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Ikea target audience, ikea marketing channels, ikea marketing strategy, ikea marketing strategy 2024: a case study.

Ikea Marketing Strategy 2024: A Case Study

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Ikea serves the unique functional needs of each target audience, with special attention to 16-34-year-old adults. It has solutions for:

  • Single people not living at home
  • Newly married couples
  • Families with the youngest child under six
  • Older married couples with dependent children
  • No children families
  • Labor force
  • Professionals 

Thus, it uses the following types of product positioning :

  • 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. Its Swedish furniture chain considers the dynamic nature of customer preferences. For instance, its latest products reflect increasing minimalism on the global scale. 

Ikea utilizes the power of the following marketing channels: 

  • Mobile Application
  • WebEngage: Email, SMS, and Whatsapp Marketing
  • Social Media
  • Telecalling
  • Commercials

The Ikea marketing strategy contributes majorly to its success because it's original, imaginative, and distinctive while maintaining a transparent value proposition.

A Creative, Consistent Brand Theme

From the Swedish national colors on its buildings to rich meatballs in its store cafeterias, Ikea's marketing strategy reflects its cultural heritage proudly. It infuses all elements of their identity with a sense of self-assuredness that maintains their identity in the market of stiff competition. 

Emphasizing Affordability and Sustainability 

Understanding that a simple tiered strategy won't encourage repeat business, Ikea extends customization, flexibility, and mix-and-match furniture modules. It effectively combines the elements of affordability and sustainability in its marketing strategy to ensure success.

While the furniture options don't pledge a lifelong guarantee, the products are built to last. Even its reusable shopping bags reflect its commitment to sustainability.

Sponsorship and Influencers 

IKEA-sponsored comedic series Easy to Assemble. Its innovative content marketing was way different from a furniture product demo. Incorporating sponsored digital marketing campaigns and social media influencers have boosted the Ikea marketing strategy. 

Ikea_CS_1

Ikea’s Easy to Assemble Series

Exceptional In-store Experience

Ikea brilliantly displays products employing the best lighting systems to generate more sales. It strategically arranges best-matched items in mock rooms to encourage impulse purchases and inspire decor. The company also extends excellent customer service to provide a memorable experience and incite customers to come back for more.

Ikea_CS_2

Ikea’s Store Decor for Inspiration

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Website and Mobile Application Marketing

Ikea ensures an optimal mobile website's speed, button displays and gesture controls on its website and mobile app to retain and attract individuals to the site. It carefully invests in its UI/UX , enquiry-based chatbot, and regular updates on new offers, discounts, and promotions. 

One of the most successful marketing moves includes downloading its 3D modeling app to envision a dream home. It's one of its most successful marketing moves that allows IKEA to upsell its low-demand items by creating a desire in its customers to revamp the room.

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Ikea’s Website With Engaging Content

Ikea's SEO (Search Engine Optimization)

Ikea's marketing strategy aims at enhancing the site's visibility for relevant searches to attract the attention of new and existing customers. It includes the right product-specific keywords and Google advertisements to further augment its organic ranking .  

Ikea_CS_4.

Ikea Ranking for Bookcases on Google’s First Page

Ikea's SMM (Social Media Marketing)

Ikea's handles are very active on digital marketing platforms like Facebook, Instagram , Twitter, and Youtube . Their digital presence is impressive, with more than 30 Million likes on Facebook, 1 Million followers on Instagram, 5.3k followers on Twitter, and 41.2k subscribers on YouTube.

Ikea_CS_5

Ikea’s Instagram Profile

Its Instagram bio links to its website. The website also has links to its various social media posts. Its 'view shop' and 'call' options for product catalog and direct assistance, respectively, are a testament to a well-crafted Ikea marketing strategy.   

Ikea_CS_6.

Ikea’s Youtube Advertisements 

IKEA also conducts free online workshops that lure lots of enthusiastic customers, resulting in gaining leads.

Ikea_CS_7

Ikea’s Online Workshop Ad

Content Marketing

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. 

ikea_CS_8

Ikea’s Captivating Commercial 

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IKEA Global Marketing Strategy 2024: A Case Study

Since its founding as a mail-order business in the late 1940s in Sweden, IKEA has grown to become a global retail giant with 422 stores in over 50 markets. However, the company faced challenges in 2017 with the passing of its founder and the rise of online shopping. To navigate these obstacles and continue its success, IKEA implemented a strategic global marketing strategy that focused on consistency, localization, and innovation.

IKEA’s Target Audience

IKEA caters to a diverse range of customer segments, including bachelors, newly married couples, families with young children, retirees, students, and professionals. Recognizing that each segment has unique needs and preferences, IKEA employs mono-segment and adaptive positioning strategies to effectively address their target audience .

IKEA Marketing Channels

IKEA utilizes a variety of marketing channels to reach its customers. These channels include online marketing through its website and mobile application, social media marketing, commercials, print ads, and physical stores. By leveraging these channels, IKEA ensures a comprehensive and integrated marketing approach that reaches customers across multiple touchpoints.

IKEA Marketing Strategy

A key focus of IKEA’s marketing strategy is affordability and sustainability. The company offers competitive prices and sustainable products to cater to eco-conscious consumers. Additionally, IKEA creates a consistent brand theme that showcases its cultural heritage, emphasizing affordability, sustainability, and a positive customer experience.

IKEA’s Store Decor for Inspiration

One of IKEA’s unique marketing strategies is its store decor. IKEA designs its stores to inspire customers, showcasing imaginative room setups and offering a wide range of furniture and accessories. This in-store experience creates a lasting impression and encourages customers to envision their own spaces with IKEA products.

Website and Mobile Application Marketing

In the digital age, IKEA understands the importance of optimizing the user experience on its website and mobile application. By prioritizing seamless browsing and shopping journeys, IKEA ensures that customers can easily find and purchase their desired products online.

Key Takeaways:

  • IKEA targets a diverse range of customer segments, employing mono-segment and adaptive positioning strategies.
  • The company utilizes various marketing channels, including online marketing, social media, commercials, print ads, and physical stores.
  • Affordability and sustainability are key focuses of IKEA’s marketing strategy.
  • IKEA’s store decor creates an inspiring and immersive shopping experience .
  • The company prioritizes optimizing the user experience on its website and mobile application.

Through the implementation of its global marketing strategy, IKEA has successfully expanded its brand presence worldwide and established itself as an industry leader. Its emphasis on affordability, sustainability, and customer experience has earned it recognition and accolades, such as being ranked 62nd on Fortune’s ‘100 Best Companies to Work For’ list in January 2005. With its innovative marketing initiatives and dedication to employee welfare, IKEA continues to thrive in the ever-evolving retail landscape.

As Pernille Spiers-Lopez, IKEA’s President, expressed, “We are delighted to be acknowledged as one of the best companies to work for. Our success is a result of the dedication and passion of our employees, who play a crucial role in driving our global marketing strategy and ensuring customer satisfaction.”

IKEA’s global success can be attributed to its ability to effectively target and cater to a diverse range of customer segments. The company recognizes that every individual has unique lifestyle preferences and needs when it comes to furnishing their homes. As a result, IKEA’s target audience comprises a wide range of individuals, including bachelors, families with young children, newly married couples, retirees, professionals, and many others.

By analyzing the market and customer preferences, IKEA has developed a comprehensive understanding of its target audience’s demographics, values, and buying behavior. The company follows a mono-segment positioning strategy, focusing on a single customer segment that places a high value on cost-consciousness and value for money.

Cost-conscious consumers play a significant role in IKEA’s target audience. These individuals are looking for affordable yet stylish furniture and home decor solutions that do not compromise on quality. IKEA’s pricing strategy enables the company to offer a wide range of affordable products, making it accessible to a broad customer base.

In addition to cost-conscious consumers, IKEA also appeals to families. With its focus on providing functional and practical furniture, IKEA’s offerings are designed to meet the needs of families with children. From storage solutions to kid-friendly designs, IKEA understands the challenges families face and offers solutions that are both practical and aesthetically pleasing.

Professionals and retirees are also part of IKEA’s target audience. Professionals seeking stylish and modern furniture for their homes can find a wide variety of options at IKEA. Likewise, retirees who are downsizing or looking for functional and durable furniture appreciate IKEA’s range of products that fit their needs.

Overall, IKEA’s target audience is as diverse as the products it offers. By understanding the specific requirements and preferences of different customer segments, IKEA ensures that its products and marketing initiatives resonate with its target audience and meet their expectations.

IKEA employs a comprehensive range of marketing channels to connect with its target audience and promote its products and brand. These channels include:

The IKEA website serves as a central hub for customers to explore the vast range of furniture and home accessories. It provides detailed product information, inspiration, and allows customers to make purchases online. With a user-friendly interface and intuitive navigation, the website offers a convenient and seamless shopping experience.

Mobile Application

Recognizing the growing prevalence of mobile usage, IKEA has developed a mobile application that offers enhanced accessibility and convenience. The mobile app allows users to browse products, view augmented reality (AR) visuals through the IKEA Place feature, create shopping lists, and even virtually design their rooms using the Room Planner tool.

Social Media

IKEA effectively utilizes various social media platforms such as Facebook, Instagram, Twitter, and YouTube to engage with its target audience. Through creative and visually appealing content, IKEA showcases its products, shares design ideas, and fosters a community of home enthusiasts. Social media campaigns and interactive content encourage customer participation and build brand loyalty.

Commercials

IKEA strategically employs commercials on television and online platforms to reach a wider audience. These commercials highlight the brand’s unique value proposition, showcase its product range, and emphasize the emotional aspects of creating a comfortable and beautiful home.

Print ads in magazines, newspapers, and other publications serve as an effective channel for IKEA to showcase its products and disseminate promotional offers. By targeting specific demographics through carefully chosen publications, IKEA maximizes the impact of its print advertisements.

Perhaps the most iconic and tangible marketing channel for IKEA is its physical stores. These stores are meticulously designed to provide customers with an immersive and inspiring shopping experience. Customers can explore beautifully designed showrooms, test and try out products, and seek advice from knowledgeable staff. The physical stores remain an integral part of IKEA’s marketing strategy, facilitating brand engagement and driving sales.

Through a strategic combination of online and offline marketing channels, IKEA ensures that it reaches its target audience effectively, offers a seamless shopping experience, and maintains a strong brand presence.

IKEA’s marketing strategy revolves around its creative and consistent brand theme, blending affordability and sustainability to attract a wide range of customers. With operations in over 50 countries and generating $42 billion in annual revenue, IKEA has established its position as a leading furniture retailer worldwide.

One of the key elements of IKEA’s marketing strategy is its focus on affordability. Recognizing the significance of pricing affordability, especially in emerging markets like India, IKEA tailors its offerings to provide value for money. In India, for example, they introduced smaller-sized furniture pieces to cater to compact living spaces.

Another important aspect of IKEA’s marketing approach is sustainability. With a commitment to environmental responsibility, IKEA implements sustainable practices in their operations, including efficient packaging, low transportation costs, and standardized product lines.

Furthermore, IKEA leverages sponsorship and influencer marketing to enhance its brand visibility. Collaborating with influencers and partnering with events and organizations, IKEA successfully expands its reach and engages with its target audience.

IKEA’s in-store experience also plays a vital role in their marketing strategy. The carefully crafted store decor, inspired by the unique Scandinavian design heritage, not only showcases IKEA’s products but also inspires customers with different interior design ideas. Additionally, the IKEA restaurants provide a wide variety of vegetarian and vegan options, contributing to the overall shopping experience.

Complementing their offline efforts, IKEA invests in various marketing channels such as commercials, print ads, social media, and their website. By creating engaging content and leveraging technology such as augmented reality (AR) apps, IKEA enhances the customer experience and ensures a seamless shopping journey.

Key Elements of IKEA Marketing Strategy
Affordability Sustainability
Sponsorship and Influencer Marketing Inspiring Store Decor
Engaging Content AR-supported Technology

IKEA’s global expansion is facilitated through its franchising model, ensuring operational control and standardization while requiring franchisees to pay back a percentage of revenue. Moreover, INGKA Holding oversees the majority of IKEA stores’ operations, management, furniture design, and manufacturing, resulting in a high level of centralization.

Competitors find it challenging to replicate IKEA’s strategy due to factors such as volume, global sourcing capabilities, and its unique Scandinavian design heritage. Suggestions for future success include modernizing customer catalogs with interactive tablets to provide personalized shopping experiences.

IKEA’s commitment to providing a memorable in-store experience goes beyond its product range. The store decor itself is carefully designed to captivate and inspire customers, creating a welcoming atmosphere that encourages exploration and creativity.

One key aspect of IKEA’s store decor is its lighting systems. Effective lighting is strategically used to highlight products and create an inviting ambiance. By illuminating different areas of the store, IKEA ensures that customers can easily navigate and discover their desired pieces. The clever use of lighting also adds a touch of warmth and sophistication to the overall shopping experience.

Another distinctive feature of IKEA’s store decor is the use of mock room setups. These fully furnished rooms showcase how IKEA’s products can integrate seamlessly into various living spaces. By presenting a complete picture, IKEA helps customers visualize their own homes with its furniture and accessories. Customers can explore and interact with the mock setups, experiencing the quality, functionality, and design firsthand.

IKEA’s store decor aims to provide inspiration, guiding customers in creating their ideal living environments. The artful arrangement of room displays demonstrates how different pieces can be combined and styled to create a harmonious and personal atmosphere. Whether it’s a cozy bedroom or a functional workspace, IKEA’s store decor sparks creativity and encourages customers to reimagine their own homes.

With its store decor, IKEA creates an immersive and enjoyable in-store experience. It’s not just about browsing and purchasing; it’s about being inspired and exploring the possibilities. From the moment customers step into an IKEA store, they are greeted with an environment designed to ignite their imagination and make their shopping experience memorable.

Throughout the store, customers can find ample seating areas where they can take a break, reflect on their choices, or simply relax. The inviting ambiance and comfortable seating create a welcoming atmosphere, allowing customers to fully immerse themselves in the IKEA experience.

And of course, the famous IKEA cafe adds to the overall store experience. Customers can indulge in a selection of affordable Swedish treats, further highlighting IKEA’s commitment to customer satisfaction beyond furniture sales. Whether it’s grabbing a cup of coffee or enjoying a delicious meal, the IKEA cafe provides a delightful break during the shopping journey.

Key Points Statistics/Information
Founded In 1943 by Ingvar Kamprad
Number of Stores Over 400 stores in 52 countries
Store Decor Highlights Effective lighting systems
Mock room setups
Artfully arranged room displays
In-Store Amenities Ample seating areas
Inviting ambiance
Swedish-inspired cafe
Mission Providing well-designed, functional, affordable, high-quality home furnishings to enhance customers’ everyday lives

With its carefully curated store decor, IKEA aims to inspire and empower customers to create their dream homes. By showcasing products in beautifully arranged rooms, utilizing innovative lighting systems, and offering a comfortable and enjoyable shopping environment, IKEA ensures that the in-store experience is as memorable as its iconic furniture designs.

As the world’s largest furniture brand, IKEA understands the importance of providing a seamless online experience to its customers. With over 4.3 billion visitors on its website in 2022, IKEA’s online presence is undeniable and pivotal to its success.

