The Secrets Behind IKEA

One of the main topics described in Nudge by Richard Thaler is the idea of choice architecture. Choice architecture describes how areas are designed to present products to consumers in a way that influences their decisions. When items are placed a certain way, consumers can be nudged to make decisions that they would not have made if the items were set up another way. 

When I think of the way choice architects organize shelves and stores, IKEA is the first example to pop into my mind. IKEA is an affordable furniture store that encourages its customers to walk through their showroom of products before purchasing items. When customers first walk into the store, they are taken up an escalator to the showroom. Upon entering the showroom, shoppers are exposed to calming music playing in the background. Kitchens, bedrooms, and living rooms are decorated in sets to show customers what their rooms could look like with IKEA products.There is a path everyone is strongly encouraged to follow, ensuring that they see all that IKEA has to offer. There are shortcuts to the warehouse, but they are advertised on much smaller signs and are tucked away in the corners. Once in the warehouse, it's go time. A large cart is given to you as you walk into the warehouse, and you pull out your list of all the products that you liked in the showroom. It's somewhat like a scavenger hunt; you must find the aisle and section that the product you are searching for is "hidden", adding a fun twist to the shopping experience.

This layout has been proven to be very effective for sales. Being in the same showroom with a lot of people wanting the same products should be stressful. However, IKEA plays relaxing music to help sooth customers are make them think they are in a peaceful environment. From personal experience, the staging of the room layouts in the staging rooms makes me think I need more than just the one item I am looking for. They stage the rooms to make consumers want the exact look, meaning they need all of the exact products. Never have I ever left IKEA with just the one product I was looking for. I'm pretty sure only buying one to two products at IKEA is extremely rare, and almost unheard of.

So no matter how smart we think we are, the people behind product placements and designing floor plans are usually one step ahead of us. So next time you're shopping, pay attention to how the shelves are organized, as well as the overall store. You might have a whole new perspective on what the employees want you to see and buy.