Ikea is exploring using space inside other retailers’ stores to reach more customers, as the flat-pack furniture retailer seeks to rapidly increase its reach in “mature” markets in the US and Europe.
The world’s largest furniture retailer plans to open Ikea kitchen planning studios — smaller retail spaces that advise clients seeking to design kitchens — in 10 Best Buy stores in Florida and Texas later this year.
The partnership with the US electronics retailer is part of an experiment to expand Ikea’s presence faster than it would be able to by just building new stores, said Tolga Öncü, retail manager at Ingka, which operates nearly all Ikea stores worldwide.
He added that the Best Buy collaboration would bring Ikea “closer to more of the many people” in the US, and could be “yet another component for us to accelerate our reach, especially in big mature countries”.
Ikea has overhauled its business model in recent years, moving away from forcing customers to drive to out-of-town warehouses to pick and build the furniture themselves. It now offers city-centre shops and click and collect, online ordering as well as home delivery and assembly services.
Central to this has been a number of experiments in smaller stores, from planning and design studios for individual rooms such as kitchens and bedrooms, to pick-up points and smaller stores in city centre locations such as London’s Oxford Street or Rue de Rivoli in Paris.
Executives say customers appreciate the extra convenience of being able to shop in their lunch hour, but some have been frustrated at times by the lack of availability of products.