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THE WONDERFUL EVERYDAY OF IKEA ADS

When it comes to eye-catching, memorable ads, IKEA’s are some of our favourites.

The key elements that mark out the Swedish retailer’s campaigns are a combination of humour, playfulness and emotion, often – but not always – focusing in on families having fun together, and how your home is a big part of that (especially relevant after the last couple of years).

They’ve been running their delightful ‘The Wonderful Everyday’ spots since early 2014 and to celebrate the series, we’re taking a look at the best IKEA ads.

Who Makes The Wonderful Everyday Ads?

Who do they trust to keep coming up with the goods?

In an age where brands often chop and change agencies to get a fresh take, IKEA have forged a long-standing relationship with creative agency Mother London.

UK marketing boss Laurent Tiersen told Marketing Week that, ‘We prefer to invest in a long-term partnership and not keep hopping around. Therefore, we make sure all our agencies, from creative to media, develop things together. We work with Mother London like we would work with a designer on a new piece of furniture; there’s collaboration every step of the way.

‘If we work with a designer, we also work with the supplier to find the right set up to make sure their product is ethical, functional, beautiful and sustainable. It’s the same process with our creative and media agency partners. We regularly ask Mother London’s advice on wider business decisions such as how we can position ourselves in the UK market or how we approach prices. This level of collaboration is key to our success.’

IKEA The Wonderful Everyday

IKEA made its UK debut in 1987; however, by 2013, sales growth had declined and they challenged Mother London to develop a communications strategy to revitalise the brand.

Mother’s Strategy Director, Kieran Bradshaw, said that they faced two core challenges, ‘change the fortunes of the business (turn around declining sales growth/revenue/penetration) and give the brand a renewed sense of meaning – not just for consumers, but also for co-workers and stakeholders.’

The team hit on the idea that life isn’t about fleeting events, like a summer holiday, but the little, everyday things.

Hence creating, ‘a brand new world of hyperbolic, surreal and cinematic renditions of life at home that demonstrated insight, yet brought more to people’s lives than simply holding up a mirror to everyday life.’

IKEA Ads 2021

‘every home is a haven’.

Aka the ‘brawn bears’ ad, Mother London’s spot was voted by creative peers in the Thinkbox Academy as the best TV ad to debut in September/October 2021, and it was definitely one of our favourite ads of last year.

Mother said that the brief was to set out IKEA’s, ‘democratic mission: to make every home a haven’. That is, home should be a place where you feel safe, happy and protected, free from everyday life’s distractions.

What makes you feel safe and secure when you’re a kid? Cuddling a teddy bear. Hence the buff bear bouncers defending the family home.

The Mother team then, ‘spent a lot of time crafting the moments of protection in the film and figuring out how to do them in a way that landed the idea but also felt really playful and charming. For instance, why just hang up on an unwanted work call when the bear could crush the phone to smithereens? That’s much more fun.’

The team told Campaign , ‘TV is where IKEA set out its strong point of view on everyday life at home and the importance it plays in everyday life. It’s where we inspire people to think differently about the home, not just for different’s sake, but because of the big emotional benefits it can bring to their lives. It’s also an opportunity to really revel in the wonder and magic that endears people to the brand.’ Which of course exactly chimes with the retailer’s tagline, ‘The wonderful everyday’.

The soulful hip hop track used on the ad is Sampa the Great’s ‘Final Form’, from the Zambian rapper’s debut album, The Return .

‘Change a Bit for Good’

Are you suffering ‘consumer fatigue’ when it comes to sustainable living? IKEA’s eco and sustainability-themed ad from May 2021 will strike a chord with anyone who loved Pixar’s Wall-E .

A determined droid, inspired by a billboard that says, ‘Defender Droids Save the Planet’, tries his best to make a difference in cleaning up the environment, travelling from a clogged-up canal to taking on a truck and then trying to tackle a huge oil slick on a beach. His efforts are constantly thwarted and he returns home, looking defeated and utterly dejected.

However, his little droid family home is kitted out with IKEA products, from a string bag for their veg to glass bowls that enable them to batch-cook, minimising food waste, and they’re even using a Flisat wooden toy storage box on wheels to grow veg in.

Our cute robot ends his day with a smile. The ad expertly taps into how so many of us feel: we can’t have an impact when it comes to saving the planet. However, IKEA’s idea is that if we all make a few easy changes to live more sustainably, the power of change is in everybody’s hands.

The music used on the ad is ‘Keep Movin’ by Crosby St Models, which features a mix of strings and determined beats with a slightly robotic, processed vocal , ideal for personifying our hero and his mission.

IKEA Ads 2020

The ‘Fortune Favours the Frugal’ ad from December 2020 also demonstrates the brand’s ‘waving goodbye to waste and embracing living in moderation’ ethos.

IKEA’s Marketing Communications Manager, Kemi Anthony, said, ‘We’ve set the ambitious goal of becoming fully circular and climate positive by 2030,’ and that their aim is, ‘To democratise sustainability, demonstrating how easy it actually is to make very simple, affordable and meaningful changes.’

An asteroid made of plastic toys, bottles and bags is shown rocketing towards Earth, contrasted with shots of a family who are living sustainably.

A little girl listens to a tape on a Walkman (which is when the ad’s soundtrack, the suitably titled ‘Makin’ it Better’ by The Barons, kicks in), pickled food is put into glass jars with wooden tops, while there are herbs growing in the Bittergurka herb pot, and a woman replaces a lightbulb with one that’s more energy-efficient.

As the asteroid gradually breaks up on entry, there’s a final plastic drinks bottle that lands in the family’s backyard. The little girl sprints out, picks it up and pops it into their recycling bin in the kitchen.

IKEA’s latest recruitment ad, ‘Taste the Future’, further develops their sustainability theme:

‘The Hare’ is a fantastic IKEA bedroom advertisement from September 2020, which provides a hilarious ‘prequel’ to the fable of The Tortoise and The Hare.

