To create a

better everyday
life for the
IKEA was founded in 1943 by a
17-year-old Swede named
Ingvar Kampard who sold pens ,
Christmas cards , and seeds out
of a shed on his familys farm.
The name IKEA was derived
from Kamprads initials(IK) and
the first letters of the Elmtaryd
farm and the village of
Agunnaryd where he grew
up(EA).
IKEA inspires remarkable level of devotion from its
customers. Each year more than 650 million visitors walk
through its stores all over the world. Most need to drive
50 miles round trip but happily make the effort to
experience IKEAs unique value proposition.
IKEAs scandinavian-designed
products are well made and appeal to
the masses. To stay relevant and
fashionable , the company replaces
approximately one-third of its
 I KE A
HOW

F LU EN C E
IN
S
N S U ME R
C O
H A V IO R ?
B E
Cultural Factors
Many of IKEAs products are sold uniformly
throughout the world , but the company caters
to local regional tastes. IKEAs managers visit
the local market and products are made
according to the habits and culture of local
people.
IKEA inspires remarkable levels of interest and
devotion from its customers. Devoted
customers motivate other persons to visit IKEA.
Company caters to local and regional tastes .
Prices are kept low so that even students and
families with children can afford their product.
Personal Factors
IKEAs vision is and always has been to create
a better everyday life for the many people. A
high percentage of its customers are college
students families with children. IKEA provide a
quality product at low price. It continuously
seeks out new ways to run its businesses more
efficiently and pass those cost savings on to the
customer.
IKEA motivates its
customers by
providing a leading
edge design ,
functional home
furnishings at
extremely low
prices.
How IKEA
understan
ds
customers
buying
decision
process :
The Five-
Stage
1. Problem Recognition

The buying process starts when the buyer recognizes

a problem or need triggered by internal or external
stimuli.
IKEA identify the circumstances that trigger a
particular need and then develop market strategies.
2.Information Search
Consumers often search for
only limited information.
IKEA understands what type of
information consumers seek .
Mangers visit local markets
and strategies are made
according to the information
collected..

Information
Is provided
Through
advertiseme
nt
3. Evaluation Of
Alternatives
Consumer evaluates the various alternatives available
to satisfy its needs. The consumers see each product
as a bundle of attributes with varying ability to deliver
the benefits.
IKEA provides good quality at low cost which excites
the consumers to buy its product. IKEA persuade
buyers to attach more importance to low cost in which
the brand excels.
4.Purchase Decision

A number of factors will determine the manner in which

consumers form evaluations and make choices.
IKEEA understand the factors that provoke a feeling of
risk in consumers and provide information and support
to reduce it.
5.Post Purchase
Behavior

After the purchase, the consumers might experience

dissonance from hearing favorable things about other
brands and will be alert to information that supports
his decision.
IKEA monitor post purchase satisfaction, post
purchase actions and post purchase product uses and
disposal.
IKEA
introduc
ed
the
concept
of
Human
Coupons
to
attract
custome
rs at
new
IKEA
IN
INDIA
 IKEA is investing Rs.
700 crore on the
Hyderabad store
spread over 400,000
sq. feet.
IKEA plans to double
its sourcing from
India to 600 million
euros by 2020.
The company had
plans to open two to
three retail stores
every year.
Ahmedabad, Chennai,
Kolkata, Pune and
Surat are the other
cities IKEA is looking
at.
Introduction and History
How IKEA influences consumer
behavior
The Buying Decision : Five
stage Model
Human Coupons
IKEA in India
Disclaimer
Created by Ritish Gupta, APJ
Jalandhar during a
marketing internship by
Prof. Sameer Mathur ,IIM Lucknow