IKEA

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What accounts for IKEA’s success with a standardized product and marketing strategy in a business which is usually describes as having some of the strongest cultural influences?


First of all, we think that the low price level is an important factor for the success of IKEA. Second, IKEA has a very broad assortment so that almost everybody can find something that he/she likes. People can also be very creative because they have a lot of options and so they can create a mix which fits in their own culture. By IKEA you can find an assortment of ‘basic’ products, which is very simple and fits in every culture. On their website, they say that they are wide in style. The romantic at heart will find just as much as the minimalist. But they also admit that they don’t have everything. They don’t have the extreme or the over-decorated. They have only what helps to build a home that has room for good living. Although the promotions and the advertising campains are standardized and have to follow certain guidelines, the local managers are allowed to make adjustments so that the campaigns are more appealing to the local citizens.


The problem with a standardized marketing strategy is that some campaigns which are succesful in one country are a huge mistake in another one. For example, a few years ago there was a campaign that dealt with non-traditional families, one of the ads was about a gay relationship. In Denmark where the campaign started there was no problem at all, but in the US a lot of people were shocked. The IKEA ad disappeared only a few weeks after it began when the retailer got a bomb threat at a store from conservatives, along with calls for a boycott. This example shows clearly that certain themes are not appreciated in some countries, especially not in conservative cultures. Fot the future it might be better to avoid controversial themes in advertising campaigns.





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