IKEA recently announced that it plans to invest $2.2 billion in its US business, with the hope of reaching more consumers and increasing its market share across the country.
The company, which is known for its unique style of furniture stores, says it hopes to generate more business and reach more consumers in the US with the investment, which is the biggest cash injection since it started operating there nearly 40 years ago.
With the investment, IKEA says it plans to attract more customers in a variety of ways, including opening more stores for easier access, starting a delivery service, and adjusting its prices.
In its announcement, the company detailed its full plans, which include:
- Opening 900 extra pick-up, warehouse-style stores so customers can order items online and collect them easily at a convenient time. At the moment, this service is only available to US consumers if they collect their items at a local FedEx location.
- Expand their chain of traditional stores from 52 to 60 over the next three years. This will also create an extra 2,000 jobs across the country.
- Start delivering more products to customers directly from warehouses by making it easier to ship deliveries from stores and creating better order fulfillment centers.
- Open 9 more “Plan & Order” points – these are IKEA locations where customers can meet with designers for larger projects, then make orders for items to be delivered.
- Continue to work towards more sustainable options, including an online site for customers to trade in unwanted products to reduce waste.
The company’s head of retail also noted in the statement: “The U.S. is one of our most important markets, and we see endless opportunities to grow there and get closer to many Americans with affordable products and service. More than ever before, we want to increase the density of our presence in the U.S., ramp up our fulfillment capacities, and make our offer even more relevant to local customers’ needs and dreams.”