Overview
PricewaterhouseCoopers (PWC) is not only the largest UK accountancy firm by fee income but it also has the most valuable accountancy firm brand. This is driven mainly by the brand's high levels of awareness and familiarity combined with business performance and stable rate of growth. Deloitte has grown twice as fast as PWC since last year and the results of its rebranding exercise in 2003, following its merger with Anderson, appear to have paid off as Deloitte takes second place. The strength of the Deloitte brand is also visible in the fees the partners are able to generate - they are more than any other accountancy firm. KPMG is the third largest UK accountancy firm both by income and brand value and has the highest awareness levels as well as being considered the best value for money. Despite Ernst & Young's fourth place position, it is the accountancy firm that has the highest recommendation.

Outside the Big Four, BDO Stoy Haywood (BDO) leads the pack, punching above its weight with the fifth biggest brand, following 12% growth and positive consumer brand perceptions. Relegated to sixth place by BDO is Grant Thornton, let down by low awareness and favourability. Baker Tilly, Smith & Williamson and PKF are 7th, 8th and 9th respectively with little differentiation between them. Despite being rebranded in 2004, the Tenon Group suffered from a low awareness and loses a place to RSM Robson Rhodes which has the 11th biggest brand and is growing faster than any of the other top accountancy firms. Moore Stephens has the lowest proportional brand value of all the top UK accountancy firms and sits firmly in 12th place.

Comments
Brand value: ‘Many accountancy firms are still stuck in the pre-1984 mentality when advertising was prohibited and firms relied solely on their work and word of mouth to generate income. Some, however, are beginning to recognise the potential value of their brands and are investing accordingly. Deloitte, for example, is performing well after consolidating its various names, such as Deloitte Touche Tohmastsu, Deloitte & Touche and Deloitte Consulting, into one singe name and its effective communication. Consistency such as this reflects positively in the value of its brand.'

Branding: ‘Successfully communicating your brand position, both internally and externally, plays an important role in growing and strengthening your company. For example, PWC has a clear brand position which is conveyed in its ‘Connected Thinking' strategy. It shows how PWC does business, helps define and shape a shared culture across its global network and how it will grow and strengthen its lead.'

Differentiation: ‘As most accountancy firms offer similar levels of service there is a significant need for differentiation which is currently not met. This is reflected in the fact that brand values largely correlate with fee income. Of the Big Four, Deloitte's and KPMGs brands are working harder than their major competitors but still there is little to differentiate between them. This, therefore, is a considerable opportunity. The firm that is able to successfully differentiate itself will see greater increases in value which will translate into increased growth and profitability.'

Awareness: ‘Outside the Big Four, accountancy firms have little awareness. This serves to further the dominance of the Big Four and presents a major challenge for the others. How can they possibly compete if no-one has heard of them? The answer, as firms such as BDO are proving, is to invest in the brand, invest in people and focus on some core, sustainable brand values and communicate this to their stakeholders.'