Our long-eared hero sets off, bright-eyed and bushy-tailed for a BIG night out with the lads, incorporating everything from the pub to a kebab, a lengthy walk home when he misses the night bus, and then compounds the effect by staying up in the wee small hours when he’s home, phone-scrolling and watching TV, before eventually nodding off on the sofa.

Meanwhile, in an apartment across town, Tortoise has had a lovely restful night’s sleep – the unsung hero of a great day (check out his huge stack of pillows and fluffy duvet!).

He’s up and at ’em and ready to take on the race. Another bang-on song title – ‘Witness the Fitness’ by Roots Manuva – speaks to the dedication the Mother London team have for finding exactly the right fit for their ads .

‘Conquer the Great Indoors/Lion Man’

‘Did you know that a lion spends more than 18 hours a day relaxing?’ asks the soothing Wonderful Everyday voiceover man.

The camera pans over a lion (well, a person in a massive lion suit), luxuriating on his lovely sofa (amusingly accompanied by his pet tabby cat). He watches some lion-based documentaries, reads a book with his feet up and does a few yoga stretches.

However, the lion’s approach isn’t laziness, it’s preparation for taking on the energy required to entertain a bunch of energetic kids who then burst into the sitting room; our hero entertains them with everything from balloons to rides.

‘Relax into greatness’ is the advice we’re given, to relax and recharge both our bodies and minds.

IKEA Ads 2019

‘The Nightclub’, IKEA’s ad from January 2019, celebrated its belief that ‘the greatest nights are the ones spent in bed’. Crowds of people are shown rocking up to a club and joining the queue.

However, instead of sporting club gear, they’re wearing onesies, PJs and slippers; as they enter the club, they’re greeted by an array of beds under the mood lighting.

They do their pre-sleep prep (face masks, teeth brushing, luxury hot chocolate – plus some bedtime reading and bouncing around), before snuggling down for a delicious night of sleep.

And the soundtrack? What could be better than Roy Orbison’s epic ‘In Dreams’? Cleverly, this is an IKEA bedroom ad that’s not an IKEA bedroom ad.

IKEA Ads 2018

‘Ghosts’ showcases IKEA’s stunning fabric selection, as a bunch of bright, bold spooks gatecrash a dull party hosted by white sheet-clad ghosts in a plain, largely beige, rather uninspiring suburban house, whose owners have gone out for the evening (special shout-out to the detail of the ghost dog!)

Our colourful, patterned gang quickly take over the decks, putting on K7’s 90s hip hop anthem, ‘Come Baby Come’, start break-dancing and body-popping and everyone’s having a great time.

When they spot the car headlights of the owners returning, however, all the ‘ghosts’ chuck themselves around the sitting room: a rug on the floor, a throw on the sofa, even the curtains. ‘Be a maverick with fabric’ is the tagline, as the homeowners look a bit perplexed by their brand new, style-and-personality-filled sitting room.

For some extra fun, check out the VFX shots behind the scenes:

IKEA Kitchen Advertisement

IKEA’s ‘Cooks’ ad from July 2016 shows that when it comes to spending time in the kitchen, it’s about much more than food. ‘Don’t forget to feed Jo’, a mum says to her dad, as she heads off out, leaving the little girl and her granddad together, both parties looking slightly alarmed.

The pair then proceed to have huge amounts of fun, messing about with food, tastes and utensils and making each other laugh uproariously.

The resulting food (soup made in a wok, drunk from glasses) and sandwiches, may be disgusting (judging by granddad’s expression at the end), but the two have had a brilliant time together and are still merrily drumming away on a stack of pans by the time mum gets back home.

The ad was directed by A-list French film director, producer and screenwriter Jean-Pierre Jeunet, who’s perhaps most famous for black comedy Delicatessen , The City of Lost Children and his biggest success, Amelie .

The track used is ‘Caravan’ by Stephane Grappelli, which has bags of jazzy swing, and, of course, plenty of drumming and cymbals to tie in with the ad’s final frames.

It’s perfect for this creative, as jazz is famous for bringing together freeform elements and making them work together.

IKEA Christmas Ads

‘Waste’ was made by BBDO Russia in 2020, highlighting the issue of food waste during the holiday season.

A small boy dodges huge pieces of food as they come crashing down from the sky onto the snowy streets where he’s playing.

A giant cheese-and-olive toothpick! A turkey leg! He dives through a hole in a piece of cheese and has to outrun a tangerine (much like Indiana Jones’s escape in Raiders of the Lost Ark ) before making it back to his tower block (complete with a draping of grapes), where he finds his mum scraping leftovers into the bin after a meal.

‘What if nature returns everything we throw away during the holidays?’ questions the voiceover as mother and son look in horror at the food raining down past their window. ‘Don’t let your celebrations go to waste’ is the tagline, as the two pack up the leftovers in IKEA’s Tupperware-style ‘lock and lock’ containers.

The ad is soundtracked by the classic Christmas carol, ‘Here Come the Bells’ , which, with its roundel structure, and layering of the voices, mimics the food cascading down from the heavens.

At the opposite end of the spectrum is a festive Canadian IKEA ad from 2021, which uses an iconic Bollywood track. The Canadian family of South Asian heritage come together for the holidays, helped by IKEA’s little touches. The ‘Assemble Together’ campaign was created by a team that included members from a diverse set of cultural backgrounds and perspectives.

From Indian and Persian to Filipino and Italian, and of course Canadian and Swedish too, the diverse personal experiences, unique holiday traditions and celebrations from across the group helped to inform the campaign insight, creative execution, and production decisions.

The track used is ‘Chaiyya Chaiyaa’, an Indian pop-folk song, used in the Bollywood film Dil Se, composed by Oscar and Grammy-winner A.R. Rahman ( Slumdog Millionaire ).

As for the best IKEA Christmas ad, it’s still got to be ‘Silence the Critics’ from 2019. A wonderfully ludicrous take on the state of our homes over the holidays, and the pressure people feel when it comes to entertaining and hosting, a crew of household objects unite to perform a scathing diss track, taking down nearly everything in the house.

Legendary grime emcee D Double E did the duties and it won industry awards including two Yellow Pencils at the D&AD Awards.

