What is IKEA’s Success Mantra ?

• ·       Everyone needs furniture and IKEA found a way to produce this stuff in a way that's affordable to customers and can be scaled globally.
• ·       Flat pack furniture ships with great efficiency and its cost to produce relative to real wood is much lower.
• ·       The trade-off, is that the customer must assemble it somehow, which they enjoy. And people trade convenience for affordability all the time.
• ·       They're also combining affordability with pleasing design. Cheap and nice is rare and this creates excitement and enthusiasm, which drives sales.

• ·       Their ads are unconventional, they frequently feature people from LGBTQ community and it appeals to them.
• ·       IKEA is an elaborate combination of shell corporations, non-profits, licensees, licensors and other clever dodges to escape taxations.
• ·       Except for little things like foodstuffs, they design the products, manufacture most of them, handle distribution and do the retail, a classic example of vertical integration.
• ·       They keep the bulk of their margins, and don’t split the pie with different brands or distributors, like other distributors and retailers.