New Delhi: Ikea Expands in India with Online Sales & New Physical Stores
Swedish furniture giant Ikea is expanding its footprint in India with a strategic focus on online sales in 10 cities and new stores in key metro locations. With an eye on long-term profitability, Ikea India CEO Susanne Pulverer confirmed the brand’s commitment to strengthening its presence through both digital and offline channels.
Ikea’s Online Expansion in India
Ikea has launched its online sales operations in 10 cities across India, marking a significant step toward wider accessibility. The cities include:
- Delhi-NCR, Amritsar, Chandigarh, Jaipur, Kanpur, Lucknow, Ludhiana, Varanasi, Agra, and Prayagraj
Currently, online sales contribute 30% of Ikea India total revenue, reflecting the growing demand for digital retail in the country.
New Ikea Stores in Delhi-NCR: Gurugram & Noida
To strengthen its offline presence, Ikea has announced plans for two full-size stores in Delhi-NCR:
- Gurugram Store – Expected to open by 2026
- Noida Store – Scheduled for 2028
Ikea already operates large-format stores in Hyderabad, Mumbai, and Bengaluru.
Beyond these cities, Ikea also plans to enter Pune and Chennai in its next expansion phase. While a timeline for these stores has not been finalized, Pune already has access to Ikea’s online offerings, signaling a strong potential market.
Ingka Centres’ €1 Billion Investment in Commercial Hubs
Ikea’s parent company, Ingka Group, is investing €1 billion to develop two major commercial centres under the ‘Lykli’ brand in Gurugram and Noida. These hubs will feature:
- Hotels
- Offices
- Smaller Ikea anchor stores
Unlike the large-format stores in Bengaluru (460,000 sq ft), Hyderabad (480,000 sq ft), and Navi Mumbai (530,000 sq ft), the upcoming Gurugram and Noida stores will be smaller, ranging between 200,000 to 250,000 sq ft. This move is aimed at optimizing costs while maintaining Ikea’s signature offerings, including home inspiration setups, food courts, and play areas.
Ikea India Financial Performance & Future Outlook
Despite its expansion, Ikea India reported a widening loss of ₹1,299.4 crore in FY24, though its revenue grew 4.5% YoY to ₹1,809.8 crore.
Pulverer emphasized Ikea’s long-term investment strategy, stating:
“In every market, we invest first and then build towards profitability. India is no different. With our strategic expansions and growing customer base, we are confident about achieving profitable growth in the coming years.”