Holly Fraser, Director of Content at WePresent, revealed why she thought the ad deserved the award: ‘Work that should be celebrated is work that feels new, that breaks the mould and ignites conversation. That’s exactly what IKEA’s ‘Silence the Critics’ does. Subverting the tired, ‘pull at the heartstring’ formula usually rolled out for holiday season advertising, it instead uses grime music to create their own diss track, targeting the house in the ad. The result is a clever, catchy, conversation-starting piece of work that lived far beyond its original purpose, and instead turned into a cultural moment.’

Clever, catchy and conversation-starting seems to sum up IKEA’s whole #TheWonderfulEveryday campaign – and long may it continue.

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2017 winner: Ikea, marketing communications - case study

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The Wonderful Everyday

IPA Effectiveness Awards Case Study 2018

After 25 years of growth, IKEA’s UK sales, penetration and footfall were all declining. It needed to gain more customers and get people to buy a broader range of its products. ‘The Wonderful Everyday’ strategy rejected seasonal or event-driven marketing for an always-on approach with more personalised copy. Media were chosen to reach consumers when they were most likely to be thinking of their homes. Penetration rose 10% and all IKEA product categories reported growth. It is estimated that £755m of incremental revenue was generated and the ROMI was calculated at £2.31 for every £1 invested.

Ingvar said “The feeling of having finished something is an effective sleeping pill.” At IKEA, we are never finished, always on the way, always doing and learning. So although The Wonderful Everyday has been running for more than four years now, no two campaigns within it have ever been the same; each time we build on what we have learnt from the campaign before, and this is something we continue to do. This doesn’t mean getting it right every time—we’ve pursued different routes that haven’t always succeeded, but that doesn’t mean they are dead-ends, we are learning every step along the way. But performance is only half the story, for our teams process is equally important; we have spent a lot of time working with Mother and our agencies to develop a process that is able to help us make the everyday marketing reality smoother and more effective. After all, shouldn’t how we work together be as wonderful as the work we create together?

Laurent Tiersen, Marketing Manager IKEA UK

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Ikea gives its 'Wonderful Everyday' campaign the John Lewis treatment in nostalgic film

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By Rebecca Stewart | Trends Editor

April 21, 2016 | 3 min read

Listen to article 4 min

Ikea has taken a leaf out of John Lewis' book for the latest iteration of its 'Wonderful Everyday' campaign, which aims to get people thinking differently about the way they live at home.

ikea wonderful everyday case study

The Swedish retailer's new film tells a more emotive story than it's award-winning preceders , posing the question: 'What if the big things are really the little things?'

Depicting the memories of one couple’s time together, the spot features an elderly woman looking back over a photo album showing a lifetime spent with her husband. Created by longstanding agency, Mother London, the ad juxtaposes several of the pair's seemingly ordinary moments with much grander scenes set to ​'You and Me' by Penny and the Quarters.

Along the way, she is shown driving a Grand Prix as he cheers her on, the pair are seen winning the mixed doubles of a glam slam tennis tournament, and they are shown building a log cabin with their bare hands.

The video then cuts to back to the photo album and it becomes clear that the photos differ from the previous scenes – instead of a Grand Prix, she was learning to drive their first car, the tennis tournament was a family game, and the log cabin was a book shelf. A voiceover then implores viewers to 'enjoy the little things in life,' revealing that the spectacular scenes were actually just 'normal' occurrences.

Calling the campaign a "new emotional direction for IKEA," the brand's UK and Ireland marketing manager Laurent Tiersen said: "In this film we want to bring to life the sentiment of the 'Wonderful Everyday' through the eyes of someone who has lived a long and fulfilling life made up of small personal moments that add wonder to our everyday lives at home."

This really is a celebration of how the little things are the big things. We firmly believe that this is one of the most inspirational and affecting ad campaigns we have launched to date," he added.

The campaign will feature a 90, 60, and 20-second TV spots, as well as CRM, PR, outdoor and digital execution.

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The Wonderful Everyday

IKEA - The Wonderful Everyday

  • IKEA found itself in a challenging position – front-of-mind awareness was slipping, the brand had fallen behind on key metrics including trust, price and likeability and brand penetration had fallen by six percentage points across five years.
  • IKEA’s relatively small footprint of stores in the UK restricted its ability to grow penetration so organic growth was slow. IKEA knew that to reverse its fortunes it needed to showcase its full value and win back lapsed customers. 
  • IKEA had become best known for its Billy bookcases and great value proposition but the brand knew to stop decline and stimulate growth that it would need to change customer perceptions and highlight how IKEA (and its products) were central to home life. 
  • IKEA revolutionised its communications - streamlining its campaigns to fall under one overarching proposition: the ’Wonderful Everyday’.
  • This new strategy positioned IKEA as the provider of a more wonderful everyday life, where they sell customers solutions to problems, not just products for spaces. This approach was designed to help IKEA diversify what customers went to IKEA to shop for and most importantly - how much they spent. 
  • In line with the new proposition, IKEA significantly upped its brand messaging budget and placed increasing importance on AV channels – the brand would now run AV copy for 47 weeks a year (compared to just 20 weeks a year previously).
  • Chapters of the ‘Wonderful Everyday’ story focused on activities not products – cooking not kitchens, entertaining not dining, sleeping not beds – to increase emotional relevance. 
  • With storytelling such a key element of the new strategy cinema was well placed to work for IKEA – the big screen could help bring IKEA’s expertly crafted stories to life in an uncluttered environment delivering emotional impact and shifts in key brand perceptions.
  • 60” creative edits were used to launch each chapter of the ‘Wonderful Everyday’ story. IKEA used the broad AGP buying route to deliver engaged reach for its campaigns and cherrypicked key titles alongside this, buying into film packs (including The Girl On The Train and Fantastic Beasts & Where To Find Them) where the audience fit was perfect for a specific chapter.   

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The wonderful everyday: HR at Ikea

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Nordic regions are famed for healthy and productive employees. Ikea wants to bring that spirit to the UK

Anyone Christmas shopping last year couldn’t have failed to become acquainted with ‘hygge’– if not the word, then at least its trappings. Woollen socks, heart-shaped straw trinkets and jars of cinnamon treats seemed suddenly incredibly abundant, even for the festive time of year.

