IKEA Bullish On Indian Market; To Open 4-5 Stores Annually

New Delhi, Nov 28 (KNN) Swedish home furnishing major IKEA is accelerating its India expansion with plans to open four to five stores every year, a sharp rise compared to the six outlets launched in its first seven years of operations.

CEO Patrik Antoni said IKEA has strengthened its product range, customised offerings for Indian consumers, and built a strong logistics base in major cities. These steps have enabled the company to keep prices competitive and serve targeted customer segments more effectively.

IKEA’s sourcing operations in India remain significantly larger than its retail business, but the company sees strong long-term potential driven by India’s young population and rapid urban migration into metros.

“We now have a solid base to take the leap forward,” Antoni said, adding that the retailer will expand through a mix of owned and leased stores, with leasing enabling faster rollouts, reported TOI. 

The upcoming expansion will focus on six metros, Mumbai, Delhi-NCR, Pune, Chennai, Bengaluru, and Hyderabad, where IKEA already has established distribution infrastructure.

Antoni said the brand does not plan hyper-fast deliveries, noting that furniture purchases rarely demand such speed, though shorter delivery windows may be tested.

IKEA’s online channel now contributes over 25 percent of its India revenue, but the company aims to strengthen its omni-channel approach. Antoni said that online sales in a region tend to rise when a store is opened there.

The retailer competes with Godrej Interio, Urban Ladder, and Pepperfry in India, where several home-furnishing startups have consolidated through acquisitions in recent years.

IKEA’s expansion is expected to boost opportunities for MSMEs in sourcing, logistics, installation, and packaging, enabling small businesses to benefit from higher orders and stronger integration into its supply chain. 

(KNN Bureau)