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Ikea’s Expansion Plans in India: New Stores and Online Growth Strategy

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In the pursuit of further investments in its key market of India during its second growth phase, Ikea, the renowned global furniture retailer, is actively seeking opportunities, as stated by Susanne Pulverer, the CEO of Ikea India. The company is set to introduce smaller-sized stores ranging from 30,000 to 70,000 square feet in regions adjacent to its current and upcoming larger stores, in addition to enhancing its online presence in the country.

Reflecting on the initial phase of development that included investments in four stores across three primary markets, Pulverer emphasized the valuable insights gained from Indian consumers, which will now guide the subsequent phase of expansion and investment in India. The forthcoming focus for Ikea will be on Delhi-NCR, with plans to commence online sales in early 2025 before establishing its inaugural physical store at the debut Lykli center in Gurugram by 2026.

When questioned about the progress of new stores for the upcoming phase, Pulverer mentioned that they are in the final stages of planning. Ikea envisions a gradual expansion strategy to extend its reach to various regions in India, with Delhi slated as the next major market opening at the start of 2025. Furthermore, Ingka Centres, a division of the Ingka Group managing Ikea retail operations, recently initiated the construction of its second gathering space in India under the Lykli brand in Noida. This endeavor involves a substantial investment of 607 million euros (approximately 35,500 crore) to establish the second center, anticipated to be operational by 2028 and featuring an Ikea store within the Lykli complex.

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