Lego Overtakes Ferrari To Become World's Most Powerful Brand

Lego has overtaken Ferrari as the world’s most powerful brand, according to a study by Brand Finance.

The success of The Lego Movie has propelled the Danish toy company to the top of the list, replacing Ferrari. The Italian manufacturer has dropped to ninth, partly due to the Ferrari F1 team’s lack of success and a new strategy for its road car division.

2014 was Ferrari’s first winless F1 season since 1993, finishing fourth in the constructors’ standings. Fernando Alonso scored the team’s best result of the year - second place at the Hungarian Grand Prix.

Chairman Sergio Marchionne’s new strategy to relax Luca di Montezemolo’s previous strict production cap is also thought to be one of the main reasons for Ferrari’s fall.

Brand Finance’s report said:

“It remains one of the world’s most powerful and retains its AAA+ brand strength rating. However, the brand’s power has been ever so slightly blunted. Ferrari’s racing team brand, Scuderia Ferrari, has now gone several years without an F1 title and last season struggled even to mount a challenge. The sheen of glory from its 1990s golden era is wearing slightly thin.

“The road car division continues to produce some of the world’s most desirable cars. However the departure of Luca di Montezemolo heralds a slight change in strategy. Montezemolo kept a strict cap on production to maintain the exclusivity of the brand. Since his departure, chairman Sergio Marchionne has suggested that this policy will be relaxed to boost revenues. The new strategy to capitalise on the brand will certainly drive short term value but over-exploitation risks lasting damage.”