these developments, it's essential to consider: How do you foresee brands adapting to these marketing restrictions, and what creative solutions could emerge to maintain brand distinctiveness?

Brand Finance Marketing Restrictions 2021 Report

Read our global brand impact analysis and market research report on attitudes to brands and marketing

According to Brand Finance’s latest research, the USA's Global Soft Power rating reached an all-time high, extending its positive trend for the second consecutive year. The USA added four points to its total score, placing it in first place and seven points ahead of the second-ranked United Kingdom. Equally impressive is the 19-point gain compared to the 55.9 score it recorded in 2021.  

Though the US overall scores continue to grow where one expects the US to do well, attributes such as A Strong and Stable Economy  (scores 10 of 10), Influence in Diplomatic Circles  (scores 10 of 10), Leader in Technology and Innovation  (scores 9.0 of 10 – likely led by best in class innovation such as Apple, Microsoft, Tesla, and Amazon), Brand USA scores poorly in one area in particular that should speak to all of us who either live in the United States or who represent the country abroad: America's scores lowest in the People and Values  pillar.  

Further investigation reveals that the US is trending downwards in attributes such as Trustworthy  (down 11 places to 32^nd) and has lost five ranking places in perceptions related to Generous. Perhaps most worryingly, America ranks 103^rd in Friendly People  (down 41 spots from being ranked 62^nd in 2022). The world sample according to our study perceives that there are 102 nations with friendlier people than the USA.

It is surprising that a country that is perceived to be Best in Class in a study that measures the preference of others through appeal and attraction would score so poorly on perceptions of the friendliness of its people. However, this issue can be fixed, but it will require a significant shift in how Americans treat each other within the country's borders before the country can repair its reputation abroad. 

In that sense, the opportunity for further improvement in the United States’ Soft Power is likely not something that can be changed or fixed by Government policy. It reflects a weakness in how non-Governmental actors are perceived and might indicate a deep-seated cultural challenge to improving American soft power in the future.  

Given the results found in this study, there is more right with Brand America than wrong. However, as the great American writer, Thomas Friedman once stated, it will depend on reviving America's ability to do big, hard things together once again.   

Global Soft Power Index 2023

Explore the findings of the world's most comprehensive research study on perceptions of nation brands, presented in a downloadable report and an interactive dashboard.

En estos tiempos, mucho hemos llegado a conocer sobre los llamados ‘unicornios mexicanos’, aquellas startups, generalmente del sector tecnológico y financiero, como es el caso de Bitso y Konfío, con valuaciones que rondan alrededor de los mil millones de dólares y que han captado la atención (y el capital) de los Softbanks, JP Morgans Technology Ventures y General Atlantics del mundo financiero. Tan solo este mes Kavak, compañía dedicada a la compra y venta de autos seminuevos a través de su portal, recibió financiamiento por 810 millones de dólares a través de las filiales mexicanas de Santander, Goldman Sachs y HSBC.

Dado que el número de unicornios en México se ha duplicado durante el transcurso del año, uno se pregunta, ¿qué tienen en común estas marcas emergentes que tanto están dando de qué hablar? Se vuelve evidente que estos nuevos competidores se han formado para una nueva era y están genuinamente transformando el mercado. Se han cimentado con la última tecnología en su ámbito. Se han erigido sobre nuevas nociones económicas y modelos de negocio que incluso parecen contraintuitivos. Suelen también tener costos operativos más bajos, escalan rápidamente y a menudo son conceptos rápidamente exportables a mercados internacionales.

Otro tema recurrente es que han aprendido a centrarse verdaderamente en el cliente y han impulsado la transformación digital a través de una cultura de innovación real y desafiando los supuestos de cómo se han hecho las cosas antes, y cómo se pueden hacer mejor a través de la tecnología. Paradójicamente lo que antes se consideraba una ventaja de ser grande y poderoso ha sido descartado por nuevas propuestas ágiles que cambian tan rápidamente como lo exigen las expectativas del consumidor.

Otro aspecto que tienen en común es la claridad con la que han definido su propuesta de valor. Kavak, por ejemplo, plantea en su página web transformar la compra y venta de autos seminuevos. El posicionamiento es el proceso de cómo comunicar mejor los atributos únicos de su organización a sus clientes objetivo en función de sus necesidades y para contrarrestar las presiones de la competencia. Se trata de dejar bien claro cuál es el posicionamiento de la marca. Se trata de tomar algo que es complicado y hacerlo sencillo. Todas estas empresas han creado mensajes y acciones cuidadosamente elaboradas que derivan en una marca distinta y diferenciada. En resumen, un posicionamiento eficaz garantiza que los mensajes de marketing le ayuden a destacarse claramente, resuenen con los consumidores y les obliguen a actuar.

Al final del día, sin embargo, gana la empresa con los mejores talentos. Los mercadólogos de estos unicornios no solamente son egresados de las mejores universidades, sino que, además, y posiblemente más importante, se formaron en algunas de las mejores empresas con vocación de marketing, Coca- Cola, Procter & Gamble, Unilever por mencionar a los tradicionales. Organizaciones donde realmente se entiende lo que hace funcionar a una marca. Dedican importantes sumas en investigación para entender lo que su público realmente necesita. Y esa información la emplean para calibrar su estrategia de marketing y así satisfacer mejor esas necesidades. También saben cómo tomar decisiones basadas en datos. No solamente les gusta hacer números, sino que también les gusta hilar bien sus historias para comunicar sus números de manera efectiva. Se trata de profesionales del marketing muy atentos a las tendencias que saben analizar su data de forma crítica. Reflejan un esfuerzo activo por comprender el grupo demográfico al que se dirigen. Lo que les hace buenos en su trabajo es que cada campaña es un caso de estudio que repercute e influye en las campañas venideras. Las tendencias y los puntos de datos informan de cómo los mejores vendedores se distinguen del resto en su liga.

Evidentemente hay mucho que podemos aprender tanto de las empresas tradicionales como de estas nuevas potencias. Sin embargo, habrá que observar cómo avanzan estos nuevos jugadores del mercado. Con tanto valor (y potencial) en juego, será interesante reportar el próximo año si contamos con nuevos representantes dentro de las 50 marcas más valiosas de México. 

https://brandirectory.com/rankings/mexico/