As FMCG slows, experience brands surge in brand values

Muted consumer appetite is pulling down the valuation of India’s top 75 brands, with growth in 2024-25 slipping to a meagre 6%, in stark contrast to the 19% jump recorded last year. The combined value of these brands rose to $475.4 billion, according to the Kantar BrandZ Most Valuable Brands Report 2025. The study measures the contribution of brands to financial performance, analysing 1,620 brands across 112 categories, with the rankings combining financial metrics with extensive consumer-based equity research.Interestingly, even as mass consumption is sluggish, momentum is shifting toward the fast growing “experience economy,” with travel and hospitality brands emerging as some of the year’s strongest performers. Brands including Taj, IndiGo and MakeMyTrip are among the year’s biggest risers, buoyed by consumers prioritising experiences over everyday staples, the study says. Others like the fastest growing Zomato (expansion into lifestyle categories with its District by Zomato dine-out app) and entry of retail chain Westside echo the above trend. Significantly, the Kantar study notes that India’s brand value growth is lagging its GDP expansion, underscoring a paradox where strong economic performance has not translated into brand value creation. The weak demand is compounded by a steady erosion of consumer equity: the share of Indian brands with consumer appeal, or perceived as “meaningfully different’’, have plunged from nearly 12% in 2014 to 4.3% in 2025.Further, brands that stand out for their unique value and relevance consistently outperform others. Those that survived the rankings since 2019 delivered an extra 29% brand value growth on the back of delivering both meaning and difference, it adds. For instance HDFC Bank’s focus on innovation, and Royal Enfield, which fosters deep brand loyalty through immersive community experiences, like its Motoverse event in Goa.According to the report, HDFC Bank is India’s most valuable brand, up 18% to nearly $45 billion. Other valuable brands include Tata Consultancy Services, Airtel, Infosys, and ICICI Bank. ·This year, four cement brands appear in the ranking for the first time, reflecting the sector’s role in powering India’s infrastructure boom. UltraTech Cement leads the list of newcomers, followed by Bangur Cement, Ambuja Cement and JK Cement, it adds.In sectoral trends, banking and financial services continue to dominate the rankings, followed by B2B tech (TCS, Infosys) and the third largest is telecom providers.