SUMMER INTERNSHIP PROJECT REPORT ON

[ “A STUDY ON CONSUMER AWARENESS TOWARDS DIGITAL MARKETING

STRATEGY OF IKEA IN NAVI-MUMBAI.’’ ]

Submitted in Partial Fulfillment for the Award of the Degree of

Master of Management Studies (MMS)

(Under University of Mumbai)

BATCH 2020-22

SUBMITTED BY
[AFTAB MIYAN]
ROLL NO: [201120]

SPECIALISATION
[MARKETING]

UNDER THE GUIDANCE OF

[SHAHEDA SHEIKH]

PILLAI INSTITUTE OF MANAGEMENT STUDIES AND RESEARCH,

NEW PANVEL - 410206
 SUMMER INTERNSHIP PROJECT REPORT ON

“A STUDY ON CONSUMER AWARENESS TOWARDS DIGITAL MARKETING

STRATEGY OF IKEA IN NAVI-MUMBAI. ’’ ]

Submitted in Partial Fulfillment for the Award of the Degree of

Master of Management Studies (MMS)

(Under University of Mumbai)

BATCH 2020-22

SUBMITTED BY
[AFTAB MIYAN]
ROLL NO: [201120]

SPECIALISATION
[MARKETING]

UNDER THE GUIDANCE OF

[SHAHEDA SHEIKH]

PILLAI INSTITUTE OF MANAGEMENT STUDIES AND RESEARCH,

NEW PANVEL – 410206
CERTIFICATE FROM THE COMPANY
 DECLARATION

I hereby declare that this Project Report titled “A STUDY ON CONSUMER AWARENESS
TOWARDS DIGITAL MARKETING STRATEGY OF IKEA IN NAVI-MUMBAI”
submitted by me to PILLAI INSTITUTE OF MANAGEMENT STUDIES AND
RESEARCH, NEW PANVEL – 410206 is a bonafide work undertaken by me and it is not
submitted to any other University or Institution for the award of any degree diploma or
certificate or published any time before.

Name: AFTAB MIYAN.

Roll No. : 201120.

Signature of the Student

 PILLAI INSTITUTE OF MANAGEMENT STUDIES AND RESEARCH,
NEW PANVEL - 410206

CERTIFICATE

This is to certify that project titled “A STUDY ON CONSUMER AWARENESS TOWARDS

DIGITAL MARKETING STRATEGY OF IKEA IN NAVI-MUMBAI.” is successfully
completed by Mr. / Ms. _AFTAB MIYAN during the III Semester, in partial fulfillment of the
Master's Degree in Management Studies recognized by the University of Mumbai for the
academic year 2020 – 22 through PILLAI INSTITUTE OF MANAGEMENT

STUDIES AND RESEARCH, NEW PANVEL – 410206. This project work is

original and not submitted earlier for the award of any degree / diploma or associate ship of any
other University / Institution.

Name of Guide: SHAHEDA SHEIKH  

Date: ______________________ (Signature of the Guide)

 
ACKNOWLEDGEMENTS
 EXECUTIVE SUMMARY
The aim of this research is to provide information about consumer awareness towards IKEA
furnishing company. IKEA is known globally for its low prices and innovatively designed
furniture. This research analyses how IKEA adapted its strategies to enter in India and how it can
expand in the country. IKEA has considered doing business in India for years having first
established a presence in 2007 only to run into a raft of regulations limiting foreign investment in
the country’s retail sector. The method of analysis is to use survey by questionnaire, sampling
statistic, cost and income and other theories. All calculations can be found in the empirics and
analysis. This research aims to capture the essence of India as a marketplace and consumer
psychology analysis, the growing purchasing power and rising influence of social media have
enabled Indian consumers making India an aspiring emerging market for global businesses. In
this paper we have analyze consumer awareness of digital marketing strategy of IKEA the lines
of business strategies for IKEA collaborating with the macro environment and overall industry in
India.

In this research, one of the main tools we have used is Porters five forces model. Porter discusses
how five competitive forces play a crucial role in an industry competition. Nevertheless, a
shortcoming with the Porter’s five forces model is that it neglects other important variables such
as labor force, partnerships, networking, etc. In order for a more complete view of the
competitive environment these additional factors are essential and necessary in the analysis.
SR.NO TABLE OF CONTENTS PAGE NO.
1 Introduction. 1

 Objectives of the study 2

3
 Need for the study
4
 Limitations of the study 5

 Research Methodology

PART A
2 Industry Analysis 6
 Summary

 PESTLE

 Porter’s Five Forces Analysis

PART B
3 Company Analysis

 SWOT Analysis

 7-S Framework

 Ansoff Analysis

4 Rise of E-learning during lockdown

 Literature review

 Introduction

 Introduction to Management concept

 Data Analysis

 Recommendations

5  Conclusion

 References
SR.NO LIST OF FIGURES PAGE NO.

1 PESTLE Analysis

2 PORTER’S Framework

3 IKEA LOGO

4 SWOT Analysis

5 7- S Framework
6 BCG Matrix

7 Ansoff Matrix
SR.NO LIST OF TABLE PAGE NO.

4
 CHAPTER 1: INTRODUCTION TO THE PROJECT.

INTRODUCTION.

IKEA is one of the best-known and most successful home furniture companies in the world. This
Swedish company also sells a wide range of home accessories and interior design items. They
are famous for their modern designs, eco-friendly products, low prices, and flat-pack furniture.
IKEA is known globally for its low prices and innovatively designed furniture. In India, it ran
into several problems such as Foreign Direct Investments (FDI) and setting up the physical stores
in the large country like India. IKEA has considered doing business in India for years having
first established a presence in 2007 only to run into a raft of regulations limiting foreign
investment in the country’s retail sector. Rather than being sold pre-assembled, much of IKEA's
furniture is designed to be assembled by the customer.

Digital Marketing is the term used for the targeted, measurable, and interactive marketing of
products or services using digital technologies to reach the viewers, turn them into customers,
and retain them. Social media grew up as the most popular outcome of the Internet as people
around the world like to communicate and share their special moments, problems, ideas, and
suggestions with others. They also like to learn about a place worth visiting, a new craft projects,
recipes, or a new language. Social media websites enable you to share content of your choice
with right audience at your convenience.
OBJECTIVES :-

1. To study retail industry in India using the industry analysis framework.

2. To study and analyze IKEA Company using the company analysis, tools, framework.

3. To study digital marketing with specific reference to retail industry.

4. To study the consumer awareness of digital marketing of IKEA in Navi-Mumbai.

SCOPE :-
The scope of the study is to get the knowledge about the consumers awareness towards digital
marketing strategy of IKEA in Navi-Mumbai. This study search for brand awareness level of
customers towards various aspects of the product. We know that IKEA is one of the biggest
selling company in world as well as in India. By its launch in the Indian market the sales of the
furniture and home appliances is moving up due to its marketing strategies. The continuous
increase in the sale of IKEA leads the researcher to study on this topic. This study helps to know
the factors which lead people to select IKEA furniture as their home appliances. The study will
also help the researcher to know whether the consumer is aware of the digital marketing strategy
of IKEA.

