IKEA to spend 3 billion euros on stores as it adapts to e-commerce

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ICYMI: IKEA will spend over $3 billion on its stores as it adapts to e-commerce

Tolga Oncu, retail manager at the group which owns most IKEA stores worldwide, told Reuters the money would be spent across all regions, though about a third is earmarked for London, a test-bed for new store formats and logistics set-ups.

"We feel we have a catch-up to do on the back-end of our operation we have realised that by including stores in our last mile and fulfilment design network we can create a win-win situation," Oncu said. "Instead of building central warehouse capacities for online buys, why don't we send it from our IKEA stores?"A woman shops inside IKEA's first city store in Mumbai, India, December 8, 2021. REUTERS/Hemanshi Kamani/FilesAutomating existing out-of-town stores' warehouse sections will account for a lot of the investments, Oncu added.

"I agree the outlook looks a bit gloomy. That means value for money and time, affordable solutions that are of good quality, function and design and sustainable will increase in demand," he said.

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