How to reframe price by IKEA and Ogilvy

CHEAP AS CHIPS.

IKEA is cheap. It’s good, but most of all it’s cheap. Afterall that’s what it’s business model is based on. It’s flat packed because that lowers the cost for the customer. The products are in a glorified warehouse where products are found through self service. All of which keep the cost down. But sometimes it’s difficult to see how cheap something is without any context. £5 is only £5. But what if you were told that £% was the equivalent to a coffee and a muffin. That’s something you can relate to, something you can understand. It talks about money in a way that we think about money. If I realise I’ve misplaced £10 I don’t think, oh no that’s £10 gone. I think, that could of been a cocktail and olives on a night out with my friends. Which to me feels like I’ve been robbed of so much more than a piece of paper with £10 written on it.

For this reason IKEA’s latest campaign illustrates the cost of a product, that’s been projected onto other items that is equivalent the price of their product. Like a coffee table for example, it’s so cheap it’s the equivalent of 3 coffees and two sugars. Or a side table that costs the equivalent to 6 tubes of toothpaste. Every product that has been used an as example of the equivalent to one item from IKEA is something we’d pay for in a heart beat without thinking of it. Stamps for example. You don’t argue over the price of stamps. They cost what they cost. But by reframing the fact that a bed from IKEA costs the equivalent to 31 stamps. Doesn’t that seem a heck of a lot cheaper than if you’d been told the actual price?

Created by Memac Ogilvy.

 

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