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Ikea Opts For Multi-Channel Retail Model In India

Ikea to use Chakan distribution centre to connect Navi Mumbai and Hyderabad stores

A customer collects a shopping cart of IKEA. (Photographer: Oliver Bunic/Bloomberg)
A customer collects a shopping cart of IKEA. (Photographer: Oliver Bunic/Bloomberg)

Ikea India plans to roll-out a multi-channel retail model in India when it launches its first store in the country.

The Swedish home furnishing company wants its customers to experience both- online and offline platforms while shopping in the country, Bimal Patel, distribution operations manager at Ikea told BloombergQuint in an interview. “They can look at different products, be inspired and see how these products are meeting their needs,” he said.

The India CEO of Ikea had told BloombergQuint earlier that it will start online retailing only after launching its brick and mortar stores.

The company recently opened a distribution centre in Chakan, Pune will use this distribution centre to connect to the store in Hyderabad and Navi Mumbai. The retailer will expand this facility further by another 372,000 square feet with a total investment of Rs 100 crore. Currently, the Pune distribution facility is 214,000 sq ft with an investment of Rs 20 crore. By 2022, the furniture retailer hopes to invest Rs 750 crore.