Equity Group and Kenya Commercial Bank (KCB) are among the world’s top 500 lenders by brand value according to the latest report by Brand Finance.
Equity Group was ranked at position 338 and KCB at 366 from 454 in 2021 which was attributed to positive sentiments from their customers.
Customers rated the two on quality, reputation, and customer satisfaction.
Brand Finance assigned Equity and KCB a value of $388 million (KSh44.1 billion) and $338 million (KSh38.4 billion) respectively.
Brand value was described as the net economic benefit that owners would achieve by licensing their brand in the open market. It is, however different from the valuation of a company’s hard assets.
“The growth in brand value of Kenyan banks is the result of their strong performance in Brand Finance’s original market research, which was introduced in the country for the first time this year. High scores from the consumer survey have boosted the overall brand strength evaluation of the Kenyan brands, which in turn has boosted their brand value,” said Brand Finance in the report.
In Africa, 20 African brands were ranked, with South Africa dominating the African contingent as seven of its brands featured and six of which sat at the top of the continental ranking.
ABSA (US$1.437 billion), Nedbank (US$1.018 billion), Investec (US$992 million), and Capitec Bank (US$625 million) joined Standard Bank and First National bank at the top.
In West Africa, Nigeria had five brands in the ranking with Access Bank (US$379 million) the nation’s most valuable. Egypt and Morocco each have three, and Kenya had two.
Every year, brand valuation consultancy Brand Finance puts 5,000 of the biggest brands to the test and publishes nearly 100 reports, ranking brands across all sectors and countries.
The world’s top 500 most valuable and strongest banking brands are included in the annual Brand Finance Banking 500 ranking.
Chinese banks maintain the lead in the Brand Finance Banking 500 2022 ranking, accounting for one-third of total brand value and worth a cumulative US$454.4 billion.
Declan Ahern, Valuation Director at Brand Finance, commented: “Chinese banks have performed extraordinarily well this year, with no signs of growth slowing down for years to come. This was undoubtedly aided by the country’s timely response to the pandemic, which reduced the level of economic disruption observed by its counterparts in Europe and the United States.”