Download as pdf or txt
Download as pdf or txt
You are on page 1of 2

IKEA is a well-known Swedish multinational company that specializes in ready-to-assemble

furniture, kitchen appliances, and home accessories. Over the years, IKEA has established a
strong positioning in the global market.

Positioning implies the selection of the marketing mix the most attractive to the target customer
segment. There are various types of positioning such as mono-segment, multi-segment, standby,
anticipatory, imitative, adaptive, defensive, and stop-gap types of positioning. (Dudovskiy, 2002)

Mono-segment positioning. This type of positioning is associated with making an appeal to the
needs and wants of a single customer segment. IKEA uses mono-segment positioning via focusing
on a single customer segment that are cost-conscious and prefers to get value for money.

Adaptive positioning. This positioning method is based on periodically repositioning products


and services to reflect changes in customer preferences. The Swedish furniture chain considers
dynamic nature of customer preferences in designing its products. For example, increasing
popularity of minimalism in the global scale has been reflected in the latest ranges of IKEA
products.

Aesthetic positioning. The world’s largest furniture retailer uses ‘democratic design’ concept to
develop its products. Democratic design appeals to the needs and preferences of a specific
customer segment that value balance between function, form, quality, sustainability, and low price.

Key elements of IKEA's positioning:

Affordable and Value-for-Money: IKEA positions itself as a brand that offers affordable and
reasonably priced products without compromising on quality. The company is known for its flat-
packed furniture, which allows for efficient transportation and cost savings. By providing value-for-
money products, IKEA attracts a wide range of customers, including budget-conscious individuals
and families.

Modern Design: IKEA is recognized for its contemporary and functional designs. The brand
emphasizes clean lines, simplicity, and practicality in its products. IKEA's design philosophy
revolves around creating solutions that enhance everyday life and improve the functionality of living
spaces. This positioning appeals to customers who appreciate modern aesthetics and functionality
in their home furnishings.

Sustainability and Environmental Consciousness: In recent years, IKEA has made significant
efforts to position itself as an environmentally conscious company. The brand focuses on
sustainability throughout its value chain, from sourcing materials to production processes and
packaging. IKEA promotes the use of renewable materials, energy-efficient technologies, and
waste reduction. This positioning resonates with environmentally conscious consumers who seek
sustainable options for their homes.

Democratic Design: IKEA's concept of "democratic design" is a fundamental aspect of its


positioning. Democratic design means that IKEA aims to offer well-designed products that are
accessible and affordable for the masses. It encompasses five key principles: form, function,
quality, sustainability, and low price. By democratizing design, IKEA enables customers to create
stylish and functional living spaces regardless of their budget.

In-Store Experience: IKEA stores are known for their unique shopping experience. The stores
are typically large and feature a showroom-style layout where customers can explore fully
furnished room displays. IKEA encourages customers to interact with the products, allowing them
to touch, try, and imagine how the furniture would fit into their homes. The in-store experience,
including the famous IKEA cafeteria, contributes to the brand's positioning as a destination for
home inspiration and practical solutions.

Overall, IKEA's positioning revolves around affordability, modern design, sustainability, democratic
design, and an immersive in-store experience. By combining these elements, IKEA has
successfully captured a wide customer base and established itself as a global leader in the
furniture and home accessories industry (2021).

References
 (2021, July 30). Retrieved from h ps://ivypanda.com/essays/ikea-company-analysis/

 Dudovskiy, J. (2002, August 16). Bussiness Research Methodolgy. Retrieved from IKEA
Segmenta on, Targe ng and Posi oning: Targe ng Cost-Conscious Customers:
h ps://research-methodology.net/ikea-segmenta on-targe ng-posi oning-targe ng-cost-
conscious-customers/

You might also like