• HSBC WORLD’S LEADING BANK BRAND FOR 3RD YEAR IN A ROW
• SANTANDER IS WORLD’S FASTEST GROWING RETAIL BANK BRAND
• DECLINE IN US DOMINANCE OF WORLD BANKING INDUSTRY
• RISE IN BANKING BRANDS FROM MIDDLE EAST
• FIRST RUSSIAN BANK BREAKS INTO WORLD TOP 20 BANK BRANDS
The banking sector has begun to show tangible signs of recovery, with the world’s 500 most valuable banking groups growing by 62% in terms of market capitalisation and their brand values cumulatively increasing by 49%, according to the fourth edition of the BrandFinance®
The report, which measures companies by both brand strength and brand value as of 31st December 2009, details how all segments of the banking industry have recovered.
HSBC retains its place as the most valuable banking brand in the world for the third year in a row, increasing in brand value by 12% to US$28.5bn. Bank of America, the second most valuable global banking brand increased in brand value by 24% to US$26.1bn. However, smaller US brands showed much higher percentage increases than Bank of America including Goldman Sachs, Chase and JP Morgan (106%, 53% and 45% respectively)
Santander is the world’s fastest growing retail bank brand, coming third overall in the Top 500. The Spanish banking group saw its brand value rise by US$14.8bn, an increase of 136% to US$25.6bn. A significant factor in the growth in Santander’s brand value has been the consolidation of Abbey, Alliance & Leicester and Bradford & Bingley brands under the Santander brand.
US dominance of the global banking industry has declined with a decrease in the number of US banks in the Global Top 500 down from 95 in 2008 to 85 in 2009. Although US bank brands recovered during 2009 the overall increase in brand value was only 29%.
Whilst the number of European banks in the Global 500 has increased from 174 to 197, the number of UK banks has fallen from 24 to 22. This suggests that recovery in continental Europe – most particularly in France, Spain and Switzerland – has left British banks behind. European bank brands have recovered significantly growing their brand value in aggregate by 67%.
Asian markets continue to do well but grew by only 31% in brand value because Japanese brand values declined by 3% reflecting the continued instability of the Japanese market. By contrast India and China saw brand value growth by 137% and 58% respectively.
2009 is also the first year that a Russian bank – Sberbank – has made the Top 20 (No.15), with significant growth of 160% on the previous year, bringing its market capitalisation to US$51.1bn and its brand value to US$11.7bn.
Banks in the Pacific region, including Australia and New Zealand, have seen a recovery with growth of 58%.
“This year’s BrandFinance®
Brian Caplen, editor of The Banker added: "In the wake of the financial crisis, banks are approaching the issue of branding with renewed vigour. However this cannot be a short term project. What Brand Finance’s rankings show is that successful banks such as HSBC and Santander work at getting all the parts of the operation to work in favour of the branding."”
Teamspirit Public Relations
M: 07702 153537
Notes For Editors
First published in 2006, The BrandFinance®
About Brand Finance
Brand Finance is an independent global business focused on advising strongly branded organisations on how to maximise value through effective management of their brands and intangible assets. Since it was founded in 1996, Brand Finance has performed thousands of branded business, brand and intangible asset valuations worth trillions of dollars.
Its clients include international brand owners, tax authorities, IP lawyers and investment banks. Its work is frequently peer-reviewed by the big four audit practices and its reports have been accepted by various regulatory bodies, including the UK Takeover Panel.
Brand Finance is headquartered in London and has a network of international offices in Amsterdam, Athens, Bangalore, Barcelona, Cape Town, Colombo, Dubai, Geneva, Helsinki, Hong Kong, Istanbul, Lisbon, Madrid, Moscow, New York, Paris, Sao Paulo, Sydney, Singapore, Toronto and Zagreb.