The Tesla brand has been valued at more than $4 billion.

Electric car maker Tesla has been ranked among the top 100 most valuable brands in the world for the first time. Indeed, it’s the only new entry in Interbrand’s 2016 Best Global Brands survey, sitting in 100th place with an estimated value of $4.011 billion.

According to Interbrand’s report, Tesla’s rise has been aided by a shift in auto consumers’ priorities. A new generation of car buyers are looking for “value, convenience, and efficiency”, which allows “new design-led brands with bold propositions” such as Tesla to make an impact.

Automakers did well generally in the survey, a total of 15 being placed in the top 100. Toyota leads the way in 5th place overall, up one spot from last year, with a value of $53.58 billion. Mercedes is the second-best performer in 9th place overall, valued at $43.49 billion, while BMW follows in 11th place overall, with a value of $41.535 billion.

The manufacturers on the list have a combined value of $256.604 billion, a 9.5 per cent increase on last year’s total, according to Interbrand. Nissan saw the biggest individual increase, gaining 22 per cent to a value of $11.066 billion. Unsurprisingly, Volkswagen was the biggest loser, its value dropping nine per cent to $11.436 billion. Yet Audi gained 14 per cent, and Porsche added 18 per cent.

Legendary motorcycle manufacturer Harley Davidson is also on the list in 80th place overall, with a value of $5.527 billion.  

Despite the gains made by automakers, Interbrand notes that the industry faces a significant challenge in maintaining its performance in the face of changing attitudes towards car ownership.

“Owning a car is becoming less important to a generation concerned about its environmental impact and interested in experiences than the smug glow of showing off an expensive purchase,” the report said.

As the landscape of the industry changes, automakers will have to evolve and adapt to how diverging groups of consumers want to use cars, quicker than they ever have before. Those that rise to the challenge will see their brands strengthen significantly; those that don’t could well fall by the wayside.

Source: Interbrand Best Global Brands Rankings; Interbrand auto industry report