The Branding of IKEA Essay -- Business Management Studies Essays Paper

The Branding of IKEACompany backgroundThe first catalogue was introduced in 1951 and with this the founder saw his chance toexpand his commerce on a larger scale, and this was the year he decided to completelyfocus on low-price furniture, as from the beginning IKEA sold mainly matches,watches, Christmas decorations, picture frames and jewellery.In 1956 the company came up with the concept of flat-pack self-assembly furniture.The first international IKEA store was introduced in Norway in 1963, and was soonfollowed by the opening of stores in Denmark, Ger many an(prenominal), Australia, Canada, and Austria.In 1987 the first IKEA loose in the UK, and in 2001 the company had 143 stores in 22countries. Today we are the leading furniture retailer in the UK with a 12.1% before MFI and DFS.Our Brand - an penetrationThe brand name is associated with feelings, attitudes or different meanings, and in ourminds it is connected with a certain image. All inspired by the logo, design or colour.Br anding is a way to differentiate one company, its service or product, from competitors.But also to provide it with a personality which is both appealing and unique to theirpotential customers. It is a multifaceted, disciplined and multilayered process.IKEA is seen as friendly, quirky, trendy, social, young, independent, witty and relaxed.Usually the personality of a brand is described as a person, with its differentcharacteristics.The importance of brandingIn the former(prenominal) decade companies are starting to see their brand assets, and with this branding has taken on a greater significance. So today brands are more than yet marketing slogans and logos. All businesses are building their brands through certain actions and in their actual presence they find a position in the mind of consumer and prospects. This is based on experience and exposure of the brand in the competitive marketplace. There are certain advantages to take into account in a Brand Strategy financial Advan tages, Strategic Advantages and Management Advantages. The financial advantages may be higher sales, and for the companies with more market shares higher margins. IKEA is one of the leaders in its market place, and therefore many other brands in that particular sector may be hitchhiker brands following us and other leaders (such as MFI and DFS).Strategic Advantages... ...ours, and the name written crosswise in bold letters.It is very much a trademark and this same logo has been used from avery early stage.ConclusionI take to this will help you understand the importance of branding withinIKEA. Our company has been a worldwide success for so many years, and this has already created an image in most peoples minds, they associate the name IKEA and the logo with purchase or from one of the award winning advertising campaigns which have been run throughout the world.It is incredibly eventful to build brand awareness when introducing anew product onto the market, and our company has al ready achieved this, but there is still the need to maintain customer and market.Bibliography* Mintel (2002)* meshing* San Juan de la Pena website* Rieboviz, Rik * De Chernatony, Leslie (2001) From Brand Vision to Brand Evaluation, Butterworth-Heinemann* Brassington, Frances, Pettitt, Stephen (2000) Principles of Marketing, Prentice Hall* Butterfield, Leslie (1999) Excellence in Advertising, 2nd edition, Butterworth-Heinemann* Nilson, Torsten H (1998) Competitive Branding, John Wiley & Sons Ltd.