Banks dominate most valuable SA brands ranking top 10
DURBAN - The combined value of the brands in the BrandZ™ Top 30 Most Valuable South African Brands ranking is $37.14 billion.
The rankings was released by WPP and Kantar and it is now in its second year.
The challenging macroeconomic and political environment resulted in a 13 percent drop in value from 2018, but brand resilience saw the country’s Top 30 brands outperform the Johannesburg Stock Exchange (JSE) Top40 Index which fell 20 percent in dollar terms during the valuation period.
Furthermore, analysing the total brand value of the ranking in relation to the South African economy (GDP) shows the top brands to be in relatively good health, with a ratio on a par with or stronger than many other countries with larger GDPs.
The BrandZ study, which is the only brand valuation ranking to combine company financial data with consumer insight and opinion, reinforces the importance of strong brands.
Strong brands are protected from the worst macroeconomic effects and are positioned for a fast return to growth when conditions improve. This is key as South Africa adopts an increasingly more positive outlook following the 2018 change in government.
Standard Bank remains at No. 1 with a brand value of $3.55 billion but No. 2 brand, First National Bank (FNB), closes the gap with a value of $3.46 billion, having continued to invest in customer-focused digital innovation and strong communications.
Meanwhile, an 11 percent increase in value to $846 million saw Capitec Bank (one of only three brands whose value went up) rise three places to No. 17.
The fastest riser in the BrandZ 2019 ranking is entertainment brand DStv which increased its value by 38 percent to $1.07 billion (in part due to DStv’s parent company Multichoice now being listed on the JSE) to rise six places up the ranking to No. 18. DStv has established itself as a key contributor in creating an exciting, meaningful and sustainable video entertainment industry.
The expanded scope of the research covering life insurance for the second year saw two newcomers to the Top 30. Sanlam, valued at $1.04 billion, is No. 15 and Liberty is No. 27 with a value of $406 million.
Difference has proven to be an important factor for South African consumers. As demonstrated by the banks category, innovative brands that were able to demonstrate their uniqueness were more robust; brands seen to have distinct attributes were 13 percent better off than those that did not.
With its ability to encapsulate the national psyche, fast food brand Nando’s celebrates its difference. The third brand to make the fastest risers category, it increased 2 percent to $2.21 billion, to keep it in the No. 6 slot for the second year.
|2019 Rank||Brand||Category||Brand Value 2019 (USD bn)|
|2.||First National Bank||Banks||3,464|
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