Each year, the brand valuation and strategy consultancy Brand Finance puts thousands of the world’s top brands to the test. They are evaluated to determine which are the most powerful and the most valuable by country, by industry and against all other brands worldwide.
The most valuable South African brands are included in the Brand Finance South Africa 50, launched this month in partnership with Brand South Africa and Brand Africa. In its inaugural inclusion in the 2016 ranking, Growthpoint scored a brand value of R1,467bn on 1 January 2016, and a Brand Rating of AA-.
Thebe Ikalafeng, chairman of Brand Finance Africa, comments: “It’s typically quite difficult to see any movement among the top 50 list because it takes a long time to build a great brand. For that reason, many companies remain regular on the list, changing little, although jostling for position. Major shifts are usually a result of disruption in a particular industry or sector such as when the likes of Facebook and Google disrupted the communication sector globally and Outsurance and Vitality in the health sectors locally. Growthpoint’s ability to crack the list says it is doing the right things. Its inclusion recognises Growthpoint’s brand custodianship and management and the growth of its business.”
Ikalafeng adds: “Successful brands contribute to the value of South Africa as a country. They create jobs, reduce inequality and poverty. It is important to remember Brand Finance’s compilation of South Africa’s 50 Most Valuable Brands is an independent evaluation using publicly available information on each business. The only way to get on the list is to build a great brand. Brand Finance Salutes Growthpoint for its excellence in flying the South African and African flags.”
The methodology used to compile the ranking defines a brand as a marketing-related intangible asset including names, terms and visuals that create distinctive images and associations in stakeholders’ minds, thereby generating economic benefits and value. It also considers the brand contribution, which is the total economic benefit that a business derives from its brand, from volume and price premiums over generic products, to cost savings over less well-branded competitors.
Norbert Sasse, CEO of Growthpoint Properties, comments: “We’re thrilled to be included among South Africa’s 50 most valuable brands. This achievement is especially remarkable considering the relatively short time the Growthpoint brand has existed. Prior to June 2007 we were externally managed, so we really only began our own brand journey about nine years ago. South Africa’s property sector is highly competitive and a strong brand is a valuable advantage for outperformance.”
Sasse adds: “Our marketing team is the official custodian of Growthpoint’s brand and they understand that a brand is more than our logos, symbols and designs, but is a function of the entire business - what we do and how we do it. Our people are passionate and proud ambassadors of the Growthpoint brand and take their representation of the organisation extremely seriously. They drive our strong reputation and deliver on our brand promise of ‘Space to Thrive’.”