An index measuring brand value has named UPS as the top logistics firm in the world, followed by American brand, FedEx.

The Brand Finance Logistics 25 2023 ranking, which puts 5,000 of the biggest brands to the test annually, shows that UPS defied comparatively lower projected financial growth this year, which led to a negative influence on its brand value, to take the top spot. Various factors contributed to this outcome, including rising inflation, a global recession and persistent supply chain challenges - despite which, the firm made significant improvements in its operations and services, which may help mitigate the economic and geopolitical challenges it continues to face.

According to the data, globally integrated logistics brand, Maersk, achieved 53% year-on-year brand value growth, taking it to US$7.4bn. The brand achieved record revenues this year, with forecasts increasing in a similar manner. Maersk has now more than doubled (up 121%) in brand value from its pre-pandemic level.

The company has expanded its air cargo business and has also acquired LF Logistics, the brand’s most consequential acquisition to date, further enhancing its footprint in Asia.

Richard Haigh, managing director, Brand Finance commented: "The logistics sector witnessed an unprecedented rise in online shopping during the pandemic as restrictions necessitated a shift in consumer behaviour. While we have observed a moderation in this trend due to the gradual easing of the pandemic and the return of some consumers to offline shopping, the shift towards e-commerce is expected to persist, albeit not at the same accelerated rate experienced during the height of the pandemic.

"Although there are hard times ahead, logistics brands can anticipate that this continued transition to online retail could serve as a driving force in sustaining revenue growth within the e-commerce segment, thereby offering some respite amidst the prevailing geopolitical challenges faced by the industry."

JR has become the strongest logistics brand in 2023 with a Brand Strength Index Score of 87 out of 100 and AAA rating. JR plays a crucial role in the advancement of Japan's primary transportation networks and infrastructure. Consequently, it has garnered an exceptional level of brand equity within Japan. The company enjoys a high awareness score of 95.10 out of 100 and it also boasts high reputation score of 8.01 out of 10.

JD Logistics has highest Sustainability Perceptions Score, while UPS tops the ranking for sustainability Perception Value, according to the ranking. The Chinese brand has sought to counter the sector’s high emissions and increase its sustainability perception amongst consumers.

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