To ensure optimal user experience, IKEA invests in its website and mobile application, focusing on factors such as website speed, intuitive navigation, and responsive design. These aspects contribute to a user-friendly interface that enhances the overall browsing and shopping experience.

One of the key features that sets IKEA apart is its commitment to user interface and user experience (UI/UX) design. By prioritizing UI/UX, IKEA creates a visually appealing and intuitive platform that captivates customers and encourages them to explore further.

IKEA also leverages innovative technologies to engage users and enhance their shopping journey. For instance, the brand offers a 3D modeling app that enables customers to visualize how IKEA products would look in their own homes. This interactive experience not only assists customers in making informed purchasing decisions but also contributes to the brand’s positioning as a leader in user-centric design.

Furthermore, SEO optimization plays a critical role in IKEA’s digital marketing strategy. Understanding that most users do not go beyond the first page of Google search results, IKEA invests in SEO techniques to enhance visibility and organic ranking. This focus on SEO helps attract online visitors and drive conversion rates.

The success of IKEA’s website and mobile application marketing is evident in the brand’s achievements. Despite the challenging market conditions, IKEA’s conversion rate of 1.7% surpasses the industry average of 0.5%. Additionally, with 4.3 billion visitors in 2022 alone, IKEA reiterates its position as a top choice for consumers worldwide.

Statistics Year
Website Visitors 4.3 billion (2022)
Conversion Rate 1.7%

IKEA’s Social Media Marketing (SMM)

IKEA understands the power of social media in reaching and engaging with their target audience. With a strong presence on platforms such as Facebook, Instagram, Twitter, and YouTube, IKEA leverages these channels to showcase their products, inspire their customers, and foster a sense of community.

Through visually appealing content, IKEA captivates their audience by providing them with design tips, showcasing customer stories, and highlighting their latest product offerings. By sharing relatable and aspirational content, IKEA has successfully created a connection with their followers, nurturing brand loyalty and advocacy.

One of the key elements of IKEA’s social media strategy is their collaboration with influencers in the home decor and lifestyle space. By partnering with these influencers, IKEA is able to tap into their reach and credibility to showcase their products in real-life settings. These influencer collaborations not only provide social proof for IKEA’s products but also generate excitement and interest among their target audience.

Furthermore, IKEA’s social media profiles serve as a gateway to direct communication with their customers. They provide links to their website, allowing users to explore and purchase products directly. This seamless integration between social media and e-commerce enhances the customer experience and drives conversions.

However, IKEA’s social media journey has not been without its challenges. In the past, they experienced a decrease in positive brand preferences among viewers due to a social media campaign that deviated from IKEA’s established brand image. The mismatch between the campaign’s execution and the brand’s personality led to confusion and discontent among their audience.

Feedback from viewers on YouTube highlighted the disconnect between the campaign and IKEA’s target audience, potentially impacting brand perception and social media engagement metrics. Learning from this experience, IKEA recognizes the importance of articulating their brand essence through future social media campaigns and aligning their storytelling approach with the key features of their furniture series.

Efforts to refine their social media strategy also extend to IKEA’s website. Addressing the issue of slow speed, there are recommendations to improve mobile speed by 7.62 seconds and enhance desktop website speed by 2 seconds. By optimizing the website’s performance, IKEA aims to reduce bounce rates and provide a seamless browsing experience for their customers.

Overall, IKEA’s social media marketing plays a crucial role in generating brand awareness, fostering a sense of community, and driving customer engagement. Through their strategic use of platforms like Facebook, Instagram, Twitter, and YouTube, IKEA continues to inspire and connect with their target audience, solidifying their position as a leader in the home decor industry.

Content Marketing

Content marketing is a crucial component of IKEA’s overall marketing strategy. By creating engaging content through various mediums such as commercials, print ads, social media, and their website, IKEA effectively communicates its brand message and connects with its target audience.

One of the key elements of IKEA’s content marketing is storytelling. They craft narratives that resonate with consumers by presenting relatable scenarios and everyday life situations. Through these stories, IKEA showcases how its products can solve common challenges and enhance the home environment. By focusing on real-life experiences, IKEA creates a connection with their audience and positions their products as solutions to their everyday needs.

A great example of IKEA’s successful content marketing is their sponsored miniseries “Easy to Assemble” in 2008. This miniseries generated millions of views and created significant buzz on social media, effectively capturing the attention of their target audience. This success demonstrated the power of storytelling in engaging consumers and building brand awareness.

In 2011, IKEA launched the “Share Space” campaign, which encouraged customers to share their own home designs and ideas, fostering a sense of community and further strengthening the brand’s connection with its customers through user-generated content. This campaign generated thousands of submissions, showcasing how IKEA’s customers play an active role in shaping the brand’s identity.

In recent years, IKEA has also embraced influencer marketing, collaborating with influencers on social media to create authentic content featuring their products. This approach allows them to reach new audiences and leverage the influencers’ credibility to promote their brand. It’s part of their strategy to stay relevant and engage with younger consumers, especially millennials and Gen Z.

To incorporate technology and enhance customer experiences, IKEA launched an app in 2020 that utilizes Augmented Reality (AR) to help customers visualize furniture in their homes. This innovative approach demonstrates IKEA’s commitment to incorporating emerging technologies into their content marketing strategy.

Overall, IKEA’s content marketing efforts revolve around engaging their audience through compelling stories, relatable scenarios, and innovative approaches like AR technology. By creating valuable and inspiring content, IKEA builds brand loyalty and positions itself as a trusted and aspirational brand in the home furnishings industry.

Initiative Year Key Result
Easy to Assemble miniseries 2008 Millions of views, significant buzz on social media
Share Space campaign 2011 Thousands of user-generated content submissions, fostering a sense of community
Influencer collaborations 2015-present Authentic content featuring IKEA products, reaching new demographics
AR app for furniture visualization 2020 Enhanced customer experiences through technology

Through these successful content marketing initiatives, IKEA demonstrates the power of storytelling, user-generated content, influencer collaborations, and technology integration in engaging their audience and driving brand awareness.

IKEA’s Global Expansion and Localization

IKEA, with over 50 years of experience in international business expansion, has successfully established its presence in 52 countries worldwide. The company’s global expansion strategy combines standardization and localization to adapt to diverse markets and gain a competitive advantage.

One of the key factors contributing to IKEA’s global success is its ability to create franchise agreements that ensure consistency among its global stores while promoting a modern and managerial culture. This approach allows for efficient operations and a seamless customer experience across different markets.

To cater to local preferences and demands, IKEA strategically develops new supply chains in each market it enters. This enables the company to offer products that resonate with the local customers while maintaining its commitment to affordability and quality. For example, in markets like India, IKEA offers locally sourced mattresses and sofas made from local materials.

IKEA’s localization strategy goes beyond product adaptation. In its expansion into India, the company conducted thousands of home surveys to understand local preferences and cultural practices. This valuable market research informed product modifications, pricing strategies, and even the menu of IKEA’s stores in India.

However, localization also comes with challenges. IKEA has had to navigate different cultural and regulatory environments, such as in Russia where foreign ownership of land regulations require the company to lease, rather than own, its stores.

To address concerns about labor practices, IKEA has strengthened its supply chain management and responsible sourcing practices. The company invests in ensuring fair labor conditions and has taken measures to address past criticisms, such as accusations of forced labor in East Germany.

As IKEA expands into new markets, it invests in local marketing campaigns, forms partnerships with local influencers, and engages with local communities to build brand trust. This approach fosters a sense of familiarity and authenticity, enhancing customer loyalty and brand recognition.

In conclusion, IKEA’s global expansion and localization strategy have been instrumental in its success. By balancing standardization and localization, IKEA adapts to local markets while maintaining its competitive advantage. Through franchise agreements, strategic supply chains, and market research-driven adaptations, IKEA offers quality products at affordable prices worldwide.

The success of IKEA can be attributed to its innovative marketing strategy, which has allowed the company to dominate the furniture industry and grow from a small business in Sweden to a global empire. By offering affordable and functional furniture with clean lines and functionality, IKEA aims to make well-designed furniture accessible to everyone, catering to a wide range of consumers.

Through its strategic initiatives, including store decor, website optimization, social media marketing, and content creation, IKEA has effectively engaged its target audience and built a recognizable brand identity. Sustainability is a key focus for the company, resonating with environmentally-conscious consumers and aligning with the growing demand for eco-friendly practices.

Moreover, IKEA’s approach of allowing customers to assemble their own furniture not only differentiates the brand but also reduces costs. The company invests heavily in market research and customer insights to align its products with customer preferences, ensuring that its offerings are relevant and desirable.

In conclusion, IKEA’s marketing case study showcases the power of strategic initiatives, company culture, and leadership transition. By continuously innovating its marketing strategies, maintaining consistency in messaging and visual identity, and embracing sustainability, IKEA has successfully positioned itself as a market leader in the home furnishings industry, both globally and in new markets such as South Korea and India.

What is IKEA’s global marketing strategy?

Who is ikea’s target audience, what marketing channels does ikea utilize, what is ikea’s marketing strategy, how does ikea create an inspiring in-store experience, how does ikea optimize its website and mobile application, what is ikea’s social media marketing strategy, how does ikea utilize content marketing, how has ikea expanded globally while maintaining localization, what are the key takeaways from ikea’s marketing strategy, related posts:.

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ikea campaign case study

Nina Sheridan is a seasoned author at Latterly.org, a blog renowned for its insightful exploration of the increasingly interconnected worlds of business, technology, and lifestyle. With a keen eye for the dynamic interplay between these sectors, Nina brings a wealth of knowledge and experience to her writing. Her expertise lies in dissecting complex topics and presenting them in an accessible, engaging manner that resonates with a diverse audience.

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ikea campaign case study

The Story of The Wonderful Everyday

In 2013, after 25 years of almost continuous growth, IKEA was facing some tough challenges. The businesses’ rate of growth was starting to decline, and rivals were hot on IKEA’s tail, making it their mission to overtake IKEA’s market leadership as Britain’s biggest homeware retailer. We set out to reverse the decline, re-establish IKEA as the category leader and future proof the business for years to come. 

A big challenge required a big step change in our approach to communications. We needed a bold, future-facing point of view on modern life at home; one that could reimagine IKEA’s role and capture hearts and homes in the UK - attracting new shoppers, and encouraging more people to spend across more ranges, more often. We went back to the origins of IKEA itself, to the founding purpose of the business; ‘To better the lives of the many people’.

Full of Swedish Wisdom, The Wonderful Everyday Was Born

The everyday is often seen as boring, and we tend to overlook it in favour of far-off, fleeting celebrations in our calendars. But why? For IKEA, the everyday is the important bit - whether that’s giving you a better night's sleep, clever storage solutions that make more of your home, less arguments and less daily irritations. With this in mind, we rejected seasonal and event-driven marketing in favour of a more continuous, always-on approach. 

The Wonderful Everyday platform delivers across a range of products and a depth of channels. It’s an organising idea that influences the entire IKEA business - from brand, to products, store openings and colleagues. It stretches across home themes like sleeping, cooking, playing, storage and celebrates them all in equal measure.

ikea campaign case study

The Wonderful Everyday Seven Years On: Tomorrow Starts Tonight

Our recent IKEA campaign is anchored in the most universally everyday theme of all. Sleep was fast becoming the hottest topic in wellness - and with our home furnishing competitors. IKEA wanted to inspire its customers to sleep better and for longer. 

Our challenge: we all claim to love sleep; yet we neglect it nightly, in favour of waking life. Which is ironic, considering the myriad benefits good sleep brings to the waking day - enhancing creativity, athletic performance and health to name just a few. So if we were to change the many’s attitudes and behaviours towards sleep, we needed to show that the more you sleep, the more you get out of life. Enter our campaign: Tomorrow Starts Tonight. 

To launch this platform at scale, we created a TVC prequel to Aesop’s classic fable, the Hare & the Tortoise. In this modern reimagining, a great night's sleep is revealed as the secret to Tortoise’s success the next day – while the Hare wastes the night before the big race on (rather relatable) distractions. We also created a suite of provocative OOH to run alongside the TV. This work takes on the life-enhancing promises of industries that we spend time and money chasing –energy drinks, vitamin supplements and anti-ageing- highlighting how the benefits of sleep are proven to deliver the same results (with a whole lot less faff and nonsense).

ikea campaign case study

Creating a Wonderful Tomorrow Together: Fortune Favours the Frugal

In our most recent international campaign for IKEA, we tackle the F-word. Frugal often has negative connotations, but who said it has to mean miserly or unglamorous?! Our new TVC and OOH encourages us to think differently of the benefits of a frugal life and celebrates the small, everyday things we can do to be more environmentally friendly, with the help of IKEA. 

The campaign launches against the backdrop of IKEA’s commitment to sustainability, having recently pledged that all products will be made from recycled or regenerative materials by 2030. Last year alone, IKEA introduced a new, plant-based alternative to their iconic meatball, which has just 4% of the classic meatball’s carbon footprint and announced the move to non-alkaline batteries. In January 2021, IKEA launched Buy Back – an initiative that will see stores buy back unwanted IKEA furniture from customers in return for a voucher to spend when they really need something. 

Some (wonderful) Results

The Wonderful Everyday has delivered unprecedented growth for IKEA, and is consistently recognised as one of the most effective, creatively awarded and enduring campaigns in the UK.

In the words of IKEA's founder...

Most things remain to be done. A glorious future! ,

If you’d like to find out more press the ‘message’ button to get in touch’.

IKEA 'The Wonderful Everyday'

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Inside IKEA’s Digital Transformation

  • Thomas Stackpole

ikea campaign case study

A Q&A with Barbara Martin Coppola, IKEA Retail’s chief digital officer.

How does going digital change a legacy retail brand? According to Barbara Martin Coppola, CDO at IKEA Retail, it’s a challenge of remaining fundamentally the same company while doing almost everything differently. In this Q&A, Martin Coppola talks about how working in tech for 20 years prepared her for this challenge, why giving customers control over their data is good business, and how to stay focused on the core mission when you’re changing everything else.

What does it mean for one of the world’s most recognizable retail brands to go digital? For almost 80 years, IKEA has been in the very analogue business of selling its distinct brand of home goods to people. Three years ago, IKEA Retail (Ingka Group) hired Barbara Martin Coppola — a veteran of Google, Samsung, and Texas Instruments — to guide the company through a digital transformation and help it enter the next era of its history. HBR spoke with Martin Coppola about the particular challenge of transformation at a legacy company, how to sustain your culture when you’re changing almost everything, and how her 20 years in the tech industry prepared her for this task.

ikea campaign case study

  • Thomas Stackpole is a senior editor at Harvard Business Review.

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IKEA Retail Therapy case study: How IKEA creatively used search to get products seen where they wouldn’t normally be seen

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In November 2016, IKEA launched the “Retail Therapy” ad campaign created by the Swedish advertising agency Åkestam Holst, which renamed Ikea products after commonly searched relationship problems in Sweden. This case study looks at how search can drive product discovery by incorporating an SEO perspective into product naming – while bringing a smile on people’s faces.

IKEA RETAIL THERAPY from Ourwork on Vimeo .

