Founded in Sweden in 1943, Ikea is the largest furniture retailer in the world. Sale of ready-to-assemble furniture, kitchen appliances and home accessories. Currently with ten large warehouse-style stores in Australia, Ikea is launching a new take on its classic style, with smaller “touchpoint” stores in high-density areas. Allow a wider range of customers to access your stores. The goal of which is to increase customer satisfaction and value, to ultimately increase customer retention and loyalty. This is in line with relationship marketing, which can be defined as the overall process of building and maintaining profitable relationships with consumers by delivering superior customer value and satisfaction. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an Original Essay Customer relationships and loyalty are focused on providing exceptional customer satisfaction and value. Recognize that the profitability of a particular customer relationship increases over time and that creating “good profits” is better for the long-term well-being of the company and its earnings. The perceived value of a good/service is based on the customer's evaluation of the costs and benefits associated with its purchase. Consumer satisfaction is the degree to which a customer is satisfied with a service, product or experience, in this case Ikea aims to strengthen the customer experience with a more streamlined approach to purchasing furniture from its stores. Convenient and accessible store locations have a strong influence on customer loyalty. Ikea has invested the financial resources to roll out a range of smaller stores, in what they call "touchpoint stores", in more areas. This eliminates the need for potential buyers who live far from their big box stores to travel the distance and experience what they have to offer. Customers at these stores can touch and interact with their product range, with classic arrow walkways directing shoppers through inspiration zones on how to implement the products into their own families. A customer's experience, whether positive or negative, can have a profound effect on their purchasing decision. Personalizing a shopper's experience to streamline their purchasing decision reduces the burden on consumers and maximizes their satisfaction and subsequent experience with their stores. Additionally, the new Ikea stores will lack traditional self-service, where customers had to find their items in various isles. Consumers didn't like the "hassle of going back and forth to get this, island five, compartment six, going back and forth." They are instead moving towards a more online approach, with customers able to select their purchases online and have them delivered to their home, eliminating the need to carry around large flat parcels of furniture. Smaller items can still be purchased as normal. Shoppers no longer have to deal with the hassle of searching for and transporting their demountable furniture home, and improved customer service means the hassle of building Ikea furniture is greatly reduced. With a market share of 13.45%, Ikea lags behind its largest competitor Harvey Norman which holds a 21.6% share of the furniture market. Since the 2017 financial year, Harvey Norman has seen a significant increase in its profits, up 13.6%. Despite the absence of new store openings, Harvey Norman's focus on its e-commerce division has played a significant role in its growth. Their 2 hour click and collect, quick purchase and delivery.