homebusiness Newscompanies NewsIndia is the most opportunity rich growth market for IKEA, says country head
India is the most opportunity-rich growth market for IKEA, says country head
IKEA has ambitious plans for expanding its retail presence in India. Pulverer mentions that the company will be adopting a two-pronged approach by opening both city stores and larger format stores.
Susanne Pulverer, CEO & CSO of IKEA India believes that the country is a significant growth market for the company. "While India may not yet be one of the largest markets in terms of size, it is certainly one of the most promising when it comes to opportunities for expansion," Pulverer stated in an interview to CNBC-TV18.
She highlighted that over the past five years, IKEA has welcomed 180 million visitors, including its online customers.
IKEA has ambitious plans for expanding its retail presence in India. Pulverer mentions that the company will be adopting a two-pronged approach by opening both city stores and larger format stores. However, the most exciting development on the horizon is IKEA's expansion into the Delhi market. By the end of 2024, the company aims to establish a robust omni-channel presence in the capital city.
IKEA's commitment to local sourcing in India is a crucial aspect of its growth strategy. Currently, approximately 30 percent of IKEA's products sold in India are sourced locally. The next big leap will come when the company delves into the wood category.
Pulverer acknowledges the potential for further growth in categories beyond wood. She highlights sofas as an example, expressing the intention to expand production in India by introducing more models.
Mattresses, another essential category, are already predominantly produced within India for the Indian market. Yet, IKEA's ambitious target is to achieve 50 percent local sourcing, Pulverer said.
Also Read:IKEA parent Ingka Group announces its first retail centre ‘Lykli’, to open in Gurugram in 2025
First Published: Aug 28, 2023 7:47 PM IST
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