IKEA's retail sales up 4.7%

October 15, 2018
Source:
Fordaq
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452
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For the financial year 2018, which ended on August 31, 2018, the Ingka Group, formerly the IKEA Group, reports retail sales of EUR 34.8 billion for IKEA (2017: EUR 34.1 billion). In other words, retail sales grew 4.7% on a currency-neutral basis.

Over the course of the year, the Ingka Group recorded revenue increases in most of its 30 markets, with China being one of the fastest growing markets. The company has opened twelve new IKEA stores, including the first in India. Customer visits to the 367 IKEA stores worldwide increased by 3% (838 million visitors), while visits to IKEA.com increased by 10% to 2.35 billion.

IKEA combines digital and stationary services with a view to customer orientation. Click & Collect, an online service that enables customers to purchase IKEA products online and pick them up at IKEA stores, is now available in several markets, with the US market being the largest. During the year, the Ingka Group acquired TaskRabbit to offer customers flexible and cost-effective services such as furniture assembly. This service is now fully integrated with the United States and the United Kingdom and will be expanded to Canada this year. Meanwhile, 80% of IKEA customers start shopping online. At the same time, furniture stores still play an important role, according to IKEA.

Inter IKEA Systems BV, owner of the IKEA concept and global franchisor, announced that IKEA, with the help of all 11 franchisees, achieved total retail sales of € 38.8 billion. The Ingka Group, formerly IKEA Group, is the largest IKEA franchisee with 367 IKEA stores in 30 markets and 158,500 employees. The name Ingka is based on the name of the founder, Ingvar Kamprad.