Amazon has toppled Apple and Google to become the world’s most valuable brand, according to a new ranking of global companies published Tuesday.
The e-commerce giant is valued at $315.5 billion, which is a 52 percent jump from last year, according to the annual BrandZ Top 100 Most Valuable Global Brand Ranking, which was put together by WPP research firm Kantar.
For comparison, Apple came in second at $309.5 billion while Google took third place with $309 billion. The new ranking ends a 12-year duopoly held by Apple and Google.
For the past decade, the two technology giants have competed for the number one spot — with Google overtaking Apple to top the list last year.
Amazon’s jump from last year is largely due to the diversification of its businesses, according to Doreen Wang, Kantar’s head of BrandZ.
“The boundaries are blurring as technology fluency allow brands, such as Amazon, Google and Alibaba, to offer a range of services across multiple consumer touchpoints,” Wang told CNBC.
While you might think that Amazon is so successful due to its online retail platform, that actually isn’t the case. Compared to its cloud computing services, Amazon’s e-commerce business doesn’t make very much money.
On the other hand, the Seattle-based company continues to invest in new and varying areas. That includes online medication deliveries, self-driving car and electric truck startups and Amazon Air, the company’s aircraft business.
Amazon also isn’t afraid to try — and fail — at those businesses. Just this week, Amazon announced that it would be shuttering its restaurant delivery service in the face of stiff competition, Reuters reported.
As you might expect, the rest of the BrandZ top 10 is largely dominated by technology giants. Other tech or telecom juggernauts in the top 10 include Microsoft, Facebook, Alibaba, Tencent and AT&T. The rankings are based on brand equity, consumer interviews, and financial analysis and performance.
Apple, for its part, has long dominated these type of rankings. In the past, that was largely due to the strength of its iPhone business. These days, in the midst of declining global smartphone sales, the Cupertino tech giant is increasingly looking at other avenues, such as subscription services and original content, for revenue growth.