African brands

Despite optimism for Africa’s economic recovery and with GDP growth projected at 4% in 2019 by the African Development Bank, the number of African brands in our ranking have declined by 18% in Brand Africa 100’s 2019 ranking of the top 100 Most Admired Brands in Africa.

Brand Africa 100 is a valuation and ranking of the Best Brands in Africa based on the brand’s financial performance and consumer admiration. This creates a unique index, which is published annually by African Business Magazine.

Facing renewed investment by non-African brands, Africa’s share of the most admired brands has been rapidly declining over the past three years from a high of 25% in 2013/4 to a low of 14% this year – down from 17% in 2017/8.

Non-African brands have entrenched their position, with North American brands, dominated exclusively by the USA (28%), leading with growth of 17% in a year and buoyed by the entry or re-entry of stalwart brands such as Levi’s (71), Chevrolet (91), and Pepsi’s Miranda (80) among the 20 new entrants.

European brands are up by 2.5%, comprising 41% of the ranking, while Asian brands declined by 10% to 17% overall.

South African telecoms giant, MTN (8) and Nigerian conglomerate, Dangote (25), have been joined by Ethiopia’s surging Anbessa Shoe (12) – which commands a 65% to 70% market share of the Ethiopian local shoe retail business – in the top three brands spontaneously recalled by African consumers.

The highest debut brand, Vans (35), is at the nexus of two broader fashion trends among today’s youth – athleisure and retro/vintage. The firm is now ranked the No. 2 footwear brand behind Nike in Piper Jaffray’s “Taking Stock with Teens” survey, where Vans has seen the fastest growth in popularity of any brand in the study’s 15+ year history.

In a diversified portfolio, technology (18%), consumer (16%) and auto manufacturers (11%) are the dominant three categories.

The sports category, which is dominated by the heritage sports brands Nike (1), Adidas (2), Puma (6) and Fila (49), was energised by global sports events such as the FIFA World Cup in Russia in 2018, strategic partnerships such as Puma’s partnership with hip hop icon Jay Z and Fila’s partnerships with trend setting celebrities Kendall Jenner, Gigi Hadid, A$AP and Rocky.

 

Flagging African fortunes

South Africa, with five entries, and Nigeria, with four, lead a declining African challenge to the Top 100.

 

SOURCE: African Business Magazine

Our 2020 survey is out now – read Africa’s Top 100 Brands in 2020

Presented by Romano Pisciotti

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