How South African brands performed during COVID-19

South African brands have not only made a mark locally but are also recognizable across the globe. Brand valuation consultancy Brand Africa recently released a report on South Africa's top 50 brands, revealing a total brand value of nearly half a trillion rand. Joining CNBC Africa to discuss these findings is Jeremy Simpson, the Africa Managing Director for Brand Finance. Brand Finance, a London-based company with 25 years of experience, measures brands from both a financial standpoint and a brand strength perspective. Their unique approach includes adhering to international standards such as ISOs in brand valuation and brand evaluation. This rigorous methodology allows Brand Finance to produce over 60 rankings annually across various sectors and countries. In South Africa, where rankings have been conducted for the past 10 years, the consultancy can track trends, brand movement, and new entrants in the market. Despite the challenging economic environment brought on by the COVID-19 pandemic, the top valuable brands in South Africa were initially projected to lose over 65 billion rand. However, the actual loss amounted to 8.8 billion rand, showcasing the resilience of these brands. Simpson attributes this resilience to the strength of the brands and their ability to bounce back in difficult times. He notes that strong brands offer numerous benefits, acting as ambassadors for the country and fostering customer loyalty. These brands also command a premium, leading to increased profitability and pride among employees. Simpson emphasizes the significant impact strong brands have on their communities, as the revenue generated trickles down to support local initiatives. He asserts that brands should be celebrated more for their contributions to the economy and society as a whole. The report's findings indicate a stable performance among the top brands, with minimal movement at the top due to their consistency and strategic investments in the future. However, Simpson highlights the occasional surprises and new entrants in the market, reflecting the dynamic nature of the South African brand landscape. Looking ahead, the continued focus on brand strength and resilience will be crucial for South African brands to navigate the uncertainties posed by the ongoing pandemic and economic challenges. By leveraging their loyal customer base, maintaining consistency, and investing in innovation, these brands can further solidify their position both locally and globally. In conclusion, the Brand Finance report serves as a testament to the enduring value of South African brands and their ability to weather storms, ultimately contributing to the country's economic growth and international reputation.