In 2014 India was on 8th position and France was on 7th.
By Sreejith Vallikunnu
India has become the world’s seventh most valuable nation brand with an increase of 32 % in its brand value to $2.1 billion, as per the annual report published on ‘world’s most valued nation brand’ by Brand Finance.
The US remains on the top with an increase of 2 % and valuation of $19.7 billion, followed by China and Germany at the second and the third positions respectively. The UK is ranked 4th, Japan is at fifth position and France is sixth on the list.
All the top five countries have retained their position last year, while both India and France have moved up one position. In 2014 India was on 8th position and France was on 7th. However, the improvement of India’s (32%) nation brand value is the highest among all the top-20 countries on the list.
Brand Finance is the world’s leading independent brand valuation and strategy consultancy. It was set up in 1996 with the aim of ‘bridging the gap between marketing and finance’. The ‘world’s most valued nation brand’ study measures the strength and value of the nation brands of 100 leading countries using a method based on the royalty relief mechanism employed to value the world’s largest companies. It is based on five year forecasts of sales of all brands in each nation. The Gross domestic product (GDP) is used as a proxy for total revenues.
‘‘In a global marketplace, a nation brand is one of the most important assets of any state, encouraging inward investment, adding value to exports and attracting tourists,†said David Haigh, CEO of Brand Finance.
According to Courtney Fingar of fDi Intelligence, the largest centre of foreign direct investment excellence, “India’s “Incredible India” slogan works well across all of these groups (international consumers, tourists, students, investors), in my opinion. “Who doesn’t want to discover something incredible?” she asks.
“The USA is undoubtedly a powerful brand with an inviting business climate. However its value comes in large part from the country’s sheer economic scale. However its value comes in large part from the country’s sheer economic scale. Not only is there a large, wealthy market predisposed to ‘buy American’ but also an unrivalled group of established companies and organisations exporting worldwide whose American heritage forms (to a lesser or greater extent) part of their appeal,†the report said.
“The US’ world-leading higher education system and the soft power arising from its dominance of the music and entertainment industries are significant contributors too. This soft power will help the US to retain the most valuable nation brand for some time after China’s seemingly imminent rise to become the world’s biggest economy.†The report adds.
According to the report Iran, Cameroon, Tanzania, Kenya and Zambia are five best performing nation brands whereas Ukraine, Peru, Russia, Honduras and Argentina are five worst performing nation brands in the world. Singapore is the world’s strongest nation brand in 2015, while Switzerland and U.A.E are the second and the third strongest nation brands.
“Iran meanwhile is the fastest growing nation brand this year. Its brand value is up 59% to US$159 billion as Hassan Rouhani’s moderate approach slowly shifts international perceptions of the country’s potential†the report says.