Digital Marketing Strategy for IKEA: Ethical Issues, Factors, and Benefits of Social Media
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This document discusses the digital marketing strategy of IKEA, focusing on ethical issues, economic, social, and technological factors, and the benefits and shortcomings of social media in starting a new business. It explores the impact of digital marketing on brand building and provides insights into the successful growth of the strategy.
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TABLE OF CONTENTS INTRODUCTION...........................................................................................................................3 TASK 1............................................................................................................................................3 Ethical issue to control the approach of digital marketing in the business:................................3 TASK 2............................................................................................................................................5 Economic, social and technical factors which influence the successful growth of the digital marketing strategy in the IKEA:.................................................................................................5 TASK 3............................................................................................................................................7 Benefits and shortcoming of the social media in starting the new business:..............................7 TASK 4............................................................................................................................................8 Effectiveness of the social web to building brands:....................................................................8 CONCLUSION..............................................................................................................................10
INTRODUCTION Digital marketing strategy refers to the practices and actions of the IKEA which is used to achieve the goals and objectives of the IKEA from the online marketing. The strategy of digital marketing includes various channels such as social media, campaign of the business which gives the success and the growth of the business in the present and the future conditions of the markets. In this report it explains about the strategy of digital marketing of the IKEA. This file determines the various ethical issues and development of the laws to control the approaches of the digital marketing from internet in the business environment of the IKEA. IKEA is the famous multinational IKEA which sells the large number of household furnitures. Headquarters of the IKEA is at the Delft Netherlands. There are the evaluation of the social, technical and economic factors which have impacts on the successful operations of the campaign of digital marketing. This files also evaluates the social and technological changes which influence the growth of the digital marketing in the business. This file also identify the advantages of the social web for increasing the brands of the IKEA. TASK 1 Ethical issue to control the approach of digital marketing in the business: Ethical issue and social issues of the digital marketing in the working environment of the business are very complicated. The ethical issues determine that the strategy of the digital marketing increase the profits of the business or not. The lifestyle of the people, thoughts, beliefs and different background which they belong which increase the variety of digital marker ting strategy (Kingsnorth, 2019). There are various issues of the digital marketing strategy which have impacts on the image and reputation of the business in the minds of the people. Research of markets: Markets research refers to the process of identifying the needs and wants of the customer about the products and services of the customer from the digital marketing strategy. The research of the markets gives the results and divides the people into the different categories. These categories of the people are based on some factors such as interest, hobbies, income, education and many more which affects the success of the business. The IKEA could target their customer with the help of the effective and efficient strategy of the digital marketing and fulfills their needs and wants in the different market situations. Privacy and collection of the data:
Policy of the privacy should involve the list of the different types of collected information is very important part of the privacy. The important information such as types of information, howthebusinessisgoing to sharingtheir information,effectiveand efficientdataand information of the privacy policy. In the business the IKEA have to include the changes should be made in the privacy policy of the digital marketing strategy in the current and future working environment of the business (Baltes, 2015). To protect the data and information of the customer and the IKEA the policy of the privacy makes secure them and do not affect the business of the IKEA. Intellectual property: For the protection of the intellectual property of the IKEA the business uses the trademarks and copyrights in the business. The digital marketing strategy of the business ion the current days are very common to use by every IKEA so the protection of the production and services from the trademarks and copyrights are very useful that no one can steal ideas and features of that products. Laws of digital marketing in the business environment There are various laws of the digital marketing which is use by the business in the working environment to achieve the success and growth. These laws of the digital marketing helps to achieve the successful operations easier and faster (Ryan, 2016). Quality: The IKEA focuses to apply the law of