IKEA to Open Smaller Store in Chiang Mai by 2025
IKEA will open a new store in Chiang Mai by 2025, making it the fifth branch in Thailand, modeled after its smaller Phuket store. The company is also considering expanding to Rangsit, where it already owns land. IKEA's regional operations showed strong growth in Thailand with a projected revenue exceeding 10 billion baht for 2024, reflecting a 3.9% increase compared to the previous year.
IKEA, the Swedish furniture and home décor retailer, announced plans to open a new store in Chiang Mai by 2025, marking it as its fifth branch in Thailand.
The new store will follow the model of the smaller Phuket branch.
Additionally, the company is exploring expansion possibilities in Rangsit, where it owns land.
Leonie Hoskin, retail manager for IKEA Thailand and Vietnam, emphasized the brand's interest in growing its presence in promising Thai locations like Chiang Mai and Rangsit.
IKEA, which entered the Thai market 12 years ago, currently operates four branches in Bangna, Phuket, Bangyai, and Sukhumvit.
In fiscal year 2024, Ikano Retail, the franchise operator for IKEA in Thailand, reported a revenue of approximately 40 billion baht with a 1.3% growth.
In Thailand alone, IKEA projected over 10 billion baht in revenue, marking a growth of 3.9%, the highest within its regional operations.
The company plans a major price cut in 2024 for 2,400 products, mainly essential or best-selling items, and reduced delivery fees.
IKEA's Thailand branches' current performances include revenues of 9.1 billion baht from Singapore (up 0.6%), 11 billion baht from Malaysia (down 4.2%), and over 10 billion baht from Thailand (up 3.9%).
The new store will follow the model of the smaller Phuket branch.
Additionally, the company is exploring expansion possibilities in Rangsit, where it owns land.
Leonie Hoskin, retail manager for IKEA Thailand and Vietnam, emphasized the brand's interest in growing its presence in promising Thai locations like Chiang Mai and Rangsit.
IKEA, which entered the Thai market 12 years ago, currently operates four branches in Bangna, Phuket, Bangyai, and Sukhumvit.
In fiscal year 2024, Ikano Retail, the franchise operator for IKEA in Thailand, reported a revenue of approximately 40 billion baht with a 1.3% growth.
In Thailand alone, IKEA projected over 10 billion baht in revenue, marking a growth of 3.9%, the highest within its regional operations.
The company plans a major price cut in 2024 for 2,400 products, mainly essential or best-selling items, and reduced delivery fees.
IKEA's Thailand branches' current performances include revenues of 9.1 billion baht from Singapore (up 0.6%), 11 billion baht from Malaysia (down 4.2%), and over 10 billion baht from Thailand (up 3.9%).
