13:24 (GMT +7) - Sunday 17/02/2019

Banking & Finance

VPBank brand among most valuable

Released at: 10:11, 08/12/2017

VPBank brand among most valuable

Photo: VPBank

Commercial bank following only three State-owned banks in brand value, according to Brand Finance.

by Khanh Chi

The Vietnam Prosperity Joint Stock Commercial Bank (VPBank) has been ranked among the four banks with the highest brand value and one of the 22 most valuable brands in Vietnam in 2017 by Brand Finance, a world-leading independent branded business valuation and strategy consultancy.

In its annual valuation of 7,000 brands around the world, Brand Finance is the only company that uses brand assessments to meet ISO 10668 criteria on evaluation criteria.

VPBank’s brand value rankings have risen dramatically, from seventh in 2016 to fourth in 2017, and is behind only three State-owned banks: BIDV, Vietinbank, and Vietcombank. Among the Top 50 most valuable brand names this year, VPBank rose four places to 22nd, compared with 26th in 2016. In addition to raising its brand value ranking, VPBank is also one of eight banks with the best brand recognition index in the domestic banking sector.

The leap in rankings in both 2016 to 2017, from a brand not listed in the Top 50 in 2015, reveals the substantial improvement of the VPBank brand in the banking market in particular and Vietnam’s business community in general. Being in the top four banks with the strongest brand value is the result of efforts to improve its business model, invest in technology, and the quality of its services based on in-depth studies of customer habits and needs.

The improvement in VPBank’s brand strength is also the reason for and the driving force behind the bank’s outstanding business performance in the past year. Its third-quarter financial report showed that it earned about $248 million in pre-tax profit, up 79 per cent year-on-year and fulfilling 78 per cent of its target for 2017. It also made VPBank one of the four most profitable commercial banks in the quarter, after VietinBank, BIDV, and Vietcombank. In the banking market, VPBank is considered one of the most active banks in the consumer credit segment, the small and medium business segment, and the small trader segment.

That VPBank’s strategy to increase its brand strength this year is heading in the right direction is also reflected in the results of a share offering to investors in the middle of this year. Viet Capital Securities, the bank’s consultancy unit, said about 80 foreign investors were willing to spend $1.2 billion to buy VPBank’s shares, with demand four-times higher than the initial offering plan.

User comment (0)

Send comment