refive’s Post

'Ikea UK sales slide after investment in price cuts 📉💷 Ikea UK saw sales slide in its latest financial year, as it invested further into slashing prices. 🛍️💔 More insights 📊 on databoutique.com, the largest source for public data that helps understand the news in retail. #IKEAUK #RetailNews #SalesAnalysis' by Retail Gazette about IKEA

Ikea sees UK sales leap IKEA saw a 11.9% increase in UK sales to £2.46bn as it increased margins. The chain saw margin rise from 2.3% to 4.5%.  In-store visits rose by 2.2% (a million more visits), online sales by 19% to 38.5% of sales, remote sales by 24% and click and collect purchases by 48%. ‘In our 80th year, we can be proud of our performance. FY23 was a year in which we improved our customer experience, grew our market share and continued making meaningful investments in our business and people,’ says Peter Jelkeby, Ikea UK and Ireland ceo and chief sustainability officer. ‘Having overcome challenges posed by Brexit and COVID, we have since focused on a creating a more efficient organisation and improving our profitability, which gives us the financial strength to continue investing for generations to come. Despite a difficult economic climate, our focus remains on new locations, new store formats, and in new services.’ #furniture #furnitureindustry #ikea

Distributors! Are IKEA and Costco role-model companies to emulate as they have always been for me? Adds: 1.       On the surface both companies seem simple: sell commodities at every-day-low prices. a.       Both have ridiculous lifetime, profit-growth records. b.      Competitors have tried to compete with their superficial offerings and failed. 2.       Both have deep, layers of hidden, enabling systems that create “moats” which are: a.       Barriers to entry b.      And, profit-growth drivers that have rewarded all 4 main stakeholder groups: employees, customers, suppliers and shareholders. 3.       If there input costs drop, they pass them on. a.       Costco consistently marks everything up for only a 13% margin. b.      IKEA is “investing” in price cuts. c.       If/when deflation hits your landed-costs, what will you do? 4.       If you can claim to dominate one, best-for-you, most-net-profitable customer segment, then what are your underlying systems that deliver both service-value and premium profits and growth via customer retention? Is it time to go to merrifieldact2.com to get the “Core Renewal Map” and improve your hidden, profit-driving systems? 

IKEA Australia is currently making significant price cuts of up to 20% on over 700 popular items. How are they doing this and making more money and keeping customers happy at the same time?  Here's how: 1. Despite rising operational costs, IKEA is committed to absorbing these expenses rather than passing them on to customers whenever possible. 2. IKEA has highlighted its focus on putting affordability and customer satisfaction at the forefront of its business strategy. (https://lnkd.in/g4m5KtFp) 3. IKEA extends its affordability initiatives through discounts for loyalty program members and introduces Happy Days Deals. 4. IKEA are likely keeping highly visible products competitively priced while optimising the rest of their range. IKEA's price drop strategy covers a wide array of products including furniture, lighting, textiles, and storage solutions. While affordability is a key aspect of this pricing strategy, there are lots of moving parts behind it which in turn ensure it is both profitable for them and good value for their customers. #pricingnews #taylorwellspricing #ikeapricingstrategy Sources: https://lnkd.in/gCKV7Hfh https://lnkd.in/gW-yFBEe https://lnkd.in/grD7UnGQ https://lnkd.in/gc9kA3PZ

IKEA Australia is currently making significant price cuts of up to 20% on over 700 popular items. How are they doing this and making more money and keeping customers happy at the same time?  Here's how: 1. Despite rising operational costs, IKEA is committed to absorbing these expenses rather than passing them on to customers whenever possible. 2. IKEA has highlighted its focus on putting affordability and customer satisfaction at the forefront of its business strategy. (https://lnkd.in/ghV35cSu) 3. IKEA extends its affordability initiatives through discounts for loyalty program members and introduces Happy Days Deals. 4. IKEA are likely keeping highly visible products competitively priced while optimising the rest of their range. IKEA's price drop strategy covers a wide array of products including furniture, lighting, textiles, and storage solutions. While affordability is a key aspect of this pricing strategy, there are lots of moving parts behind it which in turn ensure it is both profitable for them and good value for their customers. 

