If you’ve read or watched The Big Short or lived through 2008-2009, you know that a bubble is. Prices for something far exceed their intrinsic value. Often a “correction” follows.

In 2023, brand value has declined by about 20% after consecutive years of growth. 

Lots of cash was injected into the economy during the COVID years, no doubt propping up valuations significantly. 

On the bright side, brands (and the businesses behind them) seem to be significantly more trusted than public institutions and the media. Yet brands must also find a way to connect with consumers in an increasingly polarized world where brand backlash feels more common and severe, making growth a tougher challenge.

Can brands provide the optimism and the solutions needed to keep the world economy and their own valuations resilient? I’m net positive on that. Feels a bit dramatic to call it a bubble. 

But it’s hard to see the kind of growth in value we’ve been experiencing since 2020 return anytime soon.