By Andrei Skvarsky.
Sberbank, the name of Russia’s largest bank, is the sixth most valuable banking brand in Europe, according to Brand Finance, a global business valuation and strategy consultancy.
Sberbank’s brand value, which has grown 33 per cent year-on-year to $9.08bn, is also the 24th-highest worldwide, according to the 500-brand name league table in the Brand Finance Banking 500 2017 report.
The Russian lender stands higher in the table than Goldman Sachs, ING, Morgan Stanley, Societe Generale, Credit Suisse, or Merrill Lynch.
Brand Finance bases its brand value calculations on a methodology that determines the value a company would be willing to pay to license its brand if it did not own it. This methodology also involves estimating the future revenue attributable to a brand and calculating a royalty rate that would be charged for the use of the brand.
A Sberbank statement quoted the London-headquartered consultancy’s founder and chief executive, David Haigh, as calling Sberbank “an innovative, technology-based bank [which] is building tech platforms to grow its geographic and product base”.
The world’s most valuable banking brand is Industrial and Commercial Bank of China (ICBC), being worth $47.83bn, according to the 2017 table.
China is generally doing very well on Brand Finance Banking 500 2017, controlling four of the top ten positions. China Construction Bank is third with its brand valued at $41.38bn, Bank of China fifth ($31.25bn), and Agricultural Bank of China seventh ($28.51bn).