LIMITATIONS OF THE STUDY.

 The analysis of the present study has been carried out based on the information has
collected from the survey questionnaire circulated among the people in Navi Mumbai
only.
  The study is an opinion survey caution may have to be exercised while extending the
result to other areas.
 Due to the lack of enough time on our hands we have limited our research to
which is a major drawback of our thesis.
 Due to time constrict only 100 numbers of respondents were considered.
 Generally, most of the people are not interested to give time to answer a questionnaire.
Therefore, it was very difficult to collect actual data because the information of the
respondents was collected by approaching them to answer on social media and not face to
face.
 The result fully depends on the information given by the respondents which may be
biased.

RESEARCH METHODOLOGY:

The data was collected from primary sources. For valid and reliable results, a random sampling
method was undertaken in a sample size of 100 respondents. A self-designed questionnaire was
used as the tool for collecting primary data. The collected data was analyzed using independent
survey questionnaire.

Primary Data:

Primary data has been collected through questionnaires. The questionnaire was mostly related to
the brand awareness and digital marketing strategy towards IKEA of the customers on different
feature such as the model, awareness, effectiveness of the brand etc, was provided by surveys,
questionnaire.

Secondary Data:

Secondary data sources like research paper, website, journals, magazines of the company,
product range book of the company, various internet sites and Literature Reviews have been
used.

Sampling Design:
The research was designed to achieve the above mentioned objectives and the following tools
were used to collect the required data.

CHAPTER II : PART A : INDUSTRY ANALYSIS .

INTRODUCTION.

Retailing is the mix of exercises associated with selling or leasing purchaser labor and products
straightforwardly to extreme buyers for their own or family use. As well as selling, retailing
incorporates such assorted exercises as, purchasing, publicizing, information preparing, and
keeping up with stock. Comprehend the importance and constituents of the retail business and
the job it plays in the economy of any country. Retail showcases have existed since old
occasions. As developments developed, bargain was supplanted with retail exchange including
money. Selling and purchasing are thought to have arisen in Asia Minor present day Turkey in
around the seventh thousand years (BCE).

Retail location. Retailers contrast from mechanical organizations in that they don't create
unmistakable items. They buy stock from producers in enormous amounts for resale to customers
at a benefit. The homegrown Retail Store industry is full grown and profoundly cutthroat.
Retailing is the biggest private area on the planet and the main player of the economy. It
represents practically 10% of the GDP of most created countries. Retailing worldwide is
tremendous $6.6bn and quite a bit of it is coordinated. The retail business is transcendent in
evolved nations like the USA, UK, and so forth commonly the main 250 worldwide retailers
have consolidated deals of roughly $4 trillion USD. The main ten retailers represent $1.2 trillion,
or about 30% of those deals.

A minority of retailers however, additionally collect pay through rentals as opposed to out and
out deals of merchandise as on account of ventures that offer furnishings or planting apparatuses
for lease or through a mix of items and administrations as on account of an attire store that may
offer free changes with the acquisition of a suit. Retailing is in this way a mix of exercises
associated with selling or leasing shopper products or administrations straightforwardly to a
definitive clients for their own or family use.

PESTLE ANALYSIS :-

Pestle Analysis is a tool to understand the environment in which business operates and the
opportunities, threats that lie within it. By understanding the environment in which it operates,
we can take advantage of the opportunities and minimizing the threats. Specifically, PESTEL
Analysis is useful tool for understanding risk associated with markets growth or decline.

Fg:1

POLITICAL :-

Political factors like government strategies and guideline of the retail business influence its
income and productivity. The world of politics influences such countless things including
financial climate of a country and worldwide inventory chains of organizations. Political stability
and importance of Home Furnishings & Fixtures sector in the country's economy is on better
state.
Furniture industries have grown in the state of Delhi, Mumbai, Kerala, UP and Tamilnadu. For
the large International retailers it tends to be very hard to venture into the Asian nations. Local
and international companies with foreign investments are not allowed to sell good online in
India. Corruption level and bureaucratic complexity is a deep rooted problem of the country. The
trade barriers that the host country has would protect. however, trade barriers that countries with
potential trade partners would harm companies by preventing potential exports.

ECONOMIC :-

The state of the world economy decides the state of sale and profits for the industry. The world
economy has rebounded and is growing. Economic growth means that people are going to spend
more on shopping. However, even in the time of recession the retail industry had maintained
impressive sales. Economic factors are of concern for India as furniture is a secondary/optional
need for consumers. Thus, in a recessive economy demand for furniture may fall significantly.

Initially developing an e-commerce website is relatively high which includes cost of hardware,
software, training staff etc. In India the initial investment could be recovered does remain a cause
of concern for many companies. Many e-commerce firms get human resource who lack of
quality information technology knowledge and skills related to it. In India Underdeveloped
transportation infrastructure is resulting in slow and uncertain delivery of goods and services.

SOCIAL :-

Social trends are a significant effect on the retail area and its productivity. Segment changes and
changing customer inclinations will profoundly affect retail area. Segment changes have
additionally influenced the prominence of items. The requests of the new age are entirely
different than the more established ages. The significance of client care is developing and a ton
of retailers prominence will rely upon how well they have created their client experience. Socio
cultural factors prevailing in India are in favor of development of furniture industry. Few
years back, the rural and suburban consumers preferred custom made furniture and depended on
local carpenter for their furniture. But new a day’s aside urban consumers, rural and
suburban consumers also prefer readymade brand furniture.
Security and Privacy while doing transactions remain a big impediment for the growth of e-
commerce in India. India is a country of diversities and many people have different needs and
tastes. So, the company would have to customize and deal with different requirements while
operating in a single country. the absence of “touch and feel” is a big issue for online retailers in
India. Impatience to receive the purchased product is also one of the issue in Indian market.

TECHNOLOGICAL :-

Mechanical elements are currently even more significant whether as far as store network, client
assistance or deals. The development of computerized innovation has additionally expanded the
quantity of major parts in the retail business. Innovation influences a few things including client
experience. E-retail has appreciated outstanding development it is a result of the extra
accommodation given by innovation. How much an improvement of technology would improve/
transform what the product initially offers. If this improvement is drastic then other firms in the
furniture industry suffer more heavily.

An ever increasing number of retailers are attempting to utilize innovation to make the client
experience better. The impact of the technology on the costs that most companies in the furniture
industry are subject to have the potential to increase or reduce the resulting profits greatly. If
these profits are great in number they may be reinvested into the research and development
department, where future technological innovations would further raise the level of profits and so
on ensuring sustainable profits over a long period of time.

LEGAL :-

The legitimate elements are additionally similarly as significant for the retail area. There are such
countless laws identified with business and work that influence it. Work laws are especially a
major torment for the retailers who need to keep up with low costs to stay serious. Aside from
that, different laws like item and bundling related laws likewise apply to the retail area. Various
government legislations and policies have a direct impact on the performance of furniture
industry. For instance, revised tax and vat policy, raising duty of imported raw materials may
affect the industry.

