Tata Group Tops Ranking as Indian Brands Record Strong Brand Value Growth
Tata Group Tops Brand Finance India 100 2019 Ranking Again, Brand Value up 37% to US$19.6 Billion
Tata Group (brand value up 37% to US$19.6 billion) is once again India’s most valuable brand, according to the latest report by Brand Finance, the world’s leading independent brand valuation consultancy.
Mumbai-headquartered Tata Group is one of India’s largest conglomerates, operating in over 100 countries, across 5 continents. The Group’s dominance is clear with its brand value totalling more than second-placed LIC’s (up 23% to US$7.3 billion) and third-placed Infosys’ (up 8% to US$6.5 billion) brand values combined.
David Haigh, CEO of Brand Finance, commented:
“Tata Group is to be commended for its ability to scale new heights, as it is not only India’s most valuable brand, but has also recorded faster growth than any other top 25 brand, with an impressive 37% increase. The Group’s brand presence across autos, IT services, steel and chemicals continues to go from strength to strength and remains a pioneering force to be reckoned with”.
Banks register solid growth
Fourteen banking brands feature in this year’s Brand Finance India 100 report, with India’s three largest banks all registering solid growth:State Bank of India (up 34% to US$6.0 billion), HDFC Bank (up 19% to US$4.9 billion) and ICICI Bank (up 41% to US$3.9 billion).
The banking sector is currently undertaking a major shift as a result of an increase in spending on infrastructure, technology and innovative customer experience tools, all of which have the potential to contribute to heightened brand values across the board for banks. Advancements in technology have brought mobile and internet banking platforms to the top of their game, keeping them well placed to serve their varied customer base against the backdrop of a well-regulated robust environment.
Mahindra & Mahindra jump into top 5
From farm tractors to financial services to cutting-edge IT services, Mahindra Group is going from strength to strength, its brand value growing 35% to US$5241 million and thus sealing its position in the top 5 for the first time. Mahindra group has been making strong inroads into US markets and is setting some strong global ambitions.
ADAG suffers steep drop
Anil Dhirubhai Ambani Group (ADAG) has witnessed the steepest drop in brand value, falling 65% to US$559 million and dropping 28 positions in the ranking. The brand has witnessed continuous erosion in its value creation due to increased pressure from various group businesses and is currently facing some stiff questions from its stakeholders.
Jio is India’s strongest
In addition to measuring overall brand value, Brand Finance also evaluates the relative strength of brands, based on factors such as marketing investment, familiarity, loyalty, staff satisfaction, and corporate reputation. Alongside revenue forecasts, brand strength is a crucial driver of brand value. According to these criteria, telecommunications brand Jio (brand value US$3.6 billion) is India’s strongest brand with a Brand Strength Index (BSI) score of 87.01 out of 100 and a corresponding AAA brand strength rating.
Reliance Jio is making headway towards becoming India’s number 1 telecommunications provider. It seems likely that the brand will retain its low-price strategy as it continues to grow, gain and retain a solid reputation across its Indian customer base. Impressively, challenger brand Jio, is the highest new entrant in this year’s Brand Finance India 100 2019 in 14th position.
Aside from Jio, 6 further brands have made their debut into the ranking, across a variety of sectors.
Growing off the back of a huge organized retail opportunity in India, hypermarket chain DMart (US$937 million) has entered the ranking in 33rd position. India’s homegrown FMCG brand Patanjali (US$614 million) continues to make waves and steal market share from its multinational competitors and has entered the ranking in 51st position. Further down the table, new entrants Chennai Petroleum (US$258 million), Indian Overseas Bank (US$248 million) and Max Life Insurance (US$240 million) are all ones to watch for the year to come.