HDFC, India's largest private lender, worth erodes 11% to $20.26 billion

MUMBAI: HDFC, India’s largest private lender saw its worth erode 11% to $20.26 billion compared to last year, but maintained its position as the country's most valuable brand for the seventh year in a row, according to BrandZ. The study by WPP and Kantar ranked 75 companies by combining their market capitalization with consumer research in India.

Life Insurance Corporation of India and Tata Consultancy Services were ranked second and third, retaining their positions from last year even as both declined 9% and 20% each. In fact, this year’s ranking worth $216 billion in brand value fell 6% over last year, largely due to slowdown in the banking and automotive sectors. India’s top brands, however, performed well against other countries where declines in brand value were far greater.

Telecoms providers that fulfilled growing demand for data-driven services like online gaming and media streaming saw surging valuation - Airtel, ranked at fourth position rose 36% to $13.9 billion while Jio that increased 26% was positioned seventh at $6.9 billion.


“There is a renewed consumer connect for telecom and retail brands post the pandemic led lockdown. The performance of retail, telecoms and FMCG brands has shown that being agile in times of crisis is critical for growth. Also, consumers reward brands that are consistent and meaningful over the years and not ones which rely on ad hoc brand investment," said Preeti Reddy, CEO - South Asia, Insights Division, Kantar.

For instance, Reliance Retail value rose 102% at $2.3 billion, becoming the fastest riser this year, at 25th spot. D-Mart's brand valuation grew 38% to ranked 16th at $3.3 billion while Nestle's Maggi expanded 46% at $2.5 billion, helped by heightened demand for food products after consumers hunkered down in their homes due to coronavirus-related restrictions.

David Roth, Chairman of BrandZ, said brands are being tested by the global pandemic, and are more vulnerable in countries such as India where the economy was slowing down prior to COVID-19. "However, many Indian brands have demonstrated their ability to adapt to tackle the challenges they now face with strategies that will help them cope with a very different world in the future, both locally and globally.” Roth added.

The study gets extensive consumer insights from 3.7 million consumers around the world, covering more than 166,000 different brands in over 50 markets – including opinions from over 121,500 Indian consumers on over 1140 brands in 89 categories.