We’re all familiar with the cash you need to splash if you want to get your hands on luxury gear. For instance, one men’s belt from Louis Vuitton will currently set you back a cool $4,100 – that’s no pocket change. Surprisingly, however, pocket-burning prices don’t equate to brand value, as revealed in Forbes latest list of the world’s most valuable brands.
In fact, the number one spot for the world’s most valuable apparel brand goes to sneaker giant Nike. With a brand value of $27.5 billion and revenue of $30 billion, Nike sits at number 18, just above luxury brands Louis Vuitton ($27.3B), Gucci ($12B) and Hermès ($11.7B), plus a bunch of other pricey and not-so-pricey labels like Cartier, Rolex, Coach, Adidas and Uniqlo.
Interestingly, last year Louis Vuitton ranked at 10 while Nike stood still at 18. Within one year, Louis Vuitton’s value has dropped from an estimated $28.1 billion in 2015 to the current level.
“The most valuable brands are ones that generate significant earnings in industries where branding plays a major role,” says Forbes. “Both Nike and Louis Vuitton fit the bill, but this year, Nike slid into the top spot.”
Does this mark the rise of sportswear and the fall of luxury fashion?