Ikea wants to expand in the US with an investment of 2,000 million euros

The Swedish giant Ikea is looking for expansion in the American market. A company engaged in the production and retail of prefabricated furniture will spend 2000 million euros in the next three yearsits largest investment in a single country, in an attempt to gain customers in the North American market, according to reports Reutersoccupying the premises of other large retailers in this country who are closing stores.

Ikea, which opened its first US store in 1985 near Philadelphia, is looking gain market share in the US as cash-strapped consumers seek more affordable products.

The Swedish manufacturer planned to open eight new large format stores and nine smaller ones, will at the same time continue with the reform of the stores it already has in the country, the company’s second largest market after Germany, according to Tolga Onc, director of Ikea Retail. “We are looking at opportunities in all American states, but I would say especially In the southwhere we see a great demand that we could not meet until now”, he commented to the British agency.

Although it did not specify specific locations, the directive indicated that large stores would have nine “points of planning and ordering”, and the smaller ones are designed so that customers can get advice on their purchase intentions, while they can formalize furniture orders for delivery. What Ikea already has planned are openings in the center San Francisco and ArlingtonVirginia.

What Ikea wants with this expansion plan is to locate in spaces and areas where its competitors, such as Walmart and online furniture retailer Wayfair, are closing stores and cutting jobs. Actually, a Swedish company plans to employ around 2,000 people.

“There are opportunities to accelerate investment in acquiring existing land and locations to bring Ikea closer to many people,” Oncu said. In fact, a signature plans to increase its presence in the US by a thirdwhere at the end of the fiscal year 2022, in that country, it generated an income of 5,500 million euros.