Swedish home furnishings retailer IKEA on Monday announced the launch of its online store in Mumbai amid plans to open retail outlets in the city.
The company, which entered India with the launch of its first retail store in Hyderabad last year, said its entry into Mumbai with an online store is part of its new multichannel approach to reach 100 million customers in the next few years.
“IKEA’s unique Mumbai market entry, led by e-commerce marks a significant milestone in the Swedish retailer’s new retail direction,” the company said in a statement, adding that it will focus on both digital and physical formats to reach customers.
Unlike most of its global markets, IKEA has adopted a multichannel strategy in Mumbai with plans to offer smaller format stores and a big format store in Navi Mumbai.
“Today marks an important occasion in our history as we roll out our multi-channel, digital first approach with Mumbai being amongst the first few markets worldwide, where we are bringing alive this transformation,” said Peter Betzel, chief executive officer (CEO), IKEA India.
Through IKEA’s online portal, customers in Mumbai can access over 7,500 of its products. The company said it will deliver the items to most locations in Mumbai and Navi Mumbai within 4-7 days after the online order is placed, subject to availability and the distance from the centre.
IKEA currently has over 55 suppliers with 45,000 direct employees and 400,000 people in the extended supply chain in India.
The company said it plans to maximise its local sourcing from Mumbai to make its products more affordable. “As it sets a goal to reach 100 million people in the next 3 years, the foundation for a strong and relevant offer is affordability and accessibility,” it said.