Case study summary

• The campaign was based on a creative and disruptive search strategy • The Retail Therapy campaign was covered in multiple international news media • IKEA successfully improved their SERP ranking

The challenge

In most industries the first organic search results are highly coveted and it’s getting harder and harder for marketers to get – and maintain - content shown at the top of search results. Search engine optimization (SEO) is changing fast and increased competition for keywords can quickly cause your content to slip down the SERP page. Therefore, today’s marketers must constantly look for new ways to improve their SEO and beat competition. There are a few general SEO tips available but with their recent “Retail Therapy” campaign, IKEA decided not to follow general rules but instead think out of the box by focusing on a broader (and unexpected) content territory.

The solution

As a part of their ‘Where life happens’ campaign; the furniture giant launched a new website called Retail Therapy featuring some of their typical products, but with a bit of a twist. Developed by Åkestam Holst, a Swedish advertising agency, the website takes a creative SEO-focused approach to promoting some of IKEA’s products.

A trip to IKEA can be a great test of any relationship and according to Allan Dickner, IKEA’s deputy manager of packaging, the company even has a special name for products that are difficult to assemble; ‘the husband killer’ (Fortune 2015). With the “Retail Therapy” advertising campaign, IKEA now wants to use its products to help solve its customer’s relationship problems – or at least put a smile on their faces.

The Swedish advertising agency looked at common Google search queries related to relationship problems in Sweden and IKEA then changed the names of their products to match frequently googled relationship problems. The Retail Therapy website then beautifully paired each relationship problem with the product that hopefully provides the solution.

For instance:

• A google search on “My Partner Snores” would show a daybed for one. • A frying pan was named “How to Stay Married” • The “Ate too many Swedish meatballs” bike.

IKEA gave catchy, SEO-friendly names to more than 100 products on the Retail Therapy website, which looked similar to the IKEA website. The Retail Therapy website then linked through to the IKEA website allowing consumers to purchase the product through an easy, seamless purchase consumer journey.

The campaign generated a lot of buzz online and was mentioned in multiple international news media as well as being shared on several social media platforms. Towards the end of the video it concludes that, "Whether it's a snoring husband, a never-ending gaming son or any other relationship problem you have, IKEA can come to the rescue … or at least put a smile on your face while you keep Googling for an answer." Many consumers found the campaign amusing and shared links to the “Retail Therapy” products on their social media platforms.

Whether the Retail Therapy campaign and website helped IKEA drive sales is still to be seen but nevertheless, the campaign serve as a great example on how a creative and innovative SEO strategy can help your organisation drive traffic to your website as well as gain visibility and increase awareness. Thinking as a consumer and using consumer language is key. Most organisations do pay close attention to product names and product descriptions as part of their SEO strategy, but the IKEA campaign highlights that there may be interesting opportunities for marketers to think about the problems their products solve when developing product names instead of simply describing the product itself.

At last, it’s worth mentioning the risk of using too broad search terms. For example, if your company is selling “organic chicken stock cubes”, it’s not recommended to go after broad keywords like “chicken” or “organic chicken” as these are not specific keywords related to the products you are selling. You want to ensure that you can provide high quality content, that answer the questions people are searching for. With a humorous twist the “Retail Therapy” campaign ensured that the IKEA products matched the search queries in an unexpected way which ensured that the campaign was not just regarded as irrelevant content although the products were not necessarily what the consumers were looking. This means that relevance – but even more so humour - played a crucial role in the campaign’s success.

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Deconstructing The Global Furniture Giant – Absolute Business Model of Ikea Explained

ikea campaign case study

By Aditya Shastri

Quick Read   Explore the IKEA business model in this comprehensive case study. Understand how IKEA’s innovative approach to affordable, stylish furniture drives its global success and market leadership.

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Imagine treasure hunts where the prize is your dream living room – that’s IKEA. Their stores inspire with room layouts showcasing furniture’s potential. The secret? Flat-pack designs that disassemble for easy transport, saving on storage and letting you be your own furniture-building hero.

Efficiency is key. IKEA sources materials globally in bulk to keep costs low. Plus, their multi-use designs appeal to a wider audience. Those checkout impulse buys (hello, cinnamon buns!) add up too!

Sustainability matters at IKEA. They use recycled materials and promote energy-efficient appliances. They also prioritise good working conditions. This approach is a core part of IKEA’s business model, focusing on affordability and sustainability.

Want to dive deeper in this IKEA’s business model case study, just like we did in the SWOT analysis of Wikipedia ? Let’s begin our journey of understanding IKEA from its inception.

business model of ikea - ikea logo

Source: Google

Starting small in 1943 with a young Ingvar Kamprad at the helm, IKEA began by selling affordable household items like pens and wallets. Their mission? To make well-designed furniture accessible to everyone.

They hit a home run with flat-pack furniture in the 1960s, making it easier to transport and assemble these stylish pieces yourself. Today, IKEA is a global giant with over 450 stores, keeping Ingvar’s dream alive by offering good design and functionality at low prices.

They’re also champions of sustainability and keeping their environmental impact low. Even though they started in Sweden, IKEA has become a multinational brand, bringing their signature style and affordability to countries around the world. Their stores are known for their unique layout, complete with room displays that inspire customers to create their dream living spaces.

The success of IKEA’s business model lies in this combination of affordability, sustainability, and innovative design. So next time you’re looking for stylish furniture that’s easy on the wallet and the planet, consider a trip to IKEA.

IKEA Case Study: What’s New With IKEA?

Examining IKEA’s business model reveals numerous innovative strategies and developments aimed at maintaining their market leadership. Here’s what was buzzing around IKEA recently:

  • New sustainable materials: IKEA is introducing new sustainable materials into its products, such as recycled plastic, bamboo, and cork.
  • More affordable options: IKEA is committed to making its products more affordable for everyone, and is introducing new affordable product lines in 2023.
  • More online and omnichannel shopping options: IKEA is expanding its online and omnichannel shopping options, making it easier for customers to shop for IKEA products however they want.
  • New product collaborations: IKEA is partnering with new designers and brands to create new and innovative products.
  • New focus on home improvement: IKEA is expanding its focus on home improvement, and is introducing new products and services to help customers make their homes more stylish and functional.
  • New focus on sustainability: IKEA is committed to sustainability, and is working to reduce its environmental impact and operate more sustainably.
  • New stores: IKEA is opening new stores in new markets around the world.
  • New digital services: IKEA is developing new digital services to make it easier for customers to shop for and use IKEA products.
  • New focus on customer experience: IKEA is focused on improving the customer experience, both in stores and online.
  • New focus on inclusion and diversity: IKEA is committed to creating a more inclusive and diverse environment for its customers and employees.
  • New focus on social responsibility: IKEA is committed to making a positive social impact, and is working to support its communities and employees.

Understanding IKEA’s business model is essential to appreciating how these initiatives align with their mission of affordability, sustainability, and innovation.

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Let’s now understand the target audience of IKEA better with the help of a buyer persona.

IKEA Case Study:Buyer Persona of IKEA

A buyer persona generally refers to the detailed information of an ideal customer of a company. When it comes to IKEA, people from India use it the most. This buyer persona will help you understand the attributes of a regular IKEA user.

ikea campaign case study

Buyer’s Persona

Minneapolis, Minnesota

Profession:

Interior Designer

  • Affordable Home Furnishings
  • DIY and Creativity
  • Sustainability
  • Functional Design

Interest & Hobbies

  • Interior Design

Pain Points

  • Assembly Challenges
  • Limited Customization
  • Store Crowds
  • Product Availability

Social Media Presence

From the table above we can conclude that an ideal IKEA User is motivated by affordable home furnishings, DIY creativity, sustainability, and functional design, with interests in interior design, gardening, reading, and cooking.

Buyer personas are a powerful tool used by countless companies to refine their marketing strategies. Explore our library of digital marketing case studies to see how various companies leverage buyer personas. You’ll discover the wide range of buyer personas employed across different industries, providing valuable insights you can apply to your own marketing efforts.

The marketing strategy of UNIQLO is a fabulous example of this. Their approach is sure to spark your interest – and perhaps even inspire your own marketing tactics.

Business Model of IKEA

Ikea case study: market share & market analysis.

IKEA holds a dominant position in the global home furnishings market, with an estimated market share of around 12% in 2023 (source: Statista). The business model of IKEA leverages its extensive supply chain, economies of scale, and efficient logistics to maintain competitive pricing. Market analysis reveals a growing demand for affordable and sustainable home furnishings, trends that IKEA continues to meet with its product offerings. The company’s ability to adapt to changing consumer preferences and invest in digital transformation ensures its continued market leadership.

IKEA Case Study: Product Offerings

IKEA’s product offerings include a wide range of home furnishings and accessories, from furniture and kitchenware to textiles and lighting. The brand is known for its flat-pack furniture, which reduces shipping costs and allows customers to easily transport and assemble products. This business model of IKEA focuses on offering services like home delivery, assembly, and interior design consultations. The introduction of smart home products and sustainable materials reflects IKEA’s commitment to innovation and environmental responsibility.

IKEA Business Model: Target Audience

business model of ikea - ikea target market

Source: ikea.com

Young adults, families, and urban dwellers who prioritise affordability, style, and functionality in their home furnishings form the core customer base of IKEA’s business model. These customers are typically budget-conscious but still value good design and quality.

IKEA offers a wide variety of furniture catering to diverse tastes and lifestyles. This includes modern minimalist pieces, traditional styles, and rustic options. IKEA furniture allows for customisation and multi-use, making it appealing to a wider range of needs.

Demographic segmentation is a key pillar of the business model of IKEA. This allows them to tailor their marketing and product offerings to specific customer groups. One important segment IKEA targets is young, cost-conscious individuals like students or young professionals. These customers, typically with incomes between $15,000 and $50,000, are likely furnishing their first apartments or homes and prioritise affordability.

In essence, IKEA uses demographic segmentation to understand their diverse customer base and tailors its offerings accordingly. This allows them to attract a broad audience seeking stylish and functional furniture at accessible prices.

IKEA Business Model: Funding & Investors

IKEA is a privately held company, primarily owned by the Stichting INGKA Foundation, which was established by Ingvar Kamprad. The company has not required external funding rounds due to its strong financial performance and reinvestment strategy. IKEA’s revenue model is reinvested into the business for expansion, innovation, and sustainability initiatives. This self-sustaining financial model supports IKEA’s long-term growth and stability.

IKEA Business Model: Revenue Model

business model of Ikea - Ikea's revenue model

The IKEA revenue model is based on direct sales of home furnishings and accessories through its retail stores, online platform, and catalogues. In 2022, IKEA reported revenue of €44.6 billion (source: Inter IKEA Group). The company’s affordable pricing strategy, combined with its high-volume sales, ensures substantial revenue. Additional revenue streams include food sales in IKEA restaurants and service fees for home delivery and assembly. The diversified revenue model of IKEA ensures financial resilience and growth.

Business Model Of IKEA: Marketing Strategy

IKEA’s marketing strategy focuses on affordability, sustainability, and customer experience. The brand uses a mix of traditional advertising, digital marketing, and experiential marketing to reach its audience. IKEA’s iconic catalogues, engaging social media campaigns, and in-store experiences create strong brand loyalty. The company also leverages data analytics to personalise marketing efforts and improve customer engagement. Collaborations with designers and influencers enhance IKEA’s appeal and visibility.

Many companies, like IKEA, recognise the power of digital marketing to promote their brand and generate profits. It’s clear that digital marketing is shaping the future of marketing. Understanding its importance, YouTube, a major digital platform, emphasises the value of learning digital marketing skills.

If you believe that digital marketing should be approached strategically and deserves the utmost respect, pursuing a PG in Digital Marketing programme could be the perfect choice.

Business Model Of IKEA: Value Proposition

IKEA’s value proposition lies in offering well-designed, functional, and affordable home furnishings. The brand’s commitment to sustainability and innovation further enhances its appeal. IKEA’s flat-pack furniture and efficient supply chain reduce costs, which are passed on to customers. The IKEA shopping experience, from inspirational store layouts to comprehensive services, ensures high customer satisfaction. The value proposition of IKEA ensures a loyal customer base and strong market presence.

It refers to a competitive solution a company uses to make its products to gain a larger market space.

  • DIY system Flatpack: This system is suitable for the present building size required anywhere.
  • Using renewable energy sources: It helps to maintain an environmental/commercial balance.

Business Model OF IKEA:Operational Model

IKEA’s business plan includes an operational model which integrates a global supply chain, economies of scale, and efficient logistics. The company sources products from over 1,800 suppliers in more than 50 countries, ensuring quality and cost-effectiveness. IKEA’s flat-pack design reduces transportation and storage costs, enhancing operational efficiency. The company’s investment in digital transformation, including online sales and smart home solutions, ensures seamless operations and customer convenience.

IKEA Case Study: Strategic Alliances & Partnerships

IKEA forms strategic alliances with suppliers, designers, and technology partners to enhance its product offerings and operations. Partnerships with sustainable material suppliers support IKEA’s environmental goals. Collaborations with designers and brands, such as the Virgil Abloh collection, bring unique and limited-edition products to customers. Alliances with technology firms enable IKEA’s business to innovate in areas like smart home solutions and e-commerce.

IKEA Case Study:Technological Innovations

IKEA invests heavily in technology to enhance its products and customer experience. The company uses digital tools like the IKEA Place app for augmented reality furniture placement and the IKEA Home Planner for room design. Innovations in sustainable materials, such as recycled and renewable resources, reflect IKEA’s commitment to environmental responsibility. IKEA’s business plan is to focus on technological advancements ensuring continuous improvement and market differentiation.

However, technology is just one pea in a pod. Just like Uber leverages digital marketing to connect with riders and drivers, this powerful skill set can benefit anyone looking to stay ahead in today’s digital world. Enrolling in the best digital marketing course online can equip you with the knowledge and tools to create targeted campaigns, reach new audiences, and achieve your goals.

Unsure where to begin? Consider attending a free digital marketing certification masterclass . This can be a great way to explore the world of digital marketing and see if it aligns with your interests.

IKEA Business Model: Corporate Social Responsibility (CSR)

IKEA’s CSR initiatives focus on sustainability, community support, and social responsibility. IKEA’s business plan aims to become climate positive by 2030, reducing more greenhouse gas emissions than its value chain emits. IKEA promotes sustainable living through products like solar panels and energy-efficient lighting. Community initiatives include supporting refugees and providing disaster relief. The IKEA Foundation, funded by Stichting INGKA Foundation, supports global humanitarian projects and environmental initiatives.

Business Model of IKEA: Failed Campaigns of IKEA

IKEA more than often grabs attention with its unique marketing. But, there have been a few times when the campaign failed to connect with the audiences and gained backlash.

Here are a few examples of failed campaigns of IKEA:

  • IKEA’s ‘Book of Love’ catalogue: In 2012, IKEA released a catalogue for Saudi Arabia that featured photos of women without headscarves. This caused a lot of controversy in the conservative country, and IKEA was forced to apologise and withdraw the catalogue.
  • IKEA’s ‘This is How the Many Live’ campaign: In 2013, IKEA launched a campaign in the UK that featured photos of real people’s homes. The campaign was intended to be relatable, but many people found the photos to be depressing and unrealistic.
  • IKEA’s ‘The Wonderful Everyday’ campaign: In 2016, IKEA launched a campaign that featured families from different backgrounds living together in harmony. The campaign was intended to be inclusive, but some people found it to be unrealistic and even offensive.
  • IKEA’s ‘How to Live Small’ campaign: In 2019, IKEA launched a campaign that featured people living in small spaces. The campaign was intended to be aspirational, but some people found it to be insensitive to the challenges of living in poverty.
  • IKEA’s ‘Life is Not an IKEA Catalog’ campaign: In 2020, IKEA launched a campaign that featured furniture being peed and vomited on. The campaign was intended to be humorous and relatable, but many people found it to be gross and distasteful.

