Brand Finance, a national valuation and strategy consultancy, recently released its brand value study, including valuations of Colorado-based brands.

According to the study:

  • Dish Network is Colorado’s most valuable brand, ahead of Chipotle and Davita.
  • Chipotle Mexican Grill’s brand value is down 13 percent, largely resulting from food safety issues.
  • Seven of America’s 500 most valuable brands are based in Colorado.
  • America’s brands increased in value by 11 percent despite a turbulent year.
  • Google replaces Apple as America’s (and the world’s) most valuable brand.
  • California’s brands have the greatest combined value, 23 percent of the national total.

Brand Finance assesses value based on factors such as marketing investment, familiarity, preference, sustainability and margins to determine what proportion of a business’s revenue is contributed by the brand.

“This is projected into perpetuity to determine the brand’s value. America’s 500 most valuable brands, classified by both their industry and their state, are featured in the Brand Finance US 500,” according to a Brand Finance news release.

View the full list of America’s 500 most valuable brands here

Colorado’s results

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Dish Network carries a brand value of $4.6 billion, up 6 percent year-over-year. In 2016 Dish Network rolled out Sling TV, a multi-channel live-streaming TV service.

“This contributed to an additional 28,000 net subscribers joining Dish’s streaming services in the last three months of 2016, largely driven by the lower-price option Sling provides,” the release states.

Chipotle Mexican Grill, based in Denver, remains Colorado’s second most valuable brand, despite its value falling 13 percent to $2.9 billion.

Though firm steps have now been taken to address food safety issues, sales for 2016 were down 13 percent on the year before and profits were down more than 75 percent, according to the release.

“Some tentative signs of recovery are just starting to emerge however, suggesting that Chipotle has been able to develop a sufficiently strong brand to weather the crisis long term,” the release states.

Level 3 Communications is also down, losing 6 percent of its brand value, according to Brand Finance. The fall is attributed to struggles against larger competitors like AT&T and Verizon, and has recently reached a takeover agreement with CenturyLink.

Centennial-based Technology firm Arrow Electronics recorded the strongest rise in brand value of 19 percent to $1.6 billion, following the launch of Things Evolved, a comprehensive IoT channel enablement program. Other Colorado risers were Ball Corporation (Colorado Springs, 10 percent) Davita (Denver, 9 percent) and Western Union (Englewood, 4 percent).

National results

California remains America’s most valuable state by brand value, according to Brand Finance.

“Its dominance in tech (the most valuable and fastest growing sector in terms of brand value) has enabled California to pull well ahead of the rest. Of the country’s top 500 brands, 71 hail from the Golden State, with a total value of $725 billion,” the release states.

New York is in second place but significantly lower, at $481 billion, than California. Finance comprises a large share of New York’s total brand value and has been disproportionately affected by financial services brands.

Texas placed third with 48 brands creating a combined value of $263 billion. Oil & Gas brands are well represented, including ExxonMobil and its portfolio of brands. Texas is also home to AT&T, Dell, American Airlines and Whole Foods Market.

“At the national level, America’s brands continue to reach new heights. The total value of America’s top 500 brands now exceeds $3 trillion dollars, having increased 11 percent from $2.82 trillion in 2016 to $3.14 trillion this year,” according to Brand Finance.

One major surprise was Apple losing about $40 billion worth of brand value, according to Brand Finance.

“Apple has over-exploited the goodwill of its customers by failing to maintain its technological advantage and delivering tweaks to existing products rather than genuine innovation. Brand value has fallen 27 percent since early 2016 to $107 billion … .”

Google has taken Apple’s place with a brand value of $109 billion, but Amazon is catching up quickly. The online behemoth’s brand value is up 53 percent year-over-year.

Coca-Cola’s brand value was $43.1 billion in 2007, making it the most valuable brand in America 10 years ago. Today, however, its brand value stands at $31.8 billion, placing it 16th in the U.S. and 27th internationally. The decrease in value has been attributed to increasing concerns over the links between carbonated drinks and obesity, Brand Finance finds.

“Pepsi is similarly suffering, falling 4 [percent] to $18.3 billion,” the release states. “The same trend is evident in the fast food industry. The brand values of McDonald’s, KFC, Taco Bell, Pizza Hut, Subway and Domino’s have all fallen due to heavy competition in an increasingly fragmented market, with healthier challenger brands offering greater choice for consumers.”

 Finally, the study suggests 2017 will be hugely successful for America’s airline brands.

“America’s airlines have all soared in value with United, Delta and American growing by 60 percent, 47 percent and 59 percent respectively. In the process, American has overtaken Emirates to become the world’s most valuable airline brand.”