What's New to TheStreet... 🛋️ IKEA Sales Dip Amid Price Cuts to Boost Shoppers 📉 IKEA saw a 5.3% drop in annual sales, totaling 45.1 billion euros, after lowering prices to encourage shoppers back into stores. Despite the decline, the Swedish furniture giant remains committed to offering affordability and quality to its customers. Have you noticed the price drop at IKEA? Share your thoughts below!💬⬇️ 👉🏻Follow New To The Street for more! #IKEA #furnitureretail #lowerprices #salesupdate #customerexperience #retailnews #homeessentials #businessupdate #innovation #businessnews #business #news #newtothestreet

What's New to TheStreet... 🛋️ IKEA Sales Dip Amid Price Cuts to Boost Shoppers 📉 IKEA saw a 5.3% drop in annual sales, totaling 45.1 billion euros, after lowering prices to encourage shoppers back into stores. Despite the decline, the Swedish furniture giant remains committed to offering affordability and quality to its customers. Have you noticed the price drop at IKEA? Share your thoughts below!💬⬇️ 👉🏻Follow New To The Street for more! #IKEA #furnitureretail #lowerprices #salesupdate #customerexperience #retailnews #homeessentials #businessupdate #innovation #businessnews #business #news #newtothestreet

TOWARDS 2025: CO-CREATING A FUTURE SOCIETAL-FRIEDLY TRANSPORTATION In 2024 IKEA became even more affordable for the many people (see below link to the Inter IKEA Group CEO’s post). And how did we deliver the goods to our customers? We continued our journey of making our LAND TRANSPORTATION even more sustainable, successfully combining all three sustainability dimensions: social, ecological and economical. In terms of decarbonization, we reached another milestone in our 2030 goal to decrease relative CO2 emissions per shipment (i.e. a full truckload) by 70% vs. 2017. In 2023 we decreased it by -9%, in 2024 by – 7% and for 2025 we have actions planned to reach another -9%. How do we ensure all the three sustainability dimensions move in the right direction? • Shift from road to intermodal rail, short sea and barge, with over 50% TKMs globally already off the road • Shift from diesel to HVO100 where feasible • Usage of “big trailers” wherever possible • Electrification of road transportation with focus on short distances (till summer 2025 our partners will use 250 E-HDVs) with proper operating frame. This would not be possible without never-ending efforts and a close collaboration with our professional partners and without our great people, led by Christophe LECLERCQ, Angela Bian, Anders Håkansson, Ernesta Meinorė, Adrien GARCIA, Pete Bergman, Mrinmoy Dasgupta, Vivian WANG, Giulio Cervone, David Dege, Jurgita Modgabyte Mortensen, Zbigniew Organa, Gianluca Felippone, Joanna Waliszewska

The article from Forbes discusses the current state of consumer spending in the U.S., highlighting shifts in purchasing habits and the impact of economic factors on different sectors. Here’s a concise summary of the key points: Consumer Spending Shifts: There’s a noticeable shift from discretionary products to essentials, with lower-income consumers focusing more on non-discretionary categories. Walmart’s Insights: Walmart observed higher engagement from upper-income households, while noting that customers are prioritizing essential groceries over items like TVs. Home Depot’s Challenges: Home Depot reported a decline in sales for the third consecutive quarter, with customers deferring major home projects due to high interest rates. Luxury Market Resilience: The luxury goods market, represented by LVMH, continues to see growth, albeit at a slower pace compared to previous years. Second-Hand Luxury Demand: The RealReal reported growth in consignment revenue, indicating a robust demand for second-hand luxury products. Small Retailers’ Success: Independent retailers catering to high-income consumers are thriving by offering personalized services and unique products. In summary, the article provides a nuanced view of the retail sector, showing stability in overall retail sales but emerging signs of stress among consumers with less discretionary income. High interest rates and a shifting job market are influencing spending patterns, with luxury goods still finding a steady market despite economic pressures. https://lnkd.in/g2P2wheT

IKEA Australia focuses on putting affordability and customer satisfaction at the forefront of its business strategy, with new pricing strategies emphasising value for money in its new TESAMMANS collection and Happy Days Deals. But does affordability always mean the lowest price? Short answer: no it doesn't. Affordability transcends mere low prices, IKEA emphasises value, considering factors like quality, utility, and personal preferences with its 18 new pieces spanning furniture to textiles. The affordability price band for the collection seems to run from c.$3 to $300. Affordability value driver initiatives extend through discounts for loyalty program members. IKEA also introduces its Happy Days Deals, featuring half-priced meals every Friday for IKEA Family members. These approaches are an attempt to offer competitive pricing and enhance the overall customer experience for cash-strapped consumers.