Page 43 - BrandZ Top 50 Most Valuable Indonesian Brands 2015

Introduction BRAND VALUE
Indonesia Top 50 breakdown
Category
Banks
Food and Dairy Personal Care Retail
Telecom Providers
by Brand Value $M
27,521 1,461 3,344 3,327 8,417
Brand Value % of Total
43% 2% 5% 5% 13%
by Number of brands
12 4 7 4 3
Number of Brands % of Total
24% 8% 14% 8% 6%
Airlines
354
1%
1
2%
Entertainment
249
0%
1
2%
Home Care
949
1%
1
2%
Real Estate
3,098
5%
8
16%
Soft Drinks
1,061
2%
2
4%
Tobacco
14,794
23%
7
14%
Businesses in Indonesia that nurture the power of their brands are four times more valuable than those that don’t. Branding afects the bottom line: the 25 brands with the strongest Brand Power scores in this
ranking are together worth US$51 billion, while the remaining 25 have a combined brand value of US$13.6 billion. Brand Power is a BrandZM metric of brand equity – a brand's ability to predispose a consumer to select a brand and pay a premium for it. However many Indonesian brands are yet to recognize the importance of building a brand beyond establishing a reputation for price and availability.
Now is the time to focus on branding; Indonesian consumers are more aware of and engaged with brands than ever. BrandZM research shows that 75 percent of people now recommend brands to family and friends. That igure was 45 percent just four years ago. In this new landscape, CEOs should be asking themselves a new set of questions: how central is brand building to my business growth strategy in Indonesia, do we clearly articulate our brand mission, and are we communicating that mission clearly?
THEORY IN ACTION
Telkomsel is ranked number three among Indonesia’s most valuable brands. It dominates the Indonesian telecoms category with a strong commitment to brand-led growth. Its “Go Discover” mantra gives the brand a compelling and unifying purpose – one that is communicated and ampliied through consistent messaging across multiple touchpoints.
Categories and brands
Financial services brands make an extremely strong showing in the Indonesian rankings, with 12 brands making the Top 50, and three banks featuring in the Top 5. Financial services brands together account for 24 percent of the Indonesian Top 50 by number of brands – exactly the same proportion as was seen in India, while in Brazil the igure was 12 percent and in the China Top 100, they comprised 15 percent of the index.
Unlike other markets, tobacco brands feature heavily in the Indonesian rankings, with seven brands in the index – six of them in the top 12. In
no other country’s BrandZM rankings have tobacco brands featured, and only one has made the Global Top 100. There are two factors at play here: irst, in common with many other markets in Southeast Asia, the incidence of smoking is extremely high. Second, Indonesia is one of the very few markets in the world where television advertising for cigarette brands is still allowed – albeit at limited times of day and with restrictions on what can be shown.
Fast-moving consumer goods brands comprise 28 percent of brands ranked in the BrandZM Indonesian Top 50, led by food and dairy, soft drinks, home care and personal care brands. This is broadly comparable to what we see in other fast-growing markets (40 percent in India, 9 percent in China and 14 percent in Brazil).
The strong presence of property developers in the Top 50, with eight real estate brands in the Top 50, relects the strong growth of this sector and its role in the Indonesian economy.
As in India, the technology sector does not igure prominently in the Indonesian Top 50; major global technology players such as Google, Facebook, Twitter, and LinkedIn operate freely in Indonesia, and home-grown technology companies have not so far emerged with anything more compelling. Tech- related brands that do make the Top 50 are providing telecom services.
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