What Is A Brand Pyramid And Why It Matters In Business - FourWeekMBA (2024)

A brand pyramid is a representational framework that answers fundamental questions about a brand and market positioning. The framework is particularly useful for new brands to enter a market for the first time. It moves from bottom to bottom with these elements: features and attributes, functional benefits, emotional benefits, brand persona/core values, and brand essence.

Understanding brand pyramids

Brand pyramids help a business clarify its brand essence – or the emotional feeling that consumers come to expect from interacting with a brand.

Here, it’s important to note that developing a brand pyramid should be an internal process. In other words, the business must define the external face of its brand by first looking inwards.

What does a business stand for and how does it want to be perceived? This is a question that only a business can answer, and should never be left for others to decide.

Ideally, the brand pyramid should assist in developing a unique selling proposition, brand story, and overall marketing strategy.

It can also serve as a standard that businesses can refer to in gauging whether its actions are aligned with its core values.

Establishing a brand pyramid

A brand pyramid can be created by using a triangle divided into five tiers. Marketing teams must start at the base and then move upwards.

Let’s look at each of the tiers in more detail.

1. Features and attributes

Features and attributes describe the basic purpose of the product in the market.

In other words, what does it do, and how does it do it?

For example, a messaging app may have custom emojis, group chat, and video chat features.

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2. Functional benefits

Functional benefits delve a little deeper. This tier seeks to determine the problems that a product or service is attempting to solve.

Put differently, functionality describes the reason a consumer uses a product. It also describes their expected outcome after consumption.

The messaging app solves the problem of free, instantaneous communication allowing consumers to express themselves through video and custom emojis.

3. Emotional benefits

What emotions do consumers tie to the usage of a product or service?

The user of an instant messaging app may feel connection, anticipation, joy, and acceptance.

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4. Brand persona/core values

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Brand persona simply describes the personification of a brand.

What values are important to this person?

How does the brand persona influence or reinforce marketing strategies and product development, and vice versa?

For example, insurance company Geico uses a gecko as representative of its brand persona.

The gecko calms the typical fear and distrust of insurance companies by appearing curious, approachable, and friendly.

5. Brand essence

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Brand essence is the apex of the brand pyramid, and for good reason.

Brand essence is the heart and soul of a business and is a culmination of the previous four tiers.

It is a reason for existing that guides everything a business does.

Importantly, brand essence is felt by customers in the form of positive emotions.

Volvo’s brand essence is safety.

That is, safety is a core function of their brand which determines how they invest in the manufacture of safe cars.

This focus on safety is decades-long and is best exemplified by Volvo’s invention of the three-point seat belt in 1958.

The company was also ahead of the curve with the introduction of airbags over 30 years later.

Brand pyramid examples

Let’s take a look at two brand pyramid examples below.

The Coca-Cola Company

Features and attributes

If we zoom in on the Coca-Cola soft drink in particular, we find that the product is sold in plastic bottles, glass bottles, and aluminum cans.

Coca-Cola has a distinctive red and white label and a recognizable taste with elements of vanilla, cinnamon, essential oils, and nutmeg.

Functional benefits

Coca-Cola serves primarily to quench a consumer’s thirst and leave them satisfied after consuming the drink.

The product is widely available and inexpensive which enhances this functional benefit.

Emotional benefits

Consumers associate joy, nostalgia, and relaxation with consuming Coca-Cola.

The “Share a Feeling” initiative, which allowed consumers to customize co*ke cans with specific emotions, meant the brand was also associated with self-expression, storytelling, and meaningful connections with friends.

Brand persona/core values

The Coca-Cola Company’s brand persona is predominantly made of up excitement and sincerity.

Marketing strategies illustrate the direct relationship between the brand and qualities such as cheerfulness, fun, and family-orientation.

For several years, the brand was also personified by animated polar bears who were presented as mischievous but also fun and innocent.

Brand essence

While there are many carbonated beverage brands, none of them can recreate the feeling of enjoying a co*ke.

The brand essence of Coca-Cola is associated with happiness, fond memories, and a general zest for life.

Note that the act of consuming Coca-Cola is not the driver of the company’s brand essence.

Instead, it is more to do with the enjoyable activities that an individual engages in whilst consuming co*ke, such as watching a sports game or movie and hosting a backyard BBQ.

Volvo

Features and attributes

Volvo is a Swedish vehicle manufacturer that sells cars, trucks, construction equipment, and buses.

Some of these vehicles are powered by internal combustion engines, while others are powered by hybrid or electric systems.

