Google becomes second most valuable brand (guess who’s first)

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It’s no secret Google has been setting the world on fire these past couple of years, introducing great new web-based apps and technology, advancing Android, and introducing exciting new products like ChromeBooks and Google Glass. The Mountain View company’s stock performance certainly attests to that much, with Google currently trading at nearly 890 points with a market cap of 295.08 billion.

That type of performance has convinced research firm MarketingWeek to upgrade Google’s brand value rating. The company passed up IBM to become the second most valuable brand in the world, with a 5% increase from 2012’s brand value of $107.8 billion to $113.6 billion this year. Of course, second isn’t first — so who, exactly, is beating out Google for the coveted first place spot?

Oh, come on, you didn’t expect it to be anyone but Apple, did you? Despite the bitten fruit company trailing in both PC and mobile market share, Apple is still regarded as the world’s most valuable brand. There’s good reason for that, of course — they also have a great deal of brand loyalty, and Apple’s ridiculous price mark-ups means the company makes a ton of money on each device sold.

And despite not being able to best Microsoft in PC market share and being supplanted by Android in the smartphone space, Apple still holds considerable ground in tablets and MP3 players. We’re sure none of this means much to Google right now, though — second place or not, they still rake in a whole lot of money. It’ll be interesting to see how these numbers look one year from now when even more innovative Google products are introduced and available. Check out this PDF file for the full numbers.

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  • David Gray

    Let me be the 1ST to say congrats Google….NOW SEND ME A PROMOTIONAL NEXUS 10!!!! I know you got enough of them because for some reason NO ONE bought into that amazing tablet so Google show a loyal customer some love and hook me up. I’ve probably personally converted at least 10-20 people in my lifetime to usw Android and no one ever goes back…ever since that G1 I knew Android would turn into Google’s legacy.

    • RobertArias

      Lol. I’m sure Vic and crew are jumping right on that

    • Manbo

      Only 10 to 20?
      On behalf of the big green machine, I revoke your Android card. You must maintain at least 50 converts per month. Of that, 10 must be Apple converts. (they lowered the Apple requirements because those guys and gals can be tough nuts to crack)

      ^_^

  • Treknologist

    Quenty, didn’t Android tablets already surpass the iPad marketshare? I don’t remember the exact numbers but something like 47% for Android tablets and 35% for iPad.

    • http://www.phandroid.com Quentyn Kennemer

      Actually, the IDC last put Android tablets at around 56%. I don’t think I worded my line clearly. I meant that the iPad still leads in terms of a single line from a single OEM. I’ll update the language accordingly.

    • RozJC

      Lol Quenty…is that your pet name for him? Didn’t realise you two were that close ;)

  • MK2

    If only one company sold Android devices or PCs then the comparisons would be valid. As is, it’s more of an Apple Vs Everyone else scenario, where each of the “everyone else” is significantly smaller than Apple. Google really competes with them on an oblique level, instead of directly.

    • renGek

      This is more of a branding rather than physical product ranking. And if you wonder why google is so successful, look at iphones and how many of them have gmail, google maps, youTube drive, etc. Ditto for windows phones. Now look at android phones and see how many apple products are installed on those phones….maybe itunes if you didn’t know any better.

      and incidentally, “everyone else” is significantly smaller than apple…you may want to ask samsung about that.

  • Butters619

    The reason Apple doesn’t need to lead in market share to lead in profits is because they make both the hardware and software. By integrating both hardware and software they can make a lot more money per device sold. Plus they have some pretty sick supply chain leverage because of their insane quantity ordered.

    FWIW

    And on that note, Go Google!

    • Xx1WarChild1xX

      actually about the only thing they probly make is their ui and ifeatures, every other bit of software integrated into their os has either been bought out by then from another company (Siri was originally gonna be a android app) and all their hardware both internal and cosmetic was either manufactured by Samsung or some other third party company. Their nothing close innovative, plus they weren’t the first to introduce a smartphone to the world either…so really the only thing special about Apple was the Mac and even then they just made the computer different from a pc not innovative.

      • Butters619

        That wasn’t the point at all. The point was they supply both the software and hardware.

        It has nothing to do with who innovates what.

        • Xx1WarChild1xX

          I think I touched on the point pretty well they don’t supply both software and hardware they have third party manufactures produce 90% of what compiles their smartphones, there’s a middleman which= more expenses since they don’t manufacture and design their own product therefore ur statement is invalid. The only thing valid about it is that they make a lot of money…because they jack the he’ll out of the price of each of their units and the mindless hipster izombies buy buy buy it’s called marketing…if you market a product right it can be the worst piece of dog doo doo, yet naive uneducated (in that particular field) will always buy it

          • Butters619

            Naive ignorant people, such as yourself, who have blind hate towards Apple are no better than their blind followers.

