Friday, September 6, 2019

IKEAs transport methods Essay Example for Free

IKEAs transport methods Essay Allowing the public to visit the business Makes the customer feel more welcome, and at home with IKEA if they feel involved by learning more about the company.  Public relations can be a very expensive form of promotion, and it can be difficult for businesses to assess the effect of public relations on sales.  Catalogues are a huge part of advertisement for IKEA, its relatively cheap when compared to TV adverts, and its fairly easy to get to the customer, IKEA print 131 million copies of there catalogue making it the most widely distributed commercial publication in the world. Having picked up a couple of the latest IKEA catalogues and handbooks, its clear that IKEA thrive on simplicity. The IKEA text is the same font on all brochures, with the traditional blue and yellow logo on the bottom hand side of the page this creates continuity which means people recognise it straight away when they see it again, the traditional yellow and blue logo is based on the colours of there home country Sweden. The background images are warm, cosy, family pictures, one containing a large sofa with numerous pillows, the other an aqua blue kitchen. This gets the message across to the reader that there is a large range of products available, furthermore on the front cover they get the message about there prices, Pay less, enjoy more and your 100 page guide to making an affordable, inspired choice. This encourages the public to go through the IKEA catalogue. Furthermore the catalogue brings the IKEA store into your home, its the best way to prepare for a visit to IKEA. d)Place is another term for distribution. It covers the range of activities necessary to ensure that goods and services are available to customers. Deciding on the right place involves a range of decisions.  A business needs to consider the most cost-effective way of getting its products and service to the customers. It needs to look at the implications for its profit margins of each means of distribution. The growth in use of the internet has encouraged even small businesses to use websites to sell their products to what can be a global market. This can be highly cost effective means of reaching a wide target audience, but is not suitable for all business and all products.  Businesses seek to design marketing mixes that are complementary and work together to benefit the business and to maximise sales. For example, Ikea promotes itself to its target audience on the basis that it offers the lowest possible prices. Place is important to Ikea, and the company locates stores in areas where it costs less to set up, eg on the outskirts of major cities. Which targets both high income earners and low. IKEAs transport methods are highly effective, large volumes in combination with flat packages are important in helping IKEA to transport products economically from the supplier via the stores to the customers. Flat packs mean that IKEA do not have to pay for transporting or storing unnecessary air and that not only means lower warehousing and distribution costs, but also less impact on the environment. At present 20 % of all IKEA goods are transported by rail. It makes sense for Ikea to target a wide range of customers. This is referred to as mass marketing. But theres the other side of it where in some situations they will target small sections of the market. Taken to the limit, this might involve catering for a small select group of customers a target market that has very specific needs. I.E childrens section.  In mass marketing, Ikea would aim their products at most of the available market and normally try to sell a range of similar products to all customers. Mass marketing is possible if the products are popular and purchased by many different types of people. For example Ikeas furniture products are well suited to being sold in mass markets. Businesses must be able to produce on a large scale if they are to sell successfully in a mass market. A company may have to invest heavily in resources such as buildings, machinery and vehicles. Usually, firms also have to be very price competitive to flourish in mass markets. By contrast, niche marketing involves companies identifying and meeting the needs of relatively small areas of the market. The aim is to cater for the needs of customers that have not been met sufficiently by other business, and niche marketing is one way in which small businesses can operate profitably in markets that are dominated by large firms. An example would be Ikea and their play pen for younger children.

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