Brand Differentiation And Positioning: IKEA

Brand Differentiation And Positioning: IKEA.


Discuss about the Brand Differentiation and Positioning for IKEA.


With the increasing competition between industries, companies are forced to devise right, competitive strategies. One of these strategies is brand differentiation (Carter, 2014). Brand differentiation is where a brand set itself apart from the competition by performing well in the market with multiple customer benefits.

Differentiation and positioning strategy

IKEA, the world’s largest retailer of home furniture, produces affordable and stylish kitchenware and appliances. IKEA is well established in the world market due to: An exclusive museum used for showcasing its products from its creativity. Targeting strategies like demographics, geographic segmentation and psychographic used by the company to cater to the ever-changing and dynamic market of home requirements. According to Cooper (2015), IKEA coordinates with various designers across the world and test their preferences. This enables it to produce the latest furniture designs that are admired by the customers. Furthermore, its products are artistically designed, affordable at low costs and eco-friendly. Ikea, therefore, positions itself as a provider of quality furniture at low costs to its customers.

Difference between differentiation and positioning

Conversely, Samsung deals in smartphones, laptops, and refrigerators among other electronics. Its marketing strategy involves direct marketing and personal selling, various forms of advertising, events, and experiences. It uses a price skimming strategy whereby it offers products at higher prices then lowers their prices over time. This enables it to adequately sell its newly-launched products before a competitor launches a similar product and drops the price and then drops the prices to pose barriers to potential competitors. Samsung, therefore, positions itself as a provider of high-quality smartphones and electronics at high prices to its customers.

Furthermore, TAG Heuer deals in the production of watches and other accessories. It has globally spread its products to over a hundred and twenty countries. Also, the enterprise conducts intensive marketing campaigns and launches ads via electronic and print media as basic marketing strategies. Besides, it uses Social media like Twitter, Facebook, and YouTube for advertising its products. The company has established a demographic positioning strategy whereby it sells 70% of its watches to men.


Carter, L., 2014. Persona Design. [Online]
Available at:
[Accessed 19 April 2018].

Cooper, H. M. B., 2015. Cand. Soc., Management of Creative Business Processes. [Online]
Available at:
[Accessed 19 April 2018].

Brand Differentiation And Positioning: IKEA

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