- Brandscore Card -
The brandscore card is an essential element used to evaluate the overall equity of a brand. The scorecard is an effective way to asses the unmet needs of the brands customers, it enables the brand to stay relevant and effective in the marketplace in a methodological manner. The scorecard should be able to fill any gaps that have developed within the brand’s approach to management and its strategic direction, as well as developing and maintaining a functional management system that can grow as the brand grows, while remaining comprehensive and completely brand relevant. (Kaplan and Norton, n.d.) In terms of evaluating the current situation of a brand, a brand scorecard enforces a successful management plan by directly addressing what is at the core of the brand. It allows for the brand managers to objectively rate their brand against their own set of standards, based on their strategy.
1 IKEA’s Mission & Vision
In order to create a viable scorecard to measure against the IKEA Brand against, it is important to define exactly what the vision and the mission of the IKEA Brand is and if they honour their vision and mission.
According to IKEA’s business concept , “At IKEA our vision is to create a better everyday life for the many people. Our business idea supports this vision by offering a wide range of well-designed, functional home furnishing products at prices so low that as many people as possible will be able to afford them”(Ikea.com, 2014). From their own definition of what their vision is it can be said that they aim to vastly improve the quality of the lives of people who are in a lower income bracket, whilst still maintaining a certain level of product superiority and status. The IKEA brands vision is to use the concepts of conservation and minimalism to their full potential, by focusing on the effectiveness of simplicity and the functionality of each product rather then purely the aesthetical components.
The price of each IKEA product makes a large part of what their brand vision entails, “Low prices are the cornerstone of the IKEA vision"(Ikea.com, 2014). By using their low prices as the foundation of their brands vision, Ikea fulfils a widespread and need for product availability.
2 Potential Goals
In line with the Ikea vision there will always be consumers in need of their products. By following their current goals such as:
Keeping prices low – at design phase, there are strict product requirements which need to be met in terms of function, efficient distribution, quality and impact on the environment.
A certain level of quality is always maintained – by using effective negotiation skills and carrying out rigorous quality control evaluations on their materials.
Awareness and measurement of their brand environmental impact – Ikea are transparent in their approach to choosing suppliers and using sustainable materials that can be recycled and renewed as well as monitoring and controlling a high standard of their social and working conditions.
Consumer friendly product – throughout the supply chain, Ikea is true to their environmentally friendly approach from raw materials all the way to the end user.
Reduce carbon emissions – IKEA gave 9000 bycicles to their employees as well as subsidized their employees’ fairs to work. This increases healthy living for their employees and reduces carbon emissions. They also designed their water cans to stack on top of each other neatly, reducing the amount of trips it would take to transport them to the stores.
Maintain existing stakeholder relationships – Ikeas ensures that the communication lines between suppliers, manufacturers and of their stakeholders are clear and concise according to both their vision and mission.
In order to access the potential goals of the Ikea Brand, it is necessary to consider the following statement “It's not difficult to manufacture expensive fine...
References: Ikea.com, (2014). Our business idea - IKEA. [online] Available at: http://www.ikea.com/ms/en_SG/about_ikea/our_business_idea/index.html [Accessed 24 Aug. 2014].
Ikea.com, (2014). Our low prices - IKEA. [online] Available at: http://www.ikea.com/ms/en_SG/about_ikea/the_ikea_way/our_business_idea/our_low_prices.html [Accessed 25 Aug. 2014].
(National Geographic, 2013, n.d, http://www.natgeotv.com/ca/megafactories/ikea-facts)
Essays, UK. (November 2013). An Analysis Of Market Segmentation Of Ikea And Bandq Marketing Essay. Retrieved from http://www.ukessays.com/essays/marketing/an-analysis-of-market-segmentation-of-ikea-and-bandq-marketing-essay.php?cref=1
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