ENVIRONMENTAL :-

Like the other industry sectors, the retail sector is also affected by the sustainability concerns.
Packaging, waste reduction, renewable energy and several other concerns related to
sustainability are there before the retail sector. Indian furniture manufacturers are more faced
with strict environmental regulations and restrictions which cause their need for environmental
management. Besides, the proper attitude towards the environment of an industrial company is a
desirable corporate behavior which significantly affects the good image of the company at
consumers and competition. Furniture manufacturers are industry where a low degree of energy
management or no energy management exists, so practically there are no significant obstacles in
introducing EEMS to their practice. The weather conditions may significantly impact the ability
of to manage the transportation of both the resources and the finished product of furniture This in
turn would affect the delivery dates of the final product in the case of say an unexpected
monsoon.

PORTER’S FRAMEWORK :-

Porter’s Five Forces, based on Michael Porter’s ground-breaking that helps us to examine the
competitive market forces in an industry or segment.
The five forces Porter recognizes in its industry analysis method are:
 Threat of new Entrants.
 Bargaining power of suppliers.
 Bargaining power of buyers.
 Threat of substitutes Products.
 Rivalry in the industry.
 Fg:2

1. THREAT OF
NEW ENTRANTS.
One trend that started over a decade ago has been a decreasing number of independent retailers.
While the barriers to start up a store are not impossible to overcome, the ability to establish
favorable supply contracts, leases and be competitive is becoming virtually impossible. Their
vertical structure and centralized buying gives chain stores a competitive advantage over
independent retailers.
Some online market leading retailing firms such as Flipkart, Snapdeal, Myntra, Jaboug,
Homeshop18, Shopclues and ebay, Amazon etc. that create big competition for organized
physical store retailers. They affect both side of economies, demand side and supply side. In case
of demand side online retailers are attract more consumer by offer high discount on huge variety
of products that create big competition for organized physical store retailers to entry in the Indian
market. As a result, the existing players may impose barriers to entry in the industry for the new
players. Barriers for the new entrants can also be imposed by gaining a cost advantage or low-
cost leadership and also in the form of economic regulations or trade barriers for foreign players.
Apart from this, the threat to the entry of new players could be from the differentiation of the
product, capital investment strength and strong loyalty of the customers for the existing players.

2. BARGAINING POWER OF THE SUPPLIERS :-

Suppliers supply the required raw materials or the inputs to the industry players. These inputs
can be in the form of man, material, finance or technology related support from the suppliers.
The suppliers bargaining power is expected to be high if the quality of the raw material or the
inputs are unique. The factors which govern the strength of the bargaining power of the suppliers
are the uniqueness of the inputs or the raw materials, the quality of the product which is offered
by the suppliers and more demand for the supplier’s products will increase the bargaining power
of the suppliers. Bargaining power of buyers in furniture and home appliances manufacturing
industry is huge. Indian customers are price sensitive and have a stickiness towards the vendors
having long lasting trust association. The competition is intense and as such, there is a long list
of furniture retailers’ people can buy from, that too with an advantage of, ready-to use
furniture.

3. BARGAINING POWER OF THE BUYERS :-

Buyers are the firms or the individuals who are the ultimate purchasers of the industry products
and services. Buyers include the end consumers, distributors, retailers and the industrial
purchasers. A buyer’s bargaining power is expected to be higher if the scope for switching from
one supplier to another exists. Moreover, if concentrated numbers of buyers purchase a large
quantity of products, then the bargaining power of the buyers is expected to be higher.

Therefore, in case of the retail industry, the bargaining power of the buyers is expected to be
very high because of the easy availability of plenty of substitutes with better price offerings,
volumes purchased by the buyers, sensitivity towards the pricing/cost related factors and poor
loyalty towards the brand.

4. THREATS FROM THE SUBSTITUTES :-

The existence of substitutes definitely affects the attractiveness of the industry and lowers the
profitability. In the retail industry, the threat from the substitutes is very high. With the
availability of more substitute products, the buyers will get more options to choose from the
available alternatives for satisfying their requirements. The willingness of the buyers to buy the
substitute products is directly dependent upon various factors such as quality, prices and the
performance of the substitute products.
If we analyze the retail industry, various factors such as availability of alternative options for
buying like online shopping, different modes of payment, availability of home delivery service,
and cost of the substitute products can intensify the threats from the substitutes.

5. THE INTENSITY OF THE COMPETITIVE RIVALRY :-

The higher the intensity of the competitive rivalry in the industry, the lesser will be the
profitability of the firms. In the retail industry, the intensity of competitive rivalry is affected by
a gamut of factors such as:

 Intensification of competition with new competitive players joining the industry.

 Gaining a competitive edge over the counterparts by achieving economies of scale in
production
 Stiff competitive rivalry amongst the established retail tycoons or major industry players.
 Varieties offered in the product offerings for maximizing customer satisfaction and
strengthening customer loyalty.

The other crucial factors which determine the intensity of the competitive rivalry are the pricing
of the products, service quality, strategic alliances as mergers/acquisitions, etc.

SUMMARY ON INDUSTRY ANALYSIS :-

The Retail sector is one of the first sectors to make significant investments in collecting and
integrating customer data in data warehouses. The Indian retail sector is witnessing tremendous
growth with the changing demographics and an improvement in the quality of life of urban
people. The levers that a retailer use to optimize performance include: price, promotion,
markdown, assortment, space, allocation and replenishment. Data-driven decision making is key
to successful decisions regarding all of these levers. In the future, firms will need to continue to
be cost effective but increasingly will need to focus on using data to drive revenue by better
understanding their customers’ needs.
In order to drive retail performance in the future, a key requirement will be business intelligence
systems that can gather information from across the supply chain exchange it between parties in
real-time, enable collaboration based on the most current data and support business decisions
regarding inventory, promotion or pricing. The good news is that this data is increasingly
available. The growing affluence of India’s consuming class the emergence of retail
entrepreneurs and a variety of imported products particularly in the food and grocery segment,
has been one of the main drivers for the current retail boom in the domestic market. The Indian
Retail Industry is gradually inching its way towards becoming the next boom industry.

CHAPTER III : PART B: COMPANY ANALYSIS OF IKEA.

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HISTORY OF IKEA :-

IKEA was Founded by Ingvar Kamprad in 1943 as a tiny Swedish mail-order catalogue business,
privately-held, international home products retailer that sells flat pack furniture, accessories, and
bathroom and kitchen items in their retail stores around the world.  The first store was opened
in Almhult, Smaland, in 1958, under the name Mobel-IKEA. The first stores outside Sweden
were opened in Norway (1963) and Denmark (1969). The stores spread to other parts of Europe
in the 1970s, with the first store outside Scandinavia opening in Switzerland (1973) followed by
West Germany (1974). As of March 2021, there are 378 IKEA stores operating in 30
countries and in fiscal year 2018, €38.8 billion (US$44.6 billion) worth of IKEA goods were
sold.

TOP MANAGEMENT OF IKEA :-

Jesper Brodin

Jesper Brodin is the CEO of Ingka Group. His career with IKEA spans over 20 years, and he
stepped into his current role in September 2017. Before being appointed CEO, Jesper was
Managing Director at IKEA of Sweden/Range & Supply, which is responsible for the
development of the product range and supply chain of the IKEA Brand

Martin van Dam, CFO.

