IKEA, the global home furnishings retailer from Sweden, officially launched its first online presence in India catering to the Mumbai market, which will operate in parallel to its offline operations.
Terming this as new retail direction, IKEA will focus on both digital and physical formats. While Mumbai will have smaller format stores, the big format one is located in Navi Mumbai.
On the launch, Peter Betzel, CEO, IKEA India said, “Today marks an important occasion in our history as we roll out our multi-channel, digital-first approach with Mumbai being among the first few markets worldwide, where we are bringing alive this transformation.”
Befire the online services launch for Mumbai, IKEA conducted a “Life at Home” study to understand the way Mumbaikars live – inside and outside their homes, their tastes and motivations. This was carried out through a combined approach of home visits by IKEA experts, and data-rich surveys.
The online store will house products ranging from home furnishing solutions to electronics. It will also include 1,000 products priced below Rs 200. IKEA said the deliveries for the orders place online will have a lead time of four to seven days.
IKEA has been sourcing from India for close to 35 years for its global stores. In India, it currently has more than 55 suppliers with 45,000 direct employees and 400,000 people in the extended supply chain.
The retailer opened its first store in India in Hyderabad on August 9, 2018. Since then, IKEA expanded to Mumbai and also has a 270,000 square feet distribution centre in Pune. The company also plans to open its third store in Bengaluru, scheduled to open in 2020.
IKEA said more than three million customers have visited its Hyderabad store and about eight million have visited the India website. The Swedish retailer has set a goal of reaching 100 million people in the next three years.
(Edited by Saheli Sen Gupta)