MTN has retained its position as South Africa’s most valuable brand despite experiencing an 8% decrease in brand value to ZAR68.2 billion. Vodacom and Standard Bank round off the top three with the podium remaining as it was in 2023. The new entrant into the rankings is Nando’s which makes an appearance at number 4, relegating First National Bank down to fifth from that position last year. Nando’s was not previously valued but new available financial data saw them enter the rankings at number four. The top ten unsurprisingly contains four banks (Standard Bank, First National Bank, Absa and Investec), two telecommunications giants (MTN and Vodacom) and two retailers (Shoprite and Spar); making Nando’s entrance all the more impressive.
In terms of the strongest brands (Brand Strength Index), First National Bank moves to the top of the ranking, replacing last year’s strongest brand, Pick ‘n Pay which drops to eighth. The biggest mover within the top 10 brand strength ranking is Old Mutual, from seventh in 2023 to second in 2024. Woolworths rounds out the top three, down one place from second in 2023. Interestingly the brands included in the top 10 remain the same, in some cases just trading places. Retailers dominate the space with Woolworths, Checkers, Dis-Chem, Clicks, Pick ‘n Pay and Game all demonstrating the trust consumers place in them.
MTN (brand value down 8% to ZAR68.2 billion) is the most valuable South African brand
MTN's position as the most valuable South African brand, even after experiencing an 8% decrease in brand value to ZAR68.2 is testament to its robust market presence and continued brand value. The telecommunication giant’s international presence in over 21 markets worldwide has enabled them to build a resilient global South African brand. This is demonstrated by Nigeria emerging as its largest market, not just in user base but also in revenue generation, surpassing its South African operations by nearly ZAR30 billion.
Despite these obstacles, MTN has maintained an impressive brand strength, and as the only telecommunication operator in the Top 10 with a brand strength index of 87 out of 100.
Vodacom (brand value up 10% to ZAR43.9 billion) is second most valuable South African brand
Vodacom's brand momentum saw the telecommunications operator achieve a 10% increase in brand value in 2024, reaching a brand valuation of ZAR43.9 billion in 2024. The increase in brand value not only helps them retain second place in the rankings, but helps close the gap on their leading rival MTN. The relationship between Vodacom and its majority shareholder, the UK-based Vodafone, plays an important role in Vodacom's brand perception and market performance. Despite Vodacom's operational autonomy and distinct listing on the Johannesburg Stock Exchange, Brand Finance has found that its affiliation with Vodafone enhances its brand equity. This association likely contributes to a halo effect, bolstering Vodacom's brand value through recognisability and trust.
In terms of brand strength, Vodacom is ranked as the 14th strongest brand in South Africa, with a score of 86 out of 100.
Standard Bank (brand value up 27% to ZAR37.5 billion) remains third most valuable brand
Standard Bank has exhibited remarkable growth in brand value, with a 27% increase in brand value this year, securing its position as the third most valuable brand in South Africa with a valuation of ZAR37.5 billion. Brand Finance has identified that this substantial uplift in brand value is due to Standard Bank's strong market presence and the effectiveness of its strategic business initiatives. It’s success in its operations in Africa outside of South Africa contribute significantly to the strong brand valuation.
Nando's (new entrant at ZAR28.2 billion) enters the ranking at 4th
Nando's is a brand which proudly boasts of its South African heritage and culinary innovation in its stores globally. Nando’s was not previously included in the rankings due to access to financial data, but with new data sources, Brand Finance was able to do a brand valuation for the first time. Its inclusion in the Brand Finance South Africa 100 rankings is notable, especially since it boasts a brand value of R28 billion and is the fourth most valuable South African brand.
Scoring 77 out of 100 in brand strength, Nando's showcases its prowess in key areas that contribute to its overall brand equity. Nando's commitment to innovation, both in menu offerings and customer experience, sets it apart in a competitive landscape. The high-quality products, characterised by their unique Peri-Peri flavour and range of sauces, reinforce the brand's dedication to customer satisfaction.
First National Bank (brand value up 2% to ZAR26.6 billion) is the strongest South African brand
First National Bank, has moved from third in 2023 to occupy first position as South Africa’s strongest brand, boasting a brand strength score of 92 out of 100. Consumer acceptance of its 2022 brand update appears to have enhanced its brand equity and appeal. This success is attributed to the bank's strategic shift towards positioning itself as more advisory-focused, rather than merely product-oriented.
The ubiquity of the First National Bank brand within South Africa is evidenced by its high levels of familiarity and consideration among consumers. The bank's strategy has enabled it to maintain a pervasive presence, ensuring it remains top-of-mind among South Africans. Moreover, First National Bank has excelled in fostering a deep connection with its customers and stakeholders, as demonstrated by its leading position in the perceptions of brand love within the banking segment. This indicates a successful engagement strategy that resonates emotionally, reinforcing customer loyalty and trust.
Retailers face mixed brand value fortunes but remain amongst South Africa’s strongest brands
With 6 retailers in the Top 10 strongest brands in South Africa, there is no doubt which sector South African consumers trust the most. Woolworths remains the strongest retail brand for the second year in a row with a brand strength index score of 90 out of 100. All six retailers score over 87 out of 100 for brand strength.
In contrast to their strong brand scores, retailers have fared differently in in terms of brand value. Woolworths, Pick ‘n Pay, Game and Clicks (and Mr Price at fourteenth in brand strength) have seen brand value declines year on year, while Checkers and Dis-Chem have bucked this trend. In particular, Checkers has managed to add an impressive 14% to its brand value to achieve a valuation of almost ZAR1 billion.
Despite headwinds, brand consistency delivers exponential growth over time
2024 is the 15th release of the Most Valuable South African Brands ranking and there are interesting trends worth reflecting on, particularly in the period 2016 to 2024.
There has been an incredible degree of consistency in the brand value performance of South African brands. Six out of the top 10 most valuable brands have remained in that grouping throughout the past nine years. More specifically, MTN and Vodacom have consistently been the top two most valuable brands in the rankings - and up until 2021, both MTN and Vodacom appeared in the top 10 brand strength rankings too, which supports the principle that strong brands support strong business performance.
The rising stars of the Shoprite Group
Cumulatively, brands from the Shoprite Group included in this year’s rankings have generated ZAR41 billion in value – which if considered as such would place the group portfolio at number three in overall brand value ranking, just behind Vodacom and well ahead of the big financial services brands. As the largest Southern African retailer, offering an “ecosystem of value for customers”, this should come as no surprise.
U-Save and OK Furniture are the two fastest-growing South African brands in 2024, with 54% and 43% brand value growth, respectively. Shoprite entered the top 10 most valuable brands for the first time in 2024, while Checkers retained its top 10 spot in the strongest brands ranking.
MTN has the highest sustainability perceptions value
As part of its brand valuations, Brand Finance scrutinises the influence of certain attributes on the overarching brand value. An attribute that has seen a marked increase in its importance in recent years is sustainability. Brand Finance quantifies brands' sustainability image through the 'Sustainability Perceptions Score'. From this, a monetary amount known as the 'Sustainability Perceptions Value' is derived for each brand.
Amongst brands in the Brand Finance South Africa 2024 ranking, MTN not only stands out as the most valuable brand, but also boasts the highest 'Sustainability Perceptions Value' of ZAR5.7 billion. This figure does not gauge MTN’s overall sustainability endeavours; rather, it reflects the extent to which the brand’s value is associated with perceptions of its sustainability.