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And now another Scandinavian word has made it big. While hygge (pronounced hue-guh) describes a ‘quality of cosiness and comfortable conviviality that engenders a feeling of contentment or wellbeing’, the Swedish word ‘lagom’ (pronounced ‘la’ like ‘bar’, ‘gom’ like ‘prom’) is defined as not too much, not too little – just right.

So it seems our obsession with a culture famed for balanced, contented living is still growing. There’s much to be learned, the received wisdom goes, from a region whose countries rank highest on GDP per capita, healthy life expectancy and happiness, and famed for progressive social policy around welfare and parental leave .

Which brings us to Swedish brand Ikea. Its stores were certainly among those festooned with gingerbread hearts, woven throws and rustic-looking decorations last winter. But a Scandinavian ethos geared around balance and living well runs a lot deeper than this, explains Pernille Hagild, country HR manager for Ikea UK/IE.

Swedish approach

Hagild explains that it’s an ethos found in all 340 Ikea stores around the world, not just in Sweden. And an approach that is behind its success and growth in recent years, with three more large stores scheduled to open before the end of 2018 in the UK alone.

“All our values come from the Swedish approach,” she explains. “Our founder was born and grew up in a very small village in Sweden in tough conditions where everyone had to work together. The concept of togetherness is about uniting forces to make things happen and respecting that we bring different things .”

The Ikea value Hagild refers to here is ‘togetherness and enthusiasm’, the idea that ‘together we have the power to solve seemingly unsolvable problems’.

It extends right through to the language used to describe employees. “I’m Danish so I come from a culture where we don’t talk about people as staff, we talk about co-workers as a natural terminology,” she says, explaining that Sweden and Ikea are no different.

“I react to the word ‘staff’ when other companies are saying it,” she adds. “It implies staff are one part doing something over here, then you have the managers over here; it’s very ‘ us and them ’. At Ikea we consider we’re equal. Of course we have different roles and responsibilities, but I would say co-workers on the shop floor are more important to drive the business than I am because we can’t open the store without them.”

Another of Ikea’s 10 values is ‘cost-consciousness’. ‘Simplicity’ is a third. Which brings us back to lagom. Ikea’s founding father Ingvar Kamprad – who started the brand selling matches, fish, Christmas tree decorations, seeds, and later pens and pencils – also set a precedent of “working with few resources to make big things happen,” says Hagild.

“Lagom is about not wasting and creating a balance in that you don’t need to produce waste. It’s about having resources to invest by being conscious of what you use,” she explains.

For Hagild this principle is the key to why Ikea UK is able to invest more in its colleagues than many of its competitors, through paying the Living Wage Foundation’s living wage for example.

“That’s £11 million of investment, it’s not insignificant,” she points out. “But we’re able to do that because we’re looking at our costs all the time. So that creates resources that enable us to live our values and make great things happen.”

Another prime example of intelligent, carefully considered resourcing to enable investment in workers is shift allocation, says Hagild. Work/life balance is a central Swedish philosophy and Ikea UK is determined this should apply to shift workers as well as nine-to-five employees.

The result has been a system where no store colleague ever works more than three out of four weekends. This might sound fairly unremarkable, but it sets the retailer apart from many.

“It’s challenging – we’re open 24/7 – but sometimes you need to take a decision. The decision is we cannot accept co-workers working every weekend,” says Hagild. “So now every co-worker has at least one weekend off in four. Everyone. That’s a decision we take. It’s very unusual for a British retailer; co-workers tell us it’s very unusual.”

And it’s only made possible by that guiding philosophy of lagom, says Hagild. “We measure the customer flow, then the hours invested into every week and how to get a balance.

“If that doesn’t add up we need to invest. Or we need to have a dialogue with some of the co-workers to say: ‘would you want longer hours on Saturdays with all the breaks and then you travel less so you save travel costs?’ You need a bit of creativity… We combine positions, so maybe instead of someone only working in logistics, they do some hours on the shop floor at weekends.”

Ikea is on a mission to revamp how shift work is approached, to give colleagues much more certainty about the hours they’re likely to be working in any given period.

“We’ve stepped away from full-time and part-time contracts and instead work with low, medium and high contracts now,” says Hagild. “That’s to try and give people the contract they need to have balance in their life . Because what often happens in retail is you give people a certain contract because you think that’s what you need from a maths point of view, then the reality hits and you need a lot of overtime.”

Next on Hagild’s to-do list is moving the UK company from four- to 12-week rota periods: “When you have 12-week rotas and you have them four or maybe even eight weeks in advance you can plan your life, you can plan whether you’ll be able to go to a wedding and swap shifts if you need to. Office workers take it for granted that they know when they’ll be working over the coming months.”

Long-term health

Of course, none of this comes from a purely altruistic sentiment. Ikea is under no illusions that treating people well is about not just doing the right thing, but ensuring commercial success. A rapidly evolving, increasingly online retail world puts the emphasis squarely on a great store experience delivered by happy, motivated staff .

“The way that customers shop, and their expectations, are changing, and we need to adapt to that,” says Hagild. “So the co-workers on the shop floor need to be more personal than they did maybe six or seven years ago where it was a bit more mechanical – that doesn’t work anymore.”

Having strong values that are constantly used to test any business decision is about taking a long-term focus on doing the right thing, but also the long-term health of the business, says Hagild.

“When I look at what is and is not working at Ikea, when it’s not working it’s because we haven’t taken a decision and said: ‘this is what we stand for and we will not negotiate on that one, because it’s in our values and this is how it is’.

“In retail it’s very here and now. The customers are here and now, the weather is good or bad, there are so many spontaneous things going on operationally. And if you don’t have a long-term approach you will be very reactive and compromise your values.”

One example is gender diversity. Ikea UK, and the wider group, has a fairly strict target of 50/50 men and women on its management team (the split is currently 49.5% women to 50.5% men in Ikea UK). “I don’t necessarily believe in quotas but I do believe you need a non-negotiable goal and strategy around that,” says Hagild. “Because we know we recruit people like us, it’s the unconscious biases.

