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Ikea is looking for an expansion strategy in India as it enters the next growth phase in the country.
The flatpack furniture giant plans to diversify retail formats and launch online operations in the Delhi-NCR region by the end of 2024.
Susanne Pulverer, CEO of Ikea India, said it would expand its footprint by opening new stores.
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The Swedish furniture giant is considering locations such as Pune and Chennai.
It's also intending to intensify local sourcing efforts to make its products more affordable to Indian consumers.
Ikea plans to increase its employee count in India from 3,000 to 10,000 in the coming years.
It had completed five years of retail operations since inaugurating its first store in Hyderabad on August 9, 2018.
The company, which sources products from India for its global retail operations, is expanding its engagement in wood-based products.
Pulverer stated: "Our next growth phase in India looks very promising and full of opportunities.
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“IKEA is committed to India and here for the long term.
“We are looking at an omnichannel expansion in India with diverse retail formats to come closer to the many people in India."
In addition to the five planned stores in India, the firm is investing in two large shopping centres.
The centres in Gurugram and Noida will feature integrated Ikea stores.
This expansion aims to be faster than the initial five years, building upon the lessons learned during the first phase.
Pulverer added: "Delhi NCR is our next big market.
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“We are planning to start online operations in Delhi by the end of 2024 followed by the Ingka Centres Gurugram project opening in 2025."
Pulverer noted the importance of a robust omnichannel approach for India.
She added: "What we have learned is that our full-size stores, flagship stores of IKEA work very well in India.
“So that's the base, and then to complement we will have a different format services fulfillment setup to support it."
Pulverer hinted at expanding beyond the initial Rs 10,500 crores, underscoring Ikea's long-term commitment to the Indian market.
Ikea plans to increase its share of locally sourced products in India, making Ikea products more affordable in the country.
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