IKEA Business Model: Brand’s Top Competitors Analysis

Just like other businesses, IKEA also has its fair share of competitors. While there are so many out there here are some of top competitors of IKEA

  • Wayfair: Competes with IKEA in online home furnishings, offering a wide range of furniture and decor with a strong focus on e-commerce.
  • Home Depot: Provides a broad selection of home improvement products and services, attracting DIY enthusiasts and professionals.
  • Ashley Furniture: Known for its affordable and stylish furniture, competing with IKEA on price and design.
  • West Elm: A subsidiary of Williams-Sonoma, offers modern and contemporary furniture, appealing to design-conscious consumers.
  • Amazon: Competes in home furnishings through its vast marketplace, offering a wide range of products and convenient delivery options.

The IKEA business model exemplifies innovation, efficiency, and sustainability in the home furnishings industry. Its diverse product offerings, strategic partnerships, and technological advancements ensure sustained growth and market leadership. As IKEA continues to evolve, it remains a transformative force in global home furnishing.

As we wrap up our analysis of the impressive business model of IKEA it’s clear that staying up-to-date with the latest trends and techniques is key to success in the digital marketing world.

Lastly if you are dreaming of learning a digital marketing course, and want it to be in a specific location then, explore the digital marketing courses in Thane , or dive into the bustling tech scene with digital marketing courses in Gurgaon .

Or maybe something that inspires you? Check out the digital marketing courses in Lucknow . No matter your location, the world of digital marketing awaits. So, unleash your inner marketing guru and conquer the online landscape, all from the comfort of your favourite spot.

FAQs About Business Model of IKEA

IKEA's business model focuses on providing affordable, well-designed home furnishings through a global supply chain and efficient logistics.

IKEA makes money through direct sales of home furnishings, accessories, food sales in its restaurants, and service fees for home delivery and assembly.

IKEA’s main products include furniture, kitchenware, textiles, lighting, and accessories for home furnishing.

IKEA’s top competitors include Wayfair, Home Depot, Ashley Furniture, West Elm, and Amazon.

IKEA uses technology for augmented reality furniture placement, room design planning, and innovations in sustainable materials.

IKEA's target audience includes young adults, families, and urban dwellers seeking affordable, stylish, and functional home furnishings.

IKEA holds approximately 12% of the global home furnishings market.

IKEA’s CSR initiatives focus on sustainability, climate positivity by 2030, supporting refugees, and global humanitarian projects.

IKEA’s value proposition is offering well-designed, functional, and affordable home furnishings with a commitment to sustainability and innovation.

IKEA markets its products through traditional advertising, digital marketing, iconic catalogues, social media campaigns, and in-store experiences.

ikea campaign case study

Author's Note: My name is Aditya Shastri and I have written this case study with the help of my students from IIDE's online digital marketing courses in India . Practical assignments, case studies & simulations helped the students from this course present this analysis. Building on this practical approach, we are now introducing a new dimension for our online digital marketing course learners - the Campus Immersion Experience. If you found this case study helpful, please feel free to leave a comment below.

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IKEA Marketing Strategy: 7 Tactics and Takeaways (Infographic)

ikea campaign case study

Over the years, IKEA has become a favoured furniture brand for an impressively wide customer base, from college students acquiring their requisite first futon to long-time homeowners who need a new bookcase or crib.

Quality products, affordable prices and a do-it-yourself assembly attitude are big reasons for IKEA’s success. Plus, it doesn’t hurt that the company’s marketing strategy is second to none.

What Makes IKEA’s Marketing So Successful?

IKEA’s brand identity ranks among some of the most iconic logos, campaigns and companies in recent history. Just like Coca-Cola has its signature colours and script, there’s hardly any mistaking IKEA’s bold lettering or its blue and yellow themes. Like Apple, every retail store offers exciting customer experiences from the moment you spot their unmistakable facades on the horizon.

Who would have thought we’d get so excited about the prospect of hauling home a few flat boxes and whipping out a hex key to build our own furniture?

IKEA’s marketing strategy is so successful because it’s original, distinctive and imaginative while also maintaining a clear value proposition .

If I told you I owned a LAIVA bookcase, then chances are, without even being able to picture the item, you’d know:

  • It comes from the Nordic furniture company IKEA.
  • It didn’t break my budget.
  • It was easy to transport home.
  • After I got it back to my apartment, I put it together myself.
  • It probably boasts a chic, modern style.
  • I’m going to keep talking about how much I love it to everybody I know.

That’s the power of IKEA’s marketing mix.

What Marketing Strategies Does IKEA Use?

Each element of IKEA’s outreach strategy is carefully curated to support its brand identity and to create memorable customer experiences:

  • The company employs a consistent and easily recognisable theme , from its product names to its colour scheme.
  • Mixed-and-matched products are available to suit each customer’s unique style and needs.
  • Product offerings walk the fine line between mass-market affordability and reusable durability .
  • Sponsored content with creative partners expands the brand’s appeal to new demographics.
  • All sale items are displayed in a way that’s designed to inspire the customer’s vision .
  • The brand is participatory , and people are encouraged to take IKEA ideas and run with them.
  • IKEA leverages the latest technology to provide cutting-edge experiences consistent with its ethos.

Let’s explore each of these points in greater detail.

Tactic No. 1: A Creative, Consistent Brand Theme

Imagine a world in which IKEA’s Australian stores are draped in green and gold. They just serve hot roasted lamb in the cafeteria, and every forgettable furniture name fades into all the others.

Don’t blend in. It’s better to wear your roots proudly!

From the Swedish national colours emblazoned on its buildings to the sensational meatballs served in its store cafeterias, IKEA sports its cultural heritage proudly.

Come join us for Swedish meatballs, salmon, Glögg drink and more at the annual Swedish Christmas Julbord Buffet on 12/9/22! Get your tickets today at your local IKEA store. https://t.co/KRdKKtPU8b pic.twitter.com/V6X1O7TYV8 — IKEA USA (@IKEAUSA) December 2, 2022

Take careful note, though: There’s a dash of humour and humility inherent in this approach. IKEA’s take is lighthearted, through and through.

The Takeaway: Know Thyself

Tongue-in-cheek isn’t the only way to own your brand. It’s just important to figure out what you’re about and to infuse all elements of your identity with a strong sense of self-assuredness. In doing this, you’ll have imbued your brand with an authenticity that appeals to your target audience — and beyond — as more bystanders become intrigued.

Social media can be a great place to start implementing that creative consistency.

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Tactic No. 2: Emphasising the Modular Nature of Home Furniture Options

Not every market is blessed with the ability to allow for a seemingly endless assortment of customer choices. But a simple tiered strategy doesn’t give your brand many opportunities for encouraging repeat business. If your customers already feel that they’ve invested in the latest and greatest, then they don’t have much incentive to come back for more until their original purchase is broken or depleted.

IKEA encourages flexibility, customization and mix-and-match furniture modules. The combination of affordability and sustainability is key to this success.

After you meander through IKEA’s dazzling showrooms, remember that you’re basically ejected into a warehouse. Outsourcing some of the logistics and assembly to consumers helps the company streamline its supply chain and reduce prices for the end user.

Putting together an IKEA product for yourself helps free the business up to focus on its own sustainability initiatives .

We’ve just unveiled the 1st project from one of our #IKEALetsGoZero competition winners. Earlier this year, along with our friends at @LetsGo_Zero , we challenged children across the UK to share innovative ideas for their school to help tackle climate change. pic.twitter.com/p398JvM2e9 — IKEA UK (@IKEAUK) November 3, 2022

The Takeaway: Give Your Customers a Reason To Explore Their Options

Right now, if you only provide one right answer for your customer, focus on finding out how you can help them create their own original response instead.

While the Swedish furniture giant encourages any customer to get creative with their IKEA products, the approach may look different for you.

Tactic No. 3: Making Reusability Convenient and Affordable

In an era of planned obsolescence, it may seem counterintuitive for a furniture company to emphasise reusability. To be fair, the key points of the IKEA brand value proposition that we mentioned earlier don’t necessarily lead with a guarantee that every product will last a lifetime. But this company is far from disposable.

It’s likely that you’ve seen the iconic FRAKTA bag out in the wild at some point, perhaps even being used in lieu of a leash on mass transit.

This is FRAKTA. Happy to keep subway doggos compliant. 14/10 https://t.co/iACNEBefr1 — IKEA USA (@IKEAUSA) September 26, 2019

While the beds and desks you’ll find at IKEA aren’t handcrafted by experts who pledge a lifelong guarantee tethered to their personal honour, the company still provides its customers with products that are built to last. Even IKEA’s durable, reusable shopping bags stand as a testament to the company’s commitment to sustainability.

The Takeaway: Give Them Something (Reusable) To Talk About

Customer behaviour has long been shifting toward one that puts eco-friendliness and environmental awareness above all — but sustainability goes beyond that. Make sure that your brand is showcasing these values and placing them on display through long-lasting products that are built with a sustainable purpose in mind.

Tactic No. 4: An Expansive, User-Friendly Approach to Branded Content

Today’s average TikTok video boasts production values that would put even some professional-grade web series from the late 2000s to shame. That said, the IKEA-sponsored comedic series “Easy to Assemble” was a bold, odd, irreverent and ambitious undertaking that featured talented celebrities like Illeana Douglas, Jeff Goldblum, Jane Lynch and others.

This innovative content marketing was far from a furniture product demo, but the IKEA branding was everywhere.

Sometimes it pays to give creatives free rein over the project.

After all, when has it ever felt natural to sponsor a series and then casually work the featured product into the storyline for some tight close-ups of the logo? Why not just plaster the brand everywhere and let your target consumers enjoy some quality, original content?

The Takeaway: Be Adventurous

Don’t be afraid to take new steps into the wild, weird and unknown. Just like this IKEA marketing strategy, it’ll get people talking on social media — especially if you partner with Illeana Douglas.

Tactic No. 5: Capturing the Best Angle for Each Item of Furniture

IKEA’s classic catalogues have been a brand fixture for a long time. Carefully staging each product to inspire the viewer is something that this business does exceptionally well. Even inside IKEA stores, customers wind through elaborate room-based displays to imagine how they could best put each item to use.

ikea campaign case study

There’s an unstated but unmistakable aspirational component to this publication, too. IKEA masterfully connects with its market base to evoke ideal living spaces tastefully facilitated by the company’s products.

The Takeaway: Don’t Skimp on the Staging

It takes more than just perfect lighting or the right angle to make your products stand out. Just as an IKEA store frames IKEA furniture in a way that inspires, let your products sparkle in the same way by putting each in a larger context for your audience. This will no doubt facilitate a better customer experience, too.

Tactic No. 6: Capturing the Attention of Brand Influencers Effortlessly

Furniture companies may not be lifestyle brands, but they still seek a strong sense of loyalty from their customers, new and old. For IKEA, that goes doubly, considering the powerful, unique brand image it has developed over the years.

Sponsored digital marketing campaigns have their uses, but organic influencer appeal may just be the way forward for increasingly sceptical millennials, not to mention the socially savvy contingent known as Gen Z. Nothing can replace a genuine social media connection.

The Takeaway: Stay Open to Outside Influencers

If you’re confident in your brand and your product, be ready and welcoming for attention from social media influencers. These talented individuals, whether they know it or not, are digital marketing savants — offering a sub-platform with an already-engaged audience that can help you reach more customers in your target market.

Tactic No. 7: A Brand That Blurs the Lines of Reality

IKEA realised that emerging technologies can help encourage customers to become home decor visionaries. No longer do you have to simply imagine whether a certain piece of furniture would match your given aesthetic. Now you can see it.

The IKEA Place app uses augmented reality (AR) to give customers a real view of how items will fit into their living space.

This is a new evolution in an exciting lineage. IKEA has always used digital tools to help customers picture how products will fit, or if they’ll fit, into their lives.

The Takeaway: Think of New and Creative Ways To Use AR and VR

As AR and virtual reality (VR) become more sophisticated and widely available, savvy marketers will explore new options for facilitating exciting new customer experiences. And because marketers (and consumers) are still getting used to these kinds of exciting technological implementations, brands that take advantage of them now stand to gain a competitive advantage over their adversaries.

IKEA: Swedish for Innovative Furniture Marketing

OK, maybe that’s not a literal translation. That said, this company has pioneered some truly original marketing strategies over the years. And we can’t wait to see how the brand evolves in the future.

Michael O'Neill

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ikea campaign case study

Mike O'Neill is a writer, editor and content manager in Chicago. When he's not keeping a close eye on Brafton's editorial content, he's auditioning to narrate the next Ken Burns documentary. All buzzwords are his own.

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Unpacking IKEA’s digital marketing strategy: key observations

IKEA’s flat-packed furniture furnishes millions of UK homes, but the brand’s success is no accident. Let’s unpack some key elements to the Swedish giant’s UK digital marketing strategy.

From widespread use of inspirational imagery to email automations and smart use of content SEO, there are a number of ways IKEA’s winning with their digital activity. A great case study for any home and garden brand.

A consistent, familiar brand

IKEA’s blue and yellow brand colours — reflecting the Swedish flag — are bold, iconic and offer instant recognition. Online and offline, they are ever-present.

IKEA’s value proposition is similarly consistent and powerful, too. Customers know that they’re getting stylish homewares at an affordable price.

Through offering design and planning services, the brand also makes an attempt to come across as more than a retailer. As we’ll mention, by delivering strong visual imagery and project inspiration throughout their digital activity, they’re wanting to be more of a friendly design advisor.

Showcasing products in action

IKEA’s inspiration hub boasts plenty of visual ideas for users to chew over whilst they’re tucking into some Swedish meatballs. This can be filtered by room, activity, colour and style.

You don’t need us to tell you this, but including plenty of product imagery is good practice for any brand in the home and garden sector. IKEA’s galleries are hugely visual, aiming to inspire.

Harnessing user-generated content

Ah, UGC. The holy grail of authenticity. IKEA’s ‘As seen on Instagram’ image carousel features throughout their website — it’s a great way of showcasing products in real customers’ homes, complementing the more professional image galleries we just mentioned.

IKEA are keen to be as visual as possible, which is a big win.

Interest-free credit and free delivery

Like many savvy e-commerce brands, IKEA makes it as tempting as possible to convert by sweetening the deal with finance options .

By making that new oak-effect coffee table slightly less of a budgetary stretch in the short-term, offering interest-free credit certainly helps to facilitate conversions.

To further smooth the customer journey, IKEA also offers free delivery for small package orders over £60 and online project planning consultations .

Emphasising sustainability

IKEA’s target audience is as diverse as its product range, but there’s a particular focus on younger, middle-class shoppers seeking budget-friendly, stylish home furnishings.