Functional benefits

Consumers purchase Volvo vehicles to move from point A to point B. They also purchase Volvos for their reliability and safety.

As we noted in the previous section, the company was a pioneer in airbag and seatbelt introduction.

It was also one of the first to introduce laminated windscreens and various features to protect children against serious injury in an accident.

Emotional benefits

For many decades Volvo focused on safety above all, which invoked consumer emotions such as comfort, reassurance, contentment, and satisfaction.

In recent years, the company has endeavored to tell emotional stories that encourage consumers to think about the role their Volvo plays in everyday life rather than each model’s specific features.

In one such story that was used to promote the new XC60 SUV, a mother drives her daughter to the important first day of school and assures her that there is nothing to fear and that everything will be fine.

Brand persona/core values

According to the Volvo Group’s website, the company lists the core values of customer success, passion, change, performance, and trust.

Each guides day-to-day behavior and decision-making.

Brand essence

Volvo’s brand essence is still very much associated with safety.

However, modern standards now mean that vehicles from all major brands are just as safe as Volvo’s vehicles.

This means a brand essence based on safety is less of a differentiator than it once was.

In 2021, Volvo drew on its long research and development history to reposition itself as a nimble leader in tech and design.

Whether this move will change the company’s brand essence among consumers remains to be seen.

Key takeaways

  • Brand pyramids help businesses define the very essence of their brands by way of visual representation.
  • Brand pyramids are divided into five tiers that a business must move through to reach the top: features and attributes, functional benefits, emotional benefits, brand persona/core values, and finally, brand essence.
  • Brand pyramids provide a systematic means of clarifying brand essence, which determines the emotions consumers associate with a brand. These pyramids also guide marketing strategy and business operations.

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FAQs

Why is a brand pyramid important? ›

To recap, a brand pyramid can be an incredibly useful visual tool to help communicate your brand's identity and market positioning. Creating one empowers your team, regardless of its size, to more clearly communicate your core identity, including your brand personality and the benefits you provide to your audience.

What is a branding pyramid? ›

A brand pyramid is a framework that answers most of the fundamental questions in a diagram that can be easily shared and communicated across an organisation.

What are the five layers in the brand pyramid? ›

In addition to that, Brand Loyalty is often visualized as a pyramid, outlining the five stages of increasing customers' loyalty: presence, relevance, performance, advantage, and bonding.

What is the brand essence in the brand pyramid? ›

The peak of the pyramid and the pinnacle of the brand is the brand essence. This is defined as the core value that drives the brand's performance. It is the key element that sets the brand apart from its competitors.

What is the primary advantage of the pyramid model? ›

The Pyramid Model provides a pro- gram-wide approach for use by early childhood teachers, caregivers, and families to support the social-emotional development of young children and decrease or eliminate challenging behav- iors.

What is the 4 key of element branding? ›

A strong brand requires a strong brand identity, brand image, brand culture, and brand personality. Implementing a successful brand strategy that develops all four of these components increases brand trust, loyalty, and awareness.

What are the 4 C's of branding? ›

The 4 C's of Marketing are Customer, Cost, Convenience, and Communication. These 4 C's determine whether a company is likely to succeed or fail in the long run. The customer is the heart of any marketing strategy. If the customer doesn't buy your product or service, you're unlikely to turn a profit.

What does pyramid mean in business? ›

A pyramid scheme is a fraudulent system of making money based on recruiting an ever-increasing number of "investors." The initial promoters recruit investors, who in turn recruit more investors, and so on. The scheme is called a "pyramid" because at each level, the number of investors increases.

What are the four levels of a brand? ›

There are four levels of brand awareness that can be visualised by using a brand awareness pyramid. Based on marketing mogul, David Aaker's brand loyalty pyramid, the levels of brand awareness are zero awareness, recognition, brand recall, and top of the buyer's mind.

What are the four levels of pyramid model? ›

As you can see in the diagram included here, the Pyramid Model includes four levels: Effective Workforce, Nurturing Responsive Relationships and High-Quality Supportive Environments; Targeted Social Emotional Supports; and Intensive Intervention.

How do you make a brand pyramid? ›

How Do You Make a Brand Pyramid?
  1. Features and Attributes. Features and attributes define what the product does and how does it do it. ...
  2. Functional Benefits. Functional benefits are a little deeper aspect. ...
  3. Emotional Benefits. ...
  4. Brand Persona & Core Values. ...
  5. Brand Essence.
Jan 3, 2022

What are the 4 key elements of a brand essence statement? ›

This then becomes a summary statement that includes all four aspects to define the brand: 1) who the target consumer is, 2) the frame of reference for the brand, 3) the benefits that the brand provides the consumer, and 4) the support of the promised benefit.

