NEW YORK: Facebook, the social network, Li Ning, the Chinese sportswear giant, and Mercedes-Benz, the automaker, will be among the "great brands of tomorrow", according to Credit Suisse.
The investment bank said brands are vital in "today's markets of abundance and overwhelming choice, as they guide consumers towards expected quality, while allowing them to make a statement about themselves."
It added that most successful products follow five specific stages in their development, as they "emerge", "hit the wall", "transform and proliferate”, "dominate" and then "reinvent".
Tough financial times were also argued to provide manufacturers with an excellent opportunity to strengthen their position, as rivals cut back and new lines delay entering the market.
In support of this, Credit Suisse found that over the last 12 years, companies that spent at least 2% of their revenues on marketing cumulatively out-performed the S&P 1500 by 67%.
Moreover, it said brands are well-placed for future growth, due to their universal appeal, and as millions of people in Asia, Latin America and Eastern Europe are joining the "modern consumer economy."
In China, Alibaba, the business-to-business e-commerce site, and Tingyi, the country's biggest instant noodle firm, were tipped for success in the next five years alongside Li Ning..
The China Merchants Bank, Commercial Aircraft Corporation of China and Tsingtao Brewery are similarly likely to enjoy considerable upturns in their fortunes over the same period.
Indian Hotels, the accommodation provider, and Mahindra & Mahindra, the automotive-to-financial services conglomerate, were two of the Indian operators to make the list.
They were joined by Yakult Honsha, the dairy giant, and Uniqlo, the fashion chain, from Japan, and Hyundai, the automaker based in the Republic of Korea.
Elsewhere, Almarai, the Middle Eastern dairy group, Capitec, the South African bank, and MercadoLibre, the Latin American partner of eBay, are all set for rapid expansion.
In the US, Amazon, Apple and Facebook were the online and technology companies predicted to see their situations improve.
Under Armour, the sportswear brand, and Polo Ralph Lauren, the luxury label, will record comparable gains in popularity, as will Tiffany & Co and Trader Joe's.
From Europe, Julius Baer, the Swiss bank, Mercedes-Benz, the German auto manufacturer, and Swatch, the watch brand, were included in this elite cohort.
Credit Suisse outlined three areas of activity that will help these organisations enhance their revenues and reach by the middle of the decade.
The first was "innovation", with Southwest Airlines, which consistently finds new ways to reduce gate turnaround times, and L'Oréal, which invests heavily in R&D, showing how this can help brands stand out in the marketplace.
"Aspiration" plays an equally important role, with LVMH, Disney and Budweiser achieving this status among their different audiences, and Google and Nike because of their unique corporate cultures.
Likewise, "scale" can drive this process, with Facebook growing organically through its global network of members, and Microsoft benefiting from users needing the same software to share files.
Certain industries, like apparel and consumer goods, are also simply more "brand-friendly", as products are differentiated, closer to the end user, and can use reputation to shape purchase decisions.
However, advertisers like Marlboro demonstrated that an "emotional brand personality" can be built in segments where this is harder to achieve, with Intel also using its ads to brand an "ingredient".
Looking forward, eco-friendly and healthcare brands could come to play a more prominent role, with Method Products and Clorox acting as forerunners of this trend, Credit Suisse argued.
The investment bank said brands are vital in "today's markets of abundance and overwhelming choice, as they guide consumers towards expected quality, while allowing them to make a statement about themselves."
It added that most successful products follow five specific stages in their development, as they "emerge", "hit the wall", "transform and proliferate”, "dominate" and then "reinvent".
Tough financial times were also argued to provide manufacturers with an excellent opportunity to strengthen their position, as rivals cut back and new lines delay entering the market.
In support of this, Credit Suisse found that over the last 12 years, companies that spent at least 2% of their revenues on marketing cumulatively out-performed the S&P 1500 by 67%.
Moreover, it said brands are well-placed for future growth, due to their universal appeal, and as millions of people in Asia, Latin America and Eastern Europe are joining the "modern consumer economy."
In China, Alibaba, the business-to-business e-commerce site, and Tingyi, the country's biggest instant noodle firm, were tipped for success in the next five years alongside Li Ning..
The China Merchants Bank, Commercial Aircraft Corporation of China and Tsingtao Brewery are similarly likely to enjoy considerable upturns in their fortunes over the same period.
Indian Hotels, the accommodation provider, and Mahindra & Mahindra, the automotive-to-financial services conglomerate, were two of the Indian operators to make the list.
They were joined by Yakult Honsha, the dairy giant, and Uniqlo, the fashion chain, from Japan, and Hyundai, the automaker based in the Republic of Korea.
Elsewhere, Almarai, the Middle Eastern dairy group, Capitec, the South African bank, and MercadoLibre, the Latin American partner of eBay, are all set for rapid expansion.
In the US, Amazon, Apple and Facebook were the online and technology companies predicted to see their situations improve.
Under Armour, the sportswear brand, and Polo Ralph Lauren, the luxury label, will record comparable gains in popularity, as will Tiffany & Co and Trader Joe's.
From Europe, Julius Baer, the Swiss bank, Mercedes-Benz, the German auto manufacturer, and Swatch, the watch brand, were included in this elite cohort.
Credit Suisse outlined three areas of activity that will help these organisations enhance their revenues and reach by the middle of the decade.
The first was "innovation", with Southwest Airlines, which consistently finds new ways to reduce gate turnaround times, and L'Oréal, which invests heavily in R&D, showing how this can help brands stand out in the marketplace.
"Aspiration" plays an equally important role, with LVMH, Disney and Budweiser achieving this status among their different audiences, and Google and Nike because of their unique corporate cultures.
Likewise, "scale" can drive this process, with Facebook growing organically through its global network of members, and Microsoft benefiting from users needing the same software to share files.
Certain industries, like apparel and consumer goods, are also simply more "brand-friendly", as products are differentiated, closer to the end user, and can use reputation to shape purchase decisions.
However, advertisers like Marlboro demonstrated that an "emotional brand personality" can be built in segments where this is harder to achieve, with Intel also using its ads to brand an "ingredient".
Looking forward, eco-friendly and healthcare brands could come to play a more prominent role, with Method Products and Clorox acting as forerunners of this trend, Credit Suisse argued.
Data sourced from Credit Suisse; additional content by Warc staff
