IKEA is a retail chain that has a vision to provide a better life experience for many people every day. The company offers high-quality, sustainable products at an affordable price to its customers. IKEA’s target market is segmented according to demographics, with different requirements, needs, and wants. IKEA is a successful retailer that fulfills target market requirements via effective segmentation. IKEA’s effective segmentation of the target market is based on age, income bracket, occupation, and lifestyle. ..
About IKEA
IKEA is a retail brand that tries to scale materials used for all product lines as fully as possible. IKEA puts efforts to consider all relevant parameters in their production process such as waste minimization, water reduction, resource optimization, land consumption, human rights, carbon footprint, and biodiversity impact as well. IKEA focuses on “DEMOCRATIC DESIGN” while targeting their market, this instrument develops and assesses products of business range and covers five aspects like form, function, sustainability, quality, and low price. IKEA primarily focuses to maintain balance among these aspects that make products fit into a democratic frame.
IKEA is using recycled materials and renewable materials in its products to create a sustainable future. The company has formed and followed a product life cycle map, which covers lean manufacturing, logistics, and selling procedures so that the product can be easily recycled. IKEA is helping to create a more sustainable future for the planet by using these resources responsibly.
IKEA target market
IKEA’s business model can have more than one target market, namely primary and secondary target markets. IKEA’s main target market is middle-class individuals and families aged 20 to 35, who are budget conscious, quality conscious, appreciate simple and smart products, and consider pocket-friendly products. Additionally, both males and females buy from IKEA at essentially the same rates. IKEA has approximately 400 stores located in Europe but also generates a significant amount of company sales from the United States.
People between the ages of 20 to 34 are IKEA’s target market because the company offers low-quality contemporary design products. When a customer reaches the age of 34 or 35, they may no longer want to buy from IKEA because the prices have increased significantly.
IKEA is a Swedish brand with 70% of its stores located in Europe. But IKEA customers are spread all over the world. As per market analysis, these states have high customer volume, and it fits naturally into IKEA’s target market segment when it comes to lifestyle and location.
The study found that when it comes to gender, there is a significant difference. Male shoppers are more likely to visit IKEA stores that promote a DIY (do it yourself) approach, while female shoppers are more likely to visit stores that promote a more traditional approach. This could be due to the fact that many people feel intimidated by traditional store concepts and want to try something new and different.
IKEA has been able to establish its presence globally because it is affordable. IKEA’s products are designed for people who want to spend their earnings on good quality items, and they are available at a fraction of the cost of other brands.
IKEA is known for its affordable and high-quality products. This focus is especially evident in their furniture line, which includes a mono-segment position. IKEA’s target audience is people who are looking for quality with affordability.
Conclusion
IKEA has segmented its target market into age, lifestyle, income or salary, and location. The main target market for IKEA is young students and professionals who are cost conscious. IKEA has achieved this competitive edge by optimizing manufacturing costs and reducing intermediaries. IKEA practices production concept in bulk which gives a pricing advantage and meets the economics of scale.
IKEA is a retailer that believes in design, comfort, quality, sustainability, and affordability.
These are some of the reasons why people are choosing to buy organic food. ..
IKEA is targeting the middle class in cities who live in small to medium-sized homes with average incomes. They love to buy products of good quality at affordable prices.
