Valuation Growth of Leading Brands Declines to 6% from Previous Year’s 19%
Call it consumer stress: India’s leading brands are experiencing a significant slowdown in valuation growth. According to the Kantar BrandZ Most Valuable Brands Report 2025, the combined value of the top 75 brands in India has reached $475.4 billion, but growth for 2024-25 is projected to drop to 6%, a stark contrast to the 19% increase seen last year. This decline reflects a broader trend of muted consumer demand, even as certain sectors, particularly those focused on experiences, are thriving.
Shifting Consumer Preferences
The Kantar report highlights a notable shift in consumer behavior, with a growing preference for experiences over traditional goods. While overall consumption remains sluggish, brands in the travel and hospitality sectors are witnessing remarkable growth. Companies like Taj Hotels, IndiGo, and MakeMyTrip have emerged as some of the year’s strongest performers, benefiting from this trend. The report suggests that consumers are increasingly prioritizing experiences, which has led to the rise of brands that cater to lifestyle and leisure activities. For instance, Zomato’s expansion into lifestyle categories with its District by Zomato dine-out app exemplifies this shift. Additionally, the entry of retail chain Westside into the market further underscores the evolving consumer landscape.
Brand Value Growth vs. Economic Performance
Despite India’s robust economic growth, the report reveals a concerning paradox: brand value growth is lagging behind GDP expansion. The study indicates that the share of Indian brands perceived as ‘meaningfully different’ has plummeted from nearly 12% in 2014 to just 4.3% in 2025. This decline in consumer equity is alarming, particularly as around 31% of India’s top 100 brands score low on consumer appeal, compared to only 11% globally. Soumya Mohanty, managing director and chief solutions officer at Kantar South Asia, emphasizes the necessity for brands to understand consumer experiences and perceptions. In today’s competitive market, maintaining relevance and forging strong customer connections is essential for long-term success.
Top Brands and New Entrants
The Kantar report identifies HDFC Bank as India’s most valuable brand, with its value increasing by 18% to nearly $45 billion. Other notable brands include Tata Consultancy Services, Airtel, Infosys, and ICICI Bank. This year marks the debut of four cement brands in the rankings, reflecting the sector’s crucial role in India’s infrastructure development. UltraTech Cement leads this new group, followed by Bangur Cement, Ambuja Cement, and JK Cement. The inclusion of these brands highlights the ongoing growth and significance of the cement industry in the country’s economic landscape.
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