Marketing Plan for IKEA and B&Q

The assignment details the marketing plans of IKEA and B&Q, two prominent home furnishing companies. It includes an analysis of macro drivers, competitive analysis, segmentation, and marketing mix activities. The report also covers various strategies used by both companies to attract customers, such as free catalogues, online shopping, and social initiatives. The summary provides specific details about the assignment's content and relevance.

Project 2: A B2B
Marketing Plan for
IKEA

Table of Contents
INTRODUCTION...........................................................................................................................1
Main body........................................................................................................................................1
Description on the micro drivers affecting activities of B2B, office industry of IKEA........1
Competitive analysis of IKEA................................................................................................2
Segmentation analysis of IKEA.............................................................................................3
Marketing mix of IKEA.........................................................................................................5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
The marketing plan is the kind of business document which is helpful in relation to
outlining the marketing strategy of the firm in significant manner. It helps to focus on specific
period of time and it is inclusive of variety of marketing related details as are cost, goals and
action as per which firm can operate its business activities. It is the kind of road map which will
help to entity to reach its goals of firm. The present report is focusing over the activities of IKEA
which is related to the functioning of office furniture for the B2B market. In addition to this there
are various kind of activities as are analysis of macro drivers, competitive analysis, segmentation
analysis and marketing mix activities. The marketing plan is helpful in order to achieve desire
profitability of firm with significant growth.
Main body
Description on the micro drivers affecting activities of B2B, office industry of IKEA.
The term micro environment factors are those which are having significant impact on
success of business enterprise. This is helpful in relation to make strategic marketing plan so that
effective steps can be taken towards it. The growth strategy is related to the opening of new
stores in the differed locations in order to attract the new customers in market. With the help of
this firm can achieve maximum amount of market share. There are following micro driver’s
factors as are-
1. Political- IKEA is one of the best examples of the firm, and it is successful in the two
markets as are Scandinavian and global market. The political condition of Sweden is very
stable and environment ease condition for many markets. With the help of this firm is
able to enter into the Chinese market. This is helpful in order to achieve growth in
market, which will be useful to capture long term market share so that profitability of
firm can be enhanced.
2. Economic- The global recession is one of the biggest challenges which is facing by the
multinational companies all over the world. IKEA promising enter in Chinese and Indian
market which was least affected by overall withdraw. In the UK, Opening up of
Southampton store in 2009 helped hold up bargains for the most part hit by subsidence,
however working edge have declined from 11% of each 2005 to 3.3% out of 2009.
3. Social- IKEA contributed much in the overall population as they give openings in people
and the specialists are entitled in different points of interest and catalysts, for instance,
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security and annuities. IKEA is wind up being a productive overall brand attracting
relative party of customer with different social orders and social requests in all the huge
markets on the planet. IKEA is expanding on the web help to control customers to a more
sensible life.
4. Technological- The IKEA used quality development and structures to propel the shorter
lines and honest to goodness booking, following and trading outlines, and staffing. It
expects to be more beneficial and develop specialist slants.
Competitive analysis of IKEA
This can be done with the help of SWOT analysis as are-
 Strength
IKEA is the firm which is maintaining long-term partnerships with its suppliers. They work as to
ensures that they are having high quality products and materials at the reasonable price. Due to
this high level of customer attracts towards the activities of firm.
In the IKEA's catalogue the 2nd most preferred book after The Holy Quran in the world. The
best marketing strategy they have for many years. They are having the Home planning and
contract sales services which is attracting factor about their services in the market.
Their customer service at IKEA Dubai is very effective, Even people from Sweden came to visit
IKEA Dubai and got shocked to see our customer service on peak days. This kind of activities
will be helpful in relation to attract the high customer in the market. In this Customer service will
be inclusive of various functions as are Operators, Information Desk, Play rooms for kids,
Exchange and Returns etc.
 Weakness
IKEA needs to depend upon sub contracted producers as it has compelled collecting limits,
which makes it troublesome for IKEA to sort out and control quality standards in a couple of
areas. IKEA may in like manner go up against contention from the subcontractors as they may
manufacture their own line of things. IKEA things are similarly easy to mirror which the reason
it is going up against competition in china from the area suppliers. These suppliers in china can
copy the IKEA things and offer at a more affordable cost.
 Opportunity
In this it can be stated, express that open entryways are accessible wherever, for instance,
changes in government systems, social illustrations and even development. Asia speaks to little
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bit of IKEA's business with only 3% of its arrangements created starting there. IKEA resources
an opportunity to make its check in Asia. IKEA needs to cut expenses in china altogether and
open new stores. IKEA can in like manner develop by using online business additionally
reinforcing its favorable luck. By using creative advancement IKEA can accomplish customers
in parts of the world doesn't have a store.
 Threat
The critical threat to IKEA is unmistakable demand in different zones. In a tremendous country
as china, IKEA needs to change as per the living style and culture which differentiate starting
with one segment then onto the next. IKEA expects to stretch out regardless of the business
being hit by the overall withdraw. IKEA ought to be cautious of the decisions it takes for its
future in these troublesome conditions.
Segmentation analysis of IKEA
IKEA segmentation, targeting and positioning involves a set of following marketing
decisions which works as to constitute the core of company’s marketing strategy. There
are 4 division subjects in the objective promote: (1) Geographical, (2) Demographic, (3)
