case analysis 6
Mrtns9
IKEACaseUnderG-1-1.pptxCase #5
IKEA
(same questions in the new edition case, but different numbering and case description (i.e., the written information slightly is different):
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Positioning Map for Furniture
Functionality
Price
Most
Furniture
Ethan
Allan
IKEA
High
High
Low
Target
Ikea wants to evolve beyond the big-box.
The Swedish retailer has embarked on a series of retail experiments and technological innovations that it hopes will keep shoppers coming back.
The emphasis on experimentation comes as retailers -- especially in the U.S. -- come under relentless pressure from e-commerce giants including Amazon (AMZN, Tech30).
"We understand that the world is changing and customer expectations are changing and we want to continue being relevant," said Michael Valdsgaard, the head of digital transformation at Ikea. "We're trying to do as many things as possible to see what works ... it's like, the more the merrier."
That's the thinking behind one of Ikea's key initiatives: A pilot program, set to launch next year, that will allow the company to sell its furniture via third party websites.
Here's some other ways Ikea is working to keep pace with changing shopper habits:
Mini stores (Planning Studios)
Ikea is known for operating massive big-box stores in the suburbs.
But it started opening smaller outlets that are closer to city centers in 2015. There are now about 50 of the stores (and about 50 more planning studio will be added) -- some of which are roughly one-tenth the size of a typical Ikea -- in countries including the U.K., Canada, Norway, Italy, Japan, China and New York.
Customers are able to place orders online, and then collect their items from local stores with less hassle.
"For most consumers, the nearest Ikea store is too far away and we are developing the concept to enable more people to reach the Ikea range," a spokesperson said.
https://www.youtube.com/watch?v=jjAJp1nSvY4
https://www.youtube.com/watch?v=UhJ-2oMy6EE
https://kitchenplanner.ikea.com/us/UI/Pages/VPUI.htm
