Showing posts with label facts about IKEA. Show all posts
Showing posts with label facts about IKEA. Show all posts

Friday, May 13, 2016

20 More facts about IKEA, the world's biggest home furnishing store (Part 2)

When was the last time you were in an IKEA store? If you’re a homeowner, moved into a new apartment or rental house recently, or even sent a child off to college, there’s a good chance you roamed the cavernous halls of the Swedish retail giant not so long ago. But how much do you really know about the household name in furniture with products that are nearly impossible to pronounce?

In part one of this blog we covered the first 20 facts about IKEA but we still weren’t finished unpacking and assembling the great information we found, so here are 20 more facts about IKEA, about the biggest home furnishing company on the planet:

1. While it’s a popular member of many communities in the U.S. now, IKEA wasn’t always such a big hit in North America. In fact, when they opened their first store outside Philadelphia in 1985, customers complained that they couldn’t pronounce the name, couldn’t decipher the merchandise by name, the measurements were all in metric, products weren’t adapted to standard U.S. sizes (like curtains not fitting U.S. windows). In fact, some products were even misused, like European flower vases that Americans used as drink tumblers. Due to these challenges, it took IKEA five years to open another store on American soil, and it really didn’t start gaining acceptance until 1997

2. Every year, 212 million copies of the IKEA catalog are printed in 29 languages and 62 editions. If you’re wondering, that more than doubles the second best-selling book in the world, The Holy Bible.

3. One of the fun things about walking through an IKEA store is following the smell of meatballs to its source – the IKEA in-store restaurants, bistros, and also take-out meals. In fact, IKEA sells a colossal amount of its special Swedish Meatballs: about $1.8 billion in 2013 alone.

4, But their famed meatballs came under heavy scrutiny that same year when…get ready…when horsemeat was found in one batch of the meatballs. IKEA did issue a product recall, but it was believed to be a problem with a larger supplier than affected many brands, not just the store.

5. IKEA has banned games of hide and seek. Apparently, organized games of hide and seek – mostly by adults who coordinate their playtimes via social media – were popular in IKEA stores. But when 19,000 people agreed to show up at a store in Amsterdam to play Hide and Seek, the retailer officially outlawed the game.

6. IKEA uses roughly 1% of the world’s entire commercial supply of wood to manufacture their products. In fact, IKEA’s single particleboard supplier, a company called Hultsfred in Sweden, processes 30 million pounds of sawdust per day for furniture production.

7. Always looking to expand, IKEA has a hotel in Sweden. The Värdshuset IKEA Hotel & Restaurant sits right across from the company’s oldest store in Ă„lmhult, Sweden and features 151 modern and well-furnished (you guessed, it – with IKEA goods) rooms.

8. IKEA’s promotions range from creative to hilarious to downright bizarre, and you can choose your adjective to describe the contest IKEA Malaysia held to promote the reopening of one of their stores. The PR team went on Facebook and asked people to dress up like their favorite IKEA product. That’s right – people dressed up like IKEA lamps, sofas, mirrors, bathroom vanities, and other inanimate objects.

9. Following up on their aim to be socially and environmentally conscious, this year IKEA is converting all of its lighting products to LED, so only LED bulbs, lamps, fixtures, etc. will be sold from this year forward.

10. They also own and operate wind farms with 137 wind turbines around the world producing energy for their stores and manufacturing.

11. IKEA does plenty to contribute to charities and give back worldwide. IN fact, the IKEA Foundation’s donation add up to more than $232 million yearly, and their Soft Toys campaign alone generates more than $12.6 million dollars for the good cause.

12. IKEA’s philanthropic philosophy might not just be good will, but a genius business strategy, because IKEA actually operates as a legal non-profit! All of the IKEA companies are owned by a parent company called Ingka Holding, a private, Dutch firm; and Ingka Holding belongs to Stichting Ingka Foundation, which is a tax-exempt Dutch non-profit. Someone very crafty devised their complicated holding structure, but the end result is that IKEA pays only about $3.5% on its massive $28 billion yearly furniture sales.

13. Have you ever noticed that IKEA product manuals are wordless? That’s right – there is no written text in any of the company’s instruction manuals, just assembly figures. Apparently, adding words to each product’s instructions – and translating them to so many languages – would cost a whole lot of money, not to mention make the manuals so thick they’d be cumbersome and more expensive to print.

14. Speaking of the part about IKEA that’s so bad it’s almost good – the assembly - you’ll clench your teeth and tighten your fists at this fact; around the halls of IKEA they actually call the assembly process, which has sent more than one person to an insane asylum (my best guess), “husband killers.” In fact, the joke goes that it takes 10 hours to put together an IKEA wardrobe – 8 hours for the actual assembly and 2 hours to argue about it.

15. Just how stressful can it be assembling the large IKEA products? Apparently, shopping, hauling, and especially putting together IKEA furniture can incite such strong negative emotions that a Santa Monica, California psychologist sometimes uses the experience in her couples counseling sessions. By instructing the disagreeing duo to complete an IKEA assembly project together and then share the results in therapy, she often reaches relationship breakthroughs (and just as often loses clients.)

16. However, just like everything the well-researched brand IKEA does, the lack of assembled items isn’t an accident. Not only does it help with shipping and consumer transport, but it actually can evoke strong positive feelings of value from owners. A study by the Harvard Business School found that people who had to work hard and even struggle to put together their IKEA purchases tended to assign great value to them than people who didn’t have to do any work.

