Brand value increases across categories

Part 3 | The Categories
Banks
BANKS LOOK
INWARD, RECALIBRATE
STRUCTURE, PRODUCTS
AND BRAND
Financial results improve
LAST YEAR was a time of introspection
and renewal for bank brands.
Having emerged from the paralyzing
shock of the global financial crisis, the
banks experimented with new initiatives
for growing their businesses in a more
regulated, low interest rate environment.
They attempted to win back consumer trust.
Then the Libor scandal erupted. Banks
admitted to increasing trading profits by
manipulating an interest index called the
London Interbank Offered Rate.
Definition
The bank category, which includes
both retail and investment
institutions, has been split into
two tables, with the brands now
classified as either global or
regional. Global banks are defined
as deriving at least 40 percent of
revenue from business outside their
home country.
80 BrandZ Top 100 Most Valuable Global Brands 2013
Both financially sophisticated consumers,
and those who didn’t quite comprehend
the arcana, grasped the basic message—
banks again had failed to earn their trust.
Surprisingly, that didn’t seem to matter.
Most banks reported strong financial
results and experienced rising share prices.
The drivers included economic recovery
in the US, expansion in fast growing
markets, internal reforms aimed at
becoming more transparent and
customer responsive, and the success of
new business ventures, many aimed at
high-wealth customers. Plus, consumer
inertia outweighed dissatisfaction.
Rebuilding trust
Banks attempted to rebuild trust
by reshaping communications and
restructuring organizationally. On his
second day on the job, the new CEO
of Barclays declared his intention to
transform the profit-driven culture to one
based on customer service and respect.
The bank experienced a 34 percent rise
in brand value, the second strongest
result, after Citibank, among banks in
the BrandZ global bank ranking. The
improvement reflected both a recovery
of value and confidence that planned
changes, including cost cutting, will
unlock growth potential.
Banks focused intensively on regaining
the trust of the people most debilitated by
its loss—bank staff. Even ad campaigns
aimed at consumers were designed to
help lift internal morale and win back the
confidence of staff, potentially important
brand ambassadors.
In celebrating its 200th anniversary
in 2012, Citibank aimed its narrative,
about funding human progress, both at
customers and employees. Citibank brand
value rose 37 percent. Santander alerted
staff to watch its key TV campaigns and
emphasized staff’s critical role in fulfilling
the promises made in the ads.
Top 10 Global Banks
Brand value
2013 $M
Brand
contribution
Brand value %
change 2013 vs 2012
1 HSBC 23,970 3 24%
2 Citi 13,386 2 37%
3 Chase 10,836 3 25%
4 Standard Chartered 10,160 2 1%
5 J.P. Morgan 9,668 2 New
6 Santander 9,232 3 8%
7 Barclays 7,989 2 34%
8 ING Bank 7,596 3 New
9 UBS 7,429 2 New
10 Goldman Sachs 7,351 3 New
Valuations include data from BrandZ, Kantar Worldpanel, Kantar Retail and Bloomberg.
Brand Contribution measures the influence of brand alone on earnings, on a scale of 1 to 5 (5 highest).
Financial Institutions | Banks
Global Banks
Up 23%
81