IKEA’s ‘Fortune Favours the Frugal’ Campaign: Embracing Sustainability for a Better Future

QUESTION

A case study & video link about IKEA are provided below.

Step 1.  Read the case study

Step 2.  Watch the video

Step 3.  Answer the questions that follow

 

Case study: IKEA launches ‘Fortune Favours the Frugal’ sustainability campaign

IKEA hopes to reposition the notion of ‘frugal’, highlighting the benefits of being thrifty and sustainable instead, for both people and the planet alike

IKEA has announced the launch of a new integrated campaign aimed at encouraging the nation to think differently about the benefits of living a life of moderation.

Through the new IKEA campaign, ‘Fortune Favours the Frugal’, the company hopes to reposition the notion of ‘frugal’, which commonly has negative connotations, highlighting the benefits of being thrifty and sustainable instead, for both people and the planet alike.

The campaign will appear in broadcast TVC (60 and 20 second), cinema (60 second) and digital media across the UK and Ireland from January 2021, supported by OOH, and across a cluster of IKEA markets, including the US and Netherlands, during the year.

 

The TVC opens with an enormous meteor hurtling through space on a collision course with Earth.

 

As it gets closer it becomes apparent that it isn’t made from lunar rock but is instead an enormous, tangled ball of waste. Plastic junk, lightbulbs and other pieces of landfill twist and turn as the meteor hurtles ever closer towards earth, with a trail of light and pollution strewn in its wake.

 

Down on Earth, we see a news reporter on TV discussing the dire state of the environment. She says: “We are running out of time to prevent disaster unless we seriously change our habits.”

 

The IKEA spot sees a young girl laying on the floor watching the report, before plugging headphones into an 80s style Walkman. She hits play and with that, the mood changes. An uplifting, feel good track, ‘Making it better’ by The Barons, plays and realise that there is an opposing force to this giant global threat.

 

The little girl’s mother puts a jar of pickles into cabinets lined with glass jars filled with preserves, pasta and other ingredients and immediately see some plastic bottles and disposable containers wriggling free from the meteor before bursting into smithereens and disappearing.

 

Indeed, the more positive actions made on earth, the more the meteor disintegrates. The girl’s father cleaning vegetables over a washing up bowl, whilst his son sits on the counter picking fresh herbs. Meanwhile, her mother replaces an old filament bulb with an eco-friendly LED one, whilst another man hangs his washing on a drying rack. A student upcycles an old chair while drinking from a reusable cup, causing disposable coffee cups to break free from the meteor and fly through the air, spilling the last drops as they go.

 

The meteor breaks down so much that when it finally enters Earth’s atmosphere it’s no more than a single plastic bottle which harmlessly drops into the family’s backyard. The little girl from the start of the ad girl kneels down, picks it up, looks at it for a moment before casually throwing it into the correct recycling bin.

 

In the final shot, consumers see past her garden and into the entire neighbourhood which is bathed in a beautiful end-of-day light. Everyone is doing their part.

 

The voiceover proclaims: Fortune Favours the Frugal. IKEA. The Wonderful Everyday.

 

Alongside the TV ad, IKEA has a range of OOH going live which aims to bring to life the small acts that make a big difference. Refillable bottles, recyclable straws, homegrown herbs and energy-saving LED lights juxtaposed against epic scenes of the natural world serve to bring the long-term effects on the environment – and how to counter them – to life.

 

Kemi Anthony, marketing communications manager at IKEA said: “As a business, IKEA has a made clear commitment to help protect our planet from the effects of climate change, reducing our greenhouse gas emissions and designing all products to be reused, refurbished, remanufactured and recycled.

 

“In the last year alone, we have introduced a new, plant-based alternative to our iconic meatball, which has just 4% of the classic meatball’s carbon footprint; and we announced that we’re removing all non-alkaline batteries from our range, encouraging customers to use rechargeable ones instead. What’s more, early in January 2021 we will be launching Buy Back – an initiative that will see our stores buy back unwanted IKEA furniture from customers in return for a voucher to spend when they really need something.

 

“‘Fortune Favours the Frugal’ encapsulates IKEA’s commitment to continue to adapt the business and inspire people to think differently about the benefits of living a life of moderation over a life of excess. Small acts now will make a huge difference in years to come.”