In November 2015, Martin joined Inter IKEA Systems BV as CFO to prepare for a new structure
to combine the franchisor responsibilities with the newly acquired range & supply and industry
businesses. He now holds the CFO role for Inter IKEA Group and leads the finance, risk, legal
and compliance activities of the Group. 

Henrik Elm, Core Business Supply Manager.

He had many different roles within IKEA. He have worked in purchasing within an IKEA
business area, and as an IKEA Store Manager in Retail. He lead purchasing for IKEA and also
recently the Logistic agenda.

Ivana Flygare, Communication Manager.

Project Management, Marketing Communications, Program Management, Marketing Strategy,

Strategic Planning, Internal Communications, Corporate Communications, Crisis
Communications, Cait, Lease Negotiations, Press Releases, Marketing Management,

SIZE OF THE ORGANIZATION :-

In 2020, the number of IKEA co-workers worldwide amounted to nearly 220,000.

IKEA's annual revenue has seen constant growth over the past two decades. In 2019, the
company made around 41.3 billion euros in revenue globally.

In the financial year of 2020, online sales represented 16 percent of the total retail sales of IKEA.
The company's web site ikea.com received four billion visitors in 2020, increasing over one
billion clicks compared to the previous year.

The IKEA website contains about 12,000 products and there were over 2.1 billion visitors to
IKEA's websites in the year from September 2015 to August 2016.

While most of the IKEA products are designed in Sweden, much of the

actual manufacturing takes place in China and in developing countries such as Vietnam,
Malaysia and Myanmar, and also in Eastern European countries such as Romania and Poland.

IKEA does not have a publicly available stock price because its shares are not traded on

any stock exchange. owns the IKEA Concept and supplies the furniture they sell in
the IKEA stores.

VISION AND MISSION OF IKEA :-

IKEA Vision:-

“To create a better everyday life for the many people“ with the vision of IKEA and the business
idea “to offer a wide range of well-designed, functional home furnishing products at prices
so low that as many people as possible will be able to afford them”,

Mission:-

IKEA business idea supports this vision by offering a wide range of well-designed, functional
home furnishing products at prices so low that as many people as possible will be able to afford
them.

SWOT Analysis of IKEA :-

SWOT analysis is a framework for identifying and analyzing an organization's strengths,

weaknesses, opportunities and threats. The primary goal of SWOT analysis is to increase
awareness of the factors in making a business decision. SWOT accomplishes this by analyzing
the internal and external factors that can impact the viability of a decision.

Fg: 4

STRENGTHS :-

The biggest strength

that IKEA has is its clear vision, which is to add value to its customers irrespective of the market
conditions. This has translated into an articulate and well-defined business strategy and an
approach to retailing, which is pioneering in its simplicity and deadly in its targeting of
competitors and effective in its positioning. Another key strength of the company is its clear
concept which translates into an array of products that can be assembled by the customers
themselves leading to humungous cost reductions which are then passed on to the customers.
IKEA has emerged as the world’s leading retailer of furniture.

Government Supports 100% responsibility for in India. IKEA as of now has great organization
of providers which is planned to go up in India. IKEA makes advantage through economies of
scale being the worldwide global giant.

WEAKNESSES :-

IKEA operates in multiple countries around the world, it is a high scale and a large size business
meaning that it is difficult to control standards across locations. Though the company tries its
best to implement uniform quality across its product range and throughout its locations,
replicable and scalable control of quality is a key weakness.

Even though IKEA India has integrated technology in the backend processes it has still not able
to harness the power of technology in the front end processes. IKEA India is not diverse enough
given that most of its growth so far is in its domestic market. the demand for products have not
gone down but there is a simmering sense of dissatisfaction among the customers of IKEA India.
It seems that organization culture of IKEA India is still dominated by turf wars within various
divisions, leading to managers keeping information close to their chests. 

OPPORTUNITIES :-

With its “green” business model, the company has a huge opportunity waiting in terms of
attracting customers who like to buy such products. The rise of the ethical consumer or the
process of buying known as “Ethical Chic” which means that customers would ideally like to
buy products that are environmentally conscious is an opportunity waiting to be tapped for the
company. Perhaps the biggest opportunity that the company has is its cost leadership, which
means a single-minded focus on cost at the expense of everything else.

Machine learning and Artificial Intelligence boom is transforming the technology landscape that
IKEA India operates in.  IKEA India can leverage this trend to reduce the number of offerings in
the market and focus the marketing efforts on only the most successful products.  IKEA India
can explore adjacent industries Growth strategy, managing people to further market growth
especially by extending the features of present products and services.

THREATS :-

IKEA’s low cost business model has been imitated and copied by its rivals, which means that the
company needs to constantly innovate if it has to stay ahead of the competition. For instance,
several regional and local companies have caught on to the DIY bandwagon and are also
focusing on costs which means that to stay nimble and agile.

India is a Price Sensitive Market. No exposure or experience to DIY (Do-it-yourself) amidst

customers. hence tie-up with assemblers and delivery entities are making the products expensive.
In India, even Modification of products will be required due to difference in culture ethnicity and
beliefs. Corruption is also one of the major issue in India. Over the years the bargaining power of
customers of Ikea India has increased significantly that is putting downward pressure on prices.
Ikea India operates in an industry where there is a culture of sticky prices. Ikea India has to deal
with these costs as governments are trying to levy higher environmental taxes to promote cleaner
options. 

7-S FRAMEWORK OF IKEA :-

The McKinsey 7s model is a strategic tool and framework that helps managers and businesses
assess their performance. The McKinsey 7s model identifies 7 key elements for an organization
that need to be focused and aligned for successful change management processes as well as for
regular performance enhancements.

Fg: 5

STRATEGY :-

The strategic direction and the overall business strategy for IKEA are clearly defined and
communicated to all the employees and stakeholders.

IKEA business strategy involves offering increasing variety of products for the lowest prices.
SMART Goals are set with short and long term deadlines in accordance with the business
strategy. 

IKEA’s strategy also takes into consideration the competitive pressures and activities of
competitors.

 STRUCTURE :-
 IKEA has a systematic process for initiating and monitoring coordination between departments
to ensure smooth work operations and processes and goal attainment.

IKEA has a flatter organizational hierarchy that is supported by learning and progressive
organizations.

SYSTEMS :-

IKEA continually evaluates its systems through the designed controls.

IKEA also has special processes and methods for ensuring that all departments and systems
within the organization are aligned and working in harmony towards the greater business goals
and targets.

IKEA has defined and well-demarcated systems in place to ensure that the business operations
are managed effectively and that there are no conflicts or disputes.

STYLE :-

IKEA has a participative leadership style. Through a participative leadership style, IKEA is able
to engage and involve its employees in decision-making processes and managerial decisions.

The participative leadership style is highly effective in achieving the business goals and vision of
the organization.

IKEA has effective and functional teams and works with them internally to achieve its various
business goals and objectives, and complete tasks.