17. Not only can you buy things for the inside of your house, you can buy an actual IKEA house. That wasn’t a misprint - IKEA sells homes, designed and pre-built by the Swedish company Skanska. Going by product name “BoKlok,” a four-bedroom home sells for about $176,000. Let’s see you strap THAT to the roof of your car and put it together on a Sunday afternoon!

18. IKEA employs “company anthropologists” to study how people use their designs, and often send them to observe in real peoples’ homes. The IKEA customer volunteers are rewarded with gift cards, or bigger prizes for long term studies, allowing the retailer to rig their living space with cameras.

19. In China, shoppers often curl up on one of the IKEA display beds or sofas and take a nap! The snoozing slumbers are socially accepted in China, so other shoppers and store employees usually just let them ZZZZZZ in peace!

20. Have you ever tried to exit your way from an IKEA store, only to feel like you’re in a maze that was specially designed to keep you in? That’s because you are! Just like with casinos, IKEA floor plans are carefully planned to keep you in shopping mode as long as possible, as well as entice you with impulse buy and specially discounted items along the way. But there are short cuts on every IKEA floor that will almost instantly take you to an exit (required in case of a fire) – you just don’t know about them!




Wednesday, April 13, 2016

20 Facts about IKEA, the world’s biggest home furnishing store

Do you have something from IKEA in your home or apartment? Chances are that you do have at least one item from the quirky Swedish company that offers cool and funky discount furnishings that can be insanely frustrating to assemble. But no matter how many times you’ve been lost in the maze of your local IKEA and strapped way too many bulky boxes to the roof of your car, you probably didn’t know these 20 facts about the biggest home furnishing company on the planet:

1. IKEA now makes about $28 billion every year, which is more than the GDP of many small countries such as Serbia! But despite these colossal profits, IKEA is not resting on their laurels, as they have plans to double their furniture empire and profits by 2020.

2. The furniture and home good brand now operates a mind-boggling 351 stores in 43 countries around the world, from China to Russia, Europe to the USA.

3. But IKEA started out with much more modest roots, founded by Ingvar Kamprad’s in the Swedish village of Agunnaryd in the 1940s.

4. Kamprad was only 17 at the time, and had been peddling small items like pens, stockings, and cheap jewelry door-to-door. After all those miles of walking and doors slammed in his face, he realized there was another way to distribute products, so he started a cottage mail-order business.

5. He named his modest company IKEA, which many people incorrectly assume is a Swedish name. In fact, IKEA is an acronym (that’s why it’s always capitalized).

6. The “IK” are his initials; the “E” is for Elmtaryd, the name of the farm he grew up on, and the “A” stands for his home village of Agunnaryd.

7. More than 60 years later, IKEA now sells an astounding 9,500 different products in their catalogs, stores, and online!

8. With all of those thousands of products for sale, you would figure the logical and easiest way to label and organize them all is with product numbers. Ingvar Kamprad did try that at first, but since he’s dyslexic, he repeatedly confused up the sequences of numbers, leading to non-stop mistakes. So he switched from a number coding system to individual names for each product.

9. The names are mostly Scandinavian words, places, and sometimes-nonsensical creations. While most store patrons around the world don’t ever attempt to pronounce the names, they're an endearing signature of the brand, nonetheless.

10. But it did lead to trouble for IKEA when in 2006 in the newly opened Thailand store, it was discovered that several of the Scandinavian words sounded like sexually explicit phrases in Thai.

11. While most prices at furniture stores go up every year, IKEA embraces its presence as a high-volume, low-cost practical brand. In fact, prices for IKEA products have gone down by 2-3% every year since 2000!

12. Still in charge of the IKEA empire, founder Ingvar Kamprad is now reportedly worth $4.2 billion, making him one of the richest people in the world.

13. But despite his vast riches, the 88-year old Kamprad is notoriously frugal, living in his modest long-time home, bargain shopping at local markets in his village, and flying economy when he travels for business.

14. In fact, when Kamprad won the Businessman of the Year Award, he took the bus to the gala, but was first denied entry because they didn’t recognize him and thought him an average party-crasher arriving via public transport!

15. Just how many people shop at IKEA? Last year, there were 771 million visitors to IKEA stores (twice the population of the U.S.!), 213 million catalogs printed, and 1.9 billion visits to IKEA.com!

16. Out of their 351 stores worldwide, the majority – 262 of them – are in Europe, where IKEA is wildly popular. The largest IKEA store in the world is in Stockholm, Sweden, the capital city of Ingvar Kamprad’s home nation. The mammoth store spans 594,167 square feet, the size of ten NFL football fields put together! But that won’t be the biggest for long, as IKEA is starting to build an entire town in East London, covering 27 acres!

17. With all of those stores and sales, IKEA is one of the world’s largest private employer, giving jobs to 131,000 people around the globe.

18. Year after year, IKEA’s most popular product is their simple and reliable (and pronounceable!) BILLY bookcase. In fact, one BILLY bookcase is sold every ten seconds somewhere in the world!

19. Just how popular is IKEA? In the United Kingdom, it’s estimated that 1 out of every 5 people sleep on an IKEA bed.

20. And at least 1 in 10 Europeans were actually conceived on an IKEA bed! I’m not sure how they researched that statistic, but it’s impressive just the same!

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Stay tuned for part 2 of this blog when we cover 20 more facts about IKEA, including the frustrations of assembling the furniture, company-approved naps in for customers in their China stores, and the famous IKEA meatballs!