What Is IKEA and Why Do They Win (The IKEA Story Part 2)

Show Notes

IKEA founder Ingvar Kamprad opened his 398 stores in parts of town that no other furniture stores wanted to be in while making his customers build their own furniture and while serving Swedish meatballs. Listen in to hear how he did it.

IKEA Store Size

Aside from affordable, minimalist furniture, IKEA is known for its warehouse-sized space and enveloping floor plan. IKEA is typically a two-level building that ranges in size from 200,000 sq ft to 450,000 sq ft–the average size is approximately 320,000 sq ft (5.5 football fields).

  1. American Football field is 57,600 square feet (360 x 160).
  2. One acre equals 43,560 square feet

Segment 4

Throw Away Furniture

Ingvar seemed to understand that many young people don’t want to feel burdened with moving their furniture across the country and that many people would simply rather throw away their furniture rather than having to move it to their new city of employment. He believed that in the near future we would see more and more people moving across the country to accept a new job and he was right.

The King of Frugality First

Ingvar was known to the world as being one of the most frugal people on the planet despite his great wealth. He moved to Switzerland to avoid paying Sweden’s high tax rate and he chose to drive an old Volvo. When flying around the world to manage his business interests he chose to fly economy and he always stayed in budget hotels while eating cheap meals. He lived in a modest home and made sure that the vast majority of IKEA’s wealth was held in a charitable trust.

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Audio Transcription

Want to attend the legendary thrive time show best business coaching program workshop for free, subscribe on itunes leave. It objected review and send his confirmation at info at drivetime show.Com to claim your tickets want to live in a van down by the river, come by and see us at our riverwalk offices and will be able to make your dreams come true. Your radio in today, as we often do or break it down, the, life and times of a very, very successful entrepreneur. This guy and he’s the founder of ikea. He was born there in 1926 and lived until 2018. He passed away this year at the age of 91 after leaving the earth with 398 iconic ikea stores ikea for the customer provides the service themselves. Ameni want I want to get I want to see that out the how big is the average ikea store at 817 realizes it’s the time of world war ii people are struggling to find matches. Pencils are struggling to find items, office supplies seeds to plant things. He becomes a reseller seabiscuit find the product, buys it low, sells it higher, and he does this for 7 years. Then at the age of 24 and occurs to him:hey i, live by a forest. You know what there’s a furniture guys making furniture using the wood in the forest I’ll go to those guys and see. If they will. Let me sell their furniture in the markup and it does really really well so 7 years in the business, because I think I should become a furniture store switches from being a seller. Of all things to all people to becoming a furniture store. Guyany begins to realize hey, you know what, if I sell the best business coaching program furniture and I still at crazy cheap, where it’s nice stuff, but yet you have to build it yourself and I’ll sell it to you, but you have to assemble it yourself I’m going to so you can pretty sure but I’m going to ship it where it’s not put together yet, and you have to put together yourself, I think people like it and he swings and home run people love it. So you’ll look up his first showroom at age 26. He starts advertising at the age of 27 for the first time, if you don’t advertise your business by the way you’re just joking off the best as you’re. Just you don’t realize the power of advertising, but he start advertising, and so the age of 27 people realize now go to ikea, where you can find more furniture, under one roof than any other store tall here.

I keep your phone with the average. How big the average ikea store in this is kind of mind-boggling. Okay, there are anywhere from 200 thousand square feet to 450000 square feet and the average size is right, around320000. So to put that into perspective an american football field, the entire field is 57600 square feet in a 1-acre. The square footage in 1 acre is 43560, so we’re looking at some of the best business coaching program stores or 10 acres. How many football fields is a typical store. Oh my god we have so that would do that. So how many? How many football fields could fit into the typical ikea store in my brain calculator? Something because I just focus on keeping everything. Crazy, cheap I think I can win. So how do you do that? First off he shipped everything where it was flat and wasn’t put together, yet so it’s less expensive to ship it then he starts with this idea. If you know what I’m going to put my stores in warehouse, district square, other retail stores aren’t so I can sell it even cheaper, because my rent is less so I can sell it even cheaper set up. That’s the nextlupita’s didn’t get the idea. If you know what, if I make it like a maze like you have to follow a set path, I’m going to make it take like 3 hours to make it through my store. That’s none of that a quick-paced! Let me tell you I’m, just telling you that store. If you get out of an ikea in less than 3 hours, you are a champ. I went one time. One time I was in dallas and I was trying to buy furniture for one of our businesses frisco, maybe cuz I’m, working and i. Think so, and one of the partners like all go to ikea and I’ll get.

