Five banks represented in Macau have made it into the top ten of the 500 Most Valuable Banking Brands list, which is published every year by the consultancy firm Brand Finance and banking industry publication The Banker.
The top ten includes the Chinese banks Industrial and Commercial Bank of China (2), China Construction Bank (4) and Bank of China (9), all part of the Chinese big four, and all represented in Macau. The other banks to make it into the top ten that operate in Macau are the British HSBC (3) and the American Citibank (5).
In 2014, Chinese banks managed to perform stronger than their foreign counterparts and as a result managed to climb onto the list, as explained by the publications.
‘Citi, Bank of America and Chase, America’s 2nd, 3rd and 4th most valuable bank brands, have been overtaken by both ICBC and China Construction Bank. When the world’s bank brands are ranked by the brand value they have added this year five of the top six are Chinese. China Construction Bank has added more than any other, US$7,463 billion since the 2014 study, to reach a total of US$26.4 billion’, it is highlighted about the emergence of the Chinese big four in the list.
However, looking at all the banks present on the list and considering the parent companies of banks present in Macau, a total of 16 institutions are operating in the Special Administrative Region, based in regions such as Portugal, Taiwan and Singapore.
Regarding the 10 Most Valuable Banking Brands in Asia Pacific, Macau has four representatives all based in China. ICBC ranks first, followed by China Construction Bank, which is second. Bank of China is fourth, following Agricultural Bank of China, while Bank of Communications (31st overall) is ninth in the Asia Pacific region.
Wells Fargo tops list
While Chinese banks tended to perform strongly over the last year, Wells Fargo is still considered to have the Most Valuable Banking Brand. The North American institutions are the most represented in the top tier.
‘America’s banks remain the most valuable in the world. 60 American bank brands feature in the global top 500, with a cumulative brand value of US$201 billion. Wells Fargo is not just the most valuable banking brand in the US but across the world. Its brand value now stands at just short of US$35 billion’, it is stressed, albeit the Chinese banks are gaining ground on their American counterparts.
On the other hand, European banks have been struggling with the economic slowdown, impacting the value of their brand.
‘Hampered by slow growth in the Eurozone, a majority of brands from Western Europe have actually lost value and some have dropped out of the global top 500 altogether. The total brand value of Spanish brands in the table is -2 per cent, the UK -3 per cent, Italy -5 per cent, Germany -6 per cent and France -19 per cent’, the report notes.