        • Xx1WarChild1xX

          I think we both know who the naive and ignorant person here is posting statements that have know bases and definitely ignorant based on the lack of research you have done to come to the conclusion of myself and Apple. And my hate for Apple products is not blind at all its based on concrete evidence based on their overall deteriorating product over the years. Why would I wanna pay $1500 for a MacBook pro when I can get a pc with the equivilant specs or better for about half the cost ? why do I want to limit my user experience with a smooth yet securely tight and very limited and bland ui, less than impressive hardware and pay double the amount when I could get something fresh, with as many options to customize to my choosing and better hardware etc. for a hella lot cheaper ?..sorry but I know what I’m talking about if your a an Apple fanboy (which ur definitely sounding like one right about now) than bam! I’ve been caught, but don’t come at me with that bs unless you know what ur talking cause you will lose and embarrass urself. I hate Apple because their prices are criminal for what they offer, they’re big babies because rather than accepting a challenge of innovation they cry and hide behind their lawyers and worse of all their spool boring coming out with the same ole thing everytime and when they have a huge announcement to unveil a new feature or product it’s nothing new, nothing that hasn’t already been done. Now I do give credit where credit is due, they did change the way we look at smartphones but I guess in some exceptions you can’t teach a dog new tricks

          • Butters619

            I actually am an Android fanboy. I post regularly on Android forums and on XDA. But you backed up my point about blind ignorance.

          • https://plus.google.com/u/0/107214144202094295079/posts James

            It’s a lost cause man. Everyone on this site is quick to call someone an Apple fanboy (isheep, ifanboy, crapple, or other third grade level insults) whenever a post comes up that doesn’t display bitter resent towards Apple. The irony is in the name of this website.

          • Butters619

            Yeah it’s bad sometimes. I get there are a lot of reasons to dislike Apple, but to completely discredit their products is ridiculous. Clearly you can easily make a case for why someone would buy an Apple product, and no it’s not just because they are ignorant rich iSheep. Apple makes nice stuff. Whether you think it’s the best or not is just a matter of opinion.

          • stucrmnx120fshwf

            I don’t necessarily agree with what you say, but as Churchill said, “I disagree with what the man says, but I will defend to the death his right to say it.” So abusive language is ridiculous, just because we disagree, noble name Butters, perhaps it’s after project butter, where android gained speed and reliability. Chrome is even faster and more reliable than android.

          • Butters619

            Apple makes so much money because of supply chain and marketing. Apple’s supply chain is second to none. Due to volume and pre-paying for contracts they are able to lock in prices lower than their competitors. And their marketing is also second to none. They know exactly how to market a “premium” product and they have been able to establish an almost cult like following. They understand that people purchase phones on perceived quality and image. Because of this they have been able to keep their prices high.

            So low costs (due to supply chain) and sustained high prices (marketing drive) equals an extremely profitable company.

            So what were you saying about me now knowing anything?

            Now, that doesn’t mean that they are selling polished turds like you seem to suggest. They make good products and they support their products. Now whether you think they are the best of not is a matter of opinion. Personally I don’t. But I can see why people like Apple products.

        • Xx1WarChild1xX

          well good for you android all the way yay, still doesn’t make you any less wrong. And no blind ignorance here boss only years of unbiased experience with both platforms. I’m big on tech in general so I’m not one to jump to conclusions until I’m certain that i know what I’m talking about and as my unbiased perspective, I’m not one to hold grudges so if Apple so happens to one day go back to its roots and have something interesting enough for me to fork over a good chunk of cash than by all means I will contribute to their iron hand tyranny. But seeing as u say ur an android fanboy I’ll do u a solid and stop replying to ur responses seeing as ur ignorance probly stems from u reading articles and not surfing enough to find out why Apple really makes so much money. I bid you good day and a prosperous growth into enlightenment and out of the pit of blind darkening ignorance

        • Xx1WarChild1xX

          you’ve solidified all my previous comments as to ur statement regarding Apple’s reason for being a entrepreneurial powerhouse I swear I’ve read that statement somewhere looks copy pasted but if it isn’t well done sir. You got one thing right though their marketing has developed a definite cult following that I would compare to the likes to Tommy wesieu (or however the he’ll u spell his name) and the Tim and Eric show. FYI I never said Apple products were polished tires I simply stating that they always bring out outdated products always a step behind technologically if u will and when Referring to the polish turd statement I only mean it in the sense that they what they provide in terms of hardware is just outright not worth the price and should be deemed crap for what u can get with other manufacturers. Cosmetic Design is important to me but not enough for me to pay a ridiculous amount of money for a cubic zirconia coaster when I can have a diamond cup holder for the same price or cheaper. Anyone could say at one time that Apple made some awesome products but not today ….It’s that cult following that u refer to that is making them their money and also the fact that theirs only one iPhone, and not several different versions by different companies like android. But that’s the beauty of android. It’s like choosing from ur different flavors of quick than drinking straight plain milk yuck! lol

      • stucrmnx120fshwf

        Just to survive they had to buy Steve Job’s Next, the last time they were on the skids.

