19 Indian banks among top 500 financial brands
Compared to the previous year's list around 209 banks has been out placed as they turned victims of the recession in U.S., Europe and Japan. The biggest gainer from India was HDFC Bank, whose brand value rose by $243 million from 2007 to $611 million in 2008, whose position in the league table jumped to 151 in 2008 from 236 in 2007, reported The Economic Times. "Emerging market brands have significantly outperformed world brands in 2008. Many of the best known developed world banks have died in 2008. Some are walking dead awaiting a silver bullet before they finally go. Governments hold the gun," said David Haigh, CEO of Brand Finance. Even Axis Bank moved up the ladder to occupy the 267 position, while Kotak Mahindra Bank logged 278 position. On the contrary, State Bank of India (SBI) ranked 69 in the latest survey, down from 60 a year earlier, with a brand value of $1.44 billion, down from $2.852 billion. Its market capitalization fell to $9.83 billion from $12 billion.
Apart from them, there were 13 new entrants from India, which are public banks, including Punjab National Bank, Bank of India, Canara Bank, Bank of Baroda, Union Bank of India, Indian Overseas Bank, Indian Bank, Power Finance Corporation, Oriental Bank of Commerce and Syndicate Bank. The list also includes the three associate banks of SBI viz. State Bank of Hyderabad, State Bank of Patiala and State Bank of Bikaner & Jaipur. In the previous year, only six Indian banks featured in Brand Finance's list.
The rankings provided by the Brand Finance along with The Banker magazine was used through a discounted cash flow (DCF) technique to discount estimated future royalties, at an appropriate discount rate, to arrive at a net present value (NPV) of the trademark and associated intellectual property: the brand value.
Experts on SiliconIndia
Post your Comment
All form fields are required.