Transcript of Ikea - Case Study by Sinan Koseoglu & Esat Eskin
- 1. SINAN KOSEOGLU - ESAT ESK PROJECT DATE CLIENT 18.05.15 IKEA
CASE STUDY
- 2. ABOUT IKEA IKEA IS AN INTERNATIONAL HOME PRODUCTS RETAILER
THAT SELLS FLAT PACK FURNITURE, ACCESSORIES, BATHROOM AND KITCHEN
ITEMS IN THEIR RETAIL STORES AROUND THE WORLD. THE COMPANY WHICH
WAS THE FIRST TO HAVE FLAT-PACK DESIGN FURNITURE AT REASONABLE
PRICES, IS NOW THE WORLDS BIGGEST FURNITURE RETAILER.
- 3. IKEA WAS ESTABLISHED IN 1943 BY INGVAR KAMPRAD IN
SWEDEN,SURPRISINGLY HE WAS ONLY 17 YEARS OLD, AND IT IS OWNED BY A
DUTCH REGISTERED FOUNDATION CONTROLLED BY THE KAMPRAD FAMILY. THE
COMPANY THAT WAS ORIGINATED IN SMALAND, SWEDEN, DISTRIBUTES ITS
PRODUCTS THROUGH ITS RETAIL OUTLETS. AS OF DECEMBER 2014, IKEA OWNS
AND OPERATES 351 STORES IN 46 COUNTRIES, MOST OF THEM IN EUROPE,
NORTH AMERICA, ASIA AND AUSTRALIA. ABOUT IKEA
- 4. HISTORY INGVAR KAMPRAD FOUNDED IKEA IN 1943 AS A MOSTLY
MAIL-ORDER SALES BUSINESS. IT BEGAN TO SELL FURNITURE FIVE YEARS
LATER. THE IKEA CONCEPT BEGAN WHEN INGVAR KAMPRAD, AN ENTREPRENEUR
FROM THE SMLAND PROVINCE IN SOUTHERN SWEDEN, HAD AN INNOVATIVE
IDEA
- 5. HISTORY IN SMLAND, ALTHOUGH THE SOIL IS THIN AND POOR, THE
PEOPLE HAVE A REPUTATION FOR WORKING HARD, LIVING BARELY AND TRYING
TO MAKE THE MOST OUT OF LIMITED RESOURCES. SO WHEN INGVAR STARTED
HIS FURNITURE BUSINESS IN THE LATE 1940S, HE APPLIED THE LESSONS HE
LEARNED IN SMLAND TO THE HOME FURNISHINGS MARKET. INGVAR'S
INNOVATIVE IDEA WAS TO OFFER HOME FURNISHING PRODUCTS OF GOOD
FUNCTION AND DESIGN AT PRICES MUCH LOWER THAN COMPETITORS BY USING
SIMPLE COST-CUTTING SOLUTIONS THAT DID NOT AFFECT THE QUALITY OF
PRODUCTS. INGVAR USED EVERY OPPORTUNITY TO REDUCE COSTS, AND HE
SCRAPED AND SAVED IN EVERY WAY POSSIBLE - EXCEPT ON IDEAS AND
QUALITY.
- 6. HISTORY THE NAME IKEA COMES FROM THE INITIALS OF INGVAR
KAMPRAD, I AND K, PLUS THE FIRST LETTERS OF ELMTARYD AND AGUNNARYD,
WHICH ARE THE NAMES OF THE FARM AND VILLAGE WHERE HE GREW UP.
- 7. MASTER SLIDE IKEA
- 8. Birth of Flat-Pack Idea IN 1956 AN EMPLOYEE HAD TROUBLE
LOADING A TABLE INTO A CAR FOR DELIVERY. THE SOLUTION WAS TO TAKE
OFF THE LEGS AND MAKE THE PARTS PACK-FLAT
- 9. VISION AND MISSON
- 10. BRAND ELEMENTS SIMPLE AND BOLD TEXT SHAPE LOGO COLORS ARE
THE SAME YELLOW AND BLUE NATIONAL COLORS OF SWEDEN FLAG, THE
BIRTHPLACE OF THE ITS FOUNDER SIMPLICITY IS REFLECTED IN THE
PRODUCTS SOLD AT IKEA - SIMPLE IN DESIGN BUT ATTRACTIVE IN
VISUAL
- 11. ATTRIBUTES AFFORDABLE DO-IT-YOURSELF WELL-DESIGNED,
FUNCTIONAL PRODUCTS INNOVATIVE ENTIRE FAMILY-FRIENDLY
- 12. OBJECTIVES TO PRODUCE CHEAP AND AFFORDABLE PRODUCT FOR THE
PUBLIC/CUSTOMERS BETTER LIFE FOR THOSE WHO CANT AFFORD EXPENSIVE
PRODUCTS. ENSURE THE CUSTOMER FINDS WHAT THEY ARE LLOKING FOR IN
STORE.
- 13. IKEA CONCEPT LOW PRICE FUNCTION DESIGN
- 14. HOW WE WORK
- 15. IKEA STORE LOCATION DESIGN PRODUCTS PURCHASE FLOW
- 16. LOCATION THE VAST MAJORITY OF IKEA STORES ARE LOCATED
OUTSIDE OF CITY CENTRES, PRIMARILY BECAUSE OF LAND COST AND TRAFFIC
ACCESS. SEVERAL SMALLER STORE FORMATS HAVE BEEN UNSUCCESSFULLY
TESTED IN THE PAST
- 17. DESIGN
- 18. DESIGN
- 19. PRODUCTS MUCH OF IKEA'S FURNITURE IS DESIGNED TO BE
ASSEMBLED BY THE CONSUMER RATHER THAN BEING SOLD
PRE-ASSEMBLED.
- 20. PRODUCT NAMES ALL IKEA PRODUCTS SOLD AT THE IKEA STORE AND
ONLINE ARE NAMED WITH A SINGLE WORD TO MAKE THE NAMES EASIER TO
REMEMBER. FOR EXAMPLE; DUKTIG (MEANING: GOOD, WELL-BEHAVED) IS A
LINE OF CHILDREN'S TOYS, OSLO IS A NAME OF A BED, BILLY (A SWEDISH
MASCULINE NAME) IS A POPULAR SHELF
- 21. PURCHASE FLOW
- 22. BOOKBOOK
- 23. CATALOGUE
- 24. FOOD&FURNITURE? 150 MILLION MEATBALLS IN A YEAR $2
BILLION REVENUE
- 25. IKEA FAMILY LIFETIME MEMBERSHIP $AVE WITH MEMBER PRICES ON
SELECTED PRODUCTS EARN BONUS POINTS FOR STORE VOUCHERS
- 26. IKEA FAMILY GET 3X BONUS POINTS ON YOUR BIRTHDAY MONTH
ENJOY 2 FREE COFFEE/TEA WITH EACH VISIT $AVE UP TO 30% ON FAMILY
MEALS & EVENTS AT THE RESTAURANT BE INVITED TO MEMBER-ONLY
EVENTS GET INSPIRED AND FIRST-HAND INFORMATION WITH 3 NEWSLETTERS
PER YEAR
- 27. IKEA IN NUMBERS
- 28. IKEA IN NUMBERS
- 29. SWOT ANALYSIS
- 30. CONCLUSION
- 31. THANKS FOR WATCHING