IKEA is well aware of the eco-consciousness of this demographic. With their entire hub on sustainable living and a dedicated sustainability strategy , it’s clear the brand is keen to do more than just pay lip service to environmental concerns.

A playful, well-rounded organic social strategy

A perusal of IKEA UK’s Instagram feed shows a good mix of social media content with a consistent, varied output of inspiration content, discounts, new ranges and trends.

They’re not missing the opportunity to showcase their product range looking resplendent with professional, aspirational photography.

IKEA has even recreated Demi Lovato’s home with IKEA furniture — for ‘the celebrity look without the celebrity price tag’, naturally.

All great stuff that’s visual, inspirational and shareable with partners and housemates.

They’re also not afraid to jump on trends, showing how to do ‘what’s in my bag’ with a stop-motion effect , whilst also tagging products in their social posts — another great strategy for driving sales directly from social. Similarly low-fi was their tongue-in-cheek take on London Fashion Week . IKEA doesn’t shy away from those tried-and-tested techniques for drumming up engagement, either — competitions .

Eye-catching paid social creative

IKEA are making the most of bold, colourful ad creative in their social media advertising , emphasising their free delivery. A wise strategy and an enticing proposition, especially when you consider how nightmarishly busy IKEA in Leeds can be.

Beneath the main graphic are a series of product images to inspire customers.

Over on Instagram, ads typically contain a selection of products with links through to their corresponding pages.

A campaign-led ambassador and influencer strategy

IKEA occasionally partners up with well-known names and influential figures as part of their campaigns — for example, in their Life At Home campaign with leading photographer, Annie Leibovitz .

Interestingly for a global brand, IKEA says that ‘ our stores partner with local bloggers and influencers when there's an opportunity to work together ’, but we don’t see much evidence for this across their feeds.

A loyalty club

Like many successful home and garden brands, IKEA has launched something that looks and feels like a loyalty scheme — the IKEA Family . You can sign up for free and become part of their meatball-loving, flatpack furniture-assembling crew.

“As an IKEA Family member, you can enjoy discounts on selected home furnishing products, food products and services, not to mention free tea or coffee from Monday to Friday. You will also receive regular inspirational newsletters.”

It’s another great way of making customers feel valued and growing an email subscriber list. And when it comes to driving sales and return on investment, we know that email marketing is some of the best bang for your buck as a brand. Which moves us on nicely…

Automated email workflows

After signing up to the IKEA Family, their loyalty club, users receive a steady flow of communication as part of a workflow, inviting them to discover the benefits of membership.

However, despite adding a few products to the cart and letting them idle, we didn’t receive any abandoned cart emails — this seemed like a bit of a missed opportunity to recapture lost customers through another basic email automation.

Search-led content

Within IKEA’s ‘life at home’ and ‘how to’ resource sections, they’ve started to build somewhat of a content hub.

You’ll find articles like privacy solutions for small spaces and 6 ideas to optimise a hybrid workspace . This shows that IKEA are along the right lines when it comes to SEO-led content creation — they’re thinking about what their customers may be searching for and creating content to satisfy this need, meanwhile pulling in popular ranges they want to promote throughout the articles.

That said, many of these articles are quite thin on copy, which could limit their performance in search results. But when you have a domain authority like IKEA’s, you can probably afford to take some liberties.

A brand-led paid social category

Google Ads Transparency Center shows us that IKEA’s Google Ads campaigns capitalise on their brand name which, being such a popular household name, you can’t blame them for.

From what we can see, however, it doesn’t appear as though IKEA is making widespread use of display and programmatic advertising . So, that glossy beige FÄRGKLAR mug will not be following you around the internet until the end of your days — thankfully.

Even though there may be areas for some areas for a bit of home improvement, IKEA has a well-rounded, strategic approach to digital marketing, with the emphasis on being as visual as possible.

If you enjoyed this overview, you might want to check out our blog bursting with marketing tips, tactics and ideas for home and garden brands !

Also, why not grab a cuppa and take a gander at some of our award-winning work for businesses in the sector? If you like what you see, our talented team of digital marketers are only a message away using the button below.

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How to Implement a Marketing Strategy: The IKEA Case

Introduction

A marketing strategy allows businesses to stay in touch with their customers, design the correct items, and decide how to transmit information about those products.

Without a defined plan, companies won't know who their customers are, won't create the correct items, and will waste money promoting them.

Table of Contents

What is a Marketing Strategy?

IKEA's Killer Marketing Strategy

The 7 P's of IKEA Marketing

Nr. 1: Product - Quality Meets Expectations

Nr. 2: Price - Affordable for Everyone

Nr. 3: Place - Leveraging Offline and Online Channels

Nr. 4: Promotion - From a Picturesque Catalog to Creative and Original Ads

Nr. 5: Physical Evidence - Managing a Strong Trust Relationship

Nr. 6: People - Be Open for New Influencers

Nr. 7: Processes - Family-friendly Stores

How to Implement a Marketing Strategy: The IKEA Case

1. What is a Marketing Strategy?

To keep it simple, a marketing strategy is a roadmap that indicates how to best target your audience and how to convert them into customers.

For your marketing plan to work, you have to answer the following questions:

What is your company’s value proposition?

What does your brand stand for?

What does your target audience look like?

What are their needs?

How do you communicate with your (prospective) clients?

With these questions in mind, you will have a better understanding of how to create your advertising and PR campaigns.

But b efore developing your strategy, you must do thorough marketing research to avoid expensive and embarrassing mistakes.

This research will allow you to gather valuable information about your market that will help you make the right strategic decisions.

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2. IKEA’s Killer Marketing Strategy

Being one of the most recognizable brands with an iconic logo helps to understand why IKEA’s marketing strategy is a success story.

The furniture giant follows a marketing strategy called the 7 P’s of marketing which stands for Product, Place, Price, Promotion, Physical evidence, People, and Process .

IKEA prioritizes projecting a consistent brand message across all 7 elements to create a strong connection with their customers.

3. The 7 P's of IKEA Marketing

A. product - quality meets expectations.

In our current era marked by the use of disposable items, IKEA has decided to go in the opposite direction by promoting sustainability .

All of IKEA’s 9.500 products have the goal to last long and be reusable.

They adhere to a design philosophy called democratic design that aims to create products with great designs that can be used by anyone .

The elements of democratic design include:

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.

b. 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 a huge role if you want to get ahead of them.

You can do that by under-pricing your competitors or making your products match the price point.

IKEA maintains a balance between attracting customers willing to spend a limited amount of money on furnishings and making a profit on each product transaction.

The furniture retailer uses clever techniques to keep costs low.

First, the business cuts personnel by allowing customers to select products from the storage container.

Second, selling the furniture in its components instead of getting them already assembled is another decision based on keeping costs low.

Third, IKEA’s pricing strategy is designed to appeal to the customer’s emotional decision-making instead of rational decision-making .

The company applies the Price Point Perspective (PPP) that makes the price of your new office chair €59.99 instead of €60.

This psychological trick makes your mind believe that you are saving money and prompts consumers to purchase more.

c. PLACE - Leveraging Offline and 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).

One of the reasons why hundreds of millions visit IKEA stores is because of its smart positioning.

They slowly shift from their original huge warehouses outside of towns to smaller stores in the city centers to get closer to their customers and make it more convenient.

Regarding online channels, the furniture giant includes multiple marketing channels such as print advertising and media advertising, sales promotions, events, public relations, and direct marketing .

d. PROMOTION - From a Picturesque Catalog to Creative and Original Ads

How to Implement a Marketing Strategy: The IKEA Case

“Experience the power of a bookbook” is a parody of Apple in which the new IKEA catalog is presented funnily.

This point refers to all the marketing, advertising, and sales strategies combined to reach your customers online or offline.

Every year more than 200 million copies of the IKEA catalog are being produced .

Each page is designed to the smallest detail and their furniture is staged in the best conditions to make it aesthetically pleasing to scroll through.

It’s undoubtedly one of their best marketing content and focuses on telling stories about their products.

They encourage people's creativity by arranging their items in such a way that they form a full picture with no details out of place.

Furthermore, IKEA’s advertisement campaigns are infused with humor to position the brand as a casual brand and to make them more approachable .

e. PHYSICAL EVIDENCE - Managing a Strong Trust Relationship

This is the aspect of your company that is perceived by your customers as legitimate and trustworthy.

This comes in two forms.

First, it is the evidence that your company exists.

Basically, everything that is created under your company's name like your logo, business card, banners, social media accounts, etc. is proof of your company’s existence.

Second, it includes all the physical and non-tangible items showing that your customers have purchased something from you or the service you have delivered to your audience.

This can be receipts, brochures, PDFs, etc.

IKEA manages to have a strong visual presence with for example their simple but unique logo, their well-designed annual catalog, and the huge bags people use for many different tasks now .

Establishing trust with your target audience is one of the most important factors influencing public perceptions of your business. 

Showing your brand's visibility online or offline will ensure that your customers will have engaged with your company before they engage in purchasing actions.

To understand the different strategies that other companies have used to build trust among their target audiences, you would first need to conduct a Competitor Analysis .

f. PEOPLE - Be open for New Influencers

How to Implement a Marketing Strategy: The IKEA Case

Anyone who is directly or indirectly connected to your company is included in this category like your employees, influencers you are working with, company shareholders, and so on.

It is crucial to have people working for you who understand their role and have received enough training to represent your company positively.

This point goes further when you collaborate with influencers who are representing your brand as they can have a big impact on the type of customers they attract .

For example, in this video, the famous artist Zara Larsson is trying out typical Swedish snacks that you can get at IKEA.

g. PROCESSES - Family-friendly Stores

How to Implement a Marketing Strategy: The IKEA Case

The last element of the 7 P’s of marketing talks about the various touch-points you have with your customers when delivering your product to the customer.

This includes looking into the payment methods your customers utilize to purchase and distribute your product, as well as more subtle activities like maintaining your client connections.

IKEA has shown with their kids-friendly manuals that they care about making the customer processes as comfortable as possible.

The company also experimented with augmented reality (A.R.). Customers can picture a new piece of furniture using the IKEA Place app and their phones' cameras.

This way, IKEA ensures that their customers prevent having a negative experience in case they find out too late that a new purchase wasn’t as fitting as they thought it would be.

Another example is their in-store layout in which they create a clear pathway with catalog stands on the whole path to make it very easy to look up your chosen products no matter where you are in the store.

Finally, a crucial component of their plan is providing spaces for children to play while their parents look for furniture, which is also an excellent example of customer service.

IKEA has shown over the years that it is a company that cares about providing value to its consumers and delivering a great customer experience.

The company’s marketing strategy focuses on creativity and doesn’t shy away from experimenting with new ideas.

They undoubtedly are a beacon for other companies on how to best address their target audience.

IKEA's marketing strategy goes way beyond developing quality and affordable furniture options.

They focus on creating a comprehensive experience that also includes dining and recreational options for children.

These additional customer-centric alternatives make the company a tempting choice for many families who even go to the store to enjoy these leisure activities.

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IKEA's Winning Formula: An Analysis of IKEA's Marketing Strategy

Archana Karthikeyan

Archana Karthikeyan , Bhoraniya Huda Hifzur Rehman

Ingvar Kamprad, a 17-year-old carpenter, founded IKEA in 1943. IKEA is a well-known global brand today. It began with the sales of pens, wallets, and jewelry to satisfy consumer needs at reasonable costs.

Today, IKEA focuses mostly on ready-to-assemble furniture, kitchenware, and home furnishings with the same motto. The introduction of furniture in the business model was done after five years of its inauguration.

IKEA now operates with 422 stores in 50+ markets. IKEA is a well-known furniture brand that has an extensive customer base in Europe with over 70% of its stores. Recently it launched 19 new stores. With recognizable logos, campaigns, and advertisements, Ikea has set a strong brand example with its marketing plan.

IKEA's success may be attributed in large part to its high-quality goods, reasonable prices, and DIY assembly philosophy. Additionally, the company's marketing plan is customized to be among the best in the industry, which also helps.

IKEA Target Audience IKEA Business Model IKEA Marketing Strategies

IKEA Target Audience

IKEA Website

IKEA caters to the specific functional requirements of each target market , with a focus on people between the ages of 16 and 34. It has offerings for bachelors, singles living alone, newly married couples, families with children below 6, Older couples, the labor force, students, professionals, etc.

It caters to the requirements and preferences of a specific client segment that values affordability.

IKEA provides customized options to the client based on their shopping taste and also frequently repositioned the products and services in order to let the customer experience each and every detail of their products. With ongoing popularity, it is not inappropriate to say that IKEA reflects minimalism through its products.

ikea campaign case study

IKEA Business Model

They employ a price-leadership tactic. Low prices serve as the primary pillar of the IKEA vision, business strategy, and philosophy. IKEA products are a spotlight for people looking for deals.

The foundation of its whole business strategy is pricing its product as affordably as feasible . IKEA's business strategy is centered on its goal of offering a wide selection of well-designed, functional home furnishings at prices that allow as many people as possible to afford them.

Number of IKEA Stores Globally in 2022

IKEA Marketing Strategies

One of the most profitable sellers of home furnishings and accessories in the world is IKEA. The business has established a solid name for its chic, cost-effective products and cutting-edge marketing techniques.

Product innovation, improving the customer experience, digital marketing , and sustainability programs are among IKEA's primary marketing methods. These tactics aid in ensuring that Ikea can continue to serve customers' demands ethically while still being competitive in the market for home furnishings.

IKEA maintains its position as a market leader and is well-positioned for expansion in the future by utilizing these basic methods.

1. Brand Identity

IKEA Logo

The brand employs a consistent and easily recognizable theme. The blue and yellow logo with the bold font was first published in 1967 and it has been consistent over the years.

The product names and colors are also easily recognizable.

It has also remained consistent with its original mission of high quality at affordable prices. IKEA which started as a seller of pens and wallets has grown into a globally acclaimed furniture store but stays strong about its mission. “To create a better everyday life for the many people”.

You must build your brand in a way that makes clients choose you over rivals. IKEA is extremely focused on this. Its goal is to take leadership of every household. IKEA puts the customer and the product first, something that many companies struggle to do.

If you produce what your clients desire, you may establish a strong brand identity. Your brand should be reflected in all of your actions. IKEA uses this tactic in its marketing . You won't have to think too hard to recognize this as an IKEA advertisement if you've been following IKEA for a long time

IKEA boldly displays its cultural history, from the national colors of Sweden painted on its buildings to the delectable meatballs served in its store cafeterias. It's better to flaunt your heritage!

Delivering a cohesive experience to your audience is made easier by brand consistency. It gives your offerings authenticity, increases customer confidence in your business, and distinguishes you from your rivals.

Because of its strong brand image, IKEA is quickly recognized. It has put in countless hours to create its reputation as one of the biggest furniture manufacturers in the world. Today, before consumers look at the products, it is the name that draws them in.

2. Product Innovation

The key to IKEA's commercial success is its product design . To produce well-planned, subtle, and useful goods, it draws on the democratic approach and the distinctive Nordic style. Consequently, in addition to being aesthetically pleasing, its homeware is also created to meet the demands and preferences of its target market.

IKEA furniture is well-liked by consumers due to its appealing designs and customization options. They fit into a tiny flat with ease and give your space a trendy, airy appearance.

