Motley Fool Money – Episode Summary

Episode Title: Are Unity and Zillow Resilient Brands?
Date: February 16, 2026
Host: Tim Byers
Guests: Alicia Alfieri, Rick Benares

Episode Overview

In this episode, the Motley Fool Money team explores what makes a brand resilient, using Interbrand’s global rankings and real-world earnings from Zillow and Unity as case studies. The team discusses the importance of “strong consumer appeal” (the fifth trait of Motley Fool “Rule Breakers”) and its impact on both business performance and stock resilience, especially during volatile markets. With a mix of data and boots-on-the-ground perspectives, the episode digs into whether Zillow and Unity still possess the resilient brand strength that could carry them through uncertain financial times.

Key Discussion Points & Insights

What Makes a Resilient Brand?

(00:20–07:10)

• The Fifth Rule Breaker Trait: Strong consumer appeal is essential for resilience and sustained growth, particularly amid market volatility.
• Top Global Brands (2025 Interbrand Survey):
  • Apple ($471B, down 4% YoY)
  • Microsoft ($388.5B, up 10% YoY)
  • Amazon ($319.9B, up 7% YoY)
• Nvidia's Surge:
  • Nvidia’s brand value rose by 116%, the largest in the survey’s history.

Memorable Quotes:

• "A resilient consumer brand is one that has a clear focus and has been able to build some kind of connection with the consumers through their experiences..." – Alicia Alfieri (01:49)
• "Brands where people are actually proud to display the brand... it's just free advertising." – Tim Byers (02:24); continued by Rick Benares (03:16)

Type of Brands Discussed:

• Apple and McDonald’s for consumer pride/emotional connections

• Chewy for customer engagement and organic "free" advertising

• Viking Cruises as an example of premium brand loyalty

• Sector Nuances:

  • Not all sectors can build the same kind of broad consumer appeal (e.g., enterprise B2B).
  • But even within industries, brands can be highly valued by their specific buyer bases (e.g., Nvidia among gamers).

Can AI Companies Build Powerful Brands?

(04:16–07:10)

• Nvidia as a Case Study:
  • Once niche among gamers, Nvidia now leads public excitement due to the AI wave—even though many consumers haven’t bought its products directly.
  • “The brand is truly valued by its buyer base,” even if that’s a niche group.
• General Rule:
  • Even B2B or specialist companies can build strong brand equity within their target populations.

Earnings Deep Dives

Zillow: Enduring Brand Amid Market Headwinds

(08:11–13:18)

• Earnings Highlights:

  • Revenue up 16% for the year (compared to just 3% industry growth).
  • Residential real estate (core business) up 8%; rentals surged 39% YoY.
  • Rental business now almost a quarter of total revenue.
  • Reported net income of $23M (vs. $112M loss last year).

• Brand Insights:

  • "Zillow is like the default setting when you're looking for a real estate play." – Rick Benares (09:36)
  • 9.6 billion visits to Zillow’s apps/websites in 2025; 80% of that traffic was direct (shows consumer trust and preference).
  • "Zillow is ranked as the most trusted in the real estate category." – Alicia Alfieri (11:29)

• Analysis:

  • Despite the tough real estate market, Zillow outperformed industry averages thanks to brand power and trust.
  • Turning a profit in a slow market demonstrates resilience.

• Predictions:

  • Both Rick and Alicia predict Zillow will outperform as the housing market recovers.
  • "Yes, we're going to go." – Rick Benares (13:05)

Unity Software: Brand Strength in Question

(13:18–19:51)

• Earnings Highlights:

  • Revenue up 2% for 2025 (10% for the latest quarter), yet overall business still recovering from a prior 25% revenue drop.
  • New AI-powered ad tool and price hikes aided performance.
  • Growth driven almost entirely by China and Asia-Pacific, while U.S. and other international revenues declined.
  • Guidance for Q1 2026: $480–$490M (slightly below $494M consensus; seen as a negative reset).

• Competitive and Perception Challenges:

  • Faces intense competition from Epic's Unreal Engine.
  • Wall Street worries about the impact of new generative AI tools from companies like Google.
  • Past missteps, such as the widely-criticized 2023 “runtime fee” for developers, still weigh on the brand:
    • "Developers... revolted. And Unity said, 'Oh, oops, sorry.' ...That was a sign of weakness." – Rick Benares (17:30)

• Brand Analysis:

  • "Unity's brand, it feels less strong than Zillow's here.” – Alicia Alfieri (19:02)
  • Despite technological innovation (Unity 6 engine adopting fast), perception remains rocky due to inconsistent communication and developer trust issues.

• Predictions:

  • Alicia: No – “Not sure to trending no.” (19:12)
  • Rick: Conflicted, but ultimately yes (“...the fact its business is improving... I'm willing to say it can beat the market...” – 19:18)

Notable Quotes & Memorable Moments

• On Apple stickers/free advertising:
  "Anyone that's gone through a lot of Apple products, you get these little stickers and you're like, what do I do with them? ...I'll put them on my MacBook, I'll put them in my car and it's just free advertising.” – Rick Benares (03:16)

• On the Zillow default effect:
  "When you think about selling your home, Zillow probably occupies a place in your mind as one of those places you're going to go to first." – Tim Byers (10:33)

• On developer trust cracks at Unity:
  "They revolted. And Unity said, 'Oh, oops, sorry.' ...That was a sign of weakness." – Rick Benares (17:30)

Important Timestamps

• 00:20 – Episode theme: What makes a resilient brand?
• 01:49 – Alicia defines resilient consumer brands
• 03:16 – Apple and “free advertising” via consumer pride
• 05:06 – Nvidia's rise: AI fueling B2B brand value
• 08:11 – Zillow’s latest earnings; discussion of market positioning
• 11:29 – Zillow’s trust, direct traffic, and profit turnaround
• 13:18 – Unity earnings: growth, but with perceptual and logistical hurdles
• 17:30 – Unity's developer trust crisis revisited
• 18:59 – Predictions: Alicia (“No, brand less sturdy”), Rick (“Yes, business is improving”)

Conclusion

The Motley Fool Money team unpacks how intangible qualities like brand trust, consumer habit, and perceived value can translate into long-term market outperformance—if maintained through execution and honesty, as seen in Zillow. However, missteps with core users, like those seen at Unity, can quickly become liabilities, even for technically powerful and innovative companies. Still, even wounded brands can recover if they show genuine improvement. The episode underscores that brand resilience is a powerful investing indicator—but it’s never a given.