Inbound Marketing Program

COMPAN
Y
IKEA is a MNC, founded in 1943 in Sweden, which primarily
OVERVIE
designs and sells furniture, home appliances and accessories.
According to a survey conducted in the year 2008, it is the
W largest furniture retailer. The modern architectural
world’s
designs that the firm adopts is the major competitive
advantage for it over the other companies of the same genre
in the domestic and local markets. The company also
primarily focuses on its interior design works and has always
tried to keep it eco-friendly. The company functions at low
prices so that majority of the people can afford it.

The Furniture market's largest segment is the Living Room

Furniture segment. It includes furniture found in living rooms,
parlors, lounges and lobbies. The segment is especially
propelled by consumer’s need for comfort in their homes. In
2021, the segment’s worldwide revenue amounted to US$233
KEY
INSIG
HTS
KEY
INSIG
Business model Ranked as the 8th most valuable retailer in
the world, making it the most valuable furniture retail brand.
HTS
One of the key competitive advantages IKEA has is its
extensive knowledge about the customers.IKEA offers low
prices and a huge range of products, constantly introducing
new product designs that look stylish in the eyes of customer

Key Stats: Value of Global furniture market 509.8bn USD.

Estimated value of the global ready to assemble
furniture market 13.81bn USD. Brand Value 21 billion U.S.
dollars & Global Revenue & Retail Sales In 2021, the
company generated a global revenue/ retail sales of nearly 42
billion Euros.

Competitors Walmart, Bed, Bath & Beyond, Wayfair &

Williams Sonoma.

Ethical Business The brand is focused on sustainable

living, climate positive, responsible sourcing, supports
Statistics,
facts &
trends
Target Persona

IKEA’s target consumer is middle-class

people between the ages of 20 and 34 as
of 2022. This age and salary bracket are
most concerned with buying stylish,
contemporary, quality furniture at the
best price possible, which is precisely the
type of furniture IKEA sells. Additionally,
men and women frequent IKEA at similar
rates.
 REVEN
UE
In the financial year 2021, the global gross profit of
IKEA amounted to about 12.88 billion euros, up from
approximately 11.73 billion recorded a year earlier.
In the financial year of 2021, just over 70 percent of IKEA's
global retail sales were generated in the company's existing
retail stores.

This is a significant drop compared to the fiscal year 2020.

Instead, online sales of the Swedish furniture retail
conglomerate grew by roughly 10 percent.This clearly
indicates that the marketing budget for FY 22-23 need to be
increased to generate more online sales as customers are
preferring to purchase the Ikea products from there website
instead of walk-in to the store

IKEA Canada total sales increased 11.8 per cent

to $2.59B for the financial year ending August 31,
2021, while online sales increased substantially
by 161.5 per cent to $969.48M. Reflecting IKEA
Canada's ongoing transformation to become more
accessible and better reach customers, however
they choose to shop and given pandemic-induced
closures, online visits to IKEA.ca and the IKEA
Marketin
g
Budgets
Metrices FY-20 FY-21 Percentage
Increase

Annual 2.32 Billion 2.53 Billion 8.3 %

Revenue

Annual 202.40 million 7%

marketing
Budget

Marketing 101.25 million 50% of annual

Budget marketing Budget

Content 50.625 million 50% of Marketing

marketing Budget
Budget
Situational Analysis
Current CRM & Email
Initiatives
IKEA email marketing data and campaign insights:

● IKEA as a brand focuses more on feedback related e-

mail.
● It constantly informs its leads about its products and DIY
ideas rather than pushing to purchase
● Avg emails sent by IKEA is ~1.65
 CURRENT
MARKETING
Marketing Strategy
PROCESS
● Consistent brand identity, recognizable themes/color
schemes to create memorable experiences
● Product strategy mix & matched products to suit
customers needs and unique style
● Pricing strategy Low cost & mass-market affordability
● Social Media home ideas, discounts, promotions,
giveaways, news and events on Facebook, Instagram,
Twitter and Pinterest
● Augmented Reality IKEA place app real view of
furniture/home
● Fresh content IKEA’s website/blog consists of “get
inspired” inspirational product, home and office ideas,
new product offering
● Content Marketing Home tour video series, inspiration
boards on pinterest and email marketing campaigns
Objectives
Business + Marketing
Objectives
1.Increase revenue by $
20%Goals
by next year and increase national sales by 10% by
Q2 of 2022
2.Expansion to different markets. Ikea operate stores in Europe, the US and Canada
and aims to expand into 12 new markets and gain 3 billion customers by 2025. Ikea
plans to reach projected goals by opening up stores in various locations each year.
3.Drive traffic to IKEA.com website - aiming to increase site traffic by 25% by Q2 2022.
4.Build community, generate awareness & motivate participation in Social
Media “IKEA - your home” campaign + contest by:
● Gathering over 10,000 new customers email addresses
● Increase engagement ( likes, shares, comments, open and click through rates) by
20% by Q2 2021
● Increase reach & impressions by 20% by Q2 2022
5.Build brand loyalty and trust to attract employees, partners, customers and
Business and
Marketing
Goal Metrics
KPI Action

Increase brand Increase followers, impressions, Brand product mentions, tips and
awareness by 10% traffic, share of voice, reach how to guides, influencers
campaigns and boosted content

