PPT ON PROMOTION STRATEGIES BY IKEA

2. ABOUT IKEA
IKEA is a Swedish multinational conglomerate based in
the Netherlands that designs and sells ready-to-assemble furniture,
kitchen appliances, decoration, home accessories, and various other
goods and home services. Started in 1943 by Ingvar Kamprad, IKEA
has been the world's largest furniture retailer since 2008.
The brand used by the group is derived from an acronym that
consists of the founder's initials Ingvar Kamprad, and those of
Elmtaryd, the family farm where he was born, and the nearby village
Agunnaryd.
IKEA started selling flat-pack furniture(self-assembling) in 1956.

3. IKEA PRODUCT RANGE

4. PRODUCT POSITIONING: IKEA
• Mono-segment positioning: It appeals to the needs and wants of a
single customer segment that is cost-conscious and prefers value for
money.
• Adaptive positioning: It believes in periodically repositioning
products and services to adapt to changes in customer preferences.
For instance, its latest products reflect increasing minimalism on a
global scale.

5. IKEA MARKETING CHANNELS
• Website
• Mobile Application
• WebEngage: Email, SMS,
and Whatsapp Marketing
• Social Media
• Telecalling
• Commercials
• Print ads
• Stores

6. TAGLINES – IKEA INDIA
• ‘Ghar Aa Jao’, (Come home to
Ikea)
• ‘Home is where it all begins’
• ‘Creating a better everyday life
for the many people ‘

7. IKEA MARKETING STRATEGY
• A Creative, Consistent Brand Theme - IKEA sports its
cultural heritage proudly.
• Emphasizing the Modular Nature of Furniture Options -
IKEA encourages flexibility, customization and mix-and-match
furniture modules.
• Making Reusability Convenient and Affordable

8. IKEA MARKETING STRATEGY
• An Expansive, User-Friendly
Approach to Branded Content
• Capturing the Best Angle for Each
Item of Furniture – Even Inside IKEA
stores, customers wind through
elaborate room-based displays in order
to imagine how they could best put each
item to use.
• A Brand That Blurs the Lines of
Reality - The IKEA Place app.

9. IKEA MARKETING STRATEGY
• Time a Currency: Incentivise store
visits by providing discounts based
on travel time.
• Ikea's SMM (Social Media
Marketing) – Free workshops to
lure customers.
• Content Marketing – innovation &
humor.

11. IKEA PLACE APP

12. Marketing Strategy -INDIA
• Placing ads on empty boxes at the
airport.

13. Marketing Strategy -INDIA
• Using autos equipped with VR goggles

14. Marketing Strategy -INDIA
• Revamping bus stop at Hyderabad to display their popular
designs

15. PROMOTIONAL STRATEGIES OF IKEA
Ikea relies on its content marketing strategy to
create a distinguished presence amongst
furniture brands. Its commercials, print ads,
social media, and website stands out with
attention-grabbing content. It combines
innovation and humor to present the brand's
core values and inspire people.

16. PRINT ADS

18. IKEA PROMOTIONS
The IKEA ad focuses on the stories and reasons behind the fact that you no
longer need your furniture. The message is that even if a piece of furniture is left
behind after a divorce or you suddenly have to turn your home office into a
children's room, the furniture should not be thrown away for that reason.
Which all elements of promotion does IKEA use?
The furniture giant follows a marketing strategy called the 7 P's of marketing that
stand for: Product, Place, Price, Promotion, Physical evidence, People and
Process.

19. PRODUCT - Quality Meets Expectations
Form - Beautiful designs that capture the attention of the consumers.
Function - The product must have a clear purpose.
Quality - Quite simply, the durability and good condition of IKEA’s products and
materials.
Sustainability - From using only the necessary materials and resources to create
the furniture plus reducing the amount of waste these designs produce.
Low price - Achieving the right balance between good quality and affordable
prices by looking at the materials, changing the design, or going through the
production process again.

20. PLACE - Leveraging Offline & Online Channels
The best way to identify where to sell your
products is by truly knowing about your
customers.
Some key features you might look into should
be where your audience spends most of their
time (supermarkets, regular brick-and-mortar
stores, online stores) and to analyze where they
would look for your products (search engines,
magazines).

22. PRICE - Affordable for Everyone
The price should match the perceived value your customers have regarding your products.
By researching your target audience and creating buyer personas you can find out how much they would be willing to spend
on each item.
Looking at your competition plays also a huge role if you want to get ahead of them.
You can do that by under-pricing your competitors or by making sure your products match the price point.
IKEA strikes the balance between attracting people who want to spend a limited amount for their furniture and getting
enough profit for each product purchase.
The furniture retailer uses clever techniques to keep the costs low.
First, the retailer reduces its staff by letting their consumers pick themselves the items in the storage unit.
Second, selling the furniture in their individual components instead of getting them already assembled is another decision
based on keeping costs low.