IKEA Enters North India: E-Commerce Launches Ahead of Physical Stores

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IKEA Enters North India

Key Points:

  • IKEA will launch its e-commerce services in Delhi-NCR and nine other northern cities, including Agra, Chandigarh, Lucknow, and Jaipur, starting March 1.
  • A new 1.8 lakh sq ft distribution center in Gurugram will enable same-day and next-day deliveries in Delhi-NCR using electric vehicles.
  • IKEA plans to open its first physical store in Gurugram by 2026 and another in Noida by 2028, with smaller-format stores also being considered for Delhi.
  • The company aims to cater to the unique needs of North Indian homes, focusing on larger living spaces, multi-generational families, and outdoor furniture.

New Delhi: Swedish furniture giant IKEA is set to revolutionize home furnishing in North India by launching its e-commerce services on March 1. After seven years in the Indian market, IKEA is expanding its footprint to Delhi-NCR and nine satellite cities, including Agra, Amritsar, Chandigarh, Jaipur, Kanpur, Lucknow, Ludhiana, Prayagraj, and Varanasi. This move marks a significant step in IKEA’s omni-channel strategy as it prepares for deeper market penetration in the region.

A Strong Start with E-Commerce

Starting March 1, customers across Delhi-NCR and other northern cities can shop from IKEA’s extensive catalog of over 7,000 products via its app, website, or phone assistance. The company’s newly inaugurated 1.8 lakh sq ft distribution center in Gurugram will ensure seamless deliveries within the region. Same-day delivery will be available for Delhi-NCR customers.

According to Susanne Pulverer, CEO & Chief Sustainability Officer of IKEA India, “This launch is a strong foundation for our future growth in North India. We aim to bring meaningful solutions tailored to the unique life-at-home needs of this region.”

Tailored Offerings for North India

Recognizing the distinct lifestyle of North Indian households compared to other regions like Mumbai or Bengaluru, IKEA plans to tailor its product range accordingly:

  • Larger Living Spaces: Focus on outdoor furniture for gardens and balconies.
  • Multi-Generational Families: Solutions for shared living spaces.
  • Celebration Culture: Products catering to festive gatherings and social events.

Pulverer added that IKEA’s deep understanding of Indian homes—whether it’s optimizing small spaces or addressing low-cost living will guide its offerings.

Physical Stores on the Horizon

While e-commerce is expected to drive initial sales (currently contributing 30% of IKEA India’s revenue), the company plans to establish a physical presence soon:

  • Gurugram Store: Scheduled to open by 2026 with over 2 lakh sq ft of retail space and a 1,000-seater restaurant offering Swedish and Indian cuisine.
  • Noida Store: Construction began in September 2024 and is expected to be completed by 2028.
  • Smaller Format Stores: To address space constraints in Delhi, IKEA is exploring compact retail outlets that will complement larger stores.

Sustainability at the Core

As part of its global sustainability goals for 2030, IKEA India has committed to using electric vehicles (EVs) for all deliveries in North India. The Gurugram distribution center will play a key role in ensuring faster and environmentally conscious last-mile deliveries.

Customer Engagement and Loyalty

IKEA has already onboarded over 1 lakh members from Delhi-NCR into its loyalty program around 4% of its total 27 lakh members across India. The company anticipates a surge in memberships as it expands its services in the region.

To generate buzz ahead of the launch:

  • IKEA has launched out-of-home (OOH) campaigns across Delhi Metro stations.
  • Experiential pop-up events are scheduled at prominent locations like Nexus Select Citywalk (Saket), DLF Mall (Noida), and DLF CyberHub (Gurugram) between February 27 and April 5.

Transforming India’s Furniture Market

The Indian furniture market is currently valued at $16 billion (₹1.3 lakh crore) and is expected to double by 2027. While the unorganized sector dominates North India’s market due to strong personal relationships between customers and local vendors, IKEA aims to disrupt this dynamic with its organized approach.

Bhavana Jaiswal, IKEA India’s e-commerce head, commented: “The Delhi online market is as big as Bengaluru. We expect significant growth before our physical stores open.”

A New Chapter for IKEA in India

With its hybrid omni-channel strategy combining e-commerce and physical stores, IKEA’s entry into North India marks a transformative moment for both the company and the region’s home furnishing market. By tailoring offerings to local lifestyles and prioritizing sustainability through EV deliveries, IKEA is poised to become a household name across North India.

As customers eagerly await their first orders starting March 1 and with physical stores on the horizon the Swedish giant is set to redefine how Indians furnish their homes.

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