Tnuva is again Israel's strongest brand

For the second year running, Tnuva is Israel's strongest and leading brand. Osem is in second place, followed by Coca-Cola, the strongest brand in the world. Cellcom is in fourth place and Bezeq International is in fifth.

A special ''Globes'' project ranked leading brands in Israel in selected categories, in terms of their marketing power. CA Marketing Research Institute, headed by Noam Raz and Merav Shapira, developed the model used for the survey.

Three key parameters, which together constitute a brand's marketing equity, were measured in the survey : brand awareness (the most prevalent in peoples' minds - "top of mind"); quality perception (identifying the best brand); and preference (hypothetical market share).

It should be pointed out that unlike surveys conducted internationally by Interbrand, the current survey examines consumer awareness of brands rather than their financial values.

The survey methodology ranks the brand equity in its category. The summary table, which ranks the strongest brands relative to the strong brands in other categories, was based on each brand's relative strength in its category.

Foreign investors attribute great importance to examining the status of every company in its market and the general Israeli market. Methodologically, the project, conducted by CA Marketing Research Institute, reflects brand strength in the Israeli market as a whole, although companies operate in targeted market segments on a day-to-day basis.

The survey was conducted in September 2001, and covers 11 categories. The national sample consisted of 600 respondents aged 15 and above, from representative socio-demographic backgrounds. The margin of error is 4.5%.

A clear brand leader was found in almost all of the categories surveyed, except for fast food and food retailers. The leading brands by category were: Cellular communications - Cellcom; international calls - Bezeq International; banking - Bank Hapoalim; family cars - Mazda; Internet providers - NetVision; fashion - Castro; dry foods - Osem; dairy products - Tnuva; fast food chains - McDonald's and Burger Ranch; supermarkets - Mega and Hyperneto; soft drinks - Coca-Cola.

The brand strength grade calculates the brand's achievements in the parameters equally, on a scale of 1 to 100. Brand strength across categories can be compared, because the parameters comprising brand equity are common to all the marketing categories.

This past year, which has been extremely harsh for the local economy, has led to some notable changes in brand strength. Cellcom, one of Israel's strongest and most heavy invested brands, paid a heavy price in brand strength in order to maintain profitability. Orange, which saw its brand strength soar, may not have the economic stamina this year to continue supporting its brand to the same degree. Pele-Phone, the main victim, suffered from strategic incoherence in the handling of its brand and from shareholders' desire to cut investment in favor of increased profits.

Osem’s rank rose dramatically from last year, and is now the strongest brand in Israel among youths, thanks to the company’s brand awareness campaigns and because Elite cleared the way for Osem as its brand strength fell.

Table: Leading Brands in Israel - Across Categories - Adults

Published by Israel's Business Arena on 21 October 2001