Bank Central Asia (BCA), Telkomsel, A Mild, BRI and Mandiri have snagged the top five spots in BrandZ’s Top 50 Most Valuable Indonesian Brands 2017. Taking the top spot is BCA, which grew its value 13% to US$10.5 billion.
This comes as the bank marks its 60th birthday this year. According to the BrandZ study, the bank managed to build a reputation for being accessible. It has more than 1,200 branches and 17,000 ATMs, and was shown to have a focus on digital innovations such as in-app and video banking.
Meanwhile, Telkomsel has rose two places to second place, growing 27% to US$8.6 billion. This comes as the brand ventured into new digital services and power communications to reach consumers.
Overall, the total value of the brands showcased grew 8% in the past year to US$71.6 billion. This was a marked increased compared to 2% the year before, and matches the value increase of Kantar Millward Brown’s global BrandZ Top 100 2017 study.
According to the BrandZ study, the strongest Indonesian brands were able to deliver quality products and services, purpose-led innovation and deliver on exceptional experiences. These factors grew brand value and showcase the brands’ response towards rising consumer confidence and spending power.
In terms of brand value, the banking sector was found to be one of the highest. Bank brands were found to occupy four spots in the top 10 ranking, and have an increased combine value of 9% to US$26.5 billion. The two fastest growing Indonesian banks were found to be Sinar Mas and CIMB Niaga.
Here are the top 10 Indonesian brands of 2017:
||Brand value 2017 ($M)
||Dji Sam Soe
The industry with the fastest growth is food and dairy, coming in with a combined value increase of 21% to US$3.2 billion. 15 FMCG brands were found in the Top 50, such as Indomie, Sarimi, biscuit brand Roma. Global brands include Sunsilk and Pepsodent.
Here are the top 50 brands in Indonesia:
Some other trends observed by the BrandZ report include the reigning of “mega brands” which account for 57% of the total value of Indonesia’s Top 50 ranking. Local relevance also matters, with Indonesian’s sense of identity strengthening as they look to integrate their digital lives with their rich heritage. According to Kantar Millward Brown, local brands were able to successfully connect with what it means to be a modern Indonesian.
Moreover, Indonesian consumers were found to embrace e-commerce. Local digital disruptors taking advantage of this include Bukalapak and Tokopedia, which have launched mobile shopping apps. Brands perceived to have the strongest purpose also did well in the ranking, as Indonesian consumers look to associate themselves with brands they feel are “doing good” for the world.
According to Ranjana Singh, WPP country manager for Indonesia and Vietnam, Indonesian consumers are increasingly sophisticated. Hence having a product which meets the requirements of efficacy, availability and fair pricing is no longer enough.
“Consumers will only fall in love with a brand that can express its promise in richer ways, through true innovation and an experience that is streamlined, personalised, fun and seamless,” Singh explained.