Yili (brand value down 6% to USD11.6 billion) continues to hold the title of the world’s most valuable dairy brand for the fifth consecutive year, according to a new report from leading brand valuation consultancy, Brand Finance.
Yili operates 15 global R&D centres and has developed a comprehensive three-tiered innovation platform, fostering advancements from raw materials to final products. In December 2023, Yili introduced groundbreaking health-oriented products and revolutionised its supply chain through digital transformation.
The brand’s commitment to sustainability and global health, along with its strategic restructuring of liquid milk channels and expansion into growth sectors, has ensured its continued leadership in the dairy industry.
Despite a challenging year for the dairy industry, with the total value of the top 10 dairy brands ranked experiencing a decrease by 6% from USD46.7 billion in 2023 to USD43.8 billion now, Yili’s performance highlights its enduring strength and resilience.
The overall decline in the dairy sector is driven by a sharp drop in prices, despite stable product volumes. This price drop has significantly impacted the revenues of many prominent dairy companies, resulting in lower overall revenues.
The valuation data underscores the difficulties faced by the dairy sector in maintaining profitability amidst price pressures, even as brands succeed in strengthening their brand equity. This trend highlights the need for strategic adaptations within the industry to navigate economic challenges effectively.
Amul (brand value up 11% to USD3.3 billion) retains its status as the strongest dairy brand ranked, with an improved Brand Strength Index (BSI) score of 91 out of 100. Amul’s unique branding strategy, rooted in its cooperative structure and impactful marketing campaigns, has solidified its position as a household name in India. With an 85% share in the Indian butter market and 66% market share in cheese, Amul’s branding efforts have successfully resonated with consumers.
Valio (brand value up 31% to USD2 billion) makes a notable entry into the ranking this year, climbing four spots to secure the 10th position and earning the title of the fastest-growing dairy brand. This impressive growth is primarily attributed to the acquisition of Planti, a Finnish producer of plant-based dairy alternative products. With this acquisition, Oddlygood, a subsidiary of Valio, becomes the market leader in plant-based dairy alternative snacks in Sweden and dairy alternative cooking products in Finland.
The deal has significantly enhanced Valio’s position in the plant-based dairy alternatives sector. This strategic move aligns with Valio’s growth strategy and underscores its commitment to expanding its portfolio with innovative and high-quality plant-based dairy alternative products.
