Buy furniture? Ikea!

170130_ikea_logo

I clearly remember my friend bought a new apartment, and after the decoration, my friend said, she wanted to buy something to go home, she asked me where she should go? I told her to go to Ikea without hesitation.

Do you know why I chose IKEA? This is because, in my opinion, IKEA offers one-stop shopping. You can buy any stuff of home in IKEA. It is very convenience. The most important thing is that some stuff has low price, but have better quality.

In addition, we buy furniture IKEA; we need to assemble by them. Furniture package includes all the necessary parts and simple tools. This is a very interesting for young people.

However, not all countries can accept self-assembly, for example in China, most people maybe not accept the self-assembly. However, IKEA did not change the mode of marketing and strategy, just because of the Chinese market not used to self-assemble. IKEA hold onto the vision of what makes the company success. IKEA argue that market needs to learn. Essentially, retailers will drive changes in the market and the market will eventually adapt to the retailer. Finally, IKEA already have the successful in China.

That’s why if you ask me to buy furniture, I would suggest you go to IKEA, because in today’s society, IKEA has gone deep into the world.

According to incomplete statistics, IKEA has been in more than 26 countries, nearly 300 stores. It has almost become the world’s largest furniture seller. This is a huge success. Not to mention, there is a very famous IKEA Swedish meatballs.

In my opinion, IKEA is so successful is because it is clearly global marketing strategy. To better understand the IKEA marketing strategy, we take a look at the IKEA vision: We make this possible by providing a wide range of prices for well-designed, functional home products so low that as many people  can afford (IKEA website).

IKEA’s vision can be seen from the main Ikea sales strategy, the most important is to maintain low prices.

Now, let’s look at IKEA SWOT analysis.

宜家的营销策略 -  presentaion-5-1024

IKEA has a very comprehensive SWOT analysis.

IKEA’s marketing strategy is to maintain the diversity of products, keeping store layout design, products and services, essentially the same level. No mater where the store location, customers will have the same shopping experience. In addition, the products have low prices.

At the same time, according to different countries, IKEA offers the same product in different sizes. For example, bed size is different in different countries, therefore, the bed in different countries have different sizes to suit different markets.

Of course, IKEA do not stop there in a new country before opening new stores, IKEA will do more research for different customer group, and understand customer purchase behavior, and select the target customer group.

IKEA also have PEST analysis.

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IKEA’s marketing strategy is based on a comprehensive SWOT analysis and PEST analysis established. IKEA analyzed most of the issues from a wide range, so as to formulate the current global market strategy.

In addition, the catalog is the core of strategic marketing approach. So far, the IKEA catalog print over 200 billion per year, and there are 56 different editions, more than 27 kinds of languages. Accounting for 70% of the annual marketing budget.

Meanwhile, IKEA designers do not just collect information surveys and feedback reports from consumers. IKEA designers into the household, listening to our customers and provide feedback. Therefore, we can better meet the IKEA catalog in consumer psychology.

For me, IKEA has been a customer, I have seen the IKEA catalog, and I like it. First of all, I think catalog is exquisite workmanship. I’m glad to see the catalog. Secondly, the catalog is very useful, because it is not only have furniture introduction, but also have collocation result. In my opinion, this is a very important customer. For example, when a customer wants to buy something, but they do not know how to collocation with other things? Maybe they decided not to buy. However, IKEA catalog have the collocation, customers think this is a very good collocation, they need stuff, and maybe they will buy more than one thing.

In addition, the catalog looks very comfortable, reveals a taste of home. This is IKEA has become an important part of marketing strategy.

Finally, IKEA case shows that there is a standard specification, but the market in different countries have different marketing strategies. If they use the same marketing strategy all over the world, they will face a big challenge. But they did not do that. This is the right decision.

Reference

Shoulberg W, 2015, is the retailer IKEA in the past 25 years the most influential? Robin report, retrieved July 24, 2016, <http://www.therobinreport.com/is-ikea-the-most-influential-retailer-of-the-past-25-years/?utm_source=The+ Robin + Report & utm_campaign = e9f0db9d5e-Is_IKEA_the_Most_Influential_Retailer_1_14_2015 & utm_medium = email & utm_term = 0_e90268c709-e9f0db9d5e-201770281>

Bert, S, Johnson, U, and Xi Lande, 2011, “In the retail standardized marketing strategy? In Sweden, the UK and China, IKEA’s marketing strategy, periodicals retail and consumer services, on the 18th, the Nordic retail and wholesale meetings, 183-193, ScienceDirect, retrieved February 23, 2016, EBSCO host.

Porter, 1996 ME, “What is the strategy?”, Harvard Business Review, 74,6, the first 61-78, complete business resources, retrieved 24 March 2016, EBSCO host.

Walgrove, A, 2014, IKEA how to be content marketing king, contented, retrieved 24 March 2016, <https://contently.com/strategist/2014/11/07/how-ikea-became-kings-of- content- marketing />

Rachel

alqbpay@deakin.edu.au

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