IKEA looks forward to expand their stores in India : Next store to open in Delhi

News Mania Desk/ Piyal Chatterjee/ 9th September 2024

As it moves into its second phase of growth, international furniture retailer Ikea is seeking to make more investments in India, which is one of its key markets, according to CEO Susanne Pulverer.
In addition to expanding its online presence here, she said Ikea plans to establish small-format stores, each with a retail space of 30,000 to 70,000 square feet, in markets near its current and future large-format locations.

The next stop on Ikea’s journey is Delhi-NCR, where it will launch its online store in the first quarter of 2025 and establish its first physical location at its first “Lykli” center in Gurugram three years later.
Ikea now has big format stores in Bengaluru (4.6 lakh sq ft), Hyderabad (4.8 lakh sq ft), and Navi Mumbai (5.3 lakh sq ft) in India. Additionally, it had inaugurated two minor city centers in Mumbai, one of which subsequently shut down.
When asked how the new stores for the second phase were coming forward, Pulverer replied, “We are in the finalization.”

Ikea requested an FDI of Rs 10,500 crore from the government in 2013 with the goal of opening 10 stores with related infrastructure within a decade.
Ikea intends to gradually extend its business operations throughout the nation.
Ikea has chosen to concentrate on six markets, according to Pulverer: Hyderabad, Mumbai, Bengaluru, Delhi, Chennai, and Pune.

Ikea’s next major market in the second phase will be Delhi, and it will also consider the nearby areas with smaller layouts.
On Monday, the Ingka Group subsidiary Ingka Centres, which runs the Ikea retail business in India, broke ground for its second meeting location under the Lykli brand in Noida.
It is investing 607 million euros, or around Rs 5,500 crore, to build its second center, which will include an Ikea store when it opens in 2028.

Ingka Centres Global Expansion & Development Director Sebastian Hylving said:” Yes, we see India as a very interesting market with big potential. When it comes to Ingka’s expansion, we follow Ikea retail. So wherever Ikea will go, that’s an opportunity that we will evaluate.”.