“So I think quotas can help short term because the more female leaders you get into a role the more role models you have. We know women tend to be a bit more like: ‘if I’m not 150% ready for the role I’m not applying…’ So you have to have those dialogues with women to ask ‘have you thought about applying?’”

Another important value that supports women’s progression at Ikea is, unsurprisingly, around parental leave. “Our strategy is offering as much parental leave as we’re able to in each specific environment where we operate,” reports Hagild. “Our aim is always to be better; we want to inspire other companies to improve. In the US we’ve just approved maternity leave for four months for example. Because if [generous parental leave for both men and women] works in Denmark and Sweden of course it would work elsewhere.”

Values-based leadership

For such values around diversity, togetherness and simplicity to thrive and apply to all business decisions, it’s vital every leader lives and breathes all 10 values all the time, says Hagild. “When we recruit leaders we choose people who have inclusivity and emotional connection to our values,” she says. “Our recruitment is values-based.”

Then it’s about regular training to refresh leaders’ understanding of these values. “Values don’t just come through leaders; you have to train them,” says Hagild. “What we’re doing that’s really different is we create space where we talk about values. We have two-day events where it’s all about values. We pair people off and one part of the couple will talk about the value of simplicity, for example, while the other is listening and coaching . By doing that we say ‘we permit you to do that in your business’.

“The co-workers are saying ‘my leader is very different now’,” she adds. “Instead of saying ‘this is what we would like and how, he is saying this is what we’d like and you do it your way.’”

This training is centred around the very Scandi-sounding concept of walking coaching, something filtering into all events and more informal catch-ups at Ikea: “A lot of the units have started to do development talks where they walk together with co-workers rather than sitting in an intimidating room with white walls,” reports Hagild. “It’s really relaxed so your personality comes through and you talk and think more naturally.”

Which leads to the health and wellbeing element central to the Ikea ethos and the Nordic region generally. And to another Scandi-concept: fika.

“Fika is where you take a coffee break and instead of working while you have your coffee – which you would often do in Denmark by the way – you go to the fika area and have a break and just talk to each other,” reports Hagild, adding that all colleagues (store and back office) can eat for free or as little as a couple of pounds a day if choosing from the healthy food selections Ikea serves in its employee areas.

“When we meet in the fika area we don’t meet around business as such. We have a rule that from 12 to two we don’t have business in that area because otherwise everything becomes about working.”

This culture then filters into all interactions, reports Hagild. “I’ve met quite a few people who say ‘it’s amazing people say good morning to me’. I say: ‘I beg your pardon?! Why wouldn’t you, it’s your colleagues.’ That’s about the health and wellbeing.”

Comfort and trust

So it would seem there’s much more to a distinctively Swedish, or rather Nordic, approach than just cashmere socks and cosy blankets. Especially as workplace wellbeing, and in particular the link between mental wellbeing and productivity, continues to climb the UK business agenda.

A strong approach to embedding values and to diversity and inclusivity will put organisations –Swedish in origin or not – in excellent stead here, says Hagild.

“I had a colleague say ‘During the last year I’ve had some mental health issues and I’d really like to share my story with the organisation’,” she reports. “So we have this environment that creates comfort and trust. That’s one of those moments where I know we are doing something valuable.”

Further reading

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Ikea to pay the Living Wage

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HR takes centre stage at the Royal Shakespeare Company

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Working at Amazon: The other side of the story

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How has HR evolved in the last 25 years?

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HR at the Civil Service

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Best supporting actor: HR at Vue

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HR viewed as the least productive department by employees

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The HR challenges of an ageing workforce

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IKEA UK: Working together to bring the wonderful everyday to life

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OUR MARKET—A FRAGMENTED SECTOR, LED BY IKEA

Swedish retailer IKEA launched its first UK store in 1987. Its distinctive style, keen pricing and flat-pack self-assembly furniture quickly found favour with the British public. In 2013 the UK Home market was growing as the economy began to recover post-financial recession, and sales of homewares and furniture were increasingly buoyant. IKEA was the category leader, a position it had held for over ten years, with 19 stores and a market share of 6.5% (£1.2bn), ahead of other Home retailers...

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IKEA Case Study| History of IKEA| IKEA Business Model

lapaasindia

August 31, 2019

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ikea wonderful everyday case study

Ikea Case Study- (Business Model)

2 Minute Summary

IKEA is one of the biggest furniture companies in the world founded by a carpenter named Ingvar Kamprad who was 17-year-old, in Sweden in 1943. Everybody knows that Ikea offers the products at a very lower price than any retail shop. Ikea has invested 800 crores in India, It has more than 9500 Products and has more than 350 stores in 35 countries. the new store is spread across 400,000 square feet in the southern city of Hyderabad & plans to invest 105 billion rupees in India. the company is a non-profit. IKEA employs about 135,000 people. Because of tax rules for non-profits, IKEA pays about 33 times fewer taxes than their for-profit competitors. The Ikea trademark and the concept is owned by another private company named Inter Ikea Systems. It acquired TaskRabbit on Sep 28, 2017. IKEA has many mobile apps. But the most popular app is IKEA STORE. The app is having almost 9,60,333 monthly downloads. IKEA is the lead investor in 4 companies. Full Detail in Blog.

Everybody knows that Ikea offers the products at a very lower price than any retail shop.

In this blog, we’ll talk about Ikea Case Study(Business Model) as the Swedish furniture company opened its first retail store in India.

Like Walmart acquired Flipkart and entered the Indian Market. Ikea can destroy the Whole Furniture Market in India.

Ikea has invested 800 crores in India, It has more than 9500 Products and has more than 350 stores in 35 countries.

According to CNN , the new store is spread across 400,000 square feet in the southern city of Hyderabad & plans to invest 105 billion rupees in India.

But have you ever wondered? How does Ikea work?

What is the meaning of IKEA?

How IKEA works?

How IKEA business model earns ?

