IKEADigital Marketing Strategy

ABOUT IKEA

IKEA is a privately held, Dutch company that designs and sells ready-to-assemble furniture, appliances & home décor.

Three-step business model• Our product range• Our low prices• A better everyday life

CURRENT CHALLENGES

In the United States market, IKEA faces one major challenge:

Store Location:

• IKEA location stores are spread out across the US, but mainly in urban areas. People maintain very busy lives, make full shopping days difficult and out of the way.

TARGET MARKET

Segment of Millennial generation: ages 25-40

• Looking to purchase new, affordable furniture • Have considered online shopping• Aware of the IKEA brand

These consumers are hoping to start a home improvement project, but aren’t able to take advantage of the retail store due to location.

INTERACTIVE BLOG COMPETITIONThis digital campaign will push consumers to the IKEA online store, promising a monthly $5000 shopping spree to the most-voted personal story created on the platform about one’s project.

• Blogging platform• Social Media• Google AdWords• SEO

BLOG FORMAT

Online platform will include:

• Story-sharing community• Product Suggestion• Photo galleries• Voting Poll

Blog will be the primary location of where to drive consumers from other mediums. Interaction will then lead to purchase from the online store.

SOCIAL MEDIA

Facebook should be the primary discussion creator for social media, directing viewers to the blogging platform and online store

Strategy:

• Limit tweets to allow for Facebook discussion• Link hashtags to blogging platform• Keep users informed and interested throughout period

SEARCH ENGINE OPTIMIZATIONTracking specific keywords like “Home Renovation”, “DIY” and “IKEA” and providing Google Ads in the search will drive people to blogging platform and online store.

Strategy:

• Traffic Estimation based on keywords• Assess effectiveness in Google Analytics mid-campaign

KEY FACTORS TO SUCCESS

Additional Pros:

• Recognition of an opportunity (for all)• Engagement of a community• Inspiration to take action• Similar digital campaign gained success

We hope the combination of incentive, conversation and motivation to buy will increase ecommerce sales by 5% after 1 year.

BUDGET & TIMELINE

• Blog: 30% ($250,000 monthly)

• Social Media: 30% ($250,000 monthly)

• Points Per Click: 12% ($100,000 monthly)

• SEO: 20%($166,666.67 monthly)

• Content: 7.4% ($61,666.67 monthly)

• Prizes: 0.6%($5,000 monthly)

• TOTAL: ($833,333.33 monthly)

(10 million yearly)•

The timeline for this campaign is one calendar year, with higher advertising and promotion during annual peaks and holiday seasons.