Improve sales/lead Improve sales revenue, lead Brand & content home inspiration
generation by 5% conversion rate, non-revenue emails. User generated content,
conversions, email sign-ups branded/campaign hashtag,
targeted ads for

Increase website Increase traffic, link clicks, Targeted ads for brand and
traffic by 15% conversions, email sign-ups, product content, product content and
trials customer interactions

Grow the online Improve mentions (via social Share and engage with user-
audience by 10% listening), followers, share of voice, generated content. Customer UGC
engagement rate, followers & reviews. Twitter Spaces sessions

Increase Increase clicks, “likes,” shares, Boost customer/influencer posts

community comments, mentions, etc. and customer interactions
engagement by 5%
Email Marketing
Objectives
● Inform ( Welcome Email - “Welcome to IKEA family” )

A welcome email to all the newly targeted audiences across Canada approx 3M people to
acknowledge their signup which contains special sale prices and company values and
objectives. Goal is to get minimum 10,000 new sign ups
● To push sale for lost cart (lost cart email)

Retargeting people who have left the items in their cart by sending lost cart email everyday
at the same time cross selling the product

● Increasing the sale

Everyday lead nurturing email to fresh leads from Welcome email, for promotion and
special prices
● Re- engagement

Re targeting to existing customer base since their conversion rate is higher than new leads.
Pushing for new products and newsletters once a week
Email KPI
Measurement
●CTR ( Click through Rate )
Click through rate will be important metric for tracking, as it will give direct insight into how many people on
our list are engaging with our content and interested in learning more about brand and what it has to offer.
CTR will help easily calculate performance for every individual email sent.
How will we Calculate It: (Total clicks OR unique clicks ÷ Number of delivered emails) * 100
●CVR (Conversion Rate)
Conversion rates will show how successful our newsletters are at actually generating prospects and leads.
How will we Calculate It: (Number of people who completed the desired action ÷ Number of total emails
delivered) * 100
●List Growth Rate
It will be the rate at which the email list is growing. Aside from the CTR, we also want to be keeping tabs on
our list growth and loss. We aim to grow our list in order to extend our reach, expand audience, and position
as an industry thought leader.
How will we Calculate It: ([(Number of new subscribers) minus (Number of unsubscribes + email/spam
complaints)] ÷ Total number of email addresses on list]) * 100
Inbound Marketing
 Since 71% of Ikea’s revenue comes from retail purchases we decided to show an in store journey
Journey map of a customer.
If the text is too small to read, you can view this in UXpressia under ‘Group 4’. File Name: Ikea in-
store Journey.
Link: https://uxpressia.com/w/yxkzB/p/TWtAV/m/zJEXK
BUYER’S
JOURNEY

Buyer's Objective Strategy Tactics

Journey

Awareness Create awareness Expose target audience Thank you sign up emails.
to home, furniture Posts, influencers
branded content for engaged, promotions,
ideas & inspiration

Consideration Generate demand Drive engagement of Home & Living ideas +

target audience with inspiration emails. Boosted
social share of voice posts, targeted ads.

Decision Drive conversion Move target audience to Posts with CTAs, shared
brand offers & discounts links, targeted ads with
CTAs

Adoption Delight customers Drive engagement with Positive earned mentions,

brand product & customer care
services

Advocacy Inspire evangelism Activate customer Earned impressions, reach,

influencers social UGC
Email marketing automation

Unlike traditional email and marketing automation, Ikea’s idea to drive sales is by pushing regular email reminders,
updates after a customer as shown interest in the product instead of providing immediate discounts or free delivery
in the first week of purchase. As a brand, we will create an automated list of customers who have shown interest
but not converted to run discount email marketing campaigns in the future (once in 6 months during off seasons)
Implementation
Contact
Database
Landing page
Mock Emails
Appendix/References
https://www.statista.com/topics/1961/ikea/#dossierKeyfigures

https://querysprout.com/ikea-statistics/

https://querysprout.com/ikea-target-market-age-demographics-gender-salary-more/#:~:text=IKEA's%20target%20consumer%20is%2
0middle,type%20of%20furniture%20IKEA%20sells

https://www.statista.com/statistics/946210/ikea-sales-share-by-sales-channel-worldwide/

https://www.convinceandconvert.com/email/goals-you-can-achieve-through-email-marketing/

https://www.indeed.com/career-advice/career-development/business-objectives

https://digitalagencynetwork.com/ikea-digital-marketing-strategy/

https://www.brafton.com/blog/strategy/ikea-marketing-strategy/

https://www.mbaskool.com/marketing-mix/services/17066-ikea.html

https://ikeasocialmediamarketingplan.wordpress.com/objectives-and-goals/

https://www.businessinsider.com/ikea-aim-to-use-only-renewable-and-recycled-materials-by-2030-2018-6#:~:text=Becoming%2
0climate%20positive%20and%20reducing,29%20IKEA%20markets%20by%202025

https://www.ikea.com/gb/en/this-is-ikea/about-us/the-ikea-vision-and-values-pub9aa779d0

https://www.mailcharts.com/emails/f164e63f-cc77-fb1c-1f33-46db9bbb9103
Thank You