A Big Thanks !

The exponential growth of COVID-19, has generated unprecedented upheaval and triggered far-ranging impacts on the global landscape. Those who are keeping the constancy of our lives together deserve our unbridled appreciation. We continue to be inspired and uplifted by the many heroes who brave the storm each day. From the frontline to the fields, to the supply chains, to the factory floors, these professional citizens have proven essential in getting us through these unprecedented challenging times. 

 

About The Portfolio

It is no secret that a given company’s ability to address commercial objectives beyond pure financial performance is an important driver and indicator of future success. The impression of a company’s brand by those who buy from, invest in, or work for it, can foster trust and drive innovation. This crucial foundation allows a company to thrive not only today but also tomorrow and into the future. Strong portfolio branding can create opportunities for growth, command market share, heighten barriers of entry for competitors and build enduring consumer loyalty. Moreover, a strong brand portfolio enhances positive perceptions of a product’s quality, maintains a high level of product awareness, and provides a consistent image or brand personality. 

The market powerful Global Digital SuperBrand Portfolio has all of these scalable attributes and, as a portfolio, is immediately recognizable & understood across markets, boundaries, cultures & languages. Global brand fluency of this intent-based platform-driven portfolio embraces authenticity, diversity, and inclusion which is vital to effectively engage across borders and interconnect geographical and cultural boundaries.

Winning brand portfolios stand for something: they are meaningful, salient, and continually evolving. The iconic Global Digital SuperBrands provide extendable anchored native "Digital" brand identities that reinforce the global objective of interweaving and scaling sustainable high-quality revenues across products, services, and platforms. 

SuperBrands Are Super Assets 

The strength and power of the Global Digital SuperBrand Portfolio provides the opportunity to extend relentlessly into new digital sectors and geographies - organically growing in market relevance, consumer influence and scalable value. With instinctual simplicity and genuine promise, Global Digital SuperBrands that include; Global Digital®, Mobile Digital™, Data Digital™, and Local Digital™ are immediately understood and naturally resonate with exceptional global market power. 

The Global Digital SuperBrand Portfolio is globally inclusive, immediately recognizable & understood across markets, boundaries, cultures & languages. The portfolio embraces both diversity and multi-generational inclusion which is vital to effectively engage seamlessly across borders and markets.

I.P. 

S&P I.P. - $21 Trillion & Counting

IP is the largest component of intangible assets, which in 2018, accounted for $21T of the total $25T in S&P market capitalization that is growing annually. This expanding asset class underscores the significant shift in the global economy from hard, tangible assets to intangible assets. With over $21T, or 84 percent of the value of the S&P 500, being intangible, investment in the development and deployment of IP is changing the global landscape across industries and regions. 

The introduction in 2018 by the International Organization for Standardization of ISO 20671 - the new accounting standard in brand evaluation - motivates companies of all sizes to start adopting new approaches to managing and valuing their brand portfolios in a manner that fully captures the value of brands that now harnesses operational marketing investments as corporate growth assets. Such initiatives will accelerate overall enterprise value and materialize unaccounted shareholder value.

I.P. Outperforms Any Other Corporate Asset Class & SuperBrands Are Top Tier Asset Contributors 

The Introduction Of ISO 20671 For Brand Valuation Is

Projected To Substantially Increase & Reliably Scale Overall Valuation Of Brands With Newly Introduced Capitalization Of Marketing & Brand Related Investments.

Accounting Treatment Of Goodwill & Brands

Undervaluation of intangible assets such as brands has contributed to the pervasiveness of goodwill. As stated by Brand Finance, "Since 2001, the IASB has adopted the policy that goodwill identified on the acquisition of a company will subsequently be accounted for through impairments and not annual amortization. This policy contends that goodwill does not necessarily decrease in value or is subject to amortization as time goes on. However, it can also allow persistent high levels of goodwill on company balance sheets, the reported value of which is dependent on management judgment. Where neither company managers nor auditors feel an impairment is due, no impairment charge is taken against the carrying amount of the goodwill asset." 

Persistent non-impairment of goodwill can inflate the balance sheet, leaving investors, supply chain stakeholders, employees and entire economies vulnerable. This laissez-faire policy in treating goodwill as gospel is under increased scrutiny by accountancies, shareholders, analysts and, the markets.