You must have many questions regarding IKEA, like What is the meaning of IKEA?

What is IKEA?

How IKEA earns?

This will be the most detailed case study on IKEA.

I will be answering all of your questions.

Let’s START WITH

WHAT IS IKEA?

IKEA is one of the biggest furniture companies in the world founded by a carpenter named Ingvar Kamprad who was 17-year-old, in Sweden in 1943.

IKEA is a globally renowned furniture retailer that sells ready-to-assemble furniture, kitchenware and home accessories.

 The company started with selling pens, wallets, jewellery with the concept of meeting consumers demands at the most affordable prices.

After five years into the business, IKEA brought in the furniture. Since then furniture has been the mainstream for the business.

IKEA furniture is now a well-known multinational brand.

IKEA MEANING

You must be wondering that what is the story behind the unique name the brand has.

The name IKEA isn’t just a fun.. it stands for – Ingvar Kamprad Elmtaryd Agunnaryd.

Short-form is cooler to pronounce right? But it actually has a deeper meaning.

The first two letters of IKEA i.e. I and K are the initials of the name of the founder Ingvar Kamprad.

While ‘E’ comes from the name of the farm he grew up on – Elmtaryd.

And the last letter ‘A’ comes from the Swedish village, Agunnaryd,

where the farm was located.

HOW IKEA EARNS? – IKEA BUSINESS MODEL

They follow Price-leadership model. Low prices are the main concern stone of the IKEA vision, business idea and concept.

In the world of IKEA furnishings, the products are named after Swedish towns like Aneboda, Akurum and Anordna.

But the costumers worry less about the names and care more about how much they cost.

Ikea furniture is a beacon for bargain hunters. Its whole business model evolves around selling their product at the lowest price possible.

IKEA business model revolves around their vision which is – offering a very wide range of well-designed, functional home furnishing products at so low prices that as many people as possible will be able to afford them.

Anybody can make a high-quality product for a high price, or a poor-quality product for a low price.

IKEA follows a different approach, they have developed methods that are both cost-efficient and innovative. Before designing the product… they decide the price tag.

Their designers begin with designing of the product after keeping the price in mind. The IKEA Group has 31 distribution centres in 16 different countries, supplying goods to IKEA stores. It has about 45 trading service offices in 31 countries.

They have very close relationships with their 1,350 suppliers in 50 countries.

IKEA’S SMART SECRET

Is IKEA – a Non- profit organization. ?

You must be having a lot of questions by now, like if IKEA is a non

profit organization then –

How do they manage their running cost?

Where all the money goes away?

Where does all this money earned is utilised?

You will get all your answer right away as you continue reading.

I would say a big YES,

IKEA has a little known secret: the company is a non-profit

They grew with a vision that states ‘to create a better everyday life for as many people as possible. And on a mission to offer a wide range of home furnishing products at a price so low that as many people will be able to afford them.’

Besides the vision and mission, the main motive of showing itself a non profit organization could seem as business-driven.

IKEA employs about 135,000 people. Because of tax rules for non- profits, IKEA pays about 33 times fewer taxes than their for-profit competitors.

There is one more big hole in this whole IKEA non-profit organization.

Money is not trapped inside Ikea’s foundation.

The Ikea trademark and the concept is owned by another private a company named Inter Ikea Systems.

So, to operate Ikea stores and use the brand name, the non-profit Ikea have to make payments each year to the private company – Inter Ikea Systems.

This clearly means money is paid directly from IKEA profits to the owners of this private company to license the trademark.

The beneficiaries or we can say owners of this private company are not publicly recorded, but it’s not hard to speculate that the Kamprad family is on the receiving end of this loophole.

HISTORY – STARTING AND GROWTH OF IKEA

Let’s talk about the exciting history timeline of IKEA.

From the of how it is started to the story of how it evolved exponentially.

It all started in 1926 when founder Ingvar Kamprad is born in Småland

in southern Sweden.

The 1940s-1950s

In the year 1948 – Furniture was introduced into the IKEA range.

Local manufacturers produced the furniture for IKEA in the forests close

to Ingvar Kamprad's home.

In the year 1956 – IKEA came up with the idea of designing furniture for

flat packs. It started focusing on self-assembling furniture models.

In the year 1980s – IKEA expands dramatically into new markets such

as the USA, Italy, France and the UK.

In the year 1984,

Ikea family was introduced a new club for the customers was launched.

Today, Ikea family is in 16 countries (over 167 stores) and has about 15

million members.

FINANCIAL FACTS AND FIGURES

Categories – Consumer Electronics, Furniture, Retail, Shopping, Smart Home.

Headquarters –   European Union (EU)

Founded Date –   1943

Founders – Ingvar Kamprad

No. of Employees – 10001 +

Legal Name –  IKEA BV

Digital links

Website –  www.ikea.com/

Facebook- www.facebook.com/IKEAIndia

LinkedIn – www.linkedin.com/company/ikea-group/

Twitter – https://twitter.com/IKEAUSA

Till now IKEA has only 1 acquisition.

It acquired  TaskRabbit  on Sep 28, 2017

Mobile app and its downloads

IKEA has many mobile apps. But the most popular app is IKEA STORE.

The app is having almost 9,60,333 monthly downloads.

Website and its monthly traffic IKEA is ranked 166 among websites globally.

And having almost 146,040,680 monthly visitors.

Investments

IKEA is the lead investor in 4 companies. Those are –

XL HYBRIDS – IKEA announced its investment in this company on

October 12, 2017

MAT SMART – IKEA announced its investment in Massmart on Jan

TRAEMAND – IKEA announced its investment in Traemand on Dec

LIVSPACE – IKEA announced its investment in Livspace on Dec 19,

MANAGEMENT AND THE CORE TEAM

CEO – Jesper Brodin

CFO – Alistair Davidson

FOUNDER – Ingvar Kamprad

HEAD OF CORPORATE FINANCE & TAX – Krister Mattsson

HEAD OF DIGITAL – Christian Moehring

HEAD OF E-COMMERCE, SOUTHEAST ASIA – Koen Besteman

HEAD OF UK MARKETING PROCUREMENT – Maria Malpartida

HEAD OF INNOVATION – Jens Heitland

8 IKEA Marketing Strategy

Many people confuse marketing with promotion. People believe that marketing is something you do to sell your product. But, this is not completely true. Marketing begins even before the production stage, as designing a product based on the demand and needs of the customers is also a part of marketing. This is what IKEA Believes in. Everything in IKEA is from a customer’s point of view. Let’s dive deep into learning different strategies of IKEA.

