IKEA's Compact Revolution: Expanding Reach in India

IKEA is shifting its strategy in India by opening compact stores in smaller cities to increase accessibility. These small-format stores, around 10,000 square feet, will feature digital catalogs and varied delivery methods. IKEA aims to maintain agility while focusing on key cities like Hyderabad, Bengaluru, Mumbai, and Delhi NCR.

Swedish home furnishings giant IKEA is set to transform its growth strategy in India by establishing compact stores in smaller cities, aiming to enhance accessibility for customers, according to a company official.

IKEA is in its second growth phase in India, planning to expand via small-format stores that cater to specific locations and catchment areas. These stores, as small as 10,000 square feet, are ideal for neighborhood shopping malls, explained Pooja Grover, IKEA India Country Expansion Manager.

The compact stores will feature a limited physical product display but offer a digital catalog showcasing the brand's extensive range of around 7,000 products and facilitating orders. Multiple delivery options, including home delivery and pickup services, will be available, she added.

(With inputs from agencies.)