This is clay clark, 101 I will gladly pay more money for you to do anything then, for me to do anything going to do that, so we go there and I’m going. This is good. How long is it to god’s great? Try the meatballs meatballs by the way there meatballs so I did a deep dive into it turns out homeboy. The founder of the best business coaching program company in far is from sweden, and so he sells swedish meatballsso, that’s what he was doing. Who idea was to get you into the buying mood they wanted to serve food, so you’d sit for 3 hours and then you’re, not hungry. You know hungry and angry and walking around your belly is full and you will see how many football fields fit into an ikea store to the average, like we said, average stores 320000 square feet, which would be 5.5 football fields, massive massive store-and you know what goes above a massive hurry. Cuz of the given furniture stores massive right in there, but they can’t do as they can’t let the roof collapse right business out there, and you say you know, i-got to make sure that my roof is intact. If you want toruin your furniture, what you got to do is reach out to one of our shows sponsors. The good folks at messick, roofing, mastic, roofing, shut up. Their phone number is +918-747-714-1187 for 77141, since 1962 they’ve been around as long as ikea has right there by around since 1962 like 50 something years or maybe you just need to get that roof replaced.

I know it’s not going to be a fun process right and it’s a terrible. It’s not fun to fix your roof and don’t make it worse by hiring a second-rate contractor, I highly recommend you go to messick roofing triplets that you spell at the web address when I get there. It’s messick, messickroofing.Com, messick, roofing., com, mastic, roofing, 918747-7141, and this time of year. Right now in the beginning, april is a really good time to go. To start raining, it’s going to hell it’s going to rain and you’re, going to start seeing these little spots and a lot of times before it gets bad enough to start leaking bad. Is that mexican come out and do an inspection on your roof? And let you know I hate these spots have had hail damage until you’re going to need to get these looked at before it turns into something too big is out there. If you reach out to messick roofing today today today and get a quote I will make you swedish meatballs, for you understand that whatever your twitter sign up for here, I am going to send an employee on my team to sam’s club, and then they are going to buy swedish meatballs I’m, not kidding they’re, going to do it and they’re going to the microwave okay. So what you think about class i, don’t have any you talk about speed efficiency I’ve got that so I’m going to I’m done. If you get a quote today, get it today, 2-day get it by 5. Today, if you go to mexico roofing you get a quote for your roof. I call. This the ikea swedish swedish, meatball, guarantee guarantee you want to do. Is you just show us proof that you requested a quote and you come on down to the thrive timeshare world headquarters in beautiful jake’s america and their I’m going to buy, will personally serve., and, i, say personal? If you get this I’m going to send somebody who works for me to sam’s club they’re, going to buy the swedish meatballs I’m going to put in my microwave i, say:i, someone else will put it in the microwave, then I said I’m going to serve you having someone who works in my office will serve you and then I will give you a fist bump and I will say boom. That’s what I do for you it’ll happen, I guarantee it’s the swedish, meatball messick, roofing  best business coaching program guarantee and I was just eating some swedish meatballs I wasn’t paying attention.

