Ikea to expand small store format in 2025
Ikea has big plans for new small-format locations in 2025.
The home decor retailer said it plans to open eight new-format stores this year, all of which are expected to be open by spring or summer. Ikea will open seven new locations featuring its "Plan & order points" format, which is focused on kitchen, bedroom and living room planning.
The stores will be located in Cherry Hill, Pa.; Hunt Valley, Md.; Beaverton, Ore.; Scottsdale, Ariz.; Thousand Oaks, Calif.; Ontario, Calif; and Colma, Calif. Ikea will also open one new store featuring its "Pick-up point" format in Santa Monica, Calif.
Different from the traditional large-format Ikea stores, the "Plan and order" format give customers the opportunity to meet with the Ikea store team to plan and order home furnishing solutions that require a bit more help. At Ikea's "pick-up- and point" locations, customers will be able to collect their purchases when and where it’s convenient for them.
Last year, Ikea opened eight new stores featuring the "Plan and order Point format joining the existing 39 pick-up points and 21,000 FedEx collection points across the country. It also opened the first small-format store in Rockwall, Texas, the third Ikea location in the Dallas-Fort Worth area.
The company announced the planned expansion in its 2024 Annual Summary which details Ikea’s business milestones of the past year. Ikea concluded 2024 with $5.5 billion in total sales and $1.9 billion in e-commerce sales.
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“Our strategy continues to prioritize our customer’s needs, and in fiscal year 2024, we continued to make everyday living more accessible, especially during a time when we know economic challenges are leading to a decrease in disposable income for many Americans,” said Ikea CEO and chief sustainability officer Javier Quiñones. “As we gear up for the 40th anniversary of Ikea U.S. in 2025, we’re committed to reaching even more customers where they are.”
Ingka Group (Ingka Holding B.V. and its controlled entities) is one of 12 different groups of companies that own and operate Ikea retail under franchise agreements with Inter Ikea Systems B.V. Ingka Group has three business areas: Ikea Retail, Ingka Investments and Ingka Centres. Ingka Group is a strategic partner in the Ikea franchise system, operating 375 Ikea stores in 30 countries, including 51 retail locations in the U.S.
