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Telecoms companies dominate latest South African brand rankings
By our News Team | 2023
Pan-African giant MTN is the country’s most valuable brand yet again, with Vodacom coming in at number two.
For the 12th time in the past 13 years, telecoms brand MTN is South Africa’s most valuable brand according Brand Finance South Africa 100 2023 ranking report.
The study is produced annually by brand valuation consultancy, Brand Finance, and shows that MTN’s brand value increased by 24% to US$4.1-billion.
MTN remains South Africa’s most valuable brand. Photo credit: MTN
MTN’s brand value is now up 50% from its pre-pandemic level, with the report noting that: “This is an impressive statistic considering the difficult operating conditions and the complex geopolitical environment that the brand has been faced with. In addition, it also has the highest Sustainability Perceptions Value (SPV) of any brand in the ranking.”
MTN’s brand is worth almost double that of the second most valuable brand, Vodacom. This telecoms brand increased its value by 33% to US$2.2-billion.
Although Vodacom is not yet operating on the same scale as MTN – which is an enormous pan-African and emerging market brand – Brand Finance’s research found it is out-performing MTN in a number of key metrics surrounding customer satisfaction. These included consideration, usage, reputation, quality and customer service.
Brands that have invested in their future are prospering
“It is invariably the case that, when economic conditions are particularly challenging, strong brands show off their pedigree. As the world economy and South Africa recovers from the Covid-19 pandemic the brands that have continued to invest in their future are prospering,” says Jeremy Sampson, Managing Director for Africa at Brand Finance.
While telecoms brands are at positions one and two for brand value, banking brands are heavily represented in the top 10 – with Standard Bank, FNB, Absa, Nedbank and Investec all listed.
As a sector, banking is the most valuable in the South Africa 100 2023 ranking, making up 24% of the total brand value.
Standard Bank (brand value up 27%) is the third most valuable South African brand, making it the country’s most valuable banking brand for the second consecutive year.
The bank’s 27% year-on-year growth has further widened the gap with First National Bank (brand value up 5%) and Absa (brand value up 19%) which sit in fourth and fifth in the ranking. Investec (brand value up 15%) has risen three places to re-enter the top 10 of the ranking.
Rating the strongest South African brands
When it comes to the strongest South African brands (a different set of metrics to brand value), retailer Pick n Pay (brand value up 30%) has become the strongest local brand with a Brand Strength Index (BSI) score of 94 out of 100 and corresponding AAA+ rating. Pick n Pay has seen a 14-point BSI increase year-on-year.
Fellow retailer Woolworths is the second strongest brand, while banking brands FNB and Capitec are 3rd and 4th. Retail brand Clicks is 5th.
View the full Brand Finance South Africa 100 report, the annual report on the most valuable and strongest South African brands, here.
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