STAFF :-

IKEA has a sufficient number of employees employed across its global operations.

IKEA has employed a large number of employees.

IKEA has a well-defined system for identifying potential needs of capabilities and capacities for
the organization.

SKILLS :-
IKEA pays particular attention to enhancing the skills and capacities of its employees.

The skills of employees are developed specifically for job roles and requirements at IKEA and
provide a competitive benefit to the company.

BCG MATRIX OF IKEA :-

The Boston Consulting Group (BCG) growth-share matrix is a planning tool that uses graphical
representations of a company’s products and services in an effort to help the company decide
what it should keep, sell, or invest more in.

Fg: 6

STARS :-
IKEA is generally known for its prepared to gather furniture, and it is the beginning for the
organization. Notwithstanding, for supporting the market position and the star class, IKEA
consistently react to the most popular trend drifts, and fulfill the buyers similarly. It consistently
screens its promoting and estimating systems, to acquire more special and creative plans most
moderate rates to the purchasers.

For eg :- Furniture, dove, Billy bookcase, Lovbacken coffee table, Poang armchair, Strandmon
wing chair, etc.

CASH COWS :-

The items falls in this classification are market pioneers, as it brings more money than
contributed. However, these items have low market development with undeniable degree of
portion of the overall industry. IKEA's food is renowned from one side of the planet to the other,
and consider as the treasure trove for the organization, in light of its astounding taste and quality,
yet it can possibly develop, which IKEA needs to comprehend. Besides, its home appliances are
likewise fall in this classification, as there are huge number of clients, who sit tight for the IKEA
rebate offers and deals to purchase the home applications.

For eg :- food and beverages, lipton, etc.

QUESTION MARKS :-
For IKEA, its material items fall in this class, on account of the solid rivalry from various
organizations like Linens, denim and so on the organization was proposed to put more in this
section, as it can possibly develop, and in light of the solid brand position, it can catch the
market.

For eg :- Textile products, comfort, clothing’s, jeans, linens, etc.

DOGS :-
These items are at earn back the original investment, which are not bringing a lot or burning-
through much venture of the organization. Hence, it has both low piece of the pie and low
development level. Closing down the tasks of this may be more helpful for the organization as
the contributed assets can be use elsewhere. Youngsters toys can fall in this class in some nation,
notwithstanding, IKEA make a point to keep up with its techniques so well, that it develops each
year.
For eg :- Shampoo, lifebuoy, children toys, Sheets and Towels, Mattresses, Malm Bed Frame,
etc.

ANSOFF MATRIX ON IKEA :-

The Ansoff Matrix, also called the Product/Market Expansion Grid, is a tool used by firms to
analyze and plan their strategies for growth. The matrix shows four strategies that can be used to
help a firm grow and also analyzes the risk associated with each strategy. An organization or a
business is to choose any of these four strategies, or a combination deepening on various internal
and external factors.

Fg: 7
1. Market penetration. Market entrance suggests offering existing items to existing business
sectors. IKEA utilizes market infiltration procedure forcefully. Compelling advertising technique
when all is said in done and IKEA indexes specifically assume an instrumental part in expanding
the effectiveness of market infiltration for the furniture retailer.

2. Product development. This includes growing new items to offer to existing business sectors.
Item advancement is one of the primary development techniques for IKEA. The home
improvement and outfitting chain has in excess of 9500 sorts of items in its reach and it
dispatches around 2500 new items consistently. The organization makes a portion of its items in-
house, just as, buys from providers.

3. Market development. Market advancement technique is related with discovering new

business sectors for existing items. The world's biggest furniture retailer takes part in market
advancement broadly. IKEA Group works 422 stores in 50 business sectors all throughout the
planet. 19 new IKEA stores opened in 2018 alone. The organization is guage to go into
additional creating markets in short and medium term viewpoint.

4. Diversification. Broadening includes growing new items to offer to new business sectors and
this is viewed as the most hazardous methodology. IKEA tries different things with broadening
business methodology periodically. IKEA cafés inside furniture retail shops can be referenced as
an obvious illustration of enhancement by the organization.

SUMMARY OF COMPANY ANALYSIS: -

IKEA is a Sweden multinational holding company, I have provided the company overview
with key facts figure which will provide data about where the company is situated its head
office, its symbol. The company overview also contains a brief of a recent event that explains
how IKEA is known globally for its low prices and innovatively designed furniture.. This case
study analyses how IKEA adapted its strategies to enter in market and how it can expand in the
country. The India Retail Industry is gradually inching its way towards becoming the next boom
industry.
I researched IKEA’s mission, vision, and values which let understand IKEA’s long- term goals
and objectives for accomplishing the company mission. The IKEA vision is ‘to create a better
everyday life for the many people’ puts this concern at the heart of the business. IKEA business
idea supports this vision by offering a wide range of well-designed, functional home furnishing
products at prices so low that as many people as possible will be able to afford them.

Furthermore, I have analysed the company situation by doing the SWOT and PESTLE analysis
of IKEA which allows us to understand both internal and external factors affecting the company
situation like the company. Although the company is moving toward more automation and
identifying the digital economy potential. The company has invested a lot in infrastructure and
promoting the innovation initiative in the company.

CHAPTER IV – PART C: MANAGEMENT CONCEPT.

INTRODUCTION:-

DIGITAL MARKETING DEFINATION:-

As Philip Kotler explains in his book Marketing Management, “Marketing is an

administrative and social process through which individuals and groups obtain what they
need and desire by the generation, offering and exchange of valuable products with their
equals”. Any marketing that uses electronic devices to convey promotional messaging and
measure its impact. In practice, digital marketing typically refers to marketing campaigns that
appear on a computer, phone, tablet, or other device. It can take many forms, including online
video, display ads, and social media posts. Digital marketing is often compared to “traditional
marketing” such as magazine ads, billboards, and direct mail. Oddly, television is usually
lumped in with traditional marketing.

PROBLEMS IN DIGITAL MARKETING :-

 One of the biggest digital marketing concerns for businesses is how to stand out against
bigger competitors without a formal digital marketing budget.
  Most marketers are now facing the challenge of making their brand stand out in the
volumes available on the internet. This eventually leads to the difficulty of running a
brand awareness campaign or acquiring new customers.
 Continuing on the point above, marketers today are consistently facing a challenge in
spreading brand awareness in the right target market. This also makes it harder for them
to drive the ideal traffic to their business websites.
 The first thing that an effective marketer would do is identify their target audience in the
market. With the number of internet users increasing by the day and their needs changing
almost every second, targeting the right audience has become one of the biggest
challenges for marketers.

For eg:- Social Media face challenges in developing a unique voice for each client, a
small content creation team may feel pressed to push for quantity over quality, and
produce low-quality pieces as a result, the more people involved in content creation the
higher the risk for inconsistency in style tone of voice or design.

TYPES OF DIGITAL MARKETING :-

SEARCH ENGINE OPTIMIZATION :-

Search engine optimization or SEO is technically a marketing tool rather than a form of
marketing in itself. The Balance defines it as the art and science of making web pages attractive
to search engines. SEO is a science because it requires to research and weigh different
contributing factors to achieve the highest possible ranking. The ultimate goal of SEO is to
increase the number of website visitors by ranking highly in Google or other search engines.
SEO also lets website owners maintain an uncluttered website structure that is easy to crawl and
index by search engines.