 

VIDEO LINK:

 

Required:

  1. What is the message Ikea want to send to customer in this campaign?
  2. What is the business strategy of IKEA in the future?
  3. What is the benefit IKEA expect to receive after implementing this campaign?

ANSWER

 IKEA’s ‘Fortune Favours the Frugal’ Campaign: Embracing Sustainability for a Better Future

Introduction

In its latest sustainability campaign, ‘Fortune Favours the Frugal,’ IKEA aims to redefine the concept of frugality, moving away from negative associations and embracing a more positive and sustainable lifestyle. This integrated campaign seeks to encourage people to adopt moderate living habits that benefit both individuals and the planet. By highlighting the power of small actions, the campaign showcases how everyday choices can contribute to a cleaner, greener world. This essay explores the key messages IKEA wants to convey to its customers, its future business strategy, and the expected benefits after implementing this inspiring campaign.

Message to Customers

The primary message IKEA wants to send to its customers through the ‘Fortune Favours the Frugal’ campaign is the significance of embracing a sustainable lifestyle. The campaign advocates for moderation, urging people to make mindful choices that promote environmentally-friendly practices. By portraying the Earth threatened by a massive meteor made of waste, the ad symbolizes the consequences of excessive consumption and unsustainable practices. In contrast, the little girl’s family demonstrates how small acts of sustainability can disintegrate the looming threat, showing that collective efforts make a positive impact. The takeaway is that every individual has the power to contribute to a better world through simple, sustainable choices.

Business Strategy of IKEA

IKEA’s future business strategy is deeply rooted in sustainability and environmental consciousness. The company has made clear commitments to combat climate change by reducing greenhouse gas emissions and designing products with a focus on reusability and recycling. With the introduction of a plant-based alternative to their iconic meatball and the removal of non-alkaline batteries from their range, IKEA demonstrates its dedication to making environmentally responsible choices across its product offerings. Moreover, the upcoming ‘Buy Back’ initiative, where IKEA will buy back unwanted furniture from customers for vouchers, emphasizes the brand’s dedication to circular economy practices. By encouraging customers to reuse and recycle, IKEA aims to create a more sustainable future and reduce the impact of its products on the environment.

Expected Benefits

Implementing the ‘Fortune Favours the Frugal’ campaign is expected to yield numerous benefits for IKEA. Firstly, the campaign aligns with the growing consumer demand for eco-conscious products and companies that prioritize sustainability. By positioning itself as a brand that advocates for a moderate, sustainable lifestyle, IKEA can attract a larger and more environmentally conscious customer base. This, in turn, can boost brand loyalty and enhance its reputation as a responsible corporate entity.

Secondly, the campaign is likely to result in increased sales and revenue for IKEA. As more customers become aware of the brand’s efforts to promote sustainability, they are more likely to choose IKEA over competitors that do not prioritize environmental concerns. Additionally, the campaign’s focus on simple acts of sustainability might encourage customers to explore IKEA’s range of eco-friendly products, leading to higher sales of items such as LED lights, recyclable straws, and refillable bottles.

Lastly, ‘Fortune Favours the Frugal’ contributes to IKEA’s long-term sustainability goals. By encouraging customers to adopt sustainable practices, the company indirectly reduces its environmental impact and moves closer to its vision of a greener and more sustainable future. This aligns with IKEA’s broader business strategy of becoming a more environmentally responsible and socially conscious organization.

Conclusion

IKEA’s ‘Fortune Favours the Frugal’ campaign sends a powerful message about the importance of sustainable living and the impact of small, positive actions on the environment. By advocating for moderation and environmentally-friendly practices, IKEA showcases its commitment to a greener future and sets a precedent for other companies to follow. The campaign not only attracts eco-conscious customers but also strengthens IKEA’s position as a responsible corporate entity. As the campaign unfolds, IKEA is poised to witness increased customer loyalty, sales, and revenue while moving closer to achieving its long-term sustainability goals. Through this innovative campaign, IKEA proves that sustainable choices indeed lead to a wonderful everyday for both people and the planet.

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