New Delhi: India’s leading carrier – IndiGo – has been recognised as one of the most valuable and strongest airlines as per the Brand Finance Airlines 50 report for 2020. The airline was ranked at number 43 in the report as it entered the list for the first time. IndiGo, the only airline from India, ranked above the other two new entrants in the list – Shanghai Airlines from China and Vueling from Spain.
Mr. William Boulter, Chief Commercial Officer, IndiGo said, “Amidst the unprecedented times that we all are going through, this news brings a cheer and is a testament to the hard work that has gone behind scaling up our network and operations over the last one year. At IndiGo, we have not only invested our time, but our hearts to make it the brand that it is today.”.
Mr. Boulter further added, “We are all the more motivated to keep true to our promise of affordable fares, on-time performance, courteous and hassle-free service across an unparalleled network.”
Savio D’Souza, Valuations Director, Brand Finance said, “IndiGo has seen its value soar by 33% to enter into the top 50 airline brands in 2020. This is testament to its clear and well executed strategy. Given its strong brand rating of AAA-, the brand is better positioned than its domestic peers to recover in the post COVID-19 era.”
Brand Valuation Methodology
Brand Finance calculates the values of the brands in its league tables using the Royalty Relief approach – a brand valuation method compliant with the industry standards set in ISO 10668. This 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 licensor would achieve by licensing the brand in the open market.