A powerful brand is a valuable asset that contributes to the financial performance of a company. In order to provide a more consistent and transparent measure, the International Organisation for Standardisation (ISO) has created a new standard outlining methods for measuring how much a brand is worth. 

ISO 10668:2010, Brand valuation – Requirements for monetary brand valuation, released in September 2010, is beginning to make a significant difference to the perception of brand valuation as a management discipline. Consequently, the importance of branding is being taken more seriously amongst CFOs and board level directors.

The role of brand marketers has become increasingly significant – a consistent and well-perceived brand can directly affect a company’s value. More and more companies are investing in developing, implementing and managing a strong and powerful brand in order to grow the business.

Last year, Nestle pledged to increase its brand investment after reporting a 6.5% increase in group sales for the first quarter of the year. PricewaterhouseCoopers rebranded to pwc after recognising the advantage of a concise consistent brand position. Of course, companies have been investing in branding for decades, however with the ability to measure this investment and determine what the brand is worth in financial terms, brand value is becoming ever more prevalent in board level decision-making.