1. Amazing Customer Experience

Have you tried shopping from IKEA? If not, then I would strongly recommend you to try IKEA next time you need a piece of furniture.SHopping at an IKEA store is a different experience than shopping from any other furniture store. Whenever adults go out shopping with their kids, both the kids and parents face issues.

IKEA has got an amazing solution for this where none of them would feel any type of burden and in fact, both of them would like to spend more time at the IKEA store. Yes, I am talking about the free childcare facility provided by the IKEA stores. You can just leave your child safely with them and enjoy hustle free shopping and the child will also spend some quality time playing and making new friends.

Another amazing thing is that instead of standing and having a long discussion about which product to buy and calculating your cost, you can have a seat ad enjoy your paneer butter masala meal while discussing the furniture.

These little things not only add a value to the customers shopping experience but also give them a reason to visit again and even suggest others to visit the store.

2. Brand Identity

In such a competitive environment, is it very important to stand out or be unique and creative to survive? You have to build your brand in such a way that customers prefer you over other companies.IKEA is very strongly working with this. Its goal is to become the leader of every home.

IKEA focuses more on the product and the customers which a lot of companies fail to do. If you create what your customers want then you can build a good brand identity. Your every action should be a signal of your brand.IKEA uses this technique in its advertising. If you have been following IKEA for a while then you will not have to think a lot you can recognise directly that this is an IKEA ad.

3. Content Marketing

With the growing digital environment, the content has become an important element of the digital industry. Content is used by most of the companies to promote their product digitally. From a picture art to a long written blog anything can be used as content in digital marketing.

One of the best strategies you can use in this digital era is to interact with your customers directly.IKEA uses all types of contents to reach out to their customers. From images, videos to textual content IKEA has it all. To reach your customers digitally, it is very important to identify your potential audience, basically defining who your customers are. Then the most important step is defining how your potential customers can find you?IS is through your social media handles or is it through your website or a combination of all these. And then you need to target them both organically and by paid promotion techniques.

4. Social Media

Social media is something which cannot be avoided. Everyone nowadays uses social media, thanks to the internet revolution and jio revolution in India. Your presence on every social media platform is must, it doesn’t matter if you are an old company or a new one. Social media allows you to be in constant touch with your customers. You can use various strategies across your social media platforms that can help you create trust and a good brand image in front of your customers and also develop new customers.

There are a few strategies which you can follow.

  • If you follow a consistent posting schedule, then you can have a good content interaction as regular posts can make your customers think about you.
  • You can also use promotional strategies provided by social media companies to reach a new audience and attract them by telling them about your new products and offers.
  • Another important feature of social media that you can use is to understand your audience. Understanding your audience is important because they are the ultimate consumers and having clarity about the consumers makes it possible for a brand to plan its products and marketing accordingly.

5. Innovation

IKEA is very famous for new designs and products. It keeps on constantly adding a new design or a new to product to its collection. This allows customers to visit the store even if they do not want to buy anything so that they can check the latest trends and products. If you check their social media handles, you will find a lot of different types of content that displays new and innovative products. This is a very good strategy as your customers stay updated with your products. Even if they do not add the products to their cark at the moment, they still add it to their wishlist. Which indirectly gets converted into sales. Thus, innovation in products and making innovation reach your customers is very important.

6. Creative Marketing Campaigns

IKEA is very creative when it comes to marketing. Their posts are so engaging that you want to click on it and see them that what is there. The example given below demonstrates how one will swipe right to see what they have for you. Isn’t it creative? If you observe, they have made good use of the present condition in a creative way. Similarly, a humorous and creative content strategy can help you get more engagements.

7. Amazing Use of Technology

Living in the 21st century, you can make amazing use of technology to provide a great experience to your customers. Augmented reality and virtual reality are some great examples of technology can you can use especially in such industries.IKEA makes use of both these augmented realities and the virtual reality

What is Augmented Reality?

This is the most amazing use of technology that IKEA could have done. With this, you can use your mobile phone to see how a piece of particular furniture would look at your home. You can also use this to decide at which corner of the house that particular furniture would look good. This is like a trial technology where you can try the products virtually at the comfort of your home without actually buying it. It is similar to something used by Lenskart.

What is Virtual Reality?

Yet another amazing use of technology. Where most of the people are busy using virtual reality for gaming purposes, IKEA has its smart use. Through virtual reality technology, IKEA allows its customers to feel the look of the furniture. For example, say you want to buy a modular kitchen, you can try the kitchen before actually buying it in a virtual reality headset. The most amazing part is that you can try cooking and get real experience.

8. Payments Methods

Consumers have become a lot more advanced than before. Customers need comfort. Since the evolution of the digital era, there are a lot of different methods of payment. Every consumer has different payment options. It becomes important to have all the options available so that the customers get a hustle free shopping experience. As already, IKEA is a price dominant company, best price with all modes of payments is like a cherry on the cake.

Unknown Facts About IKEA

  • Ikea is the third-largest wood consumer on the planet. Being the leading furniture company it should not be shocking.
  • IKEA is claimed to print more copies of its annual catalogue each year than the bible.
  • IKEA has very good food sales. Being known for its furniture has a very good taste when it comes to their restaurant. This can be a great contribution to their revenue as they have an approximate sale of 2 billion annually.
  • As in 2014, they have 716 million visitors to their store. This is a very huge number.
  •  The first IKEA restaurant was launched in 1956 to feed its customers that would feel hungry after spending the whole day shopping.

SWOT Analysis of IKEA

* Its vision – ‘to create a better everyday life for many people’

* Economies of scale

* Lowest Price

* Countless designs

* Bad press

* Low quality

* Difficulty to control standards across locations.

