Best known for its low-priced flat-pack furniture and sprawling out-of-town stores, Ikea opened 19 new outlets around the globe, including its first in India and Latvia in August. IKEA's fast expansion in India is marked by a huge response it received in the cyber city of Hyderabad in August. Inter Ikea, which owns the Ikea concept and is the worldwide franchisor, also said the company plans to start selling its products in Mexico, Estonia, Ukraine, Puerto Rico, Oman, Luxembourg, Macau and the Philippines.
On 11 October, the global furniture retailer Ikea said that it had commenced the construction of its first store in Bengaluru. The Hyderabad-based Ikea store has 7,500 products to offer with prices ranging for ₹15 to ₹36,000. "We will introduce smaller store formats and offer a wide range of flexible and affordable services", Loof said in a statement.
In January, New Zealand hopes for an Ikea store were elevated when it was revealed architecture, retail design and property consulting firm RCG has been working with the company on a market research project in this country. The company will also be launching its e-commerce operations by March next year.
The company also aims to reach three billion customers in the years to come, according to Torbjorn Loof, the CEO of Inter Ikea.
The Bengaluru store will have a parking space for 2,000 cars and a 1,000-seater restaurant, besides a supervised children's play area, Småland, the company said.
Last month, the company said it planned to open 25 retail stores across India by 2020.
"Ikea's transformation means franchisees like Falabella have a menu of options to choose from to jump start their expansion, including physical store formats and digital services".
Ingka Group said in a separate statement that its full-year sales rose to €34.8 billion from €34.1 billion a year earlier.
The UK boss of Ikea has unveiled a spin-off chain of kitchen and bedroom showrooms and described the new high street outlets as the "tip of the iceberg" as it changes its business model to appeal to online shoppers.