What’s that web address one more thing., com, messick, roofing.Com and again her number is 918-747-7141 is resourceful guy. We come back we’re going to talk about how he decided to make the shopping experiencetake forever. Because to me this seems like the worst thing you could do is put your furniture store in area that’s hard to find in a warehouse district in to make the experience take forever, but it turns out 398 stores. Later the ingvar and ikea do a little something about selling furniture that people love animals. You are now entering the dojo mojo and the thrive time show kick it. Yes, you can can I kick it? Yes, you can can I kick it? Yes, you can can i. Guess you can. This is click clock on the best business coaching program mic and can topical castano, pinochet and I’m focused on the mission beach the skills and get to the plans broadcasted from vans, portland, and I’ll be to see her yes and that would stick up like batman? Yes, yes, yes and yes. What about the ikea story? At the age of 17 ingvar grows up in the time of world war ii selling pencils matches seeds, christmas, trees, office supplies, he’s buying anything he can find and then selling it higher during the time of world war. One day he goes into the woods he meets. These guys were making furniture in the woods in sweden and he said: hey guys, here’s the deal I am going to help you sell your products. Can I can I get a you know, deal and I’ll buy your furniture, low, I’ll sell it higher turns out it does. Well, then he has this idea. What if I sell the furniture super super cheap so that way people can buy it super super cheap. What, if i, what if I make it where you had the customer have to assemble the furniture themselves off. As friends say, people have to make their own furniture what you’re going to I think this is a move. I. Didn’t people really do value buying furniture cheaper if they can have to pay if they have pretty of themselves how many people are willing to do that? He talks to but I’m sure people like me who say that is the worst idea ever because I would rain ever I’m. Just telling you meet like sarcasm and I would never under any circumstances ever put the other piece of furniture and I never have I ever not my entire life. Every time we had a piece of best business coaching program furniture, I might vanessa you do that or I’m not doing it. I’ve, never assembled a single christmas gift for my kids. I’ve never touched him and I will not i. Just will not do it. I just I rebuke it and I cast it out and I will not ever assembled. It has batteries. If it’s something I bought. Has batteries I never been, never use it that’s gone since i. Don’t want the plug-in i. Just don’t do batteries assembling anything like that, but it turns out a lot of people. Do this to any bars believe his business team believed he believed that if he created an experience that took 3 hours then had a crazy low prices, like maybe half the cost of everybody else, and the right mix of furniture that people be willing to drive and didn’t, spend it in to spend their entire day shopping for that once-a-year furniture, a purchase order to encourage people to stay longer at the ikea stores he began to offer swedish meatballs, 2 all of its customers and turns out that’s what people wanted.

Chuck just wanted. Some food shopping was the last time that you went to an ikea store. It had to have been over a year about a year ago. Year-and-a-half. Maybe you would like your experience or hate the experience and don’t give me that crap I’ll tell you I’ll tell you when we found the things that we were looking for, I really enjoyed it because they do have a huge selection. You can pack it up inside your at the lewis, sir and some tables and some things we needed to my wife’s subaru outback, which we would have needed a trailer or something for it was all put together. But I made a kind of fun for myself. I took my daughter and we just ran around the store being goofy, while my wife methodically made her way through everything, so ryan toys, we went backwards through the flow like a trout or salmon swimming upstream 32. We had some fun with it, but if you’re stuck in that maze and there’s a lot of people there, you can be a pretty wild experience. I can’t handle one time. You know what I take that back. I went to the car and went to sleep and take a nap. We went out to the car and took a best business coaching program nap like I can’t handle I can’t handle the lines. I can’t I just the whole thing, but if you, if you’re out there, you love ikea, may the lord bless you and may you have a long and healthy life because you just wasted 3 hours and ikea store. Moving on I got a room at this. Might my furniture guy there, a carl, carlton I work with him at his brothers when I go into his brothers, ask carl casper car say you look just like jamie foxx, don’t know who he is you go in there. He knows I’m in there and out every single time in like 10 minutes this in this man, I go in I go boom. Boom boom boom boom boom seem to understand that many young people today don’t want to feel burdened with moving their furniture across the country and that many people would simply rather throw away their furniture then having to move it to their new city of employment. He believed that if then in the future in the future, he believed that more and more people would be moving across the country to find a new job if the position was right, and so he won, because that turns out to be true i. Actually this was crazy to me. I have a great person in my. My life is very close to me, who doesn’t talk like this, but just to keep the story interesting.

