IKEA - A True Worldwide Retailer

IKEA - A True Worldwide Retailer

In the world there are very few retailers/restaurants which are honestly international. McDonalds, 7-Eleven, Payless Shoes, GAP, Louis Vuitton, Burberry, Zara, Godiva, H&M, and of course IKEA.

      I find IKEA a very interesting store because it came from such a small country (population wise). And small countries are usually known for something specific. Switzerland is known for its banking and watch making.   Israel is known for its high tech and start up mentality. Taiwan is known as a high-tech hub. And, of course, Sweden is known for IKEA. What is interesting is that IKEA has a store in each of these countries. And what made IKEA into a retail giant, innovation.

Recently I visited one of their newer stores in Grand Prairie, Texas. It is not the first time I have been in an IKEA, that would have been in the late 1980’s when we were learning about Big Box retail from our friend Neil Stern and we visited the IKEA in Newark NJ. While the core of the store has stayed the same, there are many improvements and much to be learned.

When drive up to an IKEA you notice the size and simplicity of the store. There is nothing to distract you from the fact that this is IKEA. The sign can be huge because the name is short and easy to replicate. (Lesson learned from Incredible Universe -great name terrible for signage). Parking lot was well lit and signed so you could find your car when you were finished shopping.

As you walk into the store there is an IKEA employee there. I am not sure why this “greeter” was there because she certainly did not greet us in any manner. But I would say that was one of only a very few flaws in the store. There was a map of the store, short cuts to get us to places, and signs leading us to a tour of everything, which we choose.

And Signs were one of the highlights of this store. Execution of signage in a store this size is very difficult. There are many places where you can simply fail. Not at IKEA. The signage was universally terrific, and I was looking for mistakes. There were not any. The signage let us know what the products were, what the price was, and where we could pick up the product to take home. (IKEA is a ready to assemble store). All through our journey the IKEA team members asked us if they could help us. What room we were looking to improve, how we might use a product. They were great. 

At IKEA they are proud of their Swedish roots are share that with you through you journey in the store. (Including the great café, plan on stopping there while you are shopping, they have it figured out) The store also has a place to buy Swedish groceries, sort of an outpost from Stockholm. And it is much more than Swedish meatballs. Here at IKEA they don’t seem to dabble. 

Their kitchen utensils are impressive. And here is where value is shouted at you. Knives that you can use in your kitchen for less than $10. Glass serving bowls for $2.49. This is not generational merchandise, merchandise that can be handed down from generation to generation, but it is much more than usable. 

You see, IKEA knows their customer. They are young single and families. The product works for your first house or apartment. You see lots of couples, and they are all walking around with a plan. There are measuring tapes for the taking all over the store. Nothing is taken for granted. You can see on their faces how they are discovering things in their journey around the store. 

I think IKEA had to make their signage great as they moved from country to country. Starting out in Europe there are many languages spoken in the same country. I think Belgium has three official languages within the country. So, great signage was a must. And great vignettes made for an easy understanding of the product. 

You are tempted all along your journey (or at least I was lots of things I obviously could not live without in the kitchen area. Who doesn’t need an apple slicer after all)? You can either pick up what you want or you as you leave there is an area where the RTA furniture is ready for you to grab. They have people there to help you make sure you get everything you need to put things together. These guys are brilliant and have kid’s care while you shop. 

So now you have all your merchandise and everything you need to go with it. If you followed the arrows around the store, they will take you to check out, where you will be tempted with other fascinating items you did not know you could live without. From food to gadgets it was there screaming “take me home with you.” Check out was busy and very efficient. While there as a 5-minute line, it did not seem like a big hurdle.

There is a reason IKEA works in so many countries. They offer great value, they have knowledgeable long-term employees, they have a smart location strategy, and they know their customers. They have taken the Swedish mindset and put it into a retail store. In Swedish the word is “tack” in English that is Thank you. Thank you, IKEA, for making the world a better place.


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