Brand wars: From brand value to spend revenues

The top five spots of the 30 are secured by Tata, Reliance Industries, Airtel, LIC and SBI, in the given order, while the top risers were software services provider HCL (27% jump in brand value), followed by Kotak Mahindra Bank, Tanishq by Titan, Infosys, Maruti Suzuki and Asian Paints. These brands saw an increase in brand value by between 17% and 24% on average. Additionally, the new entrant, Zee Enterprise attention when it secured a spot at 26 rank. 

 

These brands are analysed on parameters such as financial performance, role of the brands, brand strength and brand value. 

 

For Jez Frampton, global CEO, Interbrand, some of this year's 30 Best Indian Brands are poised to rise. And this according to him is because of the way the brands have evolved. "These brands have learned to move at the speed of life. Not only are they keeping pace with a rapidly developing country, but are also keeping pace with the constantly changing wants/needs of consumers throughout India," Frampton said.

 

The value of a brand, according to Interbrand's MD Ashish Mishra reflects its responsiveness to the consumers, thereby creating micro-experiences at emerging touch points. "The overall behaviour of the top brands is in line with the behaviour of the best global brands. They all display deeper customer empathy."

 

Where the bucks are spent

A part of this is attributed to the spends that the brands make in advertising. According to recent projections by Zenith Optimedia, by 2017 Mobile ad spend will leapfrog radio, magazine, outdoor, and newspaper spend. 

 

In its projection of global ad spend for 2017, Zenith Optimedia forecasts mobile internet to contribute 83% of all additional spend between last year and 2017.

 

In such a case, what is in store for print? According to the report, although print spends are on a decline, the cumulative global spend on print, across newspaper, magazine and outdoor verticals will remain 23.3% of the total pie.

 

The India picture

On cue, IPG's strategic research arm Magna Global has estimated a 18.4% growth for the Indian media spends in 2016. According to the report, television ad spend is estimated to grow 15.1%, print 8.2%, and digital 67%. 

 

This increase in media spend in India has been on a surge since 2015. Citing numbers from the report, the advertising spending grew 16.3% in 2015 to Rs 48,700 crore, allowing India to become the 12th biggest ad market in the world at the expense of Russia. 

 

The IPG research arm says India will be the seventh biggest ad market by 2020.