MTN brand value takes a beating

 ·2 Feb 2016

MTN has fallen spectacularly out of an annual list of  top 500 most valuable global brands as published by brand evaluation firm, Brand Finance.

Africa’s biggest mobile operator is currently embroiled in a multi-billion dollar lawsuit in Nigeria, which has wiped billions off its market valuation.

Brand Finance, a brand valuation and strategy consultancy, analyzed brands by examining marketing investment, the goodwill of customers, staff and other stakeholders, and the impact on business performance.

In 2015, MTN was the only South African based company to feature on the list – 302nd – although it was ranked 240th in 2014.

MTN brand value in US dollars slipped to $4.672 million with a brand rating of AA+, from $5.381 million and a brand rating of AAA- in 2015.

MTN fell to 38th in the telecoms sector globally, from 26th in 2014, but retained its ranking as the best brand in Africa.

In 2016 however, MTN does not feature at all, having seen its share price nearly halved over the past 15 months to R126.79, and a market cap of R235 billion.

Despite slowing sales, Apple is the world’s most valuable brand, up 14% to US$145.9 billion.

Tech companies dominated the top five positions on the list in terms of value: Apple, Google, Samsung, and Microsoft.

Disney was rated as the world’s most powerful brand, thanks to Star Wars’ record – breaking success.

The world’s top five most powerful brands included: Walt Disney, Lego, L’Oreal PWC, and McKinsey.

The full list can be found here

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