You know you’ve spent hours wandering its hallowed halls, browsing cheaply-made furniture and believing that its functional European designs will somehow make you a better person. But have you ever wondered how a giant warehouse next to the highway can do that to you?
- Ikea brought on Kerri Molinaro in 1992, and with her arrival came a brand-new approach to customer appeal. Molinaro brought fashion sense and an eye for merchandising to the efficient furniture store, and changed its image completely.
- Ikea’s unique business model involves scrimping on production costs and sales staff, and splurging on things like consumer research, product design, and advertising.
- The store’s layout is not a coincidence, either. Products are displayed alongside one another in beautifully decorated mock-rooms; items cleverly displayed on a wall are easy to find in nearby bins, and, of course, the store is a literal maze, trapping customers who cannot navigate beyond the store’s arrow guidance system.
Facts & Figures
- More than 50% of Ikea visitors buy something before leaving; in women’s clothing stores this number is closer to 8%
- Each Ikea store employs approximately 400 people. Of these, 30% are in sales and 70% work in the warehouse or in merchandising.
- During an average visit, Ikea shoppers spend two hours in the store.
Best Quote
“Often people will never come into contact with staff until the cashier. These products are really selling themselves.” – Kerri Molinaro, President, Ikea Canada