effective and efficient quality products and services to the custom er by the use of the digital marketing in the business environme3nt. By giving advertisement on the social media, TV, and newspaper for showing the quality products to the customer to attract them and increase the sales and productivity of the business. Compounding: The law compounding on the social media is very essential in the strategy of the digital marketing in the business. In the business the compounding helps to encourage the customer and the viewers to share the content of the product and services of wewghat the IKEA is producing. Listening: Digital marketing strategy of the business leads to the success and growth of the business by listening properly to the requirements of the customer. The needs and preferences of the customer can be fulfilled only by proper and efficient listening of the views and thoughts of the
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customer about the products with the use of the effective strategy of digital marketing (Chaffey, and Ellis-Chadwick, 2019). The ethical and legal issues of the digital marketing strategy in the business environment of the IKEA have affects the efficient running of the business. For the effective communication of marketing with the customer in the business these issues helps to make the good relations with the customer. With the help of the market research the IKEA could know the needs and wants of the customer and works to fulfill their requirements (Gulati, 2019). The information and data of the customer should be private in the IKEA so the IKEA feels satisfied with the services of the business from this the communication between the IKEA and the customer should be improved. TASK 2 Economic, social and technical factors which influence the successful growth of the digital marketing strategy in the IKEA: To increase the success and growth of the digital marketing in the business influence the factors such economic, social and technological in the IKEA. Economic factors: The economic factors like inflation, rates of the interest, taxes and recession and supply and demand of the products in the business affects the marketing strategy of the business. The economic factors have the direct impacts on the digital marketing strategy of the business. Inflation rates:Rates of the inflation decrease the power of the purchasing of the customer of the products and services of the customer. The digital marketing strategy of the business are affected by the rate of the inflation in the economy. In the business of the IKEA if the rates of inflation increases the purchasing power of the customer decrease and the IKEA faces problems in the business of the furniture (Kannan, 2017). The digital marketing strategy involves the number of customers towards the products and services of the IKEA. The success and growth of the digital marketing in the business of IKEA by the rates of the inflation. Changes in the disposable income:The digital strategy of marketing have affected by the changes in the disposable income of the customer spending. If the rates of the unemployment increases there is the decrease in the demand of the products and services of the IKEA and simultaneously affects the strategy of the digital marketing. Recession:Strategy of the digital marketing in IKEA are also affected by the recession in the economy because the employment rate, income, and GDP reduces the demands of the
consumer and marketing strategy do not increase the sales and productivity of the business of the furniture products of IKEA. Social factors: Social factors affects the growth of the strategy of the digital marketing in the business of thMahmud, F., 2016e IKEA because the language, culture, laws, ideas, behavior, needs and preferences o the people are different from each other. Advertisement on the social media and television helps to enhance the customer but sometime people get affected by different culture and language barriers in which the advertisement is showing (De Pelsmacker, Van Tilburg and Holthof,2018). The status of the customer also affects the process of the digital marketing for the successful business of the IKEA in different situations of the markets. The behavior, attitudes of the people towards the advertisement on the media are also different. The digital marketing practices measure the needs and wants of the customer to reach the success and growth of the IKEA by taking feedback from the customer about their products and improve them. Needs and wants of the people are changes as per the changing trends and the IKEA have to change the strategy of the marketing on the social media according to the changing trends. Technological factors: Technology is very essential factors which influence the digital marketing strategy of the business of the IKEA. Technology need top be updated and reviewed on the continuous basis because it leads to the success and growth of the business easily. With the help of the effective and advanced technology in the business strategy o the digital marketing should be successfully implemented and archives the goals of the IKEA. For the implementation of the digital marketing in the business of the IKEA, they will spend their money in the purchase of the effective equipment and services (Ozuem, 2016). These equipment and services of the advanced technology helps in the success and growth of the campaign of the digital marketing in the IKEA. Technology changes very fast so there is need to changes the v strategy of digital marketing for the successful operations of the campaigns of the IKEA. TASK 3 Benefits and shortcoming of the social media in starting the new business: There are various benefits and shortcoming of the social media in starting of the new business because it helps enhance the products and services of the business in the minds of the customer.
