IKEA’s new ‘barn’ format may reshape retail in India with 100-store rollout
IKEA is testing a new retail format called barn format, a smaller, leaner store concept designed to make the brand more accessible. Ranging from 2,500 to 10,000 sq meters, barn stores offer a limited selection of furniture and home accessories, with most items available via next-day delivery, and a simplified food menu. According to Tolga Öncü, Head of Retail at Ingka Group, the goal is to extend IKEA’s reach into neighborhoods without cannibalizing existing stores. Pilots are currently running in the UK, Poland, and Texas, with a final rollout plan expected by the end of 2025. In India, barn could enable IKEA to scale rapidly, potentially launching 100 stores in the first year and transforming the brand into a mass-market player.
IKEA is testing a new retail format called barn format, a smaller, leaner store concept designed to make the brand more accessible. Ranging from 2,500 to 10,000 sq meters, barn stores offer a limited selection of furniture and home accessories, with most items available via next-day delivery, and a simplified food menu. According to Tolga Öncü, Head of Retail at Ingka Group, the goal is to extend IKEA’s reach into neighborhoods without cannibalizing existing stores. Pilots are currently running in the UK, Poland, and Texas, with a final rollout plan expected by the end of 2025. In India, barn could enable IKEA to scale rapidly, potentially launching 100 stores in the first year and transforming the brand into a mass-market player.
What's Your Reaction?
FEDA-HQ
The Federation of Economic Development Association of India (F.E.D.A) holds the distinction of being India's most venerable umbrella organization. F.E.D.A focused on promoting economic growth in India. Economic development professionals throughout the state, along with individuals and companies in related economic development fields, work together with the F.E.D.A Members and Board of Federation to help positively influence country legislation and industrial growth. With cutting edge policy research and advisory to National and State governments on trade issues. F.E.D.A is one of the leading non-profit organizations with established credentials for enhancing economic development.
