• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

The brand IKEA.

Extracts from this document...

Introduction

THE BRANDING OF IKEA Company background The brand IKEA was founded in 1943 in the small town of Agunnaryd, Sweden, by Ingvar Kamprad. The first catalogue was introduced in 1951 and with this the founder saw his chance to expand his business on a larger scale, and this was the year he decided to completely focus on low-price furniture, as from the beginning IKEA sold mainly matches, watches, Christmas decorations, picture frames and jewellery. In 1956 the company came up with the concept of 'flat-pack' self-assembly furniture. The first international IKEA store was introduced in Norway in 1963, and was soon followed by the opening of stores in Denmark, Germany, Australia, Canada, and Austria. In 1987 the first IKEA opened in the UK, and in 2001 the company had 143 stores in 22 countries. Today we are the leading furniture retailer in the UK with a 12.1% before MFI and DFS. Our Brand - an introduction The brand name is associated with feelings, attitudes or different meanings, and in our minds it is connected with a certain image. All inspired by the logo, design or colour. Branding is a way to differentiate one company, its service or product, from competitors. But also to provide it with a personality which is both appealing and unique to their potential customers. ...read more.

Middle

Brand building blocks; Extrinsic, Intrinsic, Non Distinguished, Distinguished * The Extrinsic (not part of the product itself) this differentiates IKEA from others brands such as MFI and DFS. The brand name which differentiates a product; it is associated with its products; IKEA; 'function and low price'. Other extrinsic attributes are; the price of IKEA's products and packaging etc. Price - prices are low, for good quality products. The catalogue is free of charge, though IKEA charge for home delivery. Competitors - The furniture/carpet retailing industry is today very competitive. IKEA overtook MFI as the leader in this sector in 2002 with 12.1% of the market shares. following MFI is DFS, Homestyle and Carpetright. The difference in brand positioning between IKEA and our competitors is that we have a very well established name which is associated with 'fashionable' products at a low price. Our message is simple, using quirky and fun advertisements. Argos is a growing competitor in that they have more conveniently located outlets, in comparison to IKEA with fewer, out-of town locations. * The Intrinsic features (within the product itself) of our products: We are a global brand and in the UK we have stores in different parts of the country. There is a great availability to our products through our catalogue or our website. IKEA is a large company known for products being easy, functional, strong with the 'Scandinavian light and fresh, yet unpretentious design'. ...read more.

Conclusion

The name is the most important element of the brand because it identifies the whole concept. In IKEA's case the name is not directly associated with our products/services. Such as Rentokil where the name describes the product. IKEA is a simple name which can be easily pronounced in different languages, and each country uses the original name. the target market is also similar in different countries. Our name is rather neutral and very user friendly. It is accessible and not very technical, and it is approachable. The name will last and keep its image, because it is comfortable to use and very efficient. The IKEA logo is easy recognisable, with its blue and yellow colours, and the name written across in bold letters. It is very much a trademark and this same logo has been used from a very early stage. Conclusion I hope this will help you understand the importance of branding within IKEA. Our company has been a worldwide success for so many years, and this has already created an image in most peoples minds, they associate the name IKEA and the logo with purchase or from one of the award winning advertising campaigns which have been run throughout the world. It is incredibly important to build brand awareness when introducing a new product onto the market, and our company has already achieved this, but there is still the need to maintain customer and market. ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our GCSE Marketing and Markets section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related GCSE Marketing and Markets essays

  1. E-Commerce Entities

    Unlike existing retailers their profits only come from online shopping, however their expenditures over the internet are much cheaper than having a store on the high street. A typical example of an e-tailer is Amazon, who sells diverse goods online.

  2. Produce a marketing strategy for a new or existing product

    It is possible for the interviewer to give better explanations if the respondent has difficulty understanding. For example, the interviewer could show a diagram, draw a picture, or show a prompt card. The interviewer is able to judge the respondent's mood and to alter the approach accordingly to keep him

  1. Marketing Strategy - Nintendo Gamecube

    The advantage of being market or consumer orientated is therefore quite clear - since the firm is always meeting the needs of the consumer, there ought to be a clear demand for their products. (Sources used: pages 1 and 2 - Marketing: Everybody's Business by Dave Needham and Rob Dransfield,

  2. The Importance of 'Location' in Retailing

    The retail format is the store package that the retailer presents to the customer (Newman and Cullen, 2002). It embraces all elements of the retail marketing mix with location, size, merchandise, price, promotion, atmosphere and service all being important ingredients.

  1. I have been asked to produce a marketing strategy for an existing or new ...

    Questionnaires I will use questionnaires in my market research. Advantages of Questionnaires * Costs can be kept to a minimum * People have time to respond * Any area can be covered * People may be more truthful if questionnaires are anonymous.

  2. Business Planning and Structures

    The trustee will be liable primarily but there is a right of indemnity against the trust property. Catering firm business plan Executive Summary This plans main aim is to provide a strategy, which enables the start up and running of a successful catering firm.

  1. Business- Open retail store

    WHAT DO I NEED TO DO? (N.B. Write in the future tense e.g. I will need to write a definition of marketing) WHAT INFORMATION DO I NEED? What do you need to find out in order to complete the task?

  2. Free essay

    Relatii de concurenta pe piata

    DESCRIEREA MEDIULUI INTERN AL S.C. AGRICOLA S.A. DUMBRAVENI Mediul intern reprezinta totalitatea resurselor utilizate de intreprindere in vederea realizarii obiectului de activitate,resurse ce se impart in 4 categorii: > Resurse materiale > Resurse umane > Resurse financiare > Resurse informationale RESURSELE UMANE Personalul angajat se constituie din personalul permament angajat

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work