How IKEA build their brand equity

The CEO of Sunkist Growers, Russell L. Hanlin, saying that “An orange … is an orange … is an orange. Unless, or course, that orange happens to be a Sunkist, a name eighty percent of consumers know and trust.’’(Aaker 1996,p.2) 



I absolutly agree to the CEO says, it is the brand make it differences from consumer mind

So, what exactly a brand it is ? and how IKEA built their brand equity?

What exactly a brand it is?

From the customer’s point of view, a brand can be the total quantity of all his/her experiences, and built at all points of contact with the customer (Kapferer, 2004).

Therefore, to build a brand successfully should match the need of their customer.

 

 The name IKEA was formed from the founder’s initials (I.K.) plus the first letters of Elmtaryd (E) and Agunnaryd (A), the farm and village where he grew up. At the beginning IKEA sale pens, wallets, picture frames, table runner, watches jewellery and nylon stocking –meeting needs at a produced price.  In 1953, the first IKEA furniture showroom was opened in Sweden, which allowed people to see and touch IKEA home furnishing before buying them. Since then , IKEA begin  to make the product more cheaply, IKEA designers often consider the material of product before they design . Obviously, IKEA consider more about consumer needs than other traditional brands did. 

How Ikea build their brand equity?

Recognition

As a major international retail retailer  housewares and furnishings, IKEA now has been had  314 stores in 38 countries. It's well recognised by its logo and color.
Eve time pass by Adelaide airport , it usually can saw this "blue  box" with yellow color, yeh this is visible factor that made it recognised by range of customers.

The other factor, it is IKEA's "home  sweet home" affect, which can be seen by its' decoration  in the show room, making people  feel at home and don't want to leave.

Recall

With the concept of create a better everyday live for many people, IKEA offer a wide range of well-designed, functional home furnishing products at a valuable price . Thus, consumers can find their needs among the various choices. 

Brand Image

IKEA have a clear image in consumer mind, which is useful and practical caused by the product itself. Besides, the Swedish style image that is not only relevant into the yellow-blue colour, but also penetration into the design and the decoration of the show room. This make consumers form brand association from direct experience.

To deliver the brand image of simple ,home  and valuable ,IKEA  well use of  out door actives like, having a "city better life" programme in London  make a change to pp getting a  rest when waiting the train.


Also, IKEA truck was use as an out door advertising tool  before, with small furniture inside , and  driving around to city giving people experience.

Overall , IKEA's concept create a better life for many people and the show rooms  with warm and sweet decoration, which make it unique and different form other traditional retailer.  Besides , the well-design product with with valuable price make it more favourable to customers.

The new advertising of IKEA with emotional slogan "the Home of your life" in 2012 ,which makes common  sense to customers and establishes a relationship with target market .



That's what i thinking about IKEA to build their brand equity. This is very short analysis :p hope to in deep  after that.=)

Cheer .

Cwing