Why is ikea so inexpensive

H M S In the news. Jessica Tyler. Shoppers love IKEA because of how affordable its furniture is. Many IKEA products cost about half the price of competitors. Part of why IKEA's prices are so low is that it packs everything flat to save on storage and transportation costs.

See what else IKEA does to keep its prices so low. IKEA designers work around the price of a product. In other words, IKEA chooses what it wants to sell a product for, and then designers work with suppliers to make that possible. IKEA explains on its website that it constructs its furniture by layering sheets of wood over a honeycomb core. This type of construction saves IKEA money, so it can price furniture lower. IKEA makes everything in bulk. This is reflected in their business model.

They can buy more supplies at once and then sell more products in-store. They then thrive to use all the materials they have leftover so as to not waste anything. They become valued customers with suppliers and get deals because they buy so many products. In addition to making products that are easy to set up by oneself, IKEA saves money on packaging, too. Their products are packaged flat.

This helps save money on transporting products. This also means there is room for more products in the store. We won't send you spam. What all of this means is that all of IKEA's various teams, from the designers to the marketers and the material suppliers, work directly with each other to bring their products from concept to your home in an economically efficient manner. Their approach works, too.

This is no doubt because their products are not only affordable, but also chic in design. The company purposely produces items that are simple but useful, utilitarian but still modern.

Top seller. Sleeper sofa. Sectional, 4-seat. Sofa with chaise. Sectional, 5-seat corner. What kind of sofa do you need? With room to spare Is it to be an elegant centerpiece in a modern living room? Back to top Share.