what makes ikea the cult brand that it is today
TRANSCRIPT
What makes it the cult brand that it is today ?
An inside look :
Brand ProfileSwedish lifestyle brand Multinational company World’s largest furniture retailer “Cult” brand , part of popular culture
IKEA’s Brand Personalities 1. Fun!!!
Fun PR campaigns , like “ambassador of kul(fun)” at IKEA Atlanta
Quirky product line up “Carnival atmosphere” at IKEA stores
2. Simple Uncluttered designs
Very simple constructs All products come in “easy to
assemble” forms
3.Cool IKEA has managed to become an important part of popular culture
4. User Friendly 4.1. Product experience : Elegant Simple Classy
4.2. IKEA Store experience “IKEA has essentially changed the way people shop for furniture”Box like structure One way format Customers can pick up products in a
warehouse after going through the store
Target consumer groups : 1.Millennials : By making the consumers associate IKEA with “fun and cool” , “sophisticated and classy “ .
IKEA achieves this by using wacky and quirky advertisements and campaigns
2. Working families IKEA Family card scheme “Trust” , “reassurance”“Loyalty” are core values
IKEA Smaland Children’s play area and creche Boon for working class single mothers
and fathers Enforces connections of IKEA with fun
in kids through building good memories
IKEA in-store restaurants CheapElegant ambience Opens before store timings Also consists of a food supermarket ,
inexpensive
Simple and accessible product catalogues and names
Cheap , affordable products and services
IKEA keeps selling prices low by 1.Cutting packaging costs 2. Sourcing parts and products from all over the world
3. Reducing land taxes and expenses by opening stores at a good distance away from city hubs
4. By saving Energy
IKEA tries to stay relevant to consumers who are conscious of their carbon footprint
IKEA saves energy by using low wattage light bulbs
IKEA recycles old products
IKEA has established a global network of loyal consumers by acknowledging the fact that different groups of consumers have different needs and wants
Customization is key
Post purchase actions Returned and damaged products are kept for sale in the “as-is” or the bargain corner at the end of the IKEA store Eco-friendly Cheap
SUMMARY :IKEA is a swedish , multinational lifestyle company that has acquired a cult status
It has established a link between its brand and values like fun , cool , simple , classy and user friendly in the minds of the users using a combination of product line , simple and uncluttered design and brilliant ad campaigns
Its target user groups are millennials and working families , and it appeals to them using strategies like creating a loyalty based family card scheme , operating restaurants , creches and using quirky ad campaigns
It has been very successful due to its ability to cut costs and provide inexpensive products to consumers and its ability to customize its products based on user ethnicity
It has established an eco friendly image
DISCLAIMER Created by NITIN. N , IIT Madras during a
Marketing internship under Prof Sameer
Mathur , IIM Lucknow
Image sources :
Flickr , Wikipedia , google images , adsoftheworld
Video source :
Youtube