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Uncovering Hidden Target Markets For IKEA

Uncovering Hidden Target Markets for IKEA

I recently read an article on about IKEA. It gave several reasons why IKEA is one of the most forward-thinking retailers in the country but gets no respect from the competition. This article comes as no surprise to me.

Working with IKEA San Diego and IKEA Houston for almost ten years, Advanced Marketing Strategies has seen first-hand how IKEA has always been on the cutting edge of marketing and advertising.

We helped IKEA San Diego be the first big box store in the market to leverage website and social media marketing, by announcing their IKEA Catalog on the internet for the first time. Not to mention hiring VW Bugs to drive around the city with furniture on top to announce the latest National sale.

The article says “IKEA is often the butt of jokes. From the unintelligible instructions required to assemble its furniture and the unpronounceable names.”

“In reality, IKEA is a powerhouse of innovative home furnishing ideas and experiential retailing that places it second to none in furnishing American’s homes, from the kitchen cabinets, including all the stuff in the drawers and cabinets, to the bedroom, bathroom, living room and dining room.”

Working with IKEA in Houston, we were able to show a 20.6% increase in sales from one particular Hispanic lifestyle PRIZM group by using our 3-D Analysis and uncovered niche marketing opportunities among Spanish shoppers. Using the targeting report information and our proprietary media buying software we put together an additional advertising plan that targeted specific Hispanic PRIZM geodemographic lifestyle groups which we identified as being more likely to purchase IKEA furniture. The program included broadcast media and promotions in the Spanish language. Additionally, a creative campaign was developed that related to the Hispanic lifestyle and culture in that specific micro-market.

I am not sure why, as the article reports, most furniture retailers do not see IKEA as a fierce competitor since they are the second-largest home retailer in the country today.

Nevertheless, consumers know how forward-thinking IKEA is and so does Advanced Marketing Strategies.

by Kathy Cunningham / Founder & President of ad agency, Advanced Marketing Strategies, & host of The Show Runner Marketing Podcast.

Forbes, Pamenla N. Danziger 
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