Nestlé and Hershey are top of the food chain, according to the latest Food and Drink 2022 rankings from valuation consultancy Brand Finance.

The two global CPG powerhouses were named the “most valuable” and “strongest” food players, respectively.

Every year, Brand Finance puts 5,000 of the world’s biggest brands to the test through a methodology that determines how much a company would be willing to pay to license a brand if its current owner wasn’t already doing so. With a value of $20.8 billion USD, Swiss giant Nestlé is top of the mountain as the world’s most valuable brand in food, worth almost twice as much as the second most valuable brand in the ranking, Chinese dairy player, Yili.

According to the report, Nestlé ranked highly because it continues to consistently pursue its long-term brand strategy by innovating new products and moving forward in its digital transformation, despite inflationary pressures and supply chain constraints.

Another notable brand on the list was Lay’s, which increased in brand value by 31% to $8.6 billion USD by embracing a more digital presence throughout the pandemic with the promotion of its products on various online shops such as Amazon.

Meanwhile, Canadian frozen food company McCain ranked as one of the most valuable brands for the fourth year in a row.

Christine Kalvenes, McCain’s global head of marketing and innovation, told Brand Finance that the brand wants to continue to expand its consumer offerings with smart, planet-friendly food options, such as plant-based, environmentally responsible frozen food player Strong Roots, and GoodLeaf Farms, an indoor vertical farm that sustainably grows leafy greens.

In addition to calculating brand value, Brand Finance also determines the relative strength of brands through a balanced scorecard of metrics evaluating marketing investment, stakeholder equity, brand perception and business performance.

The consultancy determined that Hershey was the world’s strongest food brand, moving up a spot from its second place rank last year. This year, the report says Hershey’s delivered a record year of production and subsequent sales and earnings growth. The CPG recently innovated with Women’s History Month-related packaging (see, above).

In the beverage sector, Coca-Cola’s brand value rose by 7% to $35.4 billion USD, making it the world’s most valuable brand in this space. Brand changes made by Coca-Cola during the pandemic, such as the acceleration of its business transformation model to reduce sugar in its drink offerings and improve environmental sustainability in packaging and recycling, are likely to have an ongoing effect on its brand value.

Pepsi (brand value up 12% to $20.7 billion USD) has retained its positions as the second-most valuable and second-strongest brand in the non-alcoholic drinks sector. Monster, Lipton and Gatorade were the fastest growing brands in beverage.