For eg :- Google Search Engine is the best search engine in the world and it is also one of most
popular products from Google. Bing is Microsoft's answer to Google and it was launched in
2009. Yahoo, DuckDuckGo, etc.
CONTENT MARKETING :-

SEO is a major factor in content marketing a strategy based on the distribution of relevant and
valuable content to a target audience. As in any marketing strategy the goal of content marketing
is to attract leads that ultimately convert into customers. But it does so differently than traditional
advertising. Instead of enticing prospects with potential value from a product or service, it offers
value for free in the form of written material. Content marketing writers need to be able to rank
highly in search engine results while also engaging people who will read the material, share it,
and interact further with the brand.

For eg :- Coke's Share A Coke Campaign, Buffer's Open Blog, Microsoft And Stories,
HubSpot's Inbound Marketing, McDonald's Question Time, GoPro And Visual Content

SOCIAL MEDIA MARKETING :-

Social media marketing means driving traffic and brand awareness by engaging people in

discussion online. The most popular platforms for social media marketing are Facebook, Twitter,
and Instagram, with LinkedIn and YouTube not far behind. Because social media marketing
involves active audience participation it has become a popular way of getting attention. It's the
most popular content medium for B2C marketers and it's gaining ground in the B2B sphere as
well.

For eg :- social media platforms such as Twitter, Facebook, YouTube, and LinkedIn. These are
collective groups of web properties that are published primarily by users to build online
communities

PAY-PER-CLICK MARKETING :-

Pay-per-click is posting an ad on a platform and paying every time someone clicks on it. How
and when people see your ad is a bit more complicated. Each PPC campaign has 1 or more target
actions that viewers are meant to complete after clicking an advertisement. These actions are
known as conversions and they can be transactional or non-transactional. Making a purchase is a
conversion, but so is a newsletter signup or a call made to your home office.

For eg :- An influx of cash can make your business more stable and speed up the process of
building your brand.

AFFILIATE MARKETING :-

Affiliate marketing lets someone make money by promoting another person's business. You
could be either the promoter or the business who works with the promoter but the process is the
same in either case. It works using a revenue sharing model. If you're the affiliate you get a
commission every time someone purchases the item that you promote. If you're the merchant you
pay the affiliate for every sale they help you make.

For eg:- you could give a free ebook you wrote to any follower who makes a purchase.
Promotions like this encourage customers to buy by sweetening the deal, Attractive affiliate
program promotions including call to actions on the affiliate sign-up page, skill share Affiliate
program.

NATIVE ADVERTISING :-

Native advertising is marketing in disguise. Its goal is to blend in with its surrounding content so
that it’s less obvious as advertising. Knowing that the creator of an ad pays to run it many
consumers will conclude that the ad is biased and consequently ignore it. A native ad gets around
this bias by offering information or entertainment before it gets to anything promotional
downplaying the "ad" aspect.\

For eg :- A great example is this New York Times article sponsored by the shoe company
Allbirds, The quickest way to find an example of native advertising is to open up any of your
social media apps and look at the in-feed ads that appear.

EMAIL MARKETING :-

The concept of email marketing is a promotional message and hope that your prospect clicks on
it. However, the execution is much more complex. First you have to make sure that your emails
are wanted. Email marketing is a proven, effective technique all on its own 89% of surveyed
professionals named it as their most effective lead generator. It can be even better if you
incorporate other techniques such as marketing automation, which lets you segment and schedule
your emails so that they meet your customer's needs more effectively.

For eg :- One of the most common and popular email marketing campaigns are Email
Newsletters, Acquisition Emails, Retention Emails, Promotional Emails.

VIRAL MARKETING :-

Viral marketing is a type of marketing where consumers give or share information about the
company’s goods or services through social networks.  Advertisers these days seek out such
content creators in an attempt to have information about their products/services placed
strategically within the content. Although there is no sure shot ways of making content go viral,
this form of digital marketing can garner short-term yet remarkable upswings in web traffic or
the number of people who show interest in your brand.

For eg: Old Spice is still the king of viral marketing with its humorous and out of the box ad
campaigns like “The Man Your Man Could Smell Like”, and when a video is uploaded by a
private user that all of a sudden becomes popular and begins to circulate all around the internet. 

MOBILE MARKETING :-

Mobile marketing is a way of marketing through SMS. Sending marketing messages through

SMS and push notifications is a time-tested way of getting the recipient’s attention, especially
since more than 90% of such messages are opened right after receiving them. This, coupled with
mobile search and social ads is a powerful way of influencing a customer.

For eg: Mobile app marketing, In-game advertisements, Quick-response barcode QR codes,
Mobile banner ads, Proximity or Bluetooth marketing, Voice marketing, SMS marketing.

ADVANTAGES OF DIGITAL MARKETING :-

Global reach - digital marketing allows you to find new markets and trade globally for only a
small investment.
Lower cost - a properly planned and well targeted digital marketing campaign can reach the
right customers at a much lower cost than traditional marketing methods.

Track able, measurable results - measuring online marketing with web analytics and other
online metric tools makes it easier to establish how effective campaign has been. one can obtain
detailed information about how customers use website or respond to advertising.

Personalization - if your customer database is linked to your website, then whenever someone
visits the site, you can greet them with targeted offers. The more they buy from you, the more
you can refine your customer profile and market effectively to them.

Openness - by getting involved with social media and managing it carefully, you can build
customer loyalty and create a reputation for being easy to engage with.

Social currency - digital marketing lets you create engaging campaigns using content
marketing tactics. This content (images, videos, articles) can gain social currency - being passed
from user to user and becoming viral.

Improved conversion rates - if you have a website, then your customers are only ever a few
clicks away from making a purchase. Unlike other media which require people to get up and
make a phone call, or go to a shop, digital marketing can be seamless and immediate.

DISADVANTAGES OF DIGITAL MARKETING :-

Skills and training - one will need to ensure that staffs have the right knowledge and expertise
to carry out digital marketing with success. Tools, platforms and trends change rapidly and it's
vital that to keep up-to-date.

Time consuming - tasks such as optimizing online advertising campaigns and creating
marketing content can take up a lot of time. It's important to measure your results to ensure a
return-on-investment.
High competition - while you can reach a global audience with digital marketing, you are also
up against global competition. It can be a challenge to stand out against competitors and to grab
attention among the many messages aimed at consumers online.

Complaints and feedback - any negative feedback or criticism of brand is visible to audience
through social media and review websites. Carrying out effective customer service online can be
challenging. Negative comments or failure to respond effectively can damage brand reputation.

Security and privacy issues - there are a number of legal considerations around collecting and
using customer data for digital marketing purposes. Take care to comply with the rules regarding
privacy and data protection.

