Swedish furniture and home furnishing retailer Ikea will begin its online retail operations in India by March 2019. The move is part of the company’s aim to provide multichannel experience for its customers in the country.
According to Ikea India CEO Juvencio Maeztu as saying, the company will have both online and offline presence in the country,a strategy to reach out to more customers. Ikea India’s CEO said the company is planning to invest $135.7 million (₹1,000 Crore) in its Bengaluru outlet, which is expected to open in the summer of 2020. The company will invest over $271 million (₹ 2,000 crore) in Karnataka in the long run.
The fresh influx of cash in its Bengaluru retail outlet will be used to reinforce infrastructure, including an extensive parking space for or 2,000 cars, 1,000-seater restaurant, a supervised children’s play area, etc.
Ikea has been providing products that meet the requirements of the Indian customers since its launch in the country. According to a report by BBC, about a fifth of the products of Ikea’s Hyderabad store cost less than $3 — a strategy the company adopted taking into account the choice of price-sensitive Indian consumers.