How many stages are there in the brand pyramid? ›

The Brand Pyramid illustrates the five key stages that customers go through as they develop loyalty toward a particular brand, product, or organization.

Why is branding important? ›

The Importance of Branding. Your brand is arguably one of your organization's most important assets. It gives your organization an identity, makes your business memorable, encourages consumers to buy from you, supports your marketing and advertising, and brings your employees pride.

What is a pyramid of purpose strategy? ›

Question 1 – "why" – refers to your organization's values, mission, and vision. Question 2 – "what" – covers objectives and goals. Question 3 – "how" – refers the actions needed to realize these goals. Question 4 – "who" – refers to the people, systems and tools which deliver these.

What is the common point of a pyramid? ›

The apex is often thought of as the "top" of the pyramid. It is also the common point shared by all the lateral faces of the pyramid.

What are the three C's of branding? ›

The 3 Cs of Brand Development: Customer, Company, and Competitors.

What is 5 importance of branding? ›

Beyond just a memorable logo, good branding increases the value of a company, provides employees with direction and motivation, and makes acquiring new customers easier.

What are the 4 steps of the branding process describe in detail? ›

Determine your target audience. Position your product and business. Define your company's personality. Choose a logo and slogan.

What are the 4 elements that make up a unique business ideas? ›

Here is how the 4 elements of a successful business should look like:
  • Product. A product should be simple, concise and honest. ...
  • Market. To be successful, a business needs to know their market and cater towards it. ...
  • Money. Money is always an issue when starting any new business. ...
  • People.
Sep 3, 2022

What 4 elements are required for developing a strong personal leadership brand? ›

4 Essential Things Your Personal Brand of Leadership Needs
  • Do You Know Your Personal Brand as a Leader?
  • It's Not All About You.
  • Expression: Projecting a Credible and Confident Presence.
  • Create open and consistent channels of communication. ...
  • Instill confidence and inspire commitment. ...
  • Spark curiosity and garner interest.

What are the 4 quadrants of brand strategy? ›

To create a good brand, one must find where their company first lies on the brand quadrant so that they can design accordingly. In our last blog we discussed how a brand quadrant allows a company to fall into four sectors: utility, symbolic, functional, and emotional.

What are the 5 A's of branding? ›

Philip Kotler, the five stages (Awareness, Appeal, Ask, Act and Advocacy) allow marketing and sales professionals to create a map of the customer's needs and priorities during the different parts of their purchase process.

What is a pyramid in simple words? ›

A pyramid is a three-dimensional figure. It has a flat polygon base. All the other faces are triangles and are called lateral faces. The number of lateral faces equals the number of sides on its base. Its edges are the line segments formed by two intersecting faces.

What is an example of a pyramid structure in business? ›

A pyramid hierarchy is more centralized, with one person at the top and multiple people on the lower levels. Think of corporate giant CISCO, a typical pyramid, versus a mid-size dry cleaning business, with the owner at the top and one person on each rung below, down to the entry-level cashier.

What is an example of a pyramid business? ›

Deemed a pyramid scheme in 2013 by the FTC, Fortune Hi-Tech Marketing recruited people to sell products made by Dish Network, cellphone providers, Frontpoint Home Security, and health and beauty products. However, salespeople earned more money from recruiting than they did from selling.

What are pyramid levels? ›

The pyramid level refers to the number of reduced-resolution datasets (pyramid layers) that will be created when pyramids are built.

What are the four 4 levels of activity in the pyramid representing the business organization distinguish between horizontal and vertical flows of information? ›

From top to bottom: Top Management, Middle Management, Operations Management, Operations Personnel.

What is the pyramid thinking model? ›

The pyramid is a visual representation of your ideas and is a framework for thinking about how information fits together. The pyramid has three levels: Lower Level: This is the information, analysis, survey results and research. Middle Level: These are the synthesized arguments or takeaways of a group of arguments.

How do you structure a brand? ›

5 Steps to Structure Your Brand for Growth
  1. Set clear objectives for your company and align the brand goals. ...
  2. Consider your brand architecture. ...
  3. Walk through a brand-positioning process. ...
  4. Conduct a touch point audit and innovate the experience. ...
  5. Re-assess and optimize.
Mar 17, 2016

What is brand loyalty pyramid? ›

Developed by David A. Aaker, the brand loyalty pyramid—or, if you prefer, brand awareness pyramid—is comprised of five steps, with prospects or customers “entering” at the base and progressing upwards as they become more and more loyal to a product or service, or to a brand as a whole.

