China’s hotpot chain Haidilao named world’s strongest restaurant brand for second straight year

The brand value jumped 16% to $3.6 billion, giving it a strength index score of 94.1 over 100, according to a report by London-based consultancy Brand Finance.

The performance was driven by the expansion of its restaurant network, stronger brand influence and customer experience, as well as a more diversified product range. The company also maintained its top-tier AAA+ brand strength rating.

Another Chinese brand, Luckin Coffee, achieved notable growth with value increasing 17% to $1.7 billion, ranked 19th globally, climbing two spots from last year.

Its score edged up to 89.7 over 100, reflecting the growing appeal of rival brands in China’s coffee market. Despite intensifying competition, the company secured an AAA+ brand strength rating for the first time.

“The remarkable performance of Chinese brands like Haidilao and Luckin Coffee underscores the growing global influence of the country’s restaurant sector,” said Scott Chen, managing director of Brand Finance China.

Haidilao’s continued leadership as the world’s strongest restaurant brand, coupled with Luckin Coffee’s resilience amid fierce competition, highlights the dynamic nature of the Chinese market and the innovation driving these brands to new heights, he added.

Brand strength is the efficacy of a brand’s performance on measures relative to its competitors, according to Brand Finance, which evaluates strength based on several factors including marketing investment, stakeholder equity, and the impact of those on business performance.

In terms of value, however, American brands still dominate the world, with five most valuable brands all from the U.S. McDonald’s has emerged as the world’s most valuable restaurant brand, with its value rising 7% to $40.5 billion. Meanwhile, Starbucks saw its brand value fall 36% to $38.8 billion, placing it second globally.

Chick-fil-A recorded the fastest growth in the sector, with its brand value surging 43% to $5.7 billion. The company now ranks eighth among the world’s leading restaurant brands.