Successful tips business owners should learn from IKEA

IKEA’s history goes back more than 60 years. IKEA’s founding father, Ingvar Kamprad, is worth $78.1 billion today. Even though he is so rich, it is rumored that he still buys second-hand clothes, which may be true since he grew up poor. However, he has developed a way of displaying and showcasing products that provide a better consumer experience. IKEA reportedly has a technique for selling its products, services, and goods in a way that gives the consumer a great experience, and this is a method that other companies should implement by incorporating it into their sales plans. Business owners will increase their income if they follow these tips. The additional income generated is the result of a “side hustle with additional income generated” as it opens up more opportunities for growth. Wal-Mart and Target stores are examples of this return-on-investment (ROI) strategy for businesses. In their grocery markets they sell their own brand foods.

How does IKEA create a unique consumer experience?

Diversification is key to the future of any business. Increasing the profitability of a company is part of the future of any business. In other words, profitability is in diversifying the business. In the case of IKEA, many people go to their stores to eat. At least 30% of consumers who visit an IKEA store do so to experience food as something that goes well with shopping. When shopping for furniture, appliances, or household essentials, taking breaks from department stores is good for our mental and physical stamina. It also helps you experience the use of the shiny new refrigerator or bedroom set you’ll be buying soon while taking note of some other items in the store.

This is why shopping for home furnishings and dining out have been combined at IDEA stores. And it was confirmed by the positive reactions of 650 million people in 48 countries a few years ago. In fact, this concept inspired the “pop up” restaurants in Europe; including London, Paris and Oslo. This gastronomic trend in home furnishings stores is unique and provides an ultra-consumption experience for anyone who wants to shop and eat in the same place.

Initially, this type of shopping experience proved effective when it started in Sweden, where the store owner originally opened his home furnishings and appliance stores. When you combine shopping for home furnishings and appliances and eating home-cooked food, you get the IKEA experience. IKEA included Swedish food for its customers to enjoy along with their shopping experience. The menu includes potatoes with Swedish meatballs and cream sauce. It also includes jam (cranberry), for lovers of sweets, as well as desserts for customers.

How does IKEA display its products?

IKEA strategically displays its products. Country firm IKEA pays close attention to controlling prices and product display details over the years. This is how IKEA showcases its products using its successful designs, which is the key to the company’s success.

IKEA stores are colored in the national colors of Sweden: blue and yellow. They also have some windows. Each store displays its products in a counterclockwise layout, which is what the multibillion-dollar company calls “the long, natural shape” that is designed to guide consumers so they see the entire store. All IKEA managers display their products according to this design.

When consumers walk through an IKEA store, they first pass through the furniture showrooms. The next area has shopping carts for small items, before walking through the open “Market Hall” shelf. Then there is the furniture store, which is a showroom of furniture packed in boxes or “flat pack” formats. In other words, customers have an easy “self-service” place to shop. Customers are instructed to get products on the site and pay at the register, as Home Depot and Lowe’s have done today. Most “on sale” items are on the back or end of this counterclockwise layout. These consist of damaged or returned goods and former display items that are now for sale.

Why does IKEA put low-priced products on every corner?

When people turn corners in supermarkets or markets, they normally look up and down those corners and usually stop. Since most shoppers have baskets, they tend to leave those baskets in those corners or “hot spots.” A hands-free customer can walk down a grocery aisle without his basket because he can leave it at the end of the aisle since it’s part of the system. It is these fundamental corners that are ideal for low-priced products. Before going through the entire food lane, customers stop, look and spend more time at these hot spots than anywhere else.

Why does IKEA sometimes sell dreams and not products?

Selling a dream is basically selling the idea of ​​how to market your products. Once you do this and follow through, everything else will fall into place. So it is true that IKEA sometimes sells a dream. Looking at it from another perspective, showing the dream kitchen, or the dream living room or bedroom is to implement the IKEA method in its showrooms. After purchasing home furnishings, it is the consumer who has to assemble the product at home by self-assembly.

Why are some products not available, but the screen will show the products on the site?

In fact, it is the tutorials, the products on display and the rooms on display that are unique and allow that “dream” to come true for IKEA customers. If the product is not available in the warehouse or in the store, the method to go to is online. The order will be shipped from the main warehouse in Sweden to the customer’s address or door, where the customer must assemble all the things. The dream is the plan to assemble the furniture of the home. Refine the design for the consumer and, if necessary, the experts help with videos and the necessary tools to do so.

Why does IKEA sell the same product but at a variety of prices (ie dining room, bedroom, living room…)?

When there is a product for sale, such as a beautifully displayed dining table near a kitchen display, there is also a range of prices. That’s fine for the customer because what’s undesirable may be for someone else. It is an impressive success. Some consumers may only want the cooktop, but not the products in and around the entire display of other products. Therefore, placing products with a price range is common in IKEA stores. Consequently, a customer will find something to buy among the entire display or product display, even if it is just one item. A price range occurs when you don’t buy 2 for $1.00, but only want one, for which you will have to pay 0.59 cents. So you pay a little more if you don’t buy two of an item. This is also the bulk pricing method that is common in large markets like Sam’s Club has done in the past.

Why does IKEA put non-saleable items next to hot items?

If you see an attractive article, then the articles around it are mainly for “appearance”. So when you see items are there with that huge cabinet set you like, but the dishes inside are not for sale, then it’s just another way to successfully display. The purpose is that you can more easily imagine your dishes in those IKEA cabinets instead of theirs.

Finally, when the founder started this company, he probably never thought that he would grow and help so many companies if they followed his example.

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