IKEA Case Study Strategic Marketing Plan Review
Table of Content
1.0 Executive Summary Pg. 3
2.0 IKEA Company’s Proflie Pg. 4
3.0 Segmentation Base on Applied by IKEA Pg. 5
3.1 GEOGRAPHIC SEGMENTATION
3.1.1 TARGET MARKET SEGMENTS Pg. 5
3.2. DEMOGRAPHIC SEGMENTATION
3.2.1 TARGET MARKET SEGMENTS: Pg. 6
3.3 PSYCHOGRAPHIC SEGMENTATION Pg. 6
3.4 BEHAVIORAL SEGMENTATION
3.4.1 TARGET MARKET SEGMENTS Pg. 7
3.5 IKEA’S POSITIONING STRATEGIES Ph. 7
4.0 Customer Value Provided by IKEA Pg. 8
4.1 Strategy of Best product values offered by IKEA Pg. 8 & 9
4.2 Best Price value strategies offered by IKEA Pg. 9
4.3 Best Service Value ...view middle of the document...
As they have become popular over the years through having quality and affordability products.
Lastly, the marketing mix and strategies adopted by IKEA on how they make use of their 4Ps’ to determine the Product strategy for space-saving furniture and unique designs, Place strategy that lacking of presence in a particular country of IKEA, Price strategy that features in organizing promotional sales discount to induce customer to clear old stocks and the last P refers to the Promotion strategy of how IKEA create the awareness of promoting their product through the media channels.
2.0 IKEA COMPANY PROFILE
In the south of Sweden, IKEA founder Ingvar Kamprad was born and grew up on the farm Elmtaryd, parish of Agunnaryd in Smaland. He had always wanted start off his own business whereby having a strong determination within himself to construct his own management resources of being independent during his upbringing in various events. He first started off as a young entrepreneur by propagating and selling goods at a distinctively reasonable price at the age of 17. [Inter IKEA B.V., 2011-2013]
IKEA was established in Sweden in 1943, starting off with the first commercial business name IKEA, Selling pencils, postcards, and other merchandise which was initially a mail-order business. By deriving the initial letters of Ingvar Kamprad and of Elmtaryd and Agunnaryd is how it was name.
In 1948, Ingvar Kamprad starts exploring innovative solutions such as self-assembly, furniture design and advertising. The expansions of their business were so successful and popular was mainly due to their unique creations with affordable priced furniture.
IKEA published their first annual catalogue in Sweden. The first showcase was open in 1953 at Kronoberg County, Sweden. Customers can assess and experience the quality of products before ordering. It covered 6,700 meters and became the largest furniture display in Scandinavia.
The coincidence of the Swedish Root that IKEA logo adopted is designed with the colours of blue and yellow where the colours are representing the Swedish flag. IKEA's philosophy, ‘quality at a low price’, shaped their business concept and growth continued during the 1960’s. Following their flagship store in Stockholm, Sweden, this covers the radius of 45,800 square metres.
Beginning with Munich in 1974, IKEA expanded into other parts of Europe. It has grown to a global reach company and is world’s most prominent retailer. IKEA outlets normally feature caretakers and playrooms for children while their parents can shop freely to their comfort and a Swedish cuisine cafeteria to meet the customers hunger needs. IKEA will also mail out approximately two hundred million of catalogues quarterly per year and provide online shopping for customer’s convenience. An estimation of 10,000 products which includes of housing reserve series and children’s products series, sales also include bedroom series, office supplies, sofas, kitchen series, lighting...