Tata Consultancy Services (TCS) remains the nation’s most valuable brand for the third straight year, according to the new Kantar BrandZ Most Valuable Indian Brands report. With a brand value of $49.7 billion, TCS has seen a 16% rise versus last year, driven by investments in innovation, particularly in AI and digital transformation.
Interestingly, Zomato (at number 31 with a brand value of $3.5 bn) is this year’s fastest riser with 100% growth in brand value year-on-year due to relentless innovation and expansion into quick commerce. It has also boosted efficiency and elevated its customer experience over the last year.
Out of the total 75 most valuable brands with a combined value of $450.5 billion, there are only 12 internet and new-age brands like Zomato, Swiggy and Ola on the list.
This comes at a time when the startup ecosystem is growing in the country- from the inception of its first unicorn start-up in 2011 to having more than 100 unicorns in 2024 with an aggregate valuation of $350 billion.
However, what is missing is their focus on building brand equity.
Soumya Mohanty- Managing Director and Chief Client Officer, Insights, South Asia, Kantar tells Storyboard18 that one of the things that startups definitely need to do is to build brand equity.
“100% of the focus of startups today is on performance marketing because they can see the return much faster. This impacts the journey of a startup in the mid-term unless you have a strong new value proposition like Swiggy and Zomato,” she says.
Kantar’s annual global and local brand valuation rankings combine rigorously analysed financial data, with extensive brand equity research.
Deepender Rana- Executive Managing Director, Insights Division, South Asia, Kantar, adds that tech brands usually top the list because of their focus on AI and technology which helps them to stay ahead and transform.
To ace the list, he notes that one needs to have a very strong consumer pull right or brand power- which comes by creating meaning. Additionally, being different creates a very strong predisposition and also the ability to charge a premium. Also, the ability to convert that predisposition into sales at the point of purchase. Further, one should be able to find new sources of growth- which means being innovative.
For instance, Swiggy’s foray into quick commerce, Tata Motors move into EVs, and Google’s foray into cashless transactions.
“Strong brands consistently outperform the market. Brands that thrive are those that create a meaningful difference by meeting evolving consumer needs, challenging industry norms, and forging strong emotional connections. The top performers in this brand ranking have excelled by embracing disruption and innovation, leading to significantly higher growth,” he adds.
Mohanty also highlights that it is not enough to make consumers want to buy, brands must build their saliency and relevancy across all touchpoints, from advertising to in-store experiences.
“Successful brands create a consistent presence that resonates with consumers, driving both awareness and loyalty. Those that thrive have combined strategic reach with compelling, creative messaging to capture consumer attention and drive significant brand growth,” she says.
It was further noted that for most FMCG brands, premiumisation continues to drive growth.
“Every brand with a premium portfolio has been doing relatively better. And within brands also, the premium part has been doing better. but I guess there is a growing realisation that we need to grow volume,” Mohanty remarks.
Additionally, last quarter was the first quarter in many years where the rural demand growth was faster than urban demand growth, which is predicted to perform well, this quarter too.
The List
According to the report, TCS topped a strong group of seven business technology and services platforms, collectively worth almost $100 billion, and equalling 22% of the total value of India’s Top 75 ranking. Financial services brands also dominated, with 17 brands, contributing 28% of the ranking and overall brand value.
HDFC Bank (at number 2 with $38.3bn) retained its position as India’s second most valuable brand. State Bank of India (at number 5 with $18 bn), ICICI Bank (at number 6 with $15.6bn), and LIC (at number 10 with $11.5bn) also featured in the top 10.
The automotive sector has also seen impressive results, led by Maruti Suzuki (at number 17 witnessed a 24% increase), Bajaj Auto (at number 20 witnessed a 94% growth), Mahindra (at number 30 saw a 78% increase), TVS (at number 34 witnessed a 71% growth) and Hero (at number 35 saw a 62% growth).
The report noted that rising disposable income and a growing middle class are driving demand for vehicles, shifting car ownership from a status symbol to a necessity. Improved infrastructure, government support for EVs, and strong export growth expectations are further fuelling the industry’s momentum.
India’s motorised two-wheel vehicle market is bouncing back, driven by a recovering economy and rising demand for personal transportation. Key factors include urbanisation, the need for affordable transport, and a growing young population. New models with advanced technology are also fuelling growth, meeting diverse consumer needs.
Seven brands debuted in India’s brand ranking this year, including jewellery retail brands- CaratLane (at number 45 with $2.7bn) and Kalyan Jewellers (at number 71 with $1.6bn) and real estate brand- Lodha (at number 63 with $1.9bn). Godrej Properties (at number 70 with $1.66bn) also re-entered the ranking.
The report also noted that strong brands can accelerate growth and shield against market-shocks.
It noted that low-growth brands missed out on nearly 4.5% of potential market share by not being sufficiently present. Meanwhile, strong brands have more effective and meaningfully different advertising.