MTN and Vodacom are South Africa’s most valuable brands for the year 2022, coming first and second, respectively, out of the country’s top 100 most valuable and strongest brands.
The latest annual report on the most valuable and strongest SA brands by Brand Finance says MTN recovered strongly from the impact of COVID-19 to extend its lead over second-ranked Vodacom.
The brand valuation consultancy says the leading telecoms brand value surged this year, returning to growth after a disappointing result in 2021.
MTN’s value is up 5% to R29.9 billion, meaning its brand value is now worth almost exactly double that of Vodacom.
Every year, Brand Finance puts SA’s most valuable and strongest brands to the test. The country’s top brands are then included in a dedicated national ranking – the Brand Finance South Africa 100.
This year, Brand Finance says, all inclusive, the aggregate value of the top 50 South African brands grew by 15%, from R452 billion in 2021, to R519 billion in 2022.
Similarly, the consultancy says, the aggregate value of the top 100 South African brands grew by 17% this year, from R488 billion in 2021, to R570 billion in 2022.
MTN’s brand value went up 34% to R59.8 billion, to retain the number one spot on the ranking of the most valuable South African brands in the world.
The report notes that while the introduction of new regulations in Nigeria have slowed growth in Nigeria, the number of MTN subscribers across the African continent increased by 2.9 million this year, to over 272 million subscribers globally.
It says MTN is delivering on its brand commitment by carrying significantly higher levels of data traffic and financial transactions on its Mobile Money (MoMo) service.
Transaction volume of MTN’s MoMo in Nigeria, its most lucrative market, rose by 167% to 137.5 million in the year ended December 2021, from an active user base of 9.4 million, up 102%.
“South African brands are powering our economy, and as the world looks towards life after COVID-19, MTN has cemented its leadership role as our most valuable brand,” says Jeremy Sampson, managing director, Brand Finance Africa. “
MTN’s brand value has grown considerably. With the current refresh of the brand, it is well-positioned and reenergised for the future.”
Bank brands mastery
After MTN and Vodacom, the Brand Finance South Africa 100 2022 report’s top 10 was dominated by banks, with Standard Bank edging ahead of First National Bank and Absa to be the most valuable banking brand.
Standard Bank’s brand value surged 12% to just over R23.4 billion, marginally edging out First National Bank (with brand value up 6% to just under R23.4 billion), to become the most valuable banking brand in SA for the first time in several years.
Standard Bank and First National Bank are the third and fourth most valuable South African brands on the list.
The report reads: “Standard Bank’s growth of 12% this year is a big improvement on its 5% growth last year and is connected with the South African economy growing by 4.9% this year as it rebounds from the pandemic.
“While the pandemic recovery is being disrupted by new waves of infection, infrastructure limitations (especially around reliable electricity) and social unrest are causing significant challenges.
“Standard Bank’s operations did face some direct disruption from the unrest in KwaZulu-Natal and Gauteng in July, but this was limited due to Standard Bank’s brand reputation as a reliable business partner. This has enabled the bank to become the most valuable South African bank brand.”
It adds Standard Bank and FNB remain ahead of Absa (brand value up 3% to R21.3 billion) which was the third most valuable South African banking brand and fifth most valuable South African brand overall.
“Absa’s brand faced many of the same challenges as Standard Bank and FNB, but with its brand value increasing slightly to R21.3 billion, it has not yet returned to pre-pandemic levels.”
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