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Target is number two

The 2011 edition of Interbrand’s Best Retail Brands report again lists Target in the second position with a value of $23.3 billion in between number-one-ranked Walmart at $142 billion and third-ranked Home Depot at $20.3 billion.

According to the firm, Target’s brand value declined 9% last year but the study offers little insight into a decline, which is rather peculiar given that Target is enjoying newfound momentum with some major strategic initiatives such as PFresh and the REDcard loyalty program. Conversely, Walmart’s brand value declined 8% even though the travails of the company’s U.S. business are widely documented.

Other U.S. retail brands in the top 10 included Best Buy, CVS, Walgreens, Sam’s Club, Coach, Amazon.com and Dell. Some of those names may seem curious for inclusion in the top ten as well as the order. Seventh-ranked Sam’s Club with a brand value of $12.4 billion is more valuable than 19th ranked Costco with a value of $5.5 billion. Eighth-ranked Coach has a brand value of $11.6 billion and is well ahead of 20th ranked Victoria’s Secret at $4.9 billion and 26th ranked Polo Ralph Lauren at $3 billion.

If some of the rankings don’t seem to make sense try reading the report’s methodology. There is a fair amount of detail but it can be somewhat challenging to follow with historical financial performance blended with expectations for future performance and some subjective decisions about the role of brand and proprietary algorithms that inhibit transparency. Nevertheless, these types of list make for interesting reading, and the full report can be accessed by clicking here.