How do you create a brand strategy? ›

Steps to develop a brand strategy
  1. Audit your current branding and marketing strategy.
  2. Develop your buyer persona.
  3. Determine your business' mission and vision.
  4. Identify and analyze your competitors.
  5. Audit your current branding and media campaigns.
  6. Develop your brand identity.
  7. Set-up your website.

What are the 4 key brand strategy options for a business 5 explain? ›

4 Brand Growth Strategies

Here are four common brand growth strategies for businesses looking to extend their services or product offerings. The four brand strategies are line extension, brand extension, new brand strategy, and flanker/fight brand strategy.

What is the four factor model of brand experience? ›

The authors distinguish several experience dimensions and construct a brand experience scale that includes four dimensions: sensory, affective, intellectual, and behavioral.

What are the 5 elements that make a strong brand? ›

Five Key Brand Elements:
  • Brand Position. ...
  • Brand Promise. ...
  • Brand Personality. ...
  • Brand Story. ...
  • Brand Associations.

What is the correct order of the pyramid called sales success? ›

At FocusCFO, we believe there are four phases that all businesses will move through on their way to being successful: foundation, health, growth and value. These areas build upon each other like a pyramid. This area is the base of the pyramid.

What are the three tiers of the pyramid model? ›

The model describes three tiers of intervention practice: universal promotion for all children; secondary preventions to address the intervention needs for children at risk of social emotional delays, and tertiary interventions needed for children with persistent challenges.

What is the most important part of a brand? ›

Logo. Every brand needs a logo. In fact, you'll be hard-pressed to find a brand that doesn't have a logo, which arguably makes it the most important element of branding. A logo is a brand's whole personality boiled down into an easy-to-recognize image.

Why is branding a key to success? ›

Branding allows you to build relationships with your audience, which can eventually turn them into loyal customers. You can create a brand that people actually care about and put yourself ahead of businesses that aren't using this to their advantage.

What makes a good brand? ›

All Strong Brands Have a Common Theme

Values long-term relationships over short-term sales. Develops strong branding that is consistent and visually compelling. Understands the value of meeting customers' emotional needs. Innovates to better serve their audience.

What is the importance of brand structure? ›

Brand architecture helps you define what that relationship is, and helps your brand stay organized internally. It's a road map for brand identity, development and design, and increases flexibility for product or service expansion in the future.

Why is it important to represent your brand well? ›

Branding Creates Loyal Customers

You don't just want customers who recognize your brand and use your business once — you want to create customers who continue to come back. With good branding, you can give your brand a more human side, which your customers can relate to more than a company that's strictly all business.

Why is brand valuation important? ›

Brand Valuation also helps identify and inform whether you should increase or decrease the number of brands you use, often referred to as a brand portfolio. When valuing a brand portfolio you are testing each available brand through the impact of their strength on business performance.

What is pyramid of influence in marketing? ›

The Influence Pyramid is a conceptual framework for building outreach strategies to communities online and off. It helps you define a methodology and an architecture to target your content and media efforts. The Influence Pyramid is designed to help you dissect and understand your community.

What are the five elements of an effective brand? ›

Five Key Brand Elements:
  • Brand Position. ...
  • Brand Promise. ...
  • Brand Personality. ...
  • Brand Story. ...
  • Brand Associations.

How does brand create value? ›

Build Brand Equity
  • Step 1 – Identity: Build Awareness. Begin at the base with brand identity. ...
  • Step 2 – Meaning: Communicate What Your Brand Means and What It Stands for. ...
  • Step 3 – Response: Reshape How Customers Think and Feel about Your Brand. ...
  • Step 4 – Relationships: Build a Deeper Bond With Customers.

How does brand value impact customers? ›

Positive brand equity increases profit margin per customer because it allows a company to charge more for a product than competitors, even though it was obtained at the same price. Brand equity has a direct effect on sales volume because consumers gravitate toward products with great reputations.

What is the pyramid strategy? ›

A strategic planning pyramid is a visual tool to help you draw out the goals of a business plan from top to bottom. This simple strategy may help you plan the steps necessary to achieve the vision of the company.

What is the pyramid effect in business? ›

Products are sold through a network of distributors or salespersons set up to resemble a pyramid: each distributor recruits and trains additional distributors and will earn commissions on their sales, as well as on the sales he or she makes.

What is the pyramid concept? ›

Key Takeaways

A pyramid scheme funnels earnings from all recruited participants on lower levels of an organization to participants on higher levels.

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