DIGITAL MARKETING STRATEGY OF IKEA :-

Innovative banner usage

Usually, brands apply maximum five products to a single banner box but, IKEA’s innovative
website banner concept exceeds this product limit. They have more than 2.800 products on their
300 x 251 pixel banner. This gives a message to customers that even if they have small living
spaces, IKEA always provides a creative solution with its piece of furniture.

Easy payment methods

To create better online shopping experience IKEA accepts PayPal in addition to credit and debit
card. virtual e-commerce store of IKEA customers have a chance to see the new products and
integrate every innovation. When customers use PayPal they don’t need to use cash or credit card
to buy IKEA product. PayPal is surely adding ease to the purchasing process, and it’s also
progress for the company.

Content marketing

Content marketing keeps a significant place in IKEA’s digital marketing strategy. In the digital
age, catalogues aren’t enough to even for the world’s largest furniture retailer hence they invest
in content marketing. IKEA is a master in crafting online content that people eager to watch.
Their Home Tour Series videos and inspirational boards on Pinterest are good examples of their
effective content marketing.

Get to Know Your Audience

IKEA gets insight from their customers and runs successful digital campaigns. They also shifting
their marketing strategy and product innovations around these insights to improve everyday lives
of homeowners.

Virtual Reality

IKEA’s unique virtual experiences take customers to an unforgettable journey. Customers

accessing the VR technology and try kitchen before buying it and even cook there. This kind of
virtual experiences attracts so much attention and creates so much buzz around the brand. IKEA
uses VR technology for being closer to the customers and gaining their loyalty.

Making good use of social media

Knowing which social media platforms your customers use and reaching out to them on those
platforms is imperative. For IKEA those platforms are Facebook, Twitter, Instagram, and
Pinterest. They post promotions, discounts, unique giveaways, events, and news and they also
use it as a platform to share their content. They are responsive to their followers and they’re
quick to address any customer complaints.

LITERATURE REVIEW :-

Hardik Panchal (2018) in his titled “A study on digital marketing and its impact”. He found
that the Monthly Income people play a vital part to purchase different products through Digital
Channel. He has also found that there is a significance difference between the consummation
levels of customer with buying products through online. Almost of the Customers are satisfied
with the products bought through Digital Channel.

Shubham Sharma & Renu (2016) stated that their article in the titled “Literature review on
ethical issues in digital marketing”, the digital marketing is a perfect way of attaining the
heights but the marketers should take due care to satisfy the genuine grievances of the customers.
Though, there may be the cases in which the consumers make undue advantage of the facility
like money back guarantee, putting extra cost of delivery on the effective stores. The customer
would take attention of the suggested measures and have trust in the online shopping.

Baltes (2015) explained the content marketing concept within the policies of marketing and
correct way for developing the content marketing strategy. The author found that before
promoting the content marketing at a high quality the digital marketers should do an analysis on
the targeted customers to customize the content and think on how to promote it.

Chatterjee (2001) investigated

whether negative word-of-
mouth information or reviews of
online retailers affected
evaluations and patronage
intentions. In this study, online
word-of-mouth information was
operationalized as retailer
reviews provided by comparison
shopping engines, along with
purchase information. The study
focused on the effects of
negative reviews on consumers'
decisions to patronize the
retailer, given that consumers
needed to purchase a particular
product. Their results showed that a
majority of participants
wanted to access product reviews
when they were told that
these reviews were available.
Chatterjee (2001) investigated
whether negative word-of-
mouth information or reviews of
online retailers affected
evaluations and patronage
intentions. In this study, online
word-of-mouth information was
operationalized as retailer
reviews provided by comparison
shopping engines, along with
purchase information. The study
focused on the effects of
negative reviews on consumers'
decisions to patronize the
retailer, given that consumers
needed to purchase a particular
product. Their results showed that a
majority of participants
wanted to access product reviews
when they were told that
these reviews were available.
Chatterjee (2001) investigated
whether negative word-of-
mouth information or reviews of
online retailers affected
evaluations and patronage
intentions. In this study, online
word-of-mouth information was
operationalized as retailer
reviews provided by comparison
shopping engines, along with
purchase information. The study
focused on the effects of
negative reviews on consumers'
decisions to patronize the
retailer, given that consumers
needed to purchase a particular
product. Their results showed that a
majority of participants
wanted to access product reviews
when they were told that
these reviews were available.
According to Chaffey (2011) social media marketing involves encouraging customer
communications on company’s own website or through its social presence. Social media
marketing is one important technique in digital marketing as companies can use social media
form to distribute their messages to their target audience without paying for the publishers or
distributor that is characteristic for traditional marketing.

Sharma and Mittal (2009) said that India is showing tremendous growth in the Ecommerce, in
their study “Prospects of e-commerce in India”. Online shopping shows unlimited potential in
India with the population of millions of people. E-commerce has become an integral part of our
daily life and it is a common word in Indian society with websites providing a number of goods
and services. Some of these portals provide specific product along with its allied services.
DATA ANALYSIS :-

Q1. What is your Gender?

Gender No. of Respondent percentage

Male 58 58%
Female 42 42%
Total 100 100

Interpretation: From the above table, we can refer that 58% of the respondent were male and
42% were women.

Gender

Male
42%
Female

58%
Q2. What is your age?

Age No. of Respondent Percentage

20-30 89 89%
30-40 7 7%
40-50 3 3%
50 & Above 1 1%
Total 100 100

Interpretation: From the above table, we can refer that maximum people with 89% were from
the age group of 20-30. The next followed up is 7% with the age group of 30-40. The 40-50 age
people were 3% and least people with only 1% were 50 & above.

Age
1%
3%
7%

20-30
30-40
40-50
50 & above

89%
Q3. What is your occupation?

Occupation No. of Respondent percentage

Student 68 68%
Employee 17 17%
Business 10 10%
Any Other 5 5%
Total 100 100

Interpretation: The above table indicates that, the students were more in numbers with 68%.
Then the employees with 17% and followed up by business persons with 10% and the least in the
list were the people with other background.

Occupation
5%

10%

Student
Employee
Business
17%
Any Other

68%
Q4. Are you Aware about IKEA?

Aware about IKEA No. of Respondent percentage

Yes 92 92%
No 8 8
Total 100 100

Interpretation: In the above table, the people who were aware of the IKEA were more with up
to 92% and then the people with 8% who were not aware about IKEA

Aware about IKEA

8%

Yes
No

92%
Q5. From where have you heard about IKEA?

From where you heard IKEA No. of Respondent Percentage

Friends 24 24%
Family 10 10%
Social media 62 62%
other 4 4%
Total 100 100

Interpretation: From the given table, most of the people who heard about IKEA was from the
social media with 62%. Then from the friends with 24% of people. And 10% of the people heard
from their family. And least number of people with 4% knew about IKEA from other sources.

From where you heard IKEA

4%

24%
Friends
Family
Social media
other

10%

62%

Q6. How much do you know about IKEA?

 How much you know IKEA No. of Respondent percentage
Not much 32 32%
Moderate 66 66%
Very much 2 2%
Total 100 100

Interpretation: From the above table, we can indicate that more number of people knew about
IKEA moderately with 66%. And the people who knew not much about IKEA were 32%. And
least people with only 2% were there who knew very much about IKEA.

