Page 39 - BrandZ Top 50 Most Valuable Indian Brands 2015

TOP 50 MOST VALUABLE INDIAN BRANDS 2015
accessible, making inancial services available for the irst time to many people. The SOE improvement in the Meaningful score indicates that SOEs are meeting customer needs, adopting more consumer-centric brand-building attitudes. The growth of mobile, in particular, has enabled banks to establish more personal and useful relationships with consumers.
Both MNCs and private brands increased somewhat in Salient but declined
in Meaningful. And MNCs, private brands and SOEs all declined in a third component of brand equity, Diferent.
A decline in Diferent is not unusual
as markets mature and become more crowded with brands that consumers view as similar. Conversely, improvement in Diferent becomes increasingly important, as customers experience more choice and being Diferent from the competition in a Meaningful way becomes a determinative factor in purchasing decisions.
INDIAN AND CHINESE BRAND POWER VARIES BY OWNERSHIP
Indian MNCs scored 330 in Brand Power, increasing from 305 a year ago. MNCs in China scored only 101 in Brand Power, not much higher than the average Brand Power score for all brands, which is 100.
The special strength of MNCs in India relects their long-time presence in India and MNC brand building expertise, which has produced some leading brands in India that most Indians view as indigenous. The Indian government’s success in attracting foreign investment also contributed to the signiicant MNC presence in India and high Brand Power.
Private brands in India scored 192 in Brand Power, and SOEs scored 166. Private market-driven brands in China scored 205. Chinese Competitive SOEs, those in consumer-facing categories, scored 214 in Brand Power. The Strategic SOEs, inancial and energy brands, scored 220.
The strong Brand Power scores for Indian brands, across ownership models,
result in part from India being a relatively open and welcoming market for
brands. Even when the state exclusively dominated the inancial services sector, which is now being liberalized, the state left ample room for small entrepreneurs, well-established Indian family conglomerates and MNCs to participate vigorously in the economy.
Both the Indian and Chinese markets are changing, of course. The government of India opened the Indian market over time and in a measured way, incrementally removing protectionist regulations. Current leadership advocates greater
openness. And, during the past few years, the Chinese government has advanced policies to increase market competition and encourage the growth of private brands.
As the Indian market becomes even more competitive, growing Brand Power will require brands to continue to be Meaningful and Salient while improving their scores in being Diferent. Brands that accomplish these goals will drive sales volume and market share, and they’ll also be able to command a premium.
Indian SOEs increase most in Brand Power.
The SOEs increased Brand Power 18 percent, while MNCs grew 8 percent and private brands improved more modestly.
MNC
(15 Brands)
Change in Brand Power (2015 vs. 2014)
+8%
Source: BrandZM / Millward Brown
Private
(26 Brands)
Change in Brand Power (2015 vs. 2014)
+0%
SOE
(9 Brands)
Change in Brand Power (2015 vs. 2014)
+18%
. Indian and Chinese Brand Power varies by ownership
In Brand Power Indian brands scored high in each brand ownership model and highest in MNCs.
Component Changes 2015 vs. 2014
Meaningful -4% Diferent -2% Salient +4%
Component Changes 2015 vs. 2014
Meaningful -3% Diferent -2% Salient +2%
Component Changes 2015 vs. 2014
Meaningful +2% Diferent -3% Salient +10%
MNC
330 101
Private SOE
192 166 205 214 / 220
(Competitive / Strategic) 100 is an average score; 105 and above is a good score
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Source: BrandZM / Millward Brown
BrandZM India Top 50 2015 and BrandZM China Top 50 2015
BrandZM divides Chinese SOEs into Competitive (in brand-facing categories) and Strategic (in the inance and energy categories).