India, the fifth-largest economy in the world, has just one brand in the Brand Finance 100 Global Valuable Brands 2024 list. The list includes 51 brands from the US, 17 from China, six each from Germany and Japan, and three each from South Korea and France. The total value of these 100 brands is $5 trillion, out of which the 51 American brands comprise $3.2 trillion. Two of the French brands are Louis Vuitton and Chanel — that’s serious value creation.
India, meanwhile, has one entry in the top 100, Brand Tata at No.64, which is valued at $28.7 billion. Shouldn’t a country of India’s size and ambitions have more global brands?
Creating valuable global brands
Global brands provide soft power well ahead of economic power, and building them is important for any country. It involves manufacturing prowess, an addiction to quality, innovation and sensory experiences, fine craftsmanship, and the ability to think global.
India today boasts of many platform brands — which are more generic, less specific. India stands for information technology, yoga, Ayurveda; India has a global standing in education through its IITs, IIMs, ISB, its management gurus. But while they are recognized the world over, they don’t attract enough international students to come and study here.
In recent years, we have had Aadhaar and UPI, two digital entities which have an appeal beyond India. But in my opinion, to be considered truly global, a brand needs to have a presence in at least 50 significant countries.
So, what should change for India to build valuable global brands? Here are a few suggestions:
1. We must think of value creation instead of trading. This mindset is important for the development of brands and better manufacturing.
2. Brands need to decide if they want to go global or regional. For instance, many Indian brands go to Bangladesh, Sri Lanka and the Middle East in order to target the Indian diaspora there. But this doesn’t work in expanding its footprint globally.
3. Manufacturing standards must be world class, not just to satisfy Indian standards. Bajaj, Royal Enfield and IndiGo are a few truly world-class examples.
4. Build origin stories. Brands like Sabyasachi have a good chance of going global, with stories built around material and fine craftsmanship. Craftsmanship is a visiting card for luxury.
5. Design capabilities need to be global and aesthetic, not merely functional. We have many good designers but sadly, our design language is frugal.
6. Creating brands in platforms we are linked to. For example, is there a service brand we can create in the field of yoga? There is also Forest Essentials, but it looks more like Body Shop and less like a rooted Indian brand.
7. Identify sectors where India is big and create brands in these. As an illustration, India is big in tea, but despite many approaches, we have missed the packaging aspect of tea. India is also the home of the small car. Can we leverage these to make global brands?
8. Indian music and movies are also popular all over the world, but not many Indian stars have been able to establish brand value anywhere close to Taylor Swift, who is so big that her concerts in Singapore earlier this year even had an impact on the economy.
9. In cricket, Indian owners of T20 franchises have spread globally — CSK, KKR, Mumbai Indians and Rajasthan Royals can all be valuable global brands this decade.
With India’s rise on the world stage, the time is ripe to build global brands. This will give us a multiplier effect.
So, let’s up our ambition. We’ve built developing economy brands in the past. But with its economic heft, India must build developed country brands now.
India’s journey from a land of mystique and tradition to a global powerhouse is being touted as remarkable. To me, we are finding our roots and our voice once again. And making sure the world takes notice. The transformation of Brand India reflects not just economic growth but a fundamental shift in the nation’s collective psyche. And the results speak for themselves.
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