TCS brand value exceeds $5 billion2 min read . Updated: 04 Mar 2013, 06:02 PM IST
TCS is now placed among the ‘Big 4’ most valuable IT services brands worldwide
Mumbai: The brand value of India’s largest software services provider Tata Consultancy Services Ltd (TCS) has crossed $5 billion (around ₹ 27,500 crore) with the addition of $1.18 billion over 2012—an annual increase of 28.9%.
This has placed TCS among the “Big 4" most valuable IT services brands worldwide in the rankings compiled by UK-based brand valuation firm Brand Finance Plc.
Brand Finance assesses the dollar value of the reputation, image and intellectual property of global companies in compiling the rankings.
Others in the list include Cognizant Technology Solutions Corp., a US-based company that traces its roots to Chennai, at No. 8 with a brand value of $2.23 billion, Infosys Ltd at No.9 with a value of $2.2 billion and Wipro Ltd at No.10 with $1.904 billion.
With a high ranking, “it is easier to get recognition with new clients," said Ankita Somani, a research analyst at Mumbai-based Angel Broking Ltd. “These rankings are an indication of image of the company. It strengthens the brand position of TCS in the global markets."
Infosys, India’s second largest information technology company, “hasn’t been able to perform at par with industry expectations", she said, noting that barring in the third quarter, the company posted earnings that lagged analysts’ expectations. “Their revenue is not growing as fast as the industry for this year. Cognizant has also overtaken Infosys in terms of quarterly revenue growth."
TCS is also the single largest contributor to the overall Tata brand, which is now ranked as the world’s 39th most valuable brand with a combined brand valuation of $18.17 billion.
“TCS’ strong performance across brand-related activities such as client engagement, community development, sponsorships, and employee satisfaction has earned TCS a place in the elite club of only three AA+ rated IT services brands," said David Haigh, CEO and founder of Brand Finance, in a press statement.
He cited the example of TCS Amsterdam Marathon where TCS engaged over 1,200 clients and employees and the event raised €115,000 for the fight against cancer. This translated into 145,000 people becoming aware of TCS—the equivalent of almost 20% of the population in the city of Amsterdam.
“The rapid evolution and recognition of our brand at a global level is a testament to the passion and dedication of our more than 260,000 employees, who as ‘brand ambassadors’ continue to ensure an industry leading client experience, which keeps strengthening our reputation and brand in the global market," said N. Chandrasekaran, chief executive officer and managing director of TCS.
TCS shares rose 0.71% to ₹ 1,510.20 at the close of trading on the BSE on a day the benchmark Sensex fell 0.21% to 18,877.96 points.