Sir Martin Sorrell speaks on Brand India, BrandZ report and more...
Global media and communications research agency Millward Brown, has announced the maiden BrandZ™ Top 50 Most Valuable Indian Brands 2014 on the 19th of August 2014. Commissioned by WPP and carried out by Millward Brown, BrandZ™ valuations rankings are the global rankings study that uses a unique brand valuation mechanism that combines officially released financial data and consumer-driven brand equity measurement to calculate brand value. The valuation study, which was introduced globally in 2006, in China in 2011 and Latin America in 2012, has seen a huge success and has received an overwhelming response in both markets as well as internationally. Currently in its ninth year, the BrandZ™ Top 100 Most Valuable Global Brands study aims to create a new milestone with the launch of its first Indian edition, BrandZ™ Top 50 Most Valuable Indian Brands. The rankings were unveiled on in the presence of WPP CEO Sir Martin Sorrell and other top executives of leading Indian agencies and brands.
Earlier to the brand report launch, Sir Martin Sorrell, caught up with members of the media for a special editorial meet, where he spoke of ‘brand India’, the expectations from Indian brands with regards to the report, what the next couple of years hold for Indian brands and agencies and much more.
Sorrell opined that thought ‘Brand India’ has taken a beating in the last couple of years and need to work hard to clarify the distorted picture at the earliest. Though he did not explain the shirt-comings that India faced in the last 2-3 years, he stated that there is a direct co-relation between a country’s tourism, fresh investment, education and technology sectors - a country’s brand image perception and foreign direct investment inflows the country has. He also remarked that India’s infrastructure needs a lot more attention, drawing comparisons between neighbours China which, according to him has better infrastructure and thus better brand image calling for higher overseas investment. As the new Government takes measured steps with regards FDI in different sectors in India, Sorrell pins hopes on the newly crowned Prime Minister Narendra Modi on the basis of the promises he made in run up to the elections. "The Indian Prime Minister has already indicated a willingness to think about these issues and do something about them. Also, as expectations have been high, they need to be fulfilled, otherwise disappointment will set in people’s minds. With Narendra Modi at the helm, I hope India gets its mojo back”.
Sorrell, when speaking about WPP’s India business, stated that India continues to be strong for WPP and has grown very significantly in 2014 than 2013. “For the first time, we will be crossing $500 million in revenues, and has been growing at 6-7 per cent per annum; that is an incredible achievement. Our share here is extremely strong across all our businesses that continue to perform very well. Sorrell however, regretfully mentioned that India for WPP is "under advertised" in comparison to WPP's operations in China. He mentioned the need and growing importance of domestic corporate that address and tap into the local opportunity first and then look outward.
Speaking about the Indian edition of BrandZ report and what goes into its making, Prasun Basu, MD – South Asia, Millward Brown, said, “BrandZ™ is a unique brand valuation methodology that has established a global credibility. This makes the BrandZ Top 50 Most Valuable Indian Brands the definitive and most robust ranking available. BrandZ™ approach starts with officially available financial information and scientifically attributes the contribution of consumer facing brands to business success, especially important in the context of large corporations, business houses or conglomerate brands. The stronger the relationship that a brand can build with consumers in its category, and is able to leverage those consumer connections, the more sustainable and profitable the brand becomes. Therefore, the Top 50 are reputable, successful engines of financial growth for the future of India”. He opined that this ranking can help clients / brands in large ways; right from evaluation of the work they do, to boosting confidence and motivation to maintain their presence on the list. “For those who could not make it in the top 50, it will help them scale up their efforts to enter this ranking”, he added. He also mentioned that altering rankings will now be a part of the game, just like global reports as well.
With the Indian edition, the BrandZ Top Valuable Brands report enters a third market after China and Latin America. Elaborating on the plausible reason for this entry, he mentioned that one of the understandable reasons is the gigantic nature of the Chinese economy. “Also, after gaining success in China, we thought to then pick up India, which was in the list right from the start”, he mentioned
Commissioned by WPP, the ranking combines rigorously analyzed financial data from Bloomberg and Kantar Worldpanel with consumer opinions gathered from Indian consumers covering over 500 brands in 37 categories. In this study, brands meet the following eligibility criteria: Owned by a company which is publicly traded in India, reported positive earnings and bank brands derive at least 25 % of revenue from retail business