Positive: The social media attract the customer towards the products and services of the IKEA and increase the productivity and sales of the business. In stating the business of the IKEA social media helps to make their brand as the leader in the business of the furniture. The customer can learn about the products and services of the IKEA from their websites which they made in stating of their business (Baker and Saren, 2016). These websites attract the customer and manage the image of the business this will increase the sales of the business. Social media helps to reach the large number of population within seconds. Negative: In starting of the business o the IKEA the negative effects of the social media affects the success and growth of the business because in the starting stage the IKEA cannot attract the people easily for their products and services. The department of the digital marketing have to spend lots of money and time in attracting the customer towards their products and services. One of the biggest drawback of the social media is that it consumes the times business attracting the customer towards the products and services. In starting the business of the furniture IKEA they also get the negative feedback from the customer because the IKEA is not known to the customer (Taiminen and Karjaluoto, 2015). So it takes lost of time making the effective image and reputation of the brand. Advantages and disadvantage of business partners from social media The business partners face lots of advantages and disadvantages from the use of the social media in the business because of the use of the Facebook, Instagram and link-din helps to interact with the customer easily and faster. Advantages: The partners of the business focuses to make the effective relation with the people living in the different countries With the helps of the Facebook and Instagram different types of people get connected. By posting pictures on the social media business partners makes the effective image of yourself in the minds of the customer and makes the positive relation on their behalf. Social media aware the customer about their products and services which is used by business partners (Chaffey and Smith, 2017). Larger the number of followers on the social media profile business partners provide information of their products and services to the customer.
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The people like the post of the business partner and shows their response towards the products and services. The sales and production of the business of the IKEA increase when the larger numbers of customer are connected on the profile of Facebook, Instagram and link-din. For example if the business partner wants to increase the number 0f customer for their products and services the post of the Instagram and Facebook attract them, and they start purchasing if they liked that post. Disadvantage: The partners o the business faces lots of drawback with the use of the social media like Facebook, Instagram and link-din because if they don't liked the products and services of the IKEA they comment on the post and distract the other people from the products. The negative feedback of the customer on the post of the business partners may affects the image of the brand and also affects the image and reputation of the business partners as well. Sometimes the social mediadoesnotexpresstherealfeaturesoftheproductsandservicesandpeoplewill misunderstood about that (Key and Czaplewski, 2017). For example if the people post negative comment on the Facebook and Instagram post of the business partner they customer who have some interest in the products are also get influenced by the negative comments, and they stop their purchasing from that IKEA. TASK 4 Effectiveness of the social web to building brands: Effectiveness of the social web to increase the image of the brand of IKEA and Morgan furniture of the UK increase their sales and productivity of the business. The social media helps the IKEA to improve the image of the brand and makes the business popular in the people of the UK but in case o the Morgan furniture the image of the brand decrease by getting the negative comments of the social media. The customer increase their trust from the good post on the social media and attract towards the products and services while in the business o the Morgan furniture the bad reviews impacts on the loyalty and trust of the customer on the social media (Edmiston, 2015). The IKEA organize their campaign on the social media to increase the image of the brand ion the minds of the customer but the Morgan furniture faces various loses due to the use of the social media. The production capacity of the Morgan furniture reduces and it reduces the image of the brand also in the minds of the customer. IKEA takes the full advantages of the social media and
increase their sales and productivity to increase the image of the brand on the online platforms. Posting on the Facebook, Instagram and link-din promotes the image of the brand by getting the best and effective review of the customer and attract different kinds of customer from different cities (Felix, Rauschnabel and Hinsch, 2017). The Morgan furniture loses their existing customer from getting the negative review on the post o the social media and it will affect the brand image. The social media marketing of the IKEA helps to make the effective relations with the people and make them feel satisfied by the products and services of the business this will enhance the image and reputation of the brand. There are lots of people use the social networking sites and the positive and negative comments may affects their behavior attitudes and ideas of purchasing from the IKEA. So the social makes the image of the brand of the IKEA. IKEA will improve the performance pf working from getting the feedback from the customer. IKEA uses the effective strategies of marketing in the business by using the social media and increase the image of the brand and makes the products and services visible for the customer in continuous bases (Mahmud, 2016). The performance of the Morgan furniture reduces because their image of the brand also reduces by the negative reviews from the customer about the products and services.
CONCLUSION From the above study it can be concluded that the digital marketing are very essential for the successful business of the company in different situations of the markets. There are various ethical issues and laws which affects the digital marketing in the business environment of the company. The effective and efficient strategy of the digital marketing helps to reach to the success and growth of the business. Social, technological and economic factors influence the campaigns of the digital marketing in the business. By giving advertisement on the social media, television, and newspaper company could show their feature of the products and services and attracts the customer and increase their sales and productivity of the company. To make the image of the brands in the minds of the customer the business digital marketing helps the business to make the good and effective images of the brand. The good image of the company influence the customer to invest their spending in the company.
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