India drops a rank, is ninth most valuable brand
US tops the charts , its brand rating improves under President Trump; UK brand value grows despite Brexit: Nation Brands 2018
India is ninth in a list of top 50 most valuable nation brands, according to Nation Brands 2018, a report just released by Brand Finance, the global brand valuation and strategy consultancy. The country however has slipped down the charts, second year in a row, from seventh in 2016, India slipped to being the eighth most valuable nation brand in 2017 and ninth in 2018. US has retained the top position and China, the second rank.
The national brand value of India has grown by 5 per cent from $2,046 billion to $2,159 billion, according to the report. Despite this, India’s national brand value was overtaken by Italy (up 9 per cent to $2,214 billion) that moved up a spot to eighth rank this year.
India’s brand value was hit by factors such as accessibility of local venture capital, intellectual property protection and labour market regulation. But on the other hand, the country saw perceptions shift for the better around the ease of doing business, health infrastructure and foreign investment.
David Haigh, CEO of Brand Finance said, “India’s brand value has grown at a steady rate this year to retain its status as one of the Top 10 nation brands in the world. As a major emerging market player,
India needs to maintain its policies on the easing of foreign direct investment and continue to leverage its current strengths, it will lead to better jobs, higher wages, and greater investment in India in the future.”
Germany that has held on to the third spot has also emerged as the fastest-growing nation brand in the top 50 list of 2018, it has seen a 28 per cent brand value jump to $5.1 trillion over the past year as compared to a 4 per cent increase the previous year. Its rise is attributed to its growing clout in the European Union and expanding role on the global economic and political stage.
China was the fastest growing
nation brand in 2017 and this year its brand value is up 25 per cent to $12.8 trillion. The rise is largely credited to booming cities like Beijing and Shanghai, for their worldclass infrastructure and welleducated workforce, which make them some of the world’s best places to do business. Importantly, six out of ten of the fastest-growing nation brands in the world come from Africa: Democratic Republic of the Congo, Egypt, Kenya, Tanzania, Ethiopia, and Ghana have all recorded outstanding growth since last year. As South Africa struggles to recover from the turmoil of the Zuma years, its nation brand is also in danger of being overtaken by Nigeria, the report said.
The big story however is the US is not only still top of the charts, but it has improved its brand ratings from AAA- to AAA. Brand value has gone up 23 per cent over the past year to $25.9 trillion. Haigh said, “As Donald Trump approaches the start of his third year at the White House, negative perceptions of his personal brand have turned out to have little impact on the nation brand as a whole.”
Britain’s brand strength has fallen slightly since last year, but the country’s brand value has grown despite Brexit. It switched places with Japan on the list this year, finding its spot at Rank 4, while Japan stood at 5.