In the IKEA (view map) test water shopping malls to capture the Chinese market, it also broke the annual price reduction activities twice, launched the first large-scale price reduction activities in five years, and wanted to enter the new round of home "bull market" Previously, the “small capital†in the minds of consumers was stripped of the high-end positioning, and the image of the international “home convenience store†was in line with the image of “civilian†in the Chinese market. The reporter saw in the Wangjing IKEA store that the entrance mark on the first floor has been affixed with the propaganda mark of “the lowest price of 500 kinds of goods and the listing of 800 new productsâ€. In the store, a variety of lower-priced commodity signs can be seen everywhere, covering a variety of sofas, cabinets, beds, toiletries, and accessories. A three-person sofa with an original price of 2,299 yuan, straight down 300 yuan to 1999 yuan, another corner sofa also cut the price of 500 yuan. Some small pieces have also attracted many consumers. The 5-piece stainless steel cookware has dropped from 79.9 yuan to 69 yuan, and the price of a table lamp is 39.9 yuan, which is 20 yuan lower than the previous price. A staff member of the store said that the price dropped by an average of 30%. In addition to a large number of lowest-priced items, there are many crazy low-priced items that are more expensive than the July summer price reduction activities. The reporter noticed that a Lark side table was sold as a crazy low-priced product for 99 yuan in the July summer sale, but now only sells 69 yuan. The reporter learned from various channels that the price reduction activity started on September 1 was the largest price adjustment in IKEA in the past five years. The scale of low-priced products expanded from 150 in 2007 to more than 500; also in February and July this year. After the third large-scale price cut, the two annual price reduction activities were broken. It is reported that September is the beginning of the new fiscal year of IKEA, and in the past few years, IKEA's performance in the Chinese market is not satisfactory. In fiscal 2008, IKEA China's sales were less than 2% of global revenue. In fiscal 2009, IKEA China's total sales increased by 16%, lower than the 25% increase in fiscal 2008. Since IKEA entered the Chinese market for 11 years, the number of stores has also been “snail†development. Since the beginning of this year, IKEA has begun to test the water mall business format, which is enough to see that IKEA has begun to exert its strength in the Chinese market. According to sources, IKEA's high-end product image has become increasingly incompatible with the Chinese market environment. IKEA's move is intended to divest the label of “China Petty Bourgeois†in the minds of consumers, and the “home convenience store†used in the Swedish and North American markets. The image is in line, through large-scale price reduction activities, reducing the price of the entire product line, reshaping the civilian image of IKEA in China. In the view of Laiyang, the secretary general of the Beijing Business Economics Association, when IKEA entered China, the new design concept, DIY mode and experiential store layout attracted consumers' pursuit, but its product quality and pattern were not really high-end products. Most of its materials are popular materials. The consuming behavior of “shopping through IKEA and then going to the building materials supermarket†made IKEA fall into an embarrassing situation. With the maturity of high-end design of domestic building materials and home furnishing, domestic brands have been able to meet the needs of high-end consumers; and IKEA's unique themed, personalized design of small ornaments is no longer "rare", fierce competition makes IKEA once Adjust the price twice. There are also people in the industry worried that it is difficult to improve IKEA's performance in China by relying on single-line price reduction for tactical repair. Fashion and quality are not all of China's home furnishing concepts. It is also necessary to find out the real needs of Chinese consumers and to develop localized brand value positioning.
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