How much you know IKEA

2%

32% Not much

Moderate
Very much

66%

Q7. Do you know digital marketing strategy of IKEA?

Do You digital marketing No. of Respondent Percentage

 strategy of IKEA
Yes 72 72%
No 28 28%
Total 100 100

Interpretation: From the given data above, we can represent that with 72% of the people knew
the digital marketing strategy of IKEA. And 28% of the people were there who did not know the
digital marketing strategy of IKEA.

Do You digital marketing strategy of IKEA

28%

Yes
No

72%

Q8. Which digital marketing strategies do you know about IKEA?

Which strategy you know of IKEA No. of Respondent Percentage

Content marketing 7 7%
 Virtual Reality 5 5%
Innovative banner usage 7 7%
Social media 81 81%
Total 100 100

Interpretation: From the represented data, with 81% of the people knew about social media
marketing of IKEA. Then content marketing and innovative banner usage got same with 7%.
And there were 5% of the people who knew the virtual reality strategy of IKEA.

Which strategy you know of IKEA

7%
5%

7%
Content marketing
Virtual Reality
Innovative banner usage
Social media

81%

Q9. Which digital marketing strategy you feel is convenient for brand awareness and why
of IKEA?

You feel is good for IKEA No. of Respondent Percentage

content marketing 0 0%
 virtual reality 4 4%
Innovative banner usage 8 8%
Social media 88 88%
Total 100 100

Interpretation: From the given table, 88% of people feel that social media marketing strategy is
convenient for brand awareness of IKEA. Then 8% of people feel that innovative banner usage is
convenient. And 4% were on the side of virtual reality. And there none of the people who feels
that content marketing is convenient for IKEA.

You feel is good for IKEA

4%
8%

content marketing
virtual reality
Innovative banner usage
Social media

88%

FINDINGS OF OBJECCTIVE 4:

Majority of the respondents have heard about IKEA.

62% of the people know about IKEA from social media.

Almost 66% of the respondent knows moderately about the IKEA.

Most of the people know the digital marketing strategy of IKEA.

81% of the respondents know about social media marketing strategy of IKEA.

Almost 88% of the people thinks that social media is better digital marketing strategy and should
be applied by the IKEA.

LEARNINGS FROM THE SUMMER INTERNSHIP:

As an intern I completed my internship from BGM Marketing Co. Pvt. Ltd, it is a wholesale
company which imports Gypsum powder from Iran. I started my internship in this company from
1-june-2021 till 31-july-2021. The vision and mission of the company is “To become preferred
supplier and to give good build quality and eco-friendly products”. There are 2 employees who
work in the company. In the company my work was to get leads, data entry, call the customers
about the payment, and manage the accounting. And as an intern I polished my knowledge,
skills, and abilities in the field of social media marketing and taught me valuable lessons that
helped me to learn more about management. My intern experience set a direction which helped
me set my career goals and objectives. One of the most important things I gain from the
internship is how to think out of the box. I also learned how to communicate in the business
because communication skills, negotiation and creative thinking are one of the most important
things which I could learn from the business.

RECOMMENDATIONS AND SUGGESTION:-

Suggestions for IKEA is first, keep expansion steps slowly and turn back to have a check, what
have been done, what have not. Secondly, improve the corporate to suppliers. Test the quality in
every single step. Don’t leave this job to customers. Thirdly, the board of directors should not
give too much pressure to the company. For instance, high-end, eco-friendly, Vintage styles,
fashion/trendy products inspired in social movements are some segments that IKEA should try
into. Even thinking in other levels of products, gadgets-furniture for the digital integration area is
a promising challenge in order to get earlier and better to the future market. In short, look in the
social trends and take advantage of its know-how and competitive advantages for developing
new businesses or lines of product.
IKEA should constantly, adapt changes and be aware of customers preference trend. The
company should consider improving its pricing strategy. This is because it will be difficult to
maintain high quality product at a low price. The company should also improve its management
style because it is difficult to keep the core values as the company expands and the founder
retires.

FINDINGS AND CONCLUSION:-

IKEA Company is considered as one of the leading retail companies across the globe. It has
established modern furnishing items which are of high quality and low price. IKEA is global
brand, and needs to consider its opportunities and deal with its threats to take advantage in this
competitive market. In the Indian market it needs to face its barriers but maintain pricing strategy
'technology' innovations as they can drive out from these. The analysis showed that the
expansion of IKEA is fast enough to affect the quality of the products. There is a positive
relationship between the quality and price. The rule is that the higher the price the better the
quality.

“More than half of the people are aware of the digital marketing strategy of IKEA.” In the
research, review of literature and the conceptual framework was used to connect to the
findings and carry out the analysis. After gathering the relevant information from the
secondary sources such as books, websites, journals, magazines, etc then the collected
information has been presented and analyzed according to the theoretical model. The analysis
has been done by applying the findings to the theoretical approach . The paper investigated
overall retail industry, IKEA, digital marketing in Navi- Mumbai, India.

REFERENCES:-
Hardik Panchal (2018)“A study on digital marketing and its impact”, Vol-4, Issue-4 2018,
IJARIIE-ISSN(O)-2395-4396
Shubham Sharma & Renu (2016)“Literature review on ethical issues in digital marketing”
International Journal Of Scientific & Engineering Research, Volume 7, Issue 12, December-2016
ISSN 2229-5518

Sharma and Mittal (2009) “Prospects of e-commerce in India”

Bhasin, H. 2018. Marketing Strategy of IKEA. [Online], Available

at: https://www.marketing91.com/marketing-strategy-ikea/, [Accessed on: 12th August, 2018].

IKEA, 2018. About us. [Online], Available at: http://franchisor.ikea.com/the-ikea-concept-2/,

[Accessed on: 12th August, 2018].

https://www.ivoryresearch.com/samples/business-essay-example-tesco-swot-pestel-porter-five-
forces-and-value-chain-analysis/

https://mailchimp.com/marketing-glossary/digital-marketing/

https://research-methodology.net/

https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3282924

https://www.ikea.com/

https://ikea.comhttps://www.ikea.com/in/en/

https://www.ukessays.com/essays/marketing/company-analysis-of-ikea-marketing-essay.php

ANNEXURE:-

Questionnaire:-
1. What is your Gender?

a) Male

b) Female

2. What is your age?

a) 20-30

b) 30-40

c) 40-50

d) 50-Above

3. What is your occupation?

a) Student

b) Employee

c) Business

d) Any Other

4. Are you Aware about IKEA?

a) Yes

b) No

5. From where have you heard about IKEA?

a) Friends

b) Family

c) Social media

d) other
6. How much do you know about IKEA?

a) Not much

b) Moderate

c) Very much

7. Do you know digital marketing strategy of IKEA?

a) Yes

b) No

8. Which digital marketing strategies do you know about IKEA?

a) Content marketing

b) Virtual Reality

c) Innovative banner usage

d) Social media

9. Which digital marketing strategy you feel is convenient for brand awareness and why of
IKEA?

a) content marketing

b) virtual reality

c) Innovative banner usage

d) Social media