IKEA - Why They're So Successful

IKEA is as far known as the biggest store in comparison to the most famous ones like

Walmart for being known as one of the largest retailers around the world, they have lately

opened over fourteen new stores in both Europe and part of North America. IKEA is best

known for being the most successful home furnishing company around, at each store there is

a restaurant and a children’s play area, rather than this place being considered for many

people as somewhere to go around as a quick trip, for most it is a destination as to have been

already planned by a family a time ago to go down and be there for more than 3 hours.

IKEA has as a fact managed to accomplish becoming such an experience for their

customers, and therefore succeed on the uniqueness they have been offering throughout the

years, apart from this, IKEA’s success follows its product which is furniture as it has been of

very much quality decency as there have not been quite a lot of complaints on it, this

company has really known the most appropriate and profitable path regarding balancing its

production costs of furniture to therefore selling them at still affordable prices; but not only

so, IKEA found the key point as to convince people by creating a pretty much more

unconscious than conscious loop where the customer itself will feel proud of him and

satisfies by constructing the whole furniture equipment from scratch which simultaneously

has led the company to approach a case where they are to spend less money while sales are

increasing as the assembly costs have been reduced to zero for the customer to have a double

effect on their criteria, spend less and buy more.

Furthermore, as has been pointed out previously, IKEA’s restaurant did generate an

impact where some people will even choose to go there for their good food. Rather than the

first product that distinguishes the company, furniture, it has become more of a family

activity place to be in and not a boring trip. Thus, another feature of the company relies on

mostly a psychological trick where people are buying cheap food and afterward when looking
at any other price, they themselves will be already prepared to consider it worth it buying.

IKEA has truly made it by implementing a low-cost structure in its operations and treating

customers as part of a whole family.

References

Clifford, C. (2019). Meatballs and DIY bookcases: The psychology behind Ikea’s iconic

success. CNBC.

https://www.cnbc.com/2019/10/05/psychology-behind-ikeas-huge-success.html

Company Man. (2018). IKEA - Why They're So Successful [Video]. YouTube.

https://www.youtube.com/watch?v=QgbtoL65X04

Lee Yohn, D. (2015). How IKEA Designs Its Brand Success. Forbes.

https://www.forbes.com/sites/alanohnsman/2021/11/17/waymos-robotic-semis-to-haul

-cargo-for-ups-amid-tight-freight-demand/?sh=145e0ada2de4