GAINING GROUND

Despite SA’S economic and political woes, the value of the country’s top 50 brands has increased 3% year on year to R395bn. MTN still tops the chart, but Vodacom is closing the gap

Should MTN’S trend of losing brand value continue, there is every chance that Vodacom will close the gap and become SA’S most valuable brand in the near future. According to consultancy Brand Finance, MTN remains the country’s most valuable brand by far — worth R40.8bn and with an increase of 10% on last year, but nearly 30% lower than its 2014 peak.

Every year Brand

Finance publishes its top

50 brands table. Capitec is the fastest-growing bank brand and has risen 25% in value to R5bn.

And the retail industry shows signs of recovery, recording 9% growth overall.

Brand Finance notes that MTN’S financial results for 2016 reflect the most challenging year in the company’s 22-year history, fuelled by regulatory, macroeconomic and political challenges. Vodacom is SA’S second most valuable brand, with a value of R24.3bn, but it is slowly closing the gap. Brand Finance Africa director Jeremy Sampson says that despite being plagued by a recession, political instability and a higher unemployment rate, the total value of brands in the table has increased 3% year on year, from R384bn in 2016 to R395bn in 2017.

The banking sector, with nine brands, outperforms all other categories, with a total brand value of R100bn, making up nearly 25% of the total brand value of the table.

The telecoms sector follows, with R73bn, and retail is third at R49bn. Capitec is not only the fastest-growing bank brand, but the