TD Bank Group (TD) is the most valuable brand in Canada for the second consecutive year, according to the latest Canada 100 report by Brand Finance, the world’s leading brand valuation consultancy.
With a brand value of CAD25.8 billion, TD edges out RBC, which holds the second position with a brand value of CAD22.4 billion. TD has shown robust performance in Brand Finance's latest consumer research findings. Across Canada, Familiarity has increased from 71% to 84%, and 31% of individuals currently report using TD's services.
Despite the ongoing challenges posed by high-interest rates and slow growth, Canadian brands have persevered. Remarkably, the total value of Canada's top 100 most valuable brands has seen a 4% increase, indicating resilience and adaptability in the face of adversity.
Laurence Newell, Managing Director, Brand Finance North America
Banking remains the powerhouse sector in Canada, with the nine brands listed in the ranking collectively representing close to a third of the total brand value. Once more, TD stands at the forefront as the nation's most valuable brand, surpassing five banking counterparts in the top 10.”
WSP Global brand value soars 72%
WSP Global is the fastest-growing brand in Canada this year, with a notable 72% surge in brand value, now standing at CAD1.6 billion. This growth is primarily attributed to strategic acquisitions and market expansion efforts. The integration of Golder in 2021 and the subsequent rebranding in 2023 notably bolstered market share, driving significant growth. WSP continues its expansion journey with the acquisition of John Wood Group in 2022, aimed at enhancing its environmental leadership and, more recently, Communica Public Affairs, strengthening its indigenous and stakeholder engagement services in Canada.
TELUS dials up success, overtaking Bell to become Canada’s most valuable telecoms brand
TELUS has recorded a solid 13% brand value growth to CAD11.7 billion, positioning it as the leading telecoms brand in Canada this year, surpassing Bell (brand value down 2% to CAD10.8 billion). TELUS has reported robust financial performance, driven by expanding its subscriber base - which now surpasses 10 million mobile phone users - after celebrating the strongest fourth-quarter customer growth on record. This notable achievement underscores the efficacy of its advanced broadband networks and customer-centric ethos.
Moreover, TELUS's Brand Strength Index score has increased by 4.2 points to 80.3 out of 100. This growth primarily stems from enhanced reputation scores and improved perceptions regarding its environmental initiatives. TELUS is actively pursuing its objective of transitioning to 100% renewable or low-emission electricity within the next two years and a commitment to be carbon neutral by 2030 or sooner.
A&W is Canada’s strongest brand
In addition to calculating brand value, Brand Finance also determines the relative strength of brands through a balanced scorecard of metrics evaluating marketing investment, stakeholder equity, and business performance. Compliant with ISO 20671, Brand Finance’s assessment of stakeholder equity incorporates original market research data from over 150,000 respondents in 41 countries and across 31 sectors.
This year, A&W has claimed the title of Canada’s strongest brand with a Brand Strength Index (BSI) score of 85.3 out of 100. With over 1,000 restaurants across Canada, A&W has consistently maintained a strong level of awareness and familiarity among Canadian consumers. Brand Finance's latest research underscores this, revealing familiarity and consideration scores of 85% and 93%, respectively, across Canada.
Despite its continued success as the strongest Canadian brand for the second consecutive year, A&W has experienced a slight decline in overall strength this year, primarily attributed to lower ESG scores. However, in a significant stride towards sustainability, A&W Canada became the first QSR brand to launch a nationwide exchangeable cup program, 'A&W One Cup,' to combat single-use cup waste. This initiative could bolster positive perceptions across ESG dimensions in the upcoming year.
TD has the highest Sustainability Perceptions Value
As part of its analysis, Brand Finance assesses the role of specific brand attributes in driving overall brand value. One such attribute that is growing rapidly in significance is sustainability. A brand’s perceived sustainability on environmental, social, and governance is represented by Sustainability Perceptions Scores. The proportion of brand value attributable to sustainability perceptions, or ‘Sustainability Perceptions Value’, is then calculated for each brand.
In addition to being the most valuable Canadian brand, TD has the highest Sustainability Perceptions Value of Canadian brands, at CAD1.76 billion. TD’s position at the top of the Sustainability Perceptions Value table does not assess its overall sustainability performance but rather indicates how much brand value is tied to its sustainability perceptions.
TD's dedication to sustainability has received recognition in Brand Finance's research. Amongst brands with high familiarity, TD is the highest-perceived banking brand by Canadian respondents for the environmental dimension and second for social and governance. TD recently unveiled its ambitious three-year, USD 20 billion Community Impact Plan, aimed at empowering diverse and underserved communities across the United States.
