Competition creates Top 50 brand churn
Substantial value growth defines the ranking
1. Brands needed substantial value growth to remain in the Top 50
Only 38 brands that appeared in the 2014 BrandZ™ India Top 50, just three years ago, remain in the BrandZ™ Top 50 2017. Of the remaining brands, those that held their rank increased value 48 percent, on average. Brands that failed to increase value by at least 18 percent dropped in rank. Brands that rose in rank increased value 106 percent, on average, almost double the overall Top 50 value growth rate of 57 percent.
2. Meaningful Difference was the key to substantial brand value growth
Brands in the India Top 50 that are high in Meaningful (consumers feel an affinity for them and believe the brands meet their needs in relevant ways) and Different (consumer see the brands as distinctive and trend setting) totaled $45.6 billion in value, more than twice the $21.8 billion total value of brands with low Meaningful Difference.
3. Brands that grew value substantially were high Brand Contribution and Brand Power
India Top 50 brands that grew substantially in value between 2014 and 2017 had high Brand Contribution and high Brand Power. These brands grew value at twice the rate of brands with low Brand Contribution and low Brand Power. Brand Contribution represents the value of a brand itself—the intangible asset that exists in the minds of consumers. Brand Power is the BrandZ™ metric of brand equity.
4. Local Indian brands increased in number
The number of local Indian brands increased to 38 in the 2017 BrandZ™ India Top 50, from 35 brands in 2014. Over the same period, Top 50 Indian brands owned by multinationals declined from 15 to 12.
5. Local Indian brands also increased in value
Local Indian brands increased 62 percent in value between 2014 and 2017, and Indian brands owned by multinationals increased 29 percent. Although there are fewer multinational-owed Indian brands in the Top 50 today, the remaining brands have grown in value more than the local Indian brands. Therefore, the average brand value growth of multinational-owned Indian brands exceeded the average brand growth of local Indian brands, 73 percent to 49 percent.