IKEA supports versatility, individualization, and mix-and-match furniture modules. The secret to this achievement is the union of affordability and sustainability.

Keep in mind that you are essentially expelled into a warehouse after meandering around IKEA's eye-catching showrooms. The company's supply chain is streamlined and end-user prices are decreased by outsourcing some of the logistics and assembly to customers.

An excellent product design balances visual appeal and usefulness just perfectly. It ought to live up to your customer's expectations and provide the value it guarantees.

3. Clever packaging

What do you think helps IKEA provide quality products at much lesser prices than their rivals?

It’s their flat packaging!

It helps the business save on raw material costs of close to $175,000 and transportation costs of $133,000 annually.

Furthermore, by letting consumers assemble the furniture themselves, IKEA is able to deduct a percentage of shipping costs from their prices.

The flat packaging serves two purposes. Firstly, it reduces overhead costs and reduces the price of products. Secondly, its unique packaging makes it easily identifiable.

The company first developed flat packaging to save money and space, but subsequently, it evolved into its hallmark design. It now intends to increase the number of sustainable solutions to further cut costs by 50% while enhancing its brand.

Despite being a minor aspect of your company's operations, product packaging may significantly affect your earnings and brand reputation. Your packaging style may reduce costs, promote your brand, and boost sales all at once.

4. Vast User Insights

One Shared House 2030 - A playful research project by IKEA and Space 10

While some companies use chatbots to interact with their audience, IKEA uses them to learn more about its consumers. Instead of publishing dull surveys to acquire data, the research team instead offers engaging questions to make its audience's experience entertaining.

It makes the most of visuals and user interactions to collect updated information about its target market.

One Shared House 2030 is a survey that is a prime illustration of its insightful market research methodology.

IKEA conducted an interactive study to gauge public interest in shared living space design. Not only did it receive a significant response, but it also discovered that by 2030, about one in three city dwellers will likely choose co-living.

In order to better understand its customers' demands, IKEA uses digital media, sophisticated technologies, and interpersonal interactions.

Your marketing plan is built on the foundation of your preliminary study. It enables you to develop a data-driven action plan and comprehend your prospect's demands.

While traditional surveys do yield useful information, IKEA has shown us that there is another, more effective approach to identifying our customers' problems.

ikea campaign case study

5. Excellent In-store Experience

An Example - A Mock Kitchen Made in IKEA Store at Renton

IKEA excels in product displays and understands how to present products in the best possible way to increase sales.

In order to stimulate decorating ideas and promote impulsive purchases, it carefully arranges the best-matched objects in mock rooms.

It gives guests a memorable experience that entices them to return by having aesthetically pleasing décor and first-rate customer care.

IKEA's structure, in contrast to typical stores, has a single-route architecture that guides you step-by-step through its full product line. There is a cafeteria to take short breaks while on a shopping spree! The cafeteria has delicious food to make the shopping experience more memorable.

The design purposefully takes the shape of a maze to maximize product exposure and extend visitor stay.

6. The food Court Experience

The IKEA store has lavish Swedish restaurants in all their stores. The IKEA Restaurant offers delicious food at great prices, making it a great place to visit for a quick snack or a leisurely meal.

The food court features an array of Swedish-style dishes, local specials, and a range of healthy, organic, and vegetarian options that cater to the whole family. Whether you’re looking for something tasty on the go or a cozy spot to enjoy some delicious food with friends and family, the IKEA Restaurant is sure to have something for everyone.

This tactic accomplishes two goals at once: it gives consumers a positive shopping experience and lures in new customers who come to the restaurant to check out the store. Additionally, it serves as another source of revenue.

7. Content Marketing

IKEA Catalogue 2021

To stand out from other furniture businesses, IKEA has always turned to its content marketing approach.

The attention-grabbing substance of all of its advertisements, whether they appear in print ads, television commercials, or social media posts, stands out. In order to create advertisements that catch people's attention and motivate them to purchase its products, it combines humor, creativity, and its brand core values.

To boost its brand, IKEA also makes significant investments in direct marketing. It has been successfully employing one of its most popular tactics, the product catalog, for the past 70 years.

One of the most difficult components of marketing is surely regularly producing content, especially hilarious material. But it also produces three times as many replies as other forms of advertising.

8. Adapting to advancements in technology

IKEA has transformed from a modest Swedish retailer to a global brand by keeping up with trends and embracing new technology.

In order to make its products more accessible to its audience, it has revolutionized the retail experience over time by digitizing its processes.

It has always employed newer technology like Augmented reality(AR) and Virtual reality (VR) to provide a better customer experience . These technological advancements help customers check out the products, their functionality, and their use in the customer’s space.

People download its 3D modeling program mostly to visualize their ideal home.IKEA can upsell its low-demand products by inspiring consumers to redecorate the area, one of its most effective marketing strategies.

IKEA's marketing strategy is multifaceted and effective. They prioritize offering low prices to their customers, while also promoting self-serve shopping, introducing new innovative technology, focusing on the food court experience, providing more accurate packaging, etc.

Additionally, IKEA has made a significant investment in digital marketing to stay relevant and reach a wider audience. All of these elements combine to create a unique brand identity for IKEA that resonates with consumers around the world. Overall, IKEA's marketing strategy has been successful in establishing them as a global leader in home furnishings and retail.

Who is IKEA's target market?

IKEA's target market is the global middle-class group and those falling between the 20-34 age group.

What is IKEA's unique selling point?

IKEA's most unique selling point is its low prices on unique and flat-pack furniture that can be easily delivered to different locations.

Who is IKEA's biggest competitor?

The biggest competitor of IKEA is Walmart.

How does IKEA engage with its customers?

IKEA follows multiple ways to be in touch with its customers. Some of the common ways used by IKEA are to visit them at home, be in touch through an online platform, present them with in-store options, and also through the IKEA family. IKEA also uses AI and virtual reality to make the process more fruitful.

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Ikea Branding Strategy and Marketing Case Study

Analysis and examples of ikea’s identity, positioning, key messages, tone of voice, brand archetypes, customer benefits, competitors, and marketing content..

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Ikea brand logo

Brand Overview

  • Home and Garden

Business Type

Physical Products

https://www.ikea.com

Target Customer

Budget Home Shoppers

Primary Need ( Job To Be Done )

Furnish my home with goods that are fashionable but affordable

Brand Visual Identity & Content

Primary brand colors, brand typefaces, hero content.

Ikea hero image

Hero Content Type

Content features people, brand messaging, key messages, benefit or feature focus, tone of voice, brand archetypes.

( Learn More About Brand Archetypes )

Everyperson

Explorer Brand Archetype

Brand Positioning Strategy ( Elements of Value )

( Learn More About The Elements of Value )

Aspirational

Self-Actualization

Element of Value Self-Actualization

Design & Aesthetics

Element of Value Design and Aesthetics

Reduces Cost

Element of Value Reduces Cost

Brand Benefits

Ability to furnish everything I need in my home at one single shopping location 

Access to modern and trendy design aesthetics at extremely affordable pricepoints

Consistent, well thought out assembly instructions to get new furniture ready to use quickly

Competition

Key competitors.

Target, Wayfair, Amazon, Lowe’s, Home Depot, Ashley Furniture, Cost Plus World Market, Floyd

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ikea campaign case study

IKEA Marketing Strategy and practices: A Case study

Table of Contents

IKEA Marketing Strategy

Introduction:.

Building a global brand is not an easy task. While excellent product quality and affordable prices can be good for penetrating new markets, the way a brand is marketed decides its fortune in the long term. In the global environment, success rests especially on marketing. IKEA is a well-known global brand of home furnishing products. Behind its global presence and excellent performance is an excellent marketing strategy. However, IKEA has not achieved its success without being through its fair share of troubles. It too has experimented and been through ordeals before being successful in the foreign markets.

Cultural sensitivity has grown important in the 21 st century. The one size fits all strategy will not work any more. IKEA too had to face cultural hurdles while trying to penetrate new markets. Today, it is a highly recognized brand and behind it is the power of marketing. The Swedish brand of furniture sells a wide range of home furnishing products. Its affordably priced but good quality products have grown popular in several countries globally. This is an analysis of the marketing strategies and techniques IKEA utilized to achieve global success.

Store design and location:

IKEA sells more than 9500 products from its stores. For such a large range of products, a brand must also have excellent store design. This does not just increase shopping convenience for the customers, but provides a pleasant experience and helps create a great brand image. If shopping from a store is an exclusive experience in itself then more and more customers would like to visit and revisit. Traditionally, the IKEA stores have been like warehouses located outside the town where customers can shop in peace. However, rising urbanization and e-commerce have made IKEA experiment with new formats. It introduced pick up points, small stores and inside the town stores. The pick-up points are for the online customers from where they can pick-up the products they ordered online.  The smaller stores are built in towns where a full size store may not be necessary. These stores showcase a limited range of products. The third type, full size inside the town stores with transporter bikes are being opened at city centers in the large towns. However, IKEA has designed its stores in a manner to provide its customers with an unforgettable experience.

Their maze like design provides a unique experience. There are maps to guide you through the labyrinthine stores so no customer feels lost. Its stores’ design is a primary attraction and apart from customer convenience it helps at customer engagement. Both these factors have grown important to marketing a retail brand successfully in the 21 st century. Inside the stores there are tiny model homes so the customers can borrow ideas for ;interior decoration. They can grab ideas from the models at IKEA store. There is also space for you to drop your kids or have lunch if you are feeling hungry. The IKEA cafeteria serves cheap yet good quality food. In this way, IKEA has designed an entire experience inside its stores that maximizes shopping pleasure. The purpose is to engage the customers and attract and retain them in larger numbers. Such an experience also creates a lot of favorable buzz for IKEA.

Target market:

The target market of IKEA is mainly the global middle class. It sells good quality and durable but affordable home furnishing products. The middle class consumers generally look for products that are good in terms of design and quality and come for low prices. It is also a reason behind the increasing presence and popularity of IKEA globally.  The consumer demographics are also changing globally and the focus is now on the millennials. However, IKEA sells contemporary and stylish designs that are a big favorite among the millennial customers.  Through its affordably priced and good quality products, the brand has been able to attract the millennial and middle class consumers in large hoards. It complements its products with a great customer friendly shopping experience.

Promotional techniques:

IKEA uses a variety of promotional techniques to promote its brand. Most unique and most successful among the tools used by IKEA to promote its brand are the promotional catalogs. It is also the most used and most effective of all its marketing communication channels. These catalogs of IKEA products are printed in several languages and different catalogs are served in different markets. Apart from unique home furnishing ideas, there are real life stories and a wide range of products showcased through the hundreds of pages of the catalog. The catalog is available both in print and online. Apart from that an extended version of the catalog is available in the IKEA app. The IKEA websites, publications, brochure, advertising and public relation campaigns are also used for the promotion of the brand.

IKEA uses both traditional and digital channels to advertise and promote its brand.  It has used social media to attract and engage customers. Separate country pages are used to engage customers on Facebook. Pinterest, Twitter, Google plus and other social media channels are also used by the brand to promote itself. From time to time, it also uses well designed outdoor campaigns for promotion. Now, IKEA is using augmented reality to help customers get a better experience of how well IKEA products fit into their homes and lives. Another key area where IKEA has focused to build a better reputation is sustainability. People and environment are an important focus area at IKEA. This has helped it build a stronger brand image.

Brand localization:

When IKEA started expanding to overseas markets, it did not outright see the kind of success it expected. It researched to find out the reason. The reason was that people’s taste, style and preferences varied from market to market and culture to culture. It was not essential that the furniture or the glasses popular in Sweden were going to be loved in the US or UK too. So, IKEA decided to bring changes to its products and marketing techniques and adapt them to the local markets. It studied local cultures and their preferred styles before introducing products in new markets following which its products started selling and growing popular. From product designs to its catalogs all are developed keeping local culture and tastes at the center. Brand localization has helped IKEA find quicker success in the overseas markets.

CSR and Sustainability:

Apart from everything IKEA invests in CSR and sustainability to improve its image and reputation in the society and among its customers. While investing in CSR and sustainability is good for the planet and for the future of the communities, it is also good investment in a brand’s reputation and helps engage the customer audience better. It is investing in healthy and sustainable living, energy and resources as well as people and communities and governance and ethics. It starts with making more sustainable and affordable product range. Sustainability is one of the five dimensions of democratic design at IKEA.  By investing in more sustainable products the brand is investing in a  greener future for the brand. Apart from these things, IKEA is working to improve the condition of migrant workers as well as that of social entrepreneurs and children in disadvantaged communities. Its publishes its efforts .and investments in CSR every year in the for of an annual publication in its annual CSR report. The brand has also partnered with Save The Children for the protection of the children’s rights and to prevent child labor and promote the welfare of children globally. The two organizations are working together to address the root causes of child labor in several parts of the world including India and Pakistan. IKEA also raises money to provide quality education to children from disadvantaged classes. Over the several years along with Save the Children and UNICEF, IKEA has reached out to more than 11 million children in 46 countries providing them quality education and saving them from utter poverty. Involvement in such programs globally has helped the brand grow a strong reputation and create a better image among its customers and the community.

Controversies:

All has not been so easy for IKEA and it faced several big challenges on the way. Primarily, the challenge of culture and adapting to suit local cultures has been the biggest one. In 1994, IKEA had to face significant protests and criticism for using ads casting gay couples. Again, it has faced severe criticism for not casting women in its Israeli catalog. “The male-only catalog featured ultra-Orthodox models (wearing sidelocks and kippah hats) and highlighted items in demand among ultra-Orthodox families, such as bookshelves carrying extensive collections of books on Jewish law, and folding tables and beds meant to accommodate visitors during big family gatherings on Jewish holidays”. (DW, 2017) The cultural challenges abound and one or another challenge always troubles the international brands like IKEA. While designing and printing its catalogs, IKEA has to ensure that they rhyme with the local culture and flavor. It is not just IKEA, several other brands too have born the ire for using culturally offensive material for advertising.

Conclusion:

Today, IKEA is a successful brand. However, the power of marketing is evident behind its success. One key thing that is important to focus when operating in a global environment is cultural sensitivity. IKEA has responded to the cultural challenges by using product designs and marketing techniques that suit the local markets. Most important things to be successful in any market are product quality and pricing strategy . IKEA has managed these two factors very well. Its products are not just affordable but also of great quality. Apart from that, IKEA has complemented it all with great customer convenience and tried to engage shoppers in the best possible manner. Its catalogs are its main medium of marketing communication. Print and digital channels also play an important role in the marketing of  its products and promote its brand. It has also released an app and is using augmented reality to provide customers with a better experience. IKEA’s case suggests that marketing in the international environment requires intense focus and apart from advertising you must engage your customers better.

ikea campaign case study

IKEA builds local market coverage with targeted UGC

Case Studies · Home & Office · Retail

The Challenge

IKEA, the world’s largest furniture retailer, produces over 200,000 content assets globally through their in-house production agency, but needed a cost-efficient way to source content, at scale, and is market relevant at a regional level.

The Solution

IKEA partnered with Social Native to source organic content shared by their customers and connect it to their product range to provide a seamless shopping experience. IKEA has created a strong community on social called “IKEA At Mine” which calls for customers to share images of their IKEA products in their home.

