World's Top Banking Brands - HSBC Profile
HSBC
Brand Strapline The world's local bank
Offices: 9,700
Employees: 330,000
Country: Great Britain
HSBC Brand 2009 - Facts & Figures
2009 |
2008 |
|||
|---|---|---|---|---|
Brand Value |
$25,364m |
Brand Value |
$35,456m |
|
Brand Ranking |
1 |
Brand Ranking |
1 |
|
Market Cap |
$131,577m |
Market Cap |
$188,466m |
|
Brand Value / Market Cap (%) |
19% |
Brand Value / Market Cap (%) |
19% |
|
Brand Rating |
AAA+ |
Brand Rating |
AAA |
|
History of the Company
HSBC is one of the oldest banking groups in the modern world. After the establishment of Hong Kong as a British colony in the aftermath of the Opium War, a bank was needed to finance the growing trade between China and Europe. Its main and foundation-laying subsidiary The Hongkong and Shanghai Banking Corporation was established in Hong Kong and Shanghai in 1865.HSBC is well known in banking circles for its conservative and risk-averse approach in its business operations - a company tradition going back to the 19th century. This attitute has served it well throughout the recent turbulance in the banking industry, allowing the brand to capitalise on dwindling trust in other banks. In February 2008, HSBC was named the world's most valuable banking brand by Brand Finance in the 2008 Banking Brands Report.
Geography and Products
The Bank is a truely global brand, with a strong geographical presence on all conitinents, with extreme strength in the UK and Asia, offering commerical and retail banking services.
 Fig1. HSBC Product Segmentation 2009 - Click on image to Expand into another window |
 Fig2. HSBC Geographic Segmentation 2009 - Click on image to Expand into another window |
History of the Brand
The Hongkong and Shanghai Banking Corporation adopted its current logo in 1983. It was developed from the bank’s house flag, a white rectangle divided diagonally to produce a red hourglass shape. Like many other Hong Kong company flags that originated in the 19th century, and because of its founder's nationality, the design was based on the cross of Saint Andrew. The logo was designed by graphic artist Henry Steiner.
The group announced in November 1999 that the HSBC brand and the hexagon symbol would be adopted as the unified brand in all the markets where HSBC operates, with the aim of enhancing recognition of the group and its values by customers, shareholders and staff throughout the world. Brands such as Midland Bank (aquired in 1992) and Banco Bamerindus (aquired in 1997) were withdrawn.
Performance of the Brand
The HSBC brand, valued at US$33,743 million, is still the world's most valuable non-US brand and the most valuable financial brand.The fact that HSBC has weathered the storm in the banking industry is in part down to reasonable performance in comparison to its rivals, and the trust that this has engendered, but is also a result of its strong well-defined brand identity.
HSBC has written down $24.6bn of assets since 2007 Q3, while Citi has written down $55.1bn in the same period. HSBC is now US$8.7 billion more valuable than the next placed financial brand (Bank of America).
HSBC Sub-brands
First DirectFirst direct was formed on 1 October 1989 by Midland Bank. It took its first call on 12.01am on 1 October 1989, and has famously never closed since. It's strong brand identity, and its unique (at the time) banking business model, differentiating the brand from conventional banking, meant that it kept a high degree of individual identity throughout the acquisition of Midland by HSBC, and the subsequent brand unification at the turn of the millennium. While the first direct brand does not use the same trade dress as HSBC, its website explicitly states that the bank is a member of the HSBC Group.
SSAB
SABB (formerly The Saudi British Bank) is an affiliate of the HSBC Group. The bank operates using the same corporate identity and trade dress as the HSBC brand, offering investment banking, commercial banking, private banking, and Amana Islamic Banking in the Middle East.
Bank of Bermuda
The Bank of Bermuda is a leading financial services company in Bermuda providing fund administration, trust, custody, asset management and banking services to institutions and individuals. The bank was acquired by HSBC in 2004, enabling the group to make it a mainstay for its fund management and private banking activities. Since acquisition the bank has adopted the trade dress and corporate identity of HSBC, but kept its name, to which value is still attached.
Advantage
HSBC operates in Turkey using both the HSBC and the advantage brand. The advantage brand operates as an endoresd brand. This is where a name and identity is used that, in most cases has been acquired through the purchase of a business, and that has been deemed appropriate to continue to market under the brand name acquired.
HFC Bank
HFC Bank was established in 1973 as the UK arm and wholly-owned subsidiary of Household International Inc, one of the largest independent consumer finance businesses in the United States. In March 2003 HFC was taken over by HSBC. HFC bank specialises specifically in lending; it has a few branches, but it doesn't offer current account sevices. HFC Bank also operates as an endoresd brand.
HSBC Videos
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HSBC Sources
Wikipedia - HSBCHSBC Investor Relations PDF 1
HSBC Investor Relations PDF 2
Sife.org
HFC Bank