The latest Insurance report by marketing research firm Brand Finance has ranked South African financial services group Discovery as having the second strongest insurance brand in the world.
According to Brand Finance, Discovery has made its debut in the rankings in second place, scoring an impressive brand strength index (BSI) score of 85.97 out of 100.
“Discovery is South Africa’s largest health-insurance administrator and has seen major success through its Vitality rewards scheme which awards points for completing various online health assessments and routine medical checks,” it said.
Brand Strength is the efficacy of a brand’s performance on intangible measures, relative to its competitors.
To determine the strength of a brand, Brand Finance looks at Marketing Investment, Stakeholder Equity, and the impact of those on Business Performance.
Each brand is assigned a Brand Strength Index (BSI) score out of 100, which feeds into the brand value calculation. Based on the score, each brand is assigned a corresponding rating up to AAA+ in a format similar to a credit rating.
Discovery was given an AAA rating.
Speaking to CNBC Africa on Discovery’s debut, Brand Finance executive director for Africa Jeremy Sampson said that the company was surprisingly large and prevalent in the market, and had an excellent digital strategy that makes it a market leader.
“A lot of people don’t realise that Discovery has over 20 million policy holders, and it’s in nearly 20 countries. It really is a powerhouse around the world,” he said.
He said the company started in 1992 and has been growing and becoming more powerful ever since. The group has moved the narrative of buying insurance away from it being a grudge purchase, and more something you adopt to make your life easier and more beneficial through rewards.
This would be the philosophy with the group’s bank as well, which is an “extra layer” to wrap around the company, Sampson said.
In terms of brand value, Discovery ranks 94th in the overall top 100.