OPPORTUNITY

* Solutions for a sustainable life at home

* Developing social responsibility

* The recession slows down consumer spending

* More competitors entering the low price household and furnishings

IKEA is one of the biggest furniture companies in the world founded by a carpenter named Ingvar Kamprad who was 17-year-old, in Sweden in 1943.

The company started with selling pens, wallets, jewellery with the concept of meeting consumers demands at the most affordable prices.

IKEA KEY VALUES

They are very strict about their values.

They firmly believe that every individual has something valuable to

Let’s look at some of there core values –

1. Cost – Consciousness

Their first priority is to make their product affordable to as many

people as possible. They challenge themselves constantly to make

the product more affordable without compromising on quality.

2. Renew and Improve

They always challenge themselves to try something new and to find a

a better way out.

3. Caring for People and Planet

They believe in caring for people as well as for the environment.

They act as a force for a positive change.

IKEA IN INDIA

In 2006, Ikea first displayed an interest in the Indian market but back then

the Indian laws allowed only 51 per cent foreign ownership.

With the government of India relaxing the norms for foreign direct

investment (FDI) in single-brand retail, IKEA announced in October

their intention to open stores in India.

IKEA opened its first store in India on Aug 9, 2018.

It took IKEA 12 long years to enter the Indian market.

The first store in India was opened in Hyderabad.

Hyderabad, the southern Indian city gave it a roaring welcome.

So far, more than 3 million customers have visited IKEA Hyderabad

store and about 8 million have visited IKEA’s India website

In the year 2016, Ikea purchased land in Mumbai and said that it planned

to open stores in Bengaluru and Delhi too.

After Hyderabad, in 2019 IKEA has launched its first online store in

Mumbai is offering more than 7,500 products.

It will provide delivery to most of the locations in Mumbai and will have

a delivery time of four to seven days, subject to availability and distance.

In India, IKEA currently has more than 55+ suppliers.

Also, have more than 45,000 direct employees and 400,000 people in the

extended supply chain.

Now, the company plans to have more than 25 stores in India by 2025.

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    Ikea has taken a leaf out of John Lewis' book for the latest iteration of its 'Wonderful Everyday' campaign, which aims to get people thinking differently about the way they live at home.

  12. IPA

    IPA Effectiveness Awards Case Studies; The Wonderful Everyday ; The Wonderful Everyday. Case study. Award name. Silver. Agency. Mother,Vizeum. Client. IKEA. Brand. IKEA. Date. 2018. Case Study Type. IPA Effectiveness Awards; Price. Non Members: £50. Members: £25. Buy now ... Penetration rose 10% and all IKEA product categories reported growth ...

  13. IKEA

    Brand Sector Audience Buying route Objective Background IKEA found itself in a challenging position - front-of-mind awareness was slipping, the brand had fallen behind on key metrics including trust, price and likeability and brand penetration had fallen by six percentage points across five years.

  14. Going Green: Advertising Campaigns from Sustainable Brands

    Jane Asscher, CEO & Founding Partner of 23red on the importance of sustainability, not just because it's the right thing to do but because it is a necessity to future proof a business. April 6th 2021. The agencies behind the latest advertising campaigns for sustainable brands. Including IKEA's The Wonderful Everyday and Coca-Cola's Never Settle.

  15. IKEA: The Wonderful Everyday

    IKEA: The Wonderful Everyday . IKEA, a furniture retailer, renewed its market-leading position with a creative campaign that combined surreal imaginings with everyday life. Furniture & furnishings retail; Rankings; Selected creative: IKEA - The Wonderful Everyday. Read the full campaign case study. Credits. Agencies: Mother, London / Vizeum, ...

  16. CASE STUDY: IKEA takes 'The Joy of Storage' campaign Out of Home

    "The best campaigns engage people's emotions as 'Wonderful Everyday' does. It's important for Out of Home to show that it can excite people and engage their emotions too. By adding an extra 3D dimension on such a massive scale we think this wonderful campaign has gained an extra dimension, wholly in keeping with IKEA's global reputation as a ...

  17. Complete Analysis of the Business Model of Ikea

    If you find this case study helpful, consider leaving a comment below. ... 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. ...

  18. HR Magazine

    The wonderful everyday: HR at Ikea. Nordic regions are famed for healthy and productive employees. Ikea wants to bring that spirit to the UK. Anyone Christmas shopping last year couldn't have failed to become acquainted with 'hygge'- if not the word, then at least its trappings. Woollen socks, heart-shaped straw trinkets and jars of ...

  19. IKEA UK: Working together to bring the wonderful everyday to life

    This case study shows how IKEA, a furniture brand, shifted its role among UK consumers to become an ally on their everyday furniture needs, rather that an occasional stop for cheap household goods. Products ... Working together to bring the wonderful everyday to life . This case study shows how IKEA, a furniture brand, shifted its role among UK ...

  20. IKEA: The Wonderful Everyday

    IKEA: The Wonderful Everyday . This case study shows how Ikea, a furniture brand, became more than an occasional furniture shop, and took up the role of the UK customer's ally in their daily routine. ... How a Return to 'Creating a Better Everyday Life for the Many' Turned Out Wonderful. Executive Summary. At face value IKEA is a household name ...

  21. Case study: IKEA's organizational culture and rewards management

    The 8 IKEA Key Values Some of the different approaches adopted by IKEA to create a better everyday life for people and planet and stay connected to their origins and cultural iceberg as...

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

    To summarize, through a less than one minutes video and a short and memorable hashtags, Ikea has efficiently spreading awareness about hope during this uncertain time and providing a fresh...

  23. IKEA Case Study| History of IKEA| IKEA Business Model

    2 Minute Summary. IKEA is one of the biggest furniture companies in the world founded by a carpenter named Ingvar Kamprad who was 17-year-old, in Sweden in 1943. Everybody knows that Ikea offers the products at a very lower price than any retail shop. Ikea has invested 800 crores in India, It has more than 9500 Products and has more than 350 ...