IKEA To Launch Online Deliveries Across Delhi-NCR Soon: Report

Seven years after making its debut in India, Swedish retail giant IKEA is expanding with the launch of online deliveries in Delhi-NCR. This is a significant step in the company's growth, with plans to partner with Germany-based Rhenus Logistics and use a 1.5 lakh square feet warehouse in Gurugram to fulfil orders.

The e-commerce service is expected to begin before the opening of its physical stores in the region. The Gurugram and Noida stores are under construction.

Currently, IKEA's online delivery service is limited to four states - Andhra Pradesh, Karnataka, Maharashtra, and Telangana, where it also operates stores in Hyderabad, Bengaluru, Mumbai, and Navi Mumbai.

IKEA's e-commerce segment plays a crucial role in its India strategy, accounting for around 30 per cent of its sales. Last June, IKEA partnered with Rhenus Logistics to facilitate its expansion into Delhi-NCR, with online deliveries slated to begin by early 2025.

Rhenus Logistics, at the time, said, "India is currently the world's fourth-largest furniture market, rising rapidly from tenth place 10 years ago."

Delhi NCR, with its growing demand for premium real estate in areas like Gurugram, Noida, and Delhi, is well-positioned for Rhenus India's supply chain expertise, they said.

Along with its online expansion, IKEA is also gearing up for its first offline operations in the region. The Gurugram store, expected to be the largest in Delhi-NCR, will feature a massive four lakh square feet retail space and a 1,000-seater restaurant serving a mix of Indian and Swedish cuisines.

Construction for the Noida store began in September 2024, with Uttar Pradesh Chief Minister Yogi Adityanath laying the foundation stone. It is expected to open by 2028.

In February 2021, IKEA secured 12 acres of land in Noida for Rs 850 crore, paid to the Noida Authority. The plot will host a nine-storey hotel, office towers, and an integrated IKEA store. Lykli Noida will offer a mix of retail, dining, hospitality, office space, entertainment, and cultural experiences aimed at urban dwellers. The development is expected to attract over 25 million visitors annually.

Mr Adityanath praised the project as a significant employment booster and highlighted the state's growing role as an investment hub.