Ikea announces $2 billion US expansion, will open 8 new stores 2023-04-22
WASHINGTON — Ikea is ramping up its U.S. presence with eight new stores planned over the next three years.
The Swedish company revealed its $2.2 billion investment on Thursday with plans to open eight new stores and nine smaller “plan and order points” across America over the next few years. The company describes it as its largest-ever investment in the U.S.
Ikea’s “plan and order points” are designed for customers to plan and speak with design specialists before placing an order for their homes. Ikea opened its first two “plan and order points” last year in California.
Along with the new store openings, the company plans on establishing 900 new pick-up locations where customers can collect purchases.
“The U.S. is one of our most important markets, and we see endless opportunities to grow there and get closer to the many Americans with affordable products and services,” Tolga Öncü, Head of IKEA Retail, said in a statement. “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.”
Ikea did not specify locations for its new stores, but said the expansion will create over 2,000 jobs.
The furniture retailer currently has 50 U.S. stores along with two “plan and order points” and several pick-up locations. It is also opening up two new locations, which are not part of the $2 billion investment, in Arlington, Virginia, and San Francisco, California, this summer. The Arlington location is one of the smaller-format “plan and order point” stores.
Part of the investment will also include modernizing its existing stores to allow for more parcel deliveries, the company said.
The Swedish home goods company opened its first U.S. store in 1985 in Pennsylvania and serves 31 global markets.