IKEA's Strategic Shift to Compact Stores in India

Furniture giant IKEA is revolutionizing its retail strategy in India by introducing compact-format stores, significantly smaller than its traditional outlets. This move aims to enhance accessibility for customers in smaller cities across the country.

Expanding Accessibility: With stores as small as 10,000 square feet, IKEA is set to penetrate neighborhood shopping malls and high street locations, making its products more accessible to a broader audience.

Features of the New Compact Stores

These innovative stores will feature a limited physical display but offer access to IKEA’s full catalogue of around 7,000 products through digital platforms. Customers can enjoy the convenience of home delivery, pick-up at collection points, or third-party services.

Future Growth and Investments

IKEA is not only focusing on key markets like Hyderabad, Bengaluru, and Mumbai but also exploring opportunities in tier II cities. With significant investments and the development of retail destinations under its Lykli brand, IKEA is poised for profitable growth in India.