Additionally, through the 2023 TD Ready Challenge, TD also awarded $10 million in grants toward innovative solutions that address barriers to affordable housing. Under TD's Climate Action Plan, which serves as the Bank's Transition Plan, TD continues to advance on the Bank's sustainability goals and role as a corporate citizen.
Note to Editors
Every year, leading brand valuation consultancy Brand Finance puts 6,000 of the biggest brands to the test and publishes over 100 reports, ranking brands across all sectors and countries. Canada’s top 100 most valuable and strongest brands are included in the Brand Finance Canada 100 2024 report.
Brand value is understood as the net economic benefit that a brand owner would achieve by licensing the brand in the open market. Brand strength is the efficacy of a brand’s performance on intangible measures relative to its competitors.
The full ranking, additional insights, charts, more information about the methodology and definitions of key terms are available in the Brand Finance Canada 100 2024 report.
Brand Finance is the world’s leading brand valuation consultancy. Bridging the gap between marketing and finance for more than 25 years, Brand Finance evaluates the strength of brands and quantifies their financial value to help organizations of all kinds make strategic decisions.
Headquartered in London, Brand Finance has offices in over 20 countries, offering services on all continents. Every year, Brand Finance conducts more than 5,000 brand valuations, supported by original market research, and publishes over 100 reports which rank brands across all sectors and countries.
Brand Finance also operates the Global Brand Equity Monitor, conducting original market research annually on over 5,000 brands, surveying more than 150,000 respondents across 38 countries and 31 industry sectors. Combining perceptual data from the Global Brand Equity Monitor with data from its valuation database enables Brand Finance to arm brand leaders with the data and analytics they need to enhance brand and business value.
Brand Finance is a regulated accountancy firm, leading the standardization of the brand valuation industry. Brand Finance was the first to be certified by independent auditors as compliant with both ISO 10668 and ISO 20671 and has received the official endorsement of the Marketing Accountability Standards Board (MASB) in the United States.
Brand is defined as a marketing-related intangible asset including, but not limited to, names, terms, signs, symbols, logos, and designs, intended to identify goods, services, or entities, creating distinctive images and associations in the minds of stakeholders, thereby generating economic benefits.
Brand strength is the efficacy of a brand’s performance on intangible measures relative to its competitors. Brand Finance evaluates brand strength in a process compliant with ISO 20671, looking at Marketing Investment, Stakeholder Equity, and the impact of those on Business Performance. The data used is derived from Brand Finance’s proprietary market research programme and from publicly available sources.
Each brand is assigned a Brand Strength Index (BSI) score out of 100, which feeds into the brand value calculation. Based on the score, each brand is assigned a corresponding Brand Rating up to AAA+ in a format similar to a credit rating.
Brand Finance calculates the values of brands in its rankings using the Royalty Relief approach – a brand valuation method compliant with the industry standards set in ISO 10668. It involves estimating the likely future revenues that are attributable to a brand by calculating a royalty rate that would be charged for its use, to arrive at a ‘brand value’ understood as a net economic benefit that a brand owner would achieve by licensing the brand in the open market.
The steps in this process are as follows:
1 Calculate brand strength using a balanced scorecard of metrics assessing Marketing Investment, Stakeholder Equity, and Business Performance. Brand strength is expressed as a Brand Strength Index (BSI) score on a scale of 0 to 100.
2 Determine royalty range for each industry, reflecting the importance of brand to purchasing decisions. In luxury, the maximum percentage is high, while in extractive industry, where goods are often commoditised, it is lower. This is done by reviewing comparable licensing agreements sourced from Brand Finance’s extensive database.
3 Calculate royalty rate. The BSI score is applied to the royalty range to arrive at a royalty rate. For example, if the royalty range in a sector is 0-5% and a brand has a BSI score of 80 out of 100, then an appropriate royalty rate for the use of this brand in the given sector will be 4%.
4 Determine brand-specific revenues by estimating a proportion of parent company revenues attributable to a brand.
5 Determine forecast revenues using a function of historic revenues, equity analyst forecasts, and economic growth rates.
6 Apply the royalty rate to the forecast revenues to derive brand revenues.
7 Discount post-tax brand revenues to a net present value which equals the brand value.
Brand Finance has produced this study with an independent and unbiased analysis. The values derived and opinions presented in this study are based on publicly available information and certain assumptions that Brand Finance used where such data was deficient or unclear. Brand Finance accepts no responsibility and will not be liable in the event that the publicly available information relied upon is subsequently found to be inaccurate. The opinions and financial analysis expressed in the study are not to be construed as providing investment or business advice. Brand Finance does not intend the study to be relied upon for any reason and excludes all liability to any body, government, or organisation.
The data presented in this study form part of Brand Finance's proprietary database, are provided for the benefit of the media, and are not to be used in part or in full for any commercial or technical purpose without written permission from Brand Finance.
