- Ikea says it plans to expand its price cuts into 2024 across all of its markets globally, aiming to dial back price increases that were introduced in 2022.
- The price cuts have led to an increase in customers and more products have been sold worldwide, according to Tolga Öncü, head of retail at Inkga Group, the biggest owner of Ikea stores.
Swedish home and furniture company Ikea has been cutting prices across a number of countries as global inflation eased, as it boosts its investments in price reductions.
The company is further expanding its price cuts in 2024 across all of its markets globally, aiming to dial back price increases that were introduced in 2022. This move comes as the cost for transportation and raw materials decreases.
“We are doing it in all the markets where we operate,” Tolga Öncü, head of retail at Inkga Group, the biggest owner of Ikea stores, told CNBC on Monday.
“This is the moment for companies like Ikea to invest in pricing rather than profitability,” he said, adding that a lot of people now have “thinner wallets.” The price cuts, which started in Europe in September, have led to an increase in customers, as well as an increase in items sold by the retailer, according to Öncü.