With a record number of recalls, a grand jury investigation and a plague of lawsuits facing it, Toyota has seen a sharp drop in its ranking in the annual Best Global Brands study.
Conducted by the brand consultancy Interbrand, the latest survey found Toyota has dropped from 8th to 11th – with an even more significant loss in its actual brand value. By that measure, Toyota lost 16% of its value, according to the annual survey – more than other damaged brands such as Dell and Citi Services lost since the last Interbrand report.
“Although the Toyota recall caused the brand to lose 16% of its brand value, its long-standing reputation for reliability, efficiency and innovation helped it weather the crisis better than expected,” Interbrand noted.
Nevertheless, only Harley-Davidson and BP, which was at the center of huge environmental disaster, did worse in the Interbrand survey than Toyota, which was once the envy of the auto industry and is now facing permanent damage from the massive recalls of the last 12 months.
By contrast, Goldman Sachs, which has faced sharp criticism in the media and on Capitol Hill, saw its brand value actually increase by 1%.