1. How does Ikea generate customer loyalty?
Customer loyalty is a deeply held commitment to re-buy or patronize a preferred product/service consistently in the future, thereby causing repetitive same brand or same brand set purchasing, despite situational influences and marketing efforts having the potential to cause switching behavior.
Stated in this paragraph are the things that companies need to heed to develop customer loyalty, and I will apply IKEA’s conduct of action in order to meet these standards.
• Create superior products, services, and experiences for the target market.
In this present case, IKEA was trying to deliver a message to the market that they care about them and are providing good quality product at the lowest cost. They make sure that they have a quality product at the lowest cost by having their product manufactured in many places. To date, IKEA works with approximately 1300 suppliers from 53 countries.
Providing low cost products are not their only way to generate customer loyalty, IKEA does a lot of research to understand their customer in different countries. They make it very easy for customer to give reviews and feedback regarding their products and services on the store or trough their online website. One of their very impressive research is their home visit program where IKEA managers visited household in Europe and the US to gain information about their preferences in storing their clothes.
By building IKEA stores to have a one way flooring, so that all customers can experience everything that they offering and it makes it easier for customers to imagine how they are going to use or put their product once they purchased it.
• Get cross-departmental participation in planning and managing the customer satisfaction and retention process.
Because of their research to find out about customers preferences, it is easier for IKEA...