Accountants have long resisted treating brands, as well as other intangibles, as assets because of the difficulty of relying on the justifiable “current fair market value” of a market transaction. Accountants have preferred to expense marketing activities, but, at the same time, they continue to rely upon the ever-nebulous treatment of “goodwill” as a rock-solid -largely self-regulated- asset class in the balance sheet.

New ISO 20671 Brand Valuation Methodology

The new ISO 20671 standard  (“Brand Evaluation—Principles and Fundamentals,” available at www.iso.org), provides an effective framework for evaluating brands. This allows the contribution of brands and related marketing investments/expenses to be evaluated relative to a comparable unbranded product benchmark. In other words, what is the actual price percentage difference between comparable products, generic and branded. Any such product or service price comparison between generic and branded can also be contrasted and compared between generic and Native Digital SuperBrands such as; Global Digital®, Data Digital™, Mobile Digital™ and, Local Digital™. Brands that create an immediate clean, crisp and clear brand identity.

The leading brand valuation methodology is the Royalty Relief methodology which determines the value a company would be willing to pay to license its brand as if it did not own it. This approach involves estimating the future revenue attributable to a brand and calculating a royalty rate that would be charged for the use of the brand.

Under ISO 20671, Native Digital SuperBrand domains scale in value because of their vibrant preexisting market presence and brand equity that has been built over decades as integral parts of the vernacular of the global digital conversation. Approaches to brand valuation can be researched at Brand Finance, the largest I.P. global brand valuation firm. The vision behind such a straight forward and transparent evaluation process is that it should become part of the movement towards integrated reporting or (IR). This approach sets-up the opportunity to add and grow currently unrealized Millions to private firms' balance sheets and Billions to public firms' balance sheets.

Forbes ISO 20671 Analysis "Carpe Brand" 

As recently reported by Forbes in its "Carpe Brand" blog post "Such financial reporting has a number of advantages. First, it provides marketing and finance with a common focus. Second, treating the brand as a financial asset plays an important role in corporate asset valuation. An increase or decrease in brand value would be a matter of dynamic accountability rather than the traditional straight-line depreciation of brands over a very limited number of years. Evaluating brand value would also be useful for risk management in guarding against brand and reputation risks.

Third, investors would have access to an important piece of financial information that they presently can only guess at. Market caps might better reflect identified business assets. Over time, standards could be developed to make it easier for investors to compare companies. As intangible assets become more and more important, this is of enormous value for investors distinguishing between leading companies from those not investing in brands as valuable business assets."

The Necessity For Change

Changing the long-standing culture differences between finance and marketing relative to brand value is challenging. At the same time, the forces compelling change can’t be ignored. Brands will only increase in their importance for competitive advantage. Those who ignore his asset windfall will be asked hard questions by the markets and shareholders as to why they were non-compliant and left behind.

The Value Of Native Digital Brands

Increasingly, there is scarcity in supply of Super Premium native digital .Com domains which is driving the remarkable acceleration of both public and private high dollar native digital domain sales taking place. Companies and investors around the globe are seizing the obvious advantage by immediately acquiring market relevance with native digital branded .Com domains. This unprecedented demand is driving high sales levels for super-premium native digital domain assets with most high dollar sales transacting in private.

There is sound reasoning behind the acquisition of Native Super Premium .Com domains. Over the past 35 years USD $Trillions have been invested in global digital advertising with increasing prioritization by individuals, groups and, corporations in owning premium .Com domain addresses as part of speed to global brand strategy.  In 2019, $340Bn. (see We Are Social slide below) was invested across platforms in digital advertising with 99.9% of such brands incorporating the dominant globally understood .Com extension.

These massive growing advertising investments dynamically scale Super Premium .Com native digital brand name values that continue to grow in importance, becoming integral and inseparable parts of multi-cultural speech and expression. Strong native digital brands that include Global Digital Superbrands are valuable assets for any business, driving higher customer acquisition, satisfaction, loyalty, and, brand advocacy, consistently contributing to a given business's growth and profitability.

 

Digital Advertising Investment Growth Reached

$340 Billion in 2019. Companys Included Their Dot.Com Brand Identities 99.9% Of The Time.

Voice.Com $30 Million Sale

In May of 2019, Voice.Com was sold for $30 Million cash. In recent years multi-million dollar domain sales are subject to confidentiality agreements. However, the publicized sale of Voice.Com adds a very strong voice to the chorus in the sales of native digital Super Premium .Com domains. The launch of ISO 20671 – the new standard on brand evaluation - will increasingly have a value acceleration effect on Premium and Super Premium domain name valuations in much the same way marketing costs are being reconsidered as asset contributions under ISO 20671.