  • TheHowiie

    Nice,I guess now we can see why Apple is always going after a Google product. Google is climbing the profit ladder quickly and Apple is nervously trying to prevent it’s dethroning, but hey, no king may rein forever right?

    • BoSamps

      who will be after Google?

      • renGek

        A company we haven’t heard of yet. When google becomes too big and too slow and too confident like MS, someone else will come along. Could happen if new management doesn’t hold the same google philosophy as the current set of management. Might not be for several decades though.

        My office was a great place to work which I have done for over a decade. Change of manager (an iFanboy no less) and now its all gone to heck.

      • armandolara94

        Facebook

  • Keith Russell

    Brand loyalty = make one or two small changes that lack overall creativity, change a number or add an “s” after it and it will sell millions.

    • Xx1WarChild1xX

      exactly the point I was making with butters619

    • http://twitter.com/Vanakatherock Vanakatherock

      They are slowly losing customers due to that fact, too. I work in the used phone market, mostly on eBay and locally, and customers all the time want to sell us their iPhone 5 for something else, or trade back down to a 4S due to the lack of worthy updates.

      Two weeks after the 5 hit the market, I had a customer sell us his and revert to his old 4S. A month later, he traded us his 4S for a Galaxy Nexus. Still using the Nexus to this date.

  • RozJC

    I am proud to be able to own products from the second most profitable company.

  • ASW

    Google is where innovation lies. Samsung makes the iPhone CPUs. Motorola was in the cell phone biz long ago. Apple’s days at the top are numbered (and I owned an iPhone before going to the Droid Bionic).

  • jeremyseattle

    Wow Samsung made a huge jump!

  • ArmageddonX

    Soon Google will be #1. True innovation always leads the way. Everyone already knows iOS7 will copy Jelly Bean. Apple is now the student & Google is the teacher.

    • kascollet
    • https://plus.google.com/u/0/107214144202094295079/posts James

      Jonny Ive is an amazingly talented industrial designer, he’s been responsible for OSX for a while now. The last few releases of OSX have been amazing, and I’m sure he has big plans for iOS now since he was put in charge last year.

      I’m excited to see some real competition from Apple. Samsung is growing way too large, and there isn’t really any competition from them in the Android space.

      I don’t have anything against Samsung, they make great devices, but for real innovation to take place there needs to be competition.

      • Butters619

        OSX was phenomenal at Snow Leopard and has gone down hill since.

        • https://plus.google.com/u/0/107214144202094295079/posts James

          Why do you say that?

          I love my macbook air, and all of the new multitouch gestures that were added with Leopard really add to my productivity. Fullscreen apps and three finger swiping between application is clutch for me.

          I find the new notification centre really awesome as well, no other OS (besides maybe Ubuntu) really come close to handling notifications natively as well as OSX does.

          Although, if you don’t find those features useful I can understand why snow leopard might be more appealing.

          • Butters619

            I assume you meant Lion when you said Leopard.

            The only feature I really enjoyed with Lion was inverted scrolling. It made sense to me. But with Lion boot times went way up. Shut down times went way way up. Snow Leopard shut down in seconds. Leopard takes a minute. Program launch times went way up. I didn’t like how every program on your dock remembered every recent activity. For example if I let my mother use my Mac and the last picture I looked at was of me drunk off my ass it just took a click to see. Or if the last pdf I was viewing was a bank statement. It was all too easily accessible. I’m not a fan of launch control. I actually switched it back so Expose and Dashboard were like they were with Snow Leopard.

            Mountain Lion fixed the boot/launch/shutdown times a bit, but it’s still not to Snow Leopard speeds. I loved Snow Leopard lol.

          • https://plus.google.com/u/0/107214144202094295079/posts James

            Fair enough. I guess I never really got to experience Snow Leopard in all its glory. I’ve installed it on my desktop a couple of times but I upgraded it to Lion/Mountain Lion right away.

            I have the 2012 air which has a really fast SSD, so I don’t really notice any slowdowns. I run almost everything out of the browser so that might be why as well.

            I’m still pretty excited to see iOS7 and OSX 10.9.

          • Butters619

            Yeah with an SSD you wouldn’t notice the speed differences at all. Swapping out my HDD for an SSD this fall.

          • https://plus.google.com/u/0/107214144202094295079/posts James

            Good choice, wait for a sale or something. There’s no better upgrade you can get for a computer imo.

    • rhymeforever

      Sensei Google!