Ikea UGC case study

User-generated content works across all aspects of the customer journey – all the way from inspiration down to filtering to actually deciding to buy. The main benefit is being able to connect our product range to UGC to provide a seamless and fluid shopping experience, so [customers] move down the funnel more naturally and easily.

Jason Black, Web Communications Manager, UK & Ireland at IKEA

The Results

When using user-generated content on social media, IKEA saw a 27% higher reach than with owned organic imagery. IKEA also achieved a 2.7x higher engagement with UGC on their homepage and a 3.54x higher conversion rate when a user interacted with UGC. Eight out of ten of their top-performing organic posts on social were sourced from UGC.

Higher reach on social platforms

Higher conversion rate with UGC

Higher engagement with UGC

Interested to see how Social Native can help you get results like these?

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></center></p><ul><li>For Marketers</li><li>For Creatives</li><li>For the Curious</li></ul><h2>IKEA: A Case Study on the impact of AR and VR on Marketing</h2><p>Written by:  </p><p><center><img style=

AR and VR are two rapidly-growing technologies that are currently having a significant impact on a number of industries. In recent years, the growth rate of both AR and VR has been exponential, with AR and VR market sizes expected to increase by USD 162.71 billion from 2020 to 2025.

This growth is being driven by a number of factors, including:

  • The increasing affordability of AR and VR devices
  • The expanding range of application for these technologies
  • Increasing investment from both the public and private sectors.

IKEA has been at the forefront of exploring the potential of these technologies, and this case study will explore the impact that AR and VR have had on the furniture giant’s marketing strategy.

What are Definitive Digital Marketing Realities today?

There’s no doubt that digital marketing is constantly evolving. With new technologies and platforms emerging all the time, it can be hard to keep up with the latest trends and know what really works. In this section, we’ll take a look at two technologies that are tipped to play a big role in digital marketing in the near future: Augmented reality (AR) and Virtual reality (VR).

Virtual Reality

ikea campaign case study

VR is a digital reality that has been created through the use of computer technology. It is a three-dimensional, interactive environment where users can experience and explore virtual worlds. VR has been used for a variety of purposes, including education, training, and entertainment. In recent years, it has emerged as a powerful tool for marketing and advertising.

With VR, businesses can transport their customers to imaginary worlds where they can interact with products and services in a completely immersive way. This provides a unique and unforgettable experience that can help businesses to stand out from the competition. This technology is still in its infancy, but is already proving to be a powerful force in the world of marketing and advertising.

Augmented Reality

ikea campaign case study

Augmented reality (AR) is a technology that superimposes computer-generated images on a user’s view of the real world, thus providing a composite view. A well-known implementation of AR is in social media image filters, popularized by platforms like Snapchat and Instagram. Currently, the most common use of AR is in video games, where it enhances the player’s experience by providing greater immersion.

However, AR has a wide range of other potential applications. For example, it could be used to provide information about products in a store or to give directions to drivers. It could also be used in education, for example, to provide interactive 3D diagrams of scientific concepts.

AR has been at the forefront of digital marketing since its inception. However, it was only recently that the technology gained mainstream adoption. Thanks to mobile devices and apps like Snapchat and Instagram, AR is now more accessible than ever before – and businesses are beginning to take notice. From interactive experiences to enhanced product visuals, AR offers a wide range of benefits for marketers. Perhaps most importantly, it allows brands to create truly unique and memorable experiences for their customers.

Impact of AR and VR on marketing

Extending the customer experience.

Marketers now have the opportunity to provide deeper context for their customer experiences through virtual engagements. VR allows marketers to create virtual environments and experiences for their brand that enhance the customer experience. These experiences are accessible via web or app, allowing customers to interact without the need for VR headsets.

The use of AR (versus a website) for creative purchase decisions sequentially increases customer engagement, customer creativity, and anticipated satisfaction.

AR is the most widely used immersive technology, allowing more flexibility in improving customer experience. Imagine being able to try on different clothes or cosmetics virtually before you buy them. Virtual try-ons and product visualizations are all about the customer, giving them the chance to create their brand story.

Shopping Experiences that are entirely different

71% of shoppers prefer to go to stores with a “try-it-before-you-buy” AR experience. Retailers should be committed to making shopping more enjoyable before customers ever step foot in a store.

Retailers can offer interactive experiences for customers who manage to make it into the store to increase brand awareness and product engagement. For example, a virtual fitting room will enable customers to visualize themselves in various apparel options. This helps them narrow down their choices before they actually try them on. This can result in a significant increase in sales conversions and drastically decreased returns.

AR shopping experiences are rare. They can be used in-store and at home, allowing customers to understand a brand or product better. Marketers need to reconsider shopping online using Augmented Product Visualization. Intelligent closets, software-predicted product details, and systems that automatically detect colours, and materials, are all part and parcel of the future of online shopping.

Social Media Acceptance

It should come as no surprise that immersive experiences have become deeply linked to almost every social media platform, thanks to the investment of Facebook in AR filters and lenses. Although AR is not a term everyone has heard of, most people have used it. Using codeless AR, open-source AR toolkits (SDK), and WebAR makes it easier to create and use virtual interactions on social media.

70%-75% of those aged 16-44 are informed about AR . This is your target audience. AR brand promotion can be used effectively on social media to influence trends, increase impulse purchases, and boost brand engagement.

Employee Engagement and Training

Some companies are using AR and VR to train and recruit their employees.These technologies can be used in the same manner by marketing teams. The virtual environment can be used to connect people with immersive experiences that include visualization, gamification, and other techniques. Marketing teams can create interactive, highly customizable content for their team members to help them improve their knowledge and implement immersive interactions for clients.

In manufacturing, VR can be used to evaluate potential employees in different areas of a virtual line. This allows them to see how they react to the environment.

IKEA Case Study

ikea campaign case study

The services offered by furniture retailing giant, IKEA, are one example of how companies could benefit from such technological innovation.

IKEA, the largest furniture retailer in the world since 2008, is one of the major players in the RTA (Ready to Assemble) furniture market. IKEA is a multinational European company that designs and sells RTA furniture, kitchen appliances, and accessories.

IKEA has always been at the forefront of innovating to meet the needs of its customers. In recent years, this has included developing new technologies to make shopping more convenient and engaging.

One example is the Ikea Immerse VR app , which allows users to virtually tour an Ikea store and see how furniture would look in their homes. The app also includes product information and pricing, allowing users to make their decision without having to wander through the entire IKEA store.

ikea campaign case study

Another example is the VR store tours that Ikea offers in various locations around Australia. These tours give shoppers an immersive experience of what it would be like to shop at an Ikea store, without having to leave their homes.

Recently, Ikea has taken things one step further with the launch of its VR Kitchen Visualizer. This new tool allows customers to design their dream kitchen in VR, using a variety of different Ikea products. The Ikea VR Kitchen Visualizer is currently available in select stores in Australia and will be rolled out to more countries in the near future.

With the VR Kitchen Visualizer, customers can choose from a variety of different kitchen layouts, colours, and styles. They can also add or remove appliances and cabinets, and see how each change affects the overall look of the room. Once they’re happy with their design, they can save it and share it with friends and family.

The IKEA Place App

IKEA Place launched its AR app in September 2017. It aimed to address practical issues surrounding furniture shopping. With this app, customers could now test furniture in their own homes using this free app. AR would be used to let users visualize furniture in their homes. It would take away the stress of furniture shopping and also remove the need to return any furniture that is not suitable. 

IKEA’s free app creates a service-centred benefit. It shows that it is sensitive to the difficulties involved in furniture shopping and offers support.

With the help of AR technology, the app allows furniture shoppers to virtually furnish their homes with over 2,000 accessories and objects from IKEA.

With just their phones and the app, users can superimpose virtual replicas of IKEA furniture in their homes to give them a better idea of how the furniture will look once it is placed in its intended location. Simply take a picture of the space you want to furnish, then select the desired IKEA item. With 98% accuracy, the app automatically scales the product to the right size for the space. The app also allows you to view the fabric’s texture and render light and shadows.

ikea campaign case study

The Place App was one of the first to take advantage of the ARKit, which Apple offered as an AR framework. The ARKit was later matched with Android and used the iPhone’s motion sensors, cameras, and microphones to overlay digital elements in real life.

The updated version of the Place app has new features that enhance the AR services further. The previous versions of the Place app allowed you to experiment with only one piece of virtual IKEA furniture in a real-life setting. It was not possible to use IKEA furniture to furnish a whole room but now, the Place app’s latest version allows users to furnish a room using a multi-placement option virtually. Users can also create a wishlist to save items for future purchases.

The IKEA Place app’s impact

The IKEA Place app is currently the world-leading mixed reality mobile app.

Entertainment apps such as Snapchat Lenses or Pokemon Go are often the AR applications that receive more attention, but the Place app is one of the most widely used non-gaming apps.

The app has revolutionized the digital retail experience as a whole.

The AR app received positive reviews, and the service it offered generated a lot of marketing attention. The company received substantial press media coverage for making the list of the top 50 most innovative companies , and Google searches for “IKEA AR” spiked in its introduction period.

The app positioned IKEA as a trailblazer and early adopter of technology to the service industry. It maintains its reputation as a pioneer of augmented reality experiences in retail to this day.

The Takeaway

Marketers who embrace augmented reality and use it as an innovative tool to connect with consumers are in a great position.

AR engagement has increased by nearly 20% since 2020 , and conversion rates have risen by 90% for users who engage with AR compared to those who don’t. It is clear that immersive marketing is the future of Marketing. Is your brand poised to embrace it?

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Ikea - How IKEA uses Prezly to drive stakeholder conversations

As the world's largest furniture retailer, ikea has a lot to communicate to a wide range of stakeholders. new collections, business results, corporate social responsibility, the list goes on. how do they do it.

Annelies, PR Manager at IKEA Belgium, strives to publish accessible and informative content. She wants to share great stories and keep people talking about IKEA.

IKEA's previous communication platform made it difficult for Annelies to achieve these aims. Watch Annelies explain the challenges the Belgian IKEA PR team faced, and how Prezly has helped her overcome them, in this video.

A splintered workflow made distribution and access difficult

IKEA wants a real dialogue with stakeholders. Key to this is transparency about its social policies and inner workings. A number of issues, however, impeded that goal.

Cluttered story distribution

IKEA works with two PR agencies. Each had their own press release distribution platforms for sharing brand stories. IKEA also had its own online newsroom on its website. That's three different platforms, each publishing different stories.

Naturally, this made it difficult for the IKEA PR team to have oversight of what information was being distributed where and to whom.

It also made stories less accessible. And IKEA doesn't believe brand stories should be segmented by its varied stakeholders' presumed interests.

"Some stories garner interest from both lifestyle and corporate press. It doesn't make sense to divide content into strict, separate boxes." Sharing visuals was a drag Many of IKEA's stories are about lifestyle news, and these are obviously enhanced by visuals. But Annelies didn't want to limit opportunities for visual communication. She also wanted to spice up corporate news with insightful videos and images. Existing systems made it hard to share visuals. Stakeholders frequently needed passwords to access the media assets included in a story. The team had to invest a lot of time responding to access requests from journalists. "It was hard for stakeholders to access the information they wanted."

If they wanted to circumvent the need for passwords and logins, she had to attach files to emails, overloading inboxes. Not exactly an improvement.

Publishing stories on social media was tough

Annelies recognises that brands no longer restrict their communication efforts to just the press. Communication is everywhere. To Annelies, that's one of PR's biggest challenges.

"Today, a news article can be read more via social media than any other channel."

Previously, IKEA couldn’t consistently share stories across multiple channels. Password protected content and the use of multiple platforms made it too difficult.

The new integrated workflow makes the creation and distribution process easy as pie

By moving their press communication efforts to Prezly, IKEA left its PR troubles behind. The IKEA PR team now has a clear overview of what stories are being published. They can easily combine and share visual assets, and they can more accurately evaluate the impact of PR efforts.

Stories are integrated into a single platform

All of IKEA's stories are now published on a Prezly online newsroom, giving the brand a clear, global overview of what’s happening. The two PR agencies that IKEA works with now share this same platform. It’s straightforward for Annelies to collaborate with them and her IKEA colleagues.

The move to working with Prezly has benefited stakeholders, too. It’s now super simple for IKEA’s audience to access news via this single platform.

Combining visuals and other information

With Prezly, sharing images and video is easier than ever. IKEA can combine lots of content into one simple package ( read our guide on what to include in your media kit ). Stakeholders are able to cherry-pick the most relevant and interesting information. No more hassle with passwords and delayed access to media assets.

"With Prezly, we can make journalists' jobs easier. They can easily find what they're looking for in one simple package." Stakeholder communication is so much better. Emails are no longer bloated with large attachments. Instead, emails sent via the Prezly platform transform an ordinary press release into an attractive and immediate visual overview. "What Prezly offers over traditional email is the fact that you can easily combine information so that you don’t have to overload your email with PDFs and heavy attachments." Performance stats are centralised With three different distribution platforms, it was hard to evaluate the success of IKEA’s PR campaigns. With Prezly, the relevant stats are in one place, making it easy for the IKEA PR team to gauge a story’s impact. When a story doesn't make the press, for example, Annelies reviews the stats to see how the story performed with stakeholders. Prezly’s data shows her open and click rates on emails, from which she can identify where the story worked well or fell off people's radar. "The email campaign reports give us an idea of what topics we should treat differently in order to get people engaged."

Prezly’s statistical feedback also helps Annelies and her colleagues plan future campaigns and events.

Social sharing is easy

Now that all of IKEA’s assets are in online brand stories, sharing on social media is easy.

With the click of a button, Annelies publishes IKEA’s stories to multiple social networks. People can access content from anywhere, from any device.

What did we learn?

IKEA Belgium's PR team had straightforward goals. They wanted to for IKEA’s stakeholders that were also easy to access. They wanted a more effective way to evaluate feedback and performance.

To achieve these goals, they needed an uncluttered and better integrated communication platform. They found it in Prezly.

Become a better storyteller

How Cowboy used an unusual PR strategy to announce 2 funding rounds in 6 months

How Cowboy used an unusual PR strategy to announce 2 funding rounds in 6 months

Athletic sports group Mammut uses the Lena theme to bring their gear to life

Athletic sports group Mammut uses the Lena theme to bring their gear to life

How 5 automotive brands share their stories at record speed

How 5 automotive brands share their stories at record speed

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This combination of photos shows Vice President Kamala Harris, left, on Aug. 7, 2024 and Republican presidential candidate former President Donald Trump on July 31, 2024. (AP Photo/Charles Rex Arbogast)

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Letter to the editor: so many bad policies to lie about.

Send your letters to the editor: yourletters@washingtontimes.com

Our quadrennial presidential joust is always a case study in philosophy concentrating on appearance vs. reality, but this year’s race is downright theatrical, especially for the Democrats (“The dangerous reality behind Harris’ campaign lies,” web, Aug. 13).

Yes, both sides put lipstick on the pig, with Republicans excusing vice presidential candidate J.D. Vance’s cat lady insults as sarcasm or a failed attempt at humor, and Democrats digging in when presented with apparent military-service lies from their vice presidential pick, Tim Walz.

