Swedish furniture retail giant Ikea is embarking on its second phase of growth in the Indian market, aiming for omnichannel expansion and adding new retail formats to its portfolio. The company is set to launch online operations in the Delhi-NCR region by the end of 2024 as part of its expansion plan.
Ikea India’s CEO, Susanne Pulverer, revealed that the company is actively seeking opportunities to expand its operations by opening more stores and exploring new locations, including Pune and Chennai. The brand also aims to increase local sourcing to make its products more affordable to Indian consumers. After five years of retail operations since opening its first store in Hyderabad in August 2018, Ikea is gearing up for significant growth, with plans to increase its workforce from 3,000 to 10,000 employees in the coming years.
Pulverer emphasized Ikea’s long-term commitment to the Indian market and the company’s enthusiasm for the next phase of growth. She stated that Ikea intends to adopt an omnichannel approach in India, offering a variety of retail formats to cater to the diverse needs of Indian consumers. The company has already invested Rs 10,500 crores in building five stores across India and has announced plans for two large shopping centers in Gurugram and Noida, each featuring integrated Ikea stores.
In this second phase of expansion, Ikea is anticipating faster growth compared to its initial five years in India. The company plans to accelerate its expansion efforts, building on the lessons learned during the first phase. Ikea has already established a presence in cities like Hyderabad, Mumbai, and Bengaluru and has ventured into online retail in Ahmedabad, Vadodara, Surat, and Pune during the first phase.
Delhi NCR is identified as Ikea’s next significant market, with plans to commence online operations in Delhi by the end of 2024. Additionally, the Ingka Centres Gurugram project is scheduled to open in 2025, further strengthening Ikea’s presence in the region.
