The company will enter the NCR market through Ingka Center which will be established in Gurugram.
The center is a mixed-use commercial destination that will be anchored in a large-format Ikea store and is expected to open within 3 to 4 years.
In addition, the company plans to have an omnichannel approach that will combine âbig and small storesâ as well as an online presence.
In a conversation with IANS, Peter Betzel, CEO of Ikea India, who also acts as the company’s sustainability director, said: âWe have purchased land in Gurugram and Noida and in parallel looking for suitable locations in Delhi.
“We should be able to announce the timelines (for the Delhi and Noida projects) in the near future.”
The home furnishings brand opened its first physical store in 2020 in Navi Mumbai and recently expanded its omnichannel presence with the launch of the “IKEA” app.
Notably, it made an âAppâ entry in Bangalore and in several cities of Gujarat, including Ahmedabad, Surat and Baroda.
âWe are looking forward to opening our first urban store in Worli, Mumbai this year. “
At present, the company is present in Mumbai, Pune, Hyderabad, Bangalore, Ahmedabad, Surat and Baroda.
âIndia remains one of the important growth markets for the Ingka group. We have the ambition to meet more than 200 million people by 2025.
“We were able to move forward with our omnichannel expansion in India. We had to operate under strict guidelines and with restrictions at times, but our projects were not affected.”
Regarding the business impact of the pandemic, Betzel said more and more customers are shopping online.
âWe have strengthened our online presence in new markets and introduced many online services such as ‘Click & Collect, furniture consultancy, remote planning, among others.’
“Consumers are also looking for more affordable solutions … Consumers think twice about every expense. Meanwhile. Ikea has been able to lower the prices of many of its products to the benefit of customers.”
On the other hand, he underlined the dynamism of the businesses carried out during the end of year celebrations.
âThe demand for home furnishings has improved and will improve further as the pandemic situation improves. Especially during this holiday season we have seen many customers spending money on what they need for themselves and their families. “
âWe will also see the emergence of smart purchasing where customers will plan their purchases in advance and buy only the things they need. With consumer spending likely to fall in discretionary categories, value for money -pricing and affordable solutions will be a preferred option for consumers. ”
Additionally, Betzel said that so far 23% of the company’s products sold in India have been sourced locally and this has been achieved in the store’s first three years of operation.
âThe ambition is to increase the supply to India by up to 50% in the coming years in order to create more affordable products for our customers, reduce the carbon footprint and develop the manufacturing sector in India. “
“This will lower prices for our customers, but will also help create more jobs, improve skills, keep costs low while reducing environmental impact.” “