But the very best examples of reality masquerading as the appearance of innocent misunderstanding come from Vice President Kamala Harris. She must now walk back long-held policies: Medicare for all, gun confiscation, border control and a revamping of U.S. Immigration and Customs Enforcement, a ban on fracking, defunding the police and more.

Will anyone not under political anesthesia believe these retractions? 

PAUL BLOUSTEIN

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Campaign Middle East

Zurich links with Khalid Al Ameri, Priti Malik to make ‘dreams come true’

The zurich blue sofa campaign sparked conversations with residents across the uae about their aspirations and how to protect their dreams..

Khalid AlAmeri on Zurich Blue Sofa Campaign

“As brand managers, we learn that our customers crave authenticity, engagement, community – humanness. We try to understand what these BIG words mean. We push them into our communications, but that isn’t enough.  We needed to show up for people in a way that they wanted us to,” Sanaya Zubairy, Senior Digital Marketing Lead at Zurich (Zurich Insurance Group), told Campaign Middle East in an exclusive interview.

We don’t normally begin a story with a quote, but the one above perfectly summed up why Zurich International Life, part of Zurich, decided to launch a first-of-its-kind “Blue Sofa” campaign in partnership with Brand Box, Home Screen Entertainment, and Brand New Galaxy.

The campaign saw media personalities such as Khalid Al Ameri and Priti Malik spark conversations about UAE residents’ dreams and aspirations – for themselves and for their loved ones – on a cosy blue sofa, which travelled around the UAE.

In addition to getting people to talk about their dreams, the campaign also showed people how to protect these dreams by highlighting the importance of financial planning. It provided a platform for individuals to take actionable steps toward securing their futures.

Strategy behind the success

The idea behind the Blue Sofa campaign was simple. The travelling sofa offered people an opportunity to sit comfortably in a ‘safe space’ to answer two key questions:

  • What are your dreams for yourself?
  • What are your dreams for your loved ones?

“Why these questions?” we asked.

Zurich’s Sanaya Zubairy answered, “Because the answers to these make you think about the need for putting a plan in place to make your dreams come true. That is all we wanted with the Blue Sofa: to connect with our customers at a deeper level and, in turn, inspire them to understand what we stand for – and that is to take small optimistic steps so that they can be financially prepared to face life’s uncertainties.”

The campaign took into consideration not only where to place the sofa across the UAE, but also who should sit on it, and how to amplify the message of those who sat on it.

“The initiative needed someone who could connect with people instantly, who imbibed the diverse richness and the values of this country – and the first person who came to our minds was Khalid Al Ameri,” Zubairy said.

Khalid AlAmeri on Zurich Blue Sofa campaign

“He understood our story immediately and loved the idea. The minute he took over the Blue Sofa, his energy combined with the energy of the people was absolutely phenomenal.”

The second host was Virgin Radio’s Priti Malik.

“She had a unique way of getting people to open up about what they’re passionate about,” Zubairy added.

Bringing the Zurich Blue Sofa strategy to life

The Blue Sofa’s first lap around the UAE was at the Dubai Festival City Mall on a Saturday before the summer break, the second at Deira City Center, and for its third returned to Dubai Festival City Mall, before taking a pit stop at  Nakheel Mall on the Palm. W

“We have plans to take the Blue Sofa on the road, to the desert, the beach and more as soon we hit the cooler months,” Zubairy revealed to Campaign Middle East.

The initiative was very well received. Crowds lined up to talk to Khaled AlAmeri and Priti Malik on the Blue Sofa about their dreams and aspirations.

The top takeaway?

“We realised that the people of the UAE don’t dream for themselves, but for the ones they love. They want to give back to the community,” Zubairy said.

During the campaign, an 11-year-old boy shared that he wanted to become a scientist to find a cure for his sister who had cancer; a husband said that he wanted to open a bakery for his wife to help her pursue her passion; and then a delivery boy shared his dream to have a house built for his mother.

“It’s so heartwarming to witness the stories shared by people joining us on the Blue Sofa. It’s been magical to see how selfless the community is in their aspirations for themselves and their loved ones,” Zubairy said.

Priti Malik on Zurich Blue Sofa campaign

Results of the campaign

Since the launch, over 200 people have sat down on the Blue Sofa and had conversations about their dreams for the future, videos of which have received over 2.5 million views already.

“The initiative is fostering a community-focused approach to educating the region about the need for financial education; as a result, traffic to Zurich’s Middle East website has doubled in the last month. The overwhelming response and engagement highlight the community’s interest in financial planning and the value of the initiative,” Zubairy said.

Zurich has also witnessed a 29 per cent increase in our digital community since the Blue Sofa journey began.

“We have seen strong quantitative and qualitative results, including upward trends on our unprompted and prompted brand awareness and a move up in our consideration rankings.As a brand, we feel so proud to be able to create a shared identity, build that emotional connect with people and celebrate what brings us together as a community,” Zubairy said.

The Blue Sofa will continue its journey across the UAE, making stops at various locations with more well-known personalities facilitating these meaningful conversations.

“Trust is everything. What matters most is for our customers to be able to be able to trust us to be there when the going gets tough,” Zubairy concluded.

Click here to read about the impact of more such campaigns across the Middle East region.

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Two smiling women hiking outdoors.

Chewsy, a leading provider of innovative vitamin gummies has already become a fan favorite among consumers on Amazon and 5,000+ retail stores. 

Their goal was to continue to grow awareness and favorability of the brand with their very first OTT campaign.

So, Chewsy reached out to Microsoft Advertising to utilize our expertise to develop a strategy that would maximize marketing spend and grow revenue.

The solution

Chewsy and Microsoft Advertising worked closely to develop a strategy designed for success by:

  • Highlighting their new creative designed by Rally On.
  • Launching the campaign in less saturated markets like Austin and Dallas versus a large city to maximize spend and impact.
  • Leveraging demographic and behavioral signals to target health-conscious people most likely to buy vitamins.
“Our organic search numbers on Amazon almost doubled.
We also saw a huge sales increase at Whole Foods and Target in these markets, which means the ads resonated. These ads didn't just create online impulse buys—people thought to buy Chewsy next time in the store."

— Faryn Duncan​, Marketing Manager, Chewsy

The results

The results were impressive.

During the campaign flight, Amazon sales increased +16% in the campaign markets. Amazon organic search traffic increased +64%, and overall website traffic increased +13%.

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COMMENTS

  1. IKEA Marketing Strategy 2024: A Case Study

    Founded in 1943, Ikea operates 422 stores in 50+ markets. The favored furniture brand has an impressively wide customer base, with nearly 70% of its stores in Europe. Ikea added 19 stores last year, including its first in India. The Ikea marketing strategy includes some of the most iconic logos, campaigns and companies in recent history.

  2. IKEA Global Marketing Strategy 2024: A Case Study

    IKEA Global Marketing Strategy 2024: A Case Study. By Nina Sheridan. Since its founding as a mail-order business in the late 1940s in Sweden, IKEA has grown to become a global retail giant with 422 stores in over 50 markets. However, the company faced challenges in 2017 with the passing of its founder and the rise of online shopping.

  3. How IKEA Evolved Its Strategy While Keeping Its Culture Constant

    January 17, 2024. The Swedish furniture maker IKEA found huge success producing quality furniture at affordable prices. But in 2017, the company was at a crossroads. Its beloved founder had died ...

  4. IKEA 'The Wonderful Everyday' by Mother London

    The campaign launches against the backdrop of IKEA's commitment to sustainability, having recently pledged that all products will be made from recycled or regenerative materials by 2030. Last year alone, IKEA introduced a new, plant-based alternative to their iconic meatball, which has just 4% of the classic meatball's carbon footprint and ...

  5. Inside IKEA's Digital Transformation

    For almost 80 years, IKEA has been in the very analogue business of selling its distinct brand of home goods to people. Three years ago, IKEA Retail (Ingka Group) hired Barbara Martin Coppola ...

  6. Digital marketing case study

    IKEA Retail Therapy case study: How IKEA creatively used search to get products seen where they wouldn't normally be seen - Digital marketing case study from the Digital Training Academy - In November 2016, IKEA launched the "Retail Therapy" ad campaign created by the Swedish advertising agency Åkestam Holst, which renamed Ikea products after commonly searched relationship problems in ...

  7. Complete Analysis of the Business Model of Ikea 2024

    Business Model OF IKEA:Operational Model. IKEA's business plan includes an operational model which integrates a global supply chain, economies of scale, and efficient logistics. The company sources products from over 1,800 suppliers in more than 50 countries, ensuring quality and cost-effectiveness.

  8. IKEA Marketing Strategy: 7 Tactics and Takeaways (Infographic)

    Don't be afraid to take new steps into the wild, weird and unknown. Just like this IKEA marketing strategy, it'll get people talking on social media — especially if you partner with Illeana Douglas. Tactic No. 5: Capturing the Best Angle for Each Item of Furniture. IKEA's classic catalogues have been a brand fixture for a long time.

  9. 2017 winner: Ikea, marketing communications

    Case studies. At face value IKEA is a household name, popular within culture, and with a long record of creative marketing. But in 2013 a different story was emerging. Sales growth had halved; penetration was declining and IKEA UK looked out of step against the backdrop of rivals angling to claim its market leadership. Objective.

  10. Case Study: IKEA -- how creative positioning won hearts and minds

    Whereas most companies promote their products as being the best, IKEA ran a marketing campaign intentionally positioning itself as "proudly second best" - earning a coveted Film Gold Lion at Cannes 2023. ... case studies communication messaging public relations. Messaging is the art of framing an idea in a way that will stand out and be ...

  11. Unpacking IKEA's Digital Marketing Strategy: An Overview

    A great case study for any home and garden brand. A consistent, familiar brand. IKEA's blue and yellow brand colours — reflecting the Swedish flag — are bold, iconic and offer instant recognition. Online and offline, they are ever-present. IKEA's value proposition is similarly consistent and powerful, too.

  12. How to Implement a Marketing Strategy: The IKEA Case

    The furniture giant follows a marketing strategy called the 7 P's of marketing which stands for Product, Place, Price, Promotion, Physical evidence, People, and Process. IKEA prioritizes projecting a consistent brand message across all 7 elements to create a strong connection with their customers. 3. The 7 P's of IKEA Marketing.

  13. Ikea's Winning Formula: Analysis of Ikea's Marketing Strategy

    Mar 6, 2023 — 9 min read. Ikea's Marketing Strategy. Ingvar Kamprad, a 17-year-old carpenter, founded IKEA in 1943. IKEA is a well-known global brand today. It began with the sales of pens, wallets, and jewelry to satisfy consumer needs at reasonable costs. Today, IKEA focuses mostly on ready-to-assemble furniture, kitchenware, and home ...

  14. Exploring Innovative Marketing: IKEA's 'Buy With Your Time' Campaign

    The "Buy With Your Time" campaign was a resounding success, achieving a 32% increase in foot traffic to IKEA stores and generating over $14 million in free media coverage ( The Drum) ( Digital ...

  15. Augmented Reality (AR) in Marketing: IKEA's Innovative Campaign

    This innovative campaign has yielded impressive results for IKEA. The IKEA Place app, leveraging augmented reality, has been downloaded 8.5 million times and has gained widespread usage .

  16. IKEA in Japan: A Tale of Resilience, Adaptation, and Triumph

    IKEA's wildly popular Blåhaj toy brought to life in a TVC in Japan to promote their "Tiny Homes" campaign. ... As a case study, IKEA's Japanese saga is an enduring reminder that success is not ...

  17. IKEA's Stay Home Campaign: A Inspirational PR Campaign

    IKEA is a company that the public associate with home design and furniture. With its public perception, IKEA partnered with McCann Agency to create the #StayHome or #YoMeQuedoEnCasa campaign to ...

  18. Ikea Branding Strategy and Marketing Case Study

    Hands-on Brand Strategy Help. Transform your best business thinking into an actionable, shareable, growth-oriented guide. Click below to learn about the Brand Guidebook process. Analysis of Ikea's brand strategy, identity, positioning, key messages, tone of voice, brand archetypes, benefits, competitors, and content.

  19. IKEA Marketing Strategy and practices: A Case study

    IKEA is a well-known global brand of home furnishing products. Behind its global presence and excellent performance is an excellent marketing strategy. However, IKEA has not achieved its success without being through its fair share of troubles. It too has experimented and been through ordeals before being successful in the foreign markets.

  20. Ikea's #StayHome campaign: a brilliant initiative that's ...

    This worldwide Ikea's campaign, #StayHome, started from Spain, one of many nations hit the hardest by COVID-19, under the name #YoMeQuedoEnCasa (I Stay Home) which makes the ad's approach feel ...

  21. IKEA builds local market coverage with targeted UGC

    The Results. When using user-generated content on social media, IKEA saw a 27% higher reach than with owned organic imagery. IKEA also achieved a 2.7x higher engagement with UGC on their homepage and a 3.54x higher conversion rate when a user interacted with UGC. Eight out of ten of their top-performing organic posts on social were sourced from ...

  22. IKEA: A Case Study on the impact of AR and VR on Marketing

    IKEA: A Case Study on the impact of AR and VR on Marketing. AR and VR are two rapidly-growing technologies that are currently having a significant impact on a number of industries. In recent years, the growth rate of both AR and VR has been exponential, with AR and VR market sizes expected to increase by USD 162.71 billion from 2020 to 2025.….

  23. A Case Study on IKEA's Successful CRM Strategy

    Feb 26, 2024. 1. Customer Relationship Management (CRM) ensures sustainable business growth and customer satisfaction. IKEA, the Swedish multinational furniture retailer, has long been admired for ...

  24. How IKEA uses Prezly to drive stakeholder conversations

    Case Study. Ikea - How IKEA uses Prezly to drive stakeholder conversations ... "The email campaign reports give us an idea of what topics we should treat differently in order to get people engaged." Prezly's statistical feedback also helps Annelies and her colleagues plan future campaigns and events.

  25. Letter to the editor: So many bad policies to lie about

    Our quadrennial presidential joust is always a case study in philosophy concentrating on appearance vs. reality, but this year's race is downright theatrical, especially for the Democrats ("The ...

  26. Zurich links with Khalid Al Ameri, Priti Malik to make 'dreams come

    Case Study: Level Shoes Sets CAPI and Sees 19% Improvement in App Measured ROAS. 20.8K. Them Again showcases new Al Nassr look with adidas ... 2024. Humans get back at their pets in IKEA campaign. Aug 9, 2024. IKEA turns into pun for Bahrain social media campaign. Aug 14, 2024. Advertise For Desktop. Advertise For Mobile. Subscribe to Campaign ...

  27. Biden campaign grapples with undecided voters who don't yet believe

    The campaign's press team sent a news release simply quoting the former president saying, "The following is a statement from Donald J. Trump: 'For 54 years they were trying to get Roe v ...

  28. Chewsy Success Story

    How Chewsy, a tasty vitamin company, achieved healthy returns from an OTT (over the top) video campaign with Microsoft Advertising. How Chewsy, a tasty vitamin company, achieved healthy returns from an OTT (over the top) video campaign with Microsoft Advertising. ... Case study. How Gandalf achieved a 1316% ROAS and 100% overall higher revenues ...

  29. Weekend Edition Sunday for August 11, 2024 : NPR

    Hear the Weekend Edition Sunday program for Aug 11, 2024