This isn’t. This is basically the conversation gf clear I just want to call you I’m going to be moving out to california and I said so you’re going to california. That’s awesome, do you do you know yet I just going to go out there and I’m going to try to you know, get started in the new industry. I just got this new job I’m working on I’m just going to do it at my own thing, I’m just going to end up going to live in california and oklahoma i. Want you to be aware of that right, but I like the beaches in the water in the mountains, it’s all up there in california I’m, going to go out to going going back back to cali, cali night, saying:that’s! That’s, okay! Okay, you going to do the person moves out there they fly out there. You flew out to california, you move there i. Would you bring with you? They said? Well, you know, I had it shipped to my clothes, but other than that. I just got your furniture. I can get you through. All your friends are away and I know a lot of you to do that. But don’t they don’t care, they don’t value the best business coaching program , know I am a man who only tell you what I’m going to take it with me. I want to be buried and I am like a large shipping containers and shipping containers i. Think I put it inside a container set it all up will put you right there in the chair behind the microphone firework to be played. So I’ll start off the funeral start in a lot of times. I would be nice to do business. Comedy and I was a dj, a lot of people joke and I got it like a funeral, but I want to do is I want to hire the best comedians. We can get to be gas. Funeral comedians that some so they’re telling jokes and everyone’s like I want something nice to be played. Musical chairs. No I told my daughter, I’ve got this all written down, I want to play roll out the barrel, okay apartment right and then I want to have an actual live band playing and then, when i, when they say they do this, when they do is comedian gets up there and tells about my life and gets people laughing the first meeting to be rough for him. The second one will be a little better then, when they get to the end of the funeral, I want them to play firework by katy perry. We all go outside and my ashes are in and baby yoga and that’s how I want what’s I want to go out. My way I want to go out as very topical. For today you want to eat real fast sure. I want to be put out on a pile of sticks like a viking out into a big body of water, while everybody’s having a fun party and they shoot a flaming arrow, and then they just everything disappear. You want your body on the on the sticks, you’re, a sick, free gas right.

What I just said was normal and what I said was staying there with the best business coaching program comedians. That you said was over the line, but no class. Look at things to do. Man, royalty, i, know, I’m, just saying your a sick freak ingvar was known to the world as being one of the most frugal people on the planet despite his great well, if you know he move to switzerland to avoid paying sweden’s, high tax rate and he chose to drive an old volvo heating, bill belichick and then went flying around the world to manage business interest. He chose to fly economy and always stayed in budget hotels and insisted on eating cheese meals. He lived in a modest home and made sure the vast majority like he is wealth was held in a charitable trust. Me I know:there’s somebody out there listening and you’re saying you know what I’m kind of liking for cheap in I’m thinking about. Maybe the moocher thinking about moving to switzerland, to avoid paying high taxes, america I thought about moving to ireland or decrease my tax, but yeah I thought about moving to costa rica decrease my tax you’re, that kind of guy. Kind of guy that you owe it to yourself in your bottom line to go to onyx imaging.Com at sonic’s imaging.Com hooked on onyx. It works for me. What is onyx do for all the westerns full service, printer supply and repair and sales. If you have any problems during your business day in your printer goes down, they can send somebody out there bring you a loaner printer, take back to their I’m passionate about paying a lot of money for my ink cartridges. I don’t want to save any money on office supply, they wouldn’t be for you, but I can get some better. Prices on, on tulsa manufactured hand, tested ink cartridges, they’re, typically 60 to 70 cent, cheaper than the oem brands of best business coaching program tanning i, like the pay more for a printer service or office supply quote they’ll, actually give you a free ink cartridge for your current printer just to show you what the quality and how long they last request a printer, service, supply or office. Supply. What happened so fast. What the website onyx imaging.Com or you can visit him at tulsa printer repair., as well. Yes, can you say it one more time:i was eating. Some swedish meatballs celebrate the ikea legacy repair.Com or onyx imaging.Com. What are you just pick up the phone and give those guys a call 918-627-6611 onyx, imaging comprar, the founder of ikea. Today too,

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