  • AbbyZFresh

    Yayyyy. It’s only a matter of time now before Google finally dethrones Apple. I’ve been waiting for this day ever since ICS came out.

    • kascollet

      You realize Google’s value is based on its profit as an advertisement company ?
      Android profits don’t come from Android !

  • renGek

    It will be fun when google takes this title away from apple just like cellphones and tablets.

  • renGek

    One of the interesting things about the recent google i/o is that most of us are just ok about it and not wowed. But if you read financial news they all went nuts over it. This google i/o is the wow for that crowd. Why? Because google basically showed the markets how it intends to expand on their profit, revenue and earnings and it feels almost limitless. Shareholders should have wet themselves over that I/O. And its because of these expanded channels of revenue that will propel google well ahead of their competitors. I like that google doesn’t feel the need to become king right away. They are doing it slowly and that is always good for wall street. If you look at the past 10 years IPO almost all of the high flying IPOs did far worse than they ones who took 12 months to reach its heights. apple rose too quickly and is now being punished for it. Most of those investors will never look back because the ones who bought at the 600s and 700s got burned bad and will never return. Hopefully, there won’t be any major corrections to google in one fell swoop and the company will do fine.

    • stucrmnx120fshwf

      Without Jobs Apple nearly went bankrupt, is it time for history to repeat itself again?

      • southernfanboy26

        I thought I was the only one who made that realization and that apple wouldn’t be where it is today if it wasn’t for the mp3 player they called an ipod but of course when you speak the truth about the company to any apple user you’re labled as a hater smh

        • stucrmnx120fshwf

          100,000 million in tax havens and they come up with the iPad mini, a third the resolution of Nexus 7/2, a tenth of the CPU/GPU power, a quarter of the RAM. Even though some people will buy $10,000 handbags, not many will.

          • Ben Kapferer

            So? The quality of the product isn’t a factor here.

            I think Apple is stagnating, but I won’t deny that iProducts are doing very well at the moment.

          • stucrmnx120fshwf

            Doing quite well, is that what selling a third as many smartphones and less tablets means.

          • Ben Kapferer

            I mean doing well for one manufacturer. I think only Samsung exceeds Apple individually.

  • Caseyjp11

    Oh darn, imagine that, Apple making profits. If the markups were too ridiculous vs. product satisfaction, no one would buy, but obviously, people DO buy their products, and DO appreciate what they offer. I prefer ‘droid and it ecosystem, but Apple is a screaming business success story..and doing it because they make what a f*ton of people want to use.

    • stucrmnx120fshwf

      My sister bought the Apple HD, which apparently has crash issues, so when she finally caved to buy a smartphone and tablet, she bought a Note and a Nexus 7, both form factors Apple wasn’t offering. Apples lack of research spending is losing them more and more customers, look how awful the specs are for iPad mini, low res screen, slow old processor, little RAM and the prices they charge for increased flash scandalous! As for Microsoft, I spent $170 on 2 copies of Windows 8, Media Centre, hackers cost me $300, tech support another $100, it still doesn’t play DVDs, my other computer still isn’t working. After near a quarter of a century with Microsoft, I’ve had enough of old bloatware and I’m a dip elec comp tech net admin spec, I nearly qualified in MCSE Server 2000. It takes a lot to lose the loyalty of someone who’s put that much time, but I’m increasingly moving to open source like Ubuntu, Chrome OS, Libre Office, 3 Jelly Bean devices. When I upgrade my hardware MS tells me I’ve installed too many instances of Office 2010, Windows 7, windows 8 was more reliable before not after it was released. Sorry for rambling on, but MS has been ruining my life lately, Apples price performance is lousy, they need to use those huge cash reserves to buy companies that do do research, like AMD, ARM, Intel, Qualcomm, Nvidia. Before it’s too late, their hemmoraging mind and market share, at a rate of knots, 3 of those companies are going for a song, Apple could buy IBM for crying out loud, or merge for nothing.

  • Jroc869, Nexus-Life

    If they can do better things with their chrome books that #1 spot will be no problem

    • stucrmnx120fshwf

      Chrome is well focused, three quarters of a billion people use the browser, if folks realise the anti bloatware approach is so good, they’ll buy chrome smartphones and tablets like hotcakes. Keep it tight with HTML 5 and economies of scale will make it the giant of the market.

  • Zack Chow

    not sure how accurate the pdf listing is, considering that I don’t even know some of the companies as opposed to the listing here: http://www.interbrand.com/en/best-global-brands/2012/Best-Global-Brands-2012-Brand-View.aspx

  • InspectorGadget80

    why should we care about the BIG DUMB FRUIT. I’d rather GOOGLE be the most valuable brand. they always come out with nice products

  • Nabil Naafi

    Congrats google