Psychographic and (4) Behavioral divisions. The second subject is a target property in context of
the customer’s remuneration level, individual racial and their occupation. The third topic will be
on the subjective trademark in context of their properties and individual way of life and sales.
The fourth subject is spun on an exceptionally essential level around the points of view of
customers of what accommodating reason they make their buys, how much of the time they tend
to purchase and why they had purchase the things.
1 GEOGRAPHIC SEGMENTATION
The different zones have unmistakable acclimated foundations, with highlight division,
subordinate upon the land units working exercises should be possible in obliged to their own
particular neighborhood conditions. IKEA for the most part separated into arrive division of the
European market and the Asian market.
 TARGET MARKET SEGMENTS
 The wide degrees of offers sets lion's offer in the Scandinavian region are accounted at
80%, trailed by North America zone which addresses 15% and the rest of the remaining
of 5% sets in the Asian landmass and Australia. Along these lines, by looking bits of
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learning displayed that IKEA's objective feature in light of Europe, American and in
conclusion Asian area.
FOUR ELEMENTS OF IKEA CONCEPT
 The wide degrees of offers sets dominating part in the Scandinavian district are
accounted at 80%, trailed by North America area which addresses 15% and the rest of the
remaining of 5% sets in the Asian landmass and Australia. In this manner, by looking
estimations displayed that IKEA's objective grandstand in light of Europe, American and
finally Asian area.
 Salaried specialists have shown high spending limit and higher insistence of new things
and new thoughts. While for the piece that circuits customers that shop IKEA all of a
sudden and understudies, these customer zones are more cost astute by virtue of obliged
spending and inspiration for cash things. The table underneath exhibits the four arranged
target promote divides understanding to the Demographical Approach.
2. Demographic factors- IKEA apply estimation bases for its market. Estimation division
contains the individual age gathering, sex introduction, in light of family life-cycle, occupations,
wage level of a solitary customer and the general populace joint exertion level in conjunction
with the cash related parts. Females of conventional age of 38 go by IKEA the most. Starting late
the's affiliation will likely enthusiastic couples whom have hang; a review has been done which
combines the measure of youthful wedded grown-ups, working masters and first time furniture
customers.
3. PSYCHOGRAPHIC SEGMENTATION
In this part, this basically weights on the client's immediate, basic exercises, particular
well-creatures and their emotions. In Europe and North America, the clients would rather pick
their things clear and trademark in plot however when furniture quality began to devastate, the
furniture can be substitute at whatever point of time in agree to their own specific inclination
adjacent their way of life illustrations and requesting. However in Asia, clients have picked of
home unimportance mission for the lavish way of life, especially in the choice to buying
tremendous furniture.
4. BEHAVIORAL SEGMENTATION
There are certain things depend upon the substantive getting conduct of the purchasers.
The remuneration ranges from the low pay, center pay gathering and the high wage gathering
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that IKEA confined into. IKEA will consider the status of the national cash related change. They
find that in Europe and the United States, the key market are fundamentally in view of for the
lower pay portrayal and within pay families in these area, of their sensible premium. IKEA will
presumably go for the Asian affecting bit.
Marketing mix of IKEA
Product
As an "aggregate idea", thing infers all stocks and associations gave by a business. In this way,
thing is more than physical stuffs sold by stores. IKEA's important things are furniture, for
example, kitchen modules, restroom working environments, lighting hardware, couches and
materials. It has striking quality and a momentous name to everything, and offers a wide
collection of home outlines with best tasteful plans and breaking points at sensible costs.
Place
There are around 330 IKEA stores in 38 nations. For every last one of them, the things
are showed up in a sensible and astute depiction. Further, there are floor tormented jars to lead
purchasers rapidly discover the things they require. For instance, every last one of the things for
a room are demonstrated clearly by being put a particular model room. Besides substance stores,
IKEA in like way enables buyers to do e-shopping on its site with a clear examining of the
motivations behind eagerness of the things.
Promotion
Progress is to propagandize things through all measures open. The focal uncommon
gadget of IKEA is its free rundown with a synopsis of its things. The IKEA Catalogue unites
things' subtle parts, for example, tints, sizes and costs. It is possessed all the necessary qualities
to express that, IKEA in addition settled a party named Social Initiative, going for fortifying the
relationship among IKEA and the general populace. This social gathering takes an interest with
UNICEF and Save the Children, with the motivation driving giving all kids a predominant life.
Discount is a powerful movement B&Q uses to pull in purchasers. Like IKEA, B&Q
comparatively has approaches to demonstrate its social commitment. With respect to this, B&Q
endeavours mind boggling tries on condition affirmation in the systems for thing configuration,
bundling and the utilization of materials.
Price
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The cost is in a general sense the measure of cash that customers pay to get the upsides of the
thing. The costs of IKEA's things are set sensibly. It gets innovative social event system to things
at a lower cost. Customers' picking, collecting and transporting things with no other person's data
can lessen the cost.
CONCLUSION
Hereby it has been concluded that marketing plan is the kind of business document which
is helpful in relation to outlining the marketing strategy of the firm in significant mode. This
report has been covered with various activities as are analysis of macro drivers, competitive
analysis, segmentation analysis and marketing mix activities.
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REFERENCES
Book & Journal
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Humanitarian Innovation, p.209.
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Andrén-Sandberg, F., 2018. How Could Countries Reap the Benefits of the Decommoditisation
Trend. In Commodities Pricing and the Bulk Trap . Springer, Cham.
Cho, E., Fiore, A.M. and Yu, U.J., 2018. Impact of fashion innovativeness on consumer-based
brand equity. Journal of Consumer Marketing, (just-accepted).
Chen, S and et.al.,2018. Teaching Design Thinking in Marketing: Linking Product Design and
Marketing Strategy in a Product Development Class. Journal of Marketing Education.
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