Just 7 Indian brands make the Global top 500 in 2010

The Brand Finance Global 500 report features just seven Indian brands. Despite India Inc's growth domestic brands are failing to make an impact on the global stage.

The top 500 most valuable brands in the world have grown in value by 26% to US$ 2,873 billion. The US continues to dominate the table, with 7 of the top ten, by comparison India provides just 7 of the 500, three of whom are new entrants.

India's strongest brands

Tata and Reliance are India's most valuable brands. Tata is valued at US$ 11.2 billion, up on US$ 9.9 billion in 2009. Reliance is worth US$ 7.2 billion (US$ 6.6 billion in 2009). While value has increased, each brand slips in the rankings, Tata fell to 64 from 51, Reliance fell to 107 from 93.

Airtel's value was up slightly to US$ 3.1 billion, yet similarly, its ranking plunged to 288, from 215 last year.

Indian winner

State Bank of India is India's big winner jumping to 186 (from 344), it's brand value reaching US$ 4.5 billion. In addition, Bharat Petroleum, Infosys and ICICI Bank make the list for the first time.

Emerging market comparison

India trails its BRIC contemporaries. China has 18 brands represented, including 7 new entrants, Brazil 9 (4 new entrants) and Russia 8 (3 new entrants).

Brand building versus acquisition

India Inc's recent acquisitions - Tetley Tea, Jaguar, Land Rover, Corus, Whyte & Mackay - prove that the value of brand (at least at the right price) is understood. But considering India's buoyant corporate environment and headline making economy, the countries brands are struggling to make their presence felt outside of India.

Domestic market focus, for now

India's brands are inward looking. Considering the potential of the domestic market it is understandable as Indian companies attempt to exploit domestic market opportunities. The danger is that India's brands become captive within their own cost-conscious market and uncompetitive on the global stage.

Once the domestic market matures and becomes more competitive, India's brand owners will be lured on to the international stage in greater numbers. At this point understanding the value of intangible assets will become paramount.

February 20, 2010 Add a comment