The brand value of India’s 50 most valuable brands has grown strongly, by 34% to $92 billion. HDFC Bank takes the top spot, followed by Dairtel and State Bank of India. Growth is steered by the growing middle class, which are able to purchase more luxurious items, as well the continued Indian trust in big brands.
The top brands in India have enjoyed strong growth over the past 12 months, reveals an analysis on data from marketing consultancies WPP and Millward Brown. In their yearly ‘BrandZ India Top 50 Index’, the top 50 publicly traded brands are identified and compared to the previous year’s ranking. Brand value is derived, according to the report, from “the dollar amount a brand contributes to the overall value of a corporation.”
In this year’s report, brand value for the top 50 brands in India has shot up across all the analysed organisations by 34% – the total value of the elite brands is now worth $92.2 billion, up from just under $70 billion in 2014.
Brands in the financial sector remained strongest in India. HDFC Bank is found in the #1 spot (up 33% in value), State Bank of India in the #3 spot (up 37%), ICICI Bank in the #4 spot (up 45%), with a new entrant to the financial category, Axis Bank coming in at #8. Automotive players also continue to rank strongly. Bajaj Auto secured the #5 spot, slipping one spot to paint supplier Asian Paints on last year, due partly to a poor brand growth figure of 10%. Hero found itself again in the #7 spot with 34% growth.
The report finds that different categories have enjoyed different levels of growth. Home and personal care brands for instance, grew by 32% - with improvements in disposable income driving spending on premium products. 12 brands made the top 50 in this category, taking in a 15% of the total value of all brands. The fastest risers are Lakme (#44, adding 69%), Lifebuoy (#31, adding 49%) and Colgate (#26, adding 44%). The financial brands are however, the best performing by far – up 49% on average. This year’s top 50 brandishing 13 big financial player names that hold a total of 41% of the value of the brands listed. The biggest risers in this category are the Union Bank of India (#46, adding 72%), Punjab National Bank (#22, adding 61%) and IndusInd Bank (#13, adding 46%).
The research finds that a considerable number of Indians (33%) trust brand names – compared to other markets. The most trusted brands in this year’s list are jeweller Tanishq (#21) and Colgate (#26), which is part of Indian folklore for its emphasis on the social good of dental hygiene awareness. Other brands also have enjoyed increased ranking, in part due to their social practices. These include Lifebuoy (#31) and Asian Paints (#5).
Commenting on the list, Prasun Basu, Millward Brown’s Managing Director of South Asia, says that India's top brands are getting stronger – but there is no room for complacence. “The top four had to grow their value by 37% on average to hold on to the same positions as last year, and close to 10% of the brands that made the Top 50 in 2014 have dropped out.” Looking forward, Basu says that to benefit from the continuing rise in consumer confidence and optimism, brands need to “understand the changing consumer, respond with innovative products and breakthrough communication, and experiment and invest in new media that reflect the spirit of the country today.”