OUR NEW PLACE

Below Is A List Of 10 Leading Native Digital Super Premium.Com Domain Brand Names Sold - That Have Been Publicly Reported. Private Transactions Meet Or Exceed These Sales Numbers.  

Cars.Com — $872.3 M

CarInsurance.com — $49.7 M

Insurance.com — $35.6 M

VacationRentals.com — $35 M

PrivateJet.com — $30.18 M

Voice.com — $30 M

Internet.com — $18 M

360.com — $17 M

Insure.com — $16 M

Hotels.com — $11 M

Valuing Domains In The Balance Sheet

Cars.Com Unbridled Acceleration Is Driven

By Native Digital Brand Market Value 

Investing in the .Com brands make enormous sense and positions a company for scalable brand growth. The Cars.Com business sale to Gannett for $2.5 Bn in 2014 incorporated the sale of the Native Web SuperBrand domain Cars.Com which was valued at $872.3 MM as part of the overall commercial sale. The new corporate spinoff, audited by Ernst & Young, has maintained the value of Cars.Com at  $872.3 MM. In its most recent 10-K filing, Cars.Com identifies the Cars.Com domain as an indefinite-lived asset as set out below:

Notes To 10-K Consolidated Financial Statements:

In connection with the acquisition by the Company’s former parent, the Company has an intangible asset with an indefinite life associated with its Cars.Com trade name. Intangible assets with indefinite lives are tested annually, or more often if circumstances dictate, for impairment and written down to fair value as required. The estimates of fair value are determined using the “relief from royalty” methodology, which is a variation of the income approach. The discount rate assumption is based on an assessment of the risk inherent in the projected future cash flows generated by the trade name intangible asset. The results of the 2018 annual impairment test of the indefinite-lived intangible asset indicated the fair value exceeded its carrying value, and therefore, no impairment charge was recorded. 

Such value of Native SuperBrand Domain Names can be increased substantially through the implementation of recently introduced ISO 20671 accounting practices through the valuation of marketing contributions plus current and future revenue attributed to the .Com brand. 

Global Digital Superbrand Portfolio News  Global - Mobile - Data - Local 

Global Digital 2020 Report

You’ll find all the latest Global Digital 2020 numbers in the SlideShare presentation click here that includes a wealth of new data that has contributed to highly impressive growth across the global digital landscape. But first, take a look at the following charts that provide the latest headline insights into Global Digital's 2020 top technology trends that are driven by the fact that over 4.5 billion people now use the internet, while social media users have passed the 3.8 billion mark.

Global Digital April 2020 Update Report

COVID-19 UPDATE

Global Digital Adoption Still Growing The latest data show that the number of internet users and social media users around the world have both increased by more than 300 million over the past twelve months, despite delays in reporting in some key countries due to the coronavirus outbreak. These changes have been clearly evident in the world’s digital behaviors as billions of people turn to connected devices to help them cope with life and work under lockdown.

DataReportal analysis indicates that 4.57 billion people now use the internet, an increase of more than 7 percent since this time last year. This growth is underpinned by data rates growing at 30% annually. Social media users are growing even faster, up by more than 8 percent since April 2019 to reach 3.81 billion today. 

Mobile Digital Adoption Growing Fast The number of people using mobile phones has also increased, with global user numbers up by 128 million over the past twelve months. GSMA Intelligence reported 5.16 billion unique mobile users at the start of April 2020, meaning that roughly two-thirds of the world’s total population uses a mobile phone today.

With internet usage surging, companies are scrambling to keep it all running Social distancing in light of the coronavirus has had the exact effect you’d expect on people’s streaming video habits. According to Nielsen, US streaming volume has never been higher, and people staying home can lead to up to a 60-percent increase in overall content consumption. 

It’s a considerable jump, but according to a report by connection testing site, Speedtest.net, the surge hasn’t affected actual download speeds in the US thanks to its relatively modern infrastructure. Other countries, especially hard-hit European countries like Italy, Germany, and Spain, however, have suffered slowdowns. 

The Native Origins Of The Global Digital SuperBrand Portfolio Strengthens Underlying Business Fundamentals Accelerating Growth Across Digital Platforms & Verticals. 

 

CONTACT US

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