Canadian banks soar, with TD at the helm, as global banking brand values hit record highs
The Brand Finance Banking 500 2024 ranking has disclosed a notable milestone: the total brand value of the world’s top 500 banking brands has impressively doubled over the past decade.
This year's ranking includes ten Canadian banks, boasting a combined brand value of US$71.4bn. This achievement places Canada third in cumulative brand value globally, trailing behind China and the US but slightly ahead of the UK, where the 19 featured British banks have a total brand value of US$66.9bn.
At the forefront of Canadian banking brands is TD Bank Group (TD), which occupies the 12th position globally with a brand value of US$19 billion, making it Canada's most valuable banking brand. TD's prominence is underpinned by strong performance indicators in Brand Finance's consumer research, particularly in aspects of consideration and familiarity.
An impressive 72 percent of respondents recognize the TD brand, and 31 percent are current users of TD's services, highlighting its position as Canada’s preferred banking brand.
Moreover, TD is celebrated for its sustainability efforts, notably through its three-year, US$20bn Community Impact Plan, which focuses on supporting diverse and underserved communities across its US operations.
RBC and BMO are notable mentions as the second and third most valuable Canadian banking brands, respectively. RBC has witnessed an 11 percent increase in brand value, reaching US$16.4bn, while BMO's brand value stands at US$10.7bn.
Tangerine makes its debut in the ranking at 402nd, with a brand value of US$305m. The digital bank, a subsidiary of Scotiabank (whose brand value has decreased by 11 percent to US$10.6bn), is recognized for offering flexibility and innovative banking solutions to its over 2 million clients.
Canada Western Bank is highlighted as the fastest-growing Canadian bank in the ranking, with its brand value up by 17 percent to US$280m.
Laurence Newell, managing director of Brand Finance Americas, commented, “The cumulative brand value of Canada’s most valuable banking brands has remained largely stable, with the ten most valuable banks only dropping a marginal 2 percent in total brand value.”
“Canadian banks have demonstrated resilience amid a dynamic landscape despite challenges ranging from shifting interest rates to economic uncertainties,” he added.
Globally, the banking sector has reached a record brand value level of USD 1.44 trillion. The Chinese banking sector shows a robust recovery, with its 'big four' banks retaining the top spots.
ICBC remains the world’s most valuable banking brand for the eighth consecutive year, experiencing a 3 percent increase in brand value to US$71.8bn. China Construction Bank, Agricultural Bank of China, and Bank of China follow closely with single-digit percentage increases in their brand values.
Despite a 4 percent decline in brand value, Bank of America continues to lead as the premier US banking brand for the fourth consecutive year, ranked fifth globally with a brand value of US$ 37.3bn. Wells Fargo, in sixth place, narrows the gap with a 9 percent increase in brand value to US$35.8bn.
David Haigh, chairperson and CEO of Brand Finance, stated, “As the world’s top banking brands reach new heights, China's mega-banks continue to dominate at the top of the brand value ranking. Another key insight from our 2024 data is that local banks increasingly outshine their larger counterparts in brand strength.”
Indonesia’s BCA stands out as the world’s strongest banking brand, followed by remarkable performances from African and Romanian banks, which reflect a growing preference for local and regional banks over global brands.
The report also sheds light on the severe impacts of international sanctions on Russian banks, with VTB and SBER witnessing the most significant falls in brand value.
Only 11 of the top 50 countries experienced decreases in their aggregate brand value, with Russia leading the decline, followed by Malaysia and Nigeria.
