IKEA in India: How the Swedish Giant Made Itself at Home in a New Market
IKEA is a global furniture brand that has become synonymous with stylish yet affordable home decor. But when the Swedish giant decided to enter the Indian market, it faced a unique set of challenges. From navigating complex regulations to adapting to local tastes, IKEA’s journey in India has been a fascinating one. In this article, we take a look at how IKEA launched and customized itself for the Indian market.
Launching in India
IKEA made its much-anticipated entry into India in 2018, with the launch of its first store in Hyderabad. The launch was met with much fanfare, as customers queued up outside the store for hours to get a first glimpse of the brand’s products.
One of the biggest challenges that IKEA faced in India was complying with the country’s strict sourcing rules. Under Indian law, foreign retailers are required to source 30% of their products locally. To meet this requirement, IKEA had to work with over 50 suppliers in India, and set up its own manufacturing facility in the country.
Adapting to Local Tastes
IKEA’s success in India hinged on its ability to adapt to local tastes and preferences. The brand conducted extensive research to understand the needs and aspirations of Indian customers, and customized its products and services accordingly.
One of the key ways in which IKEA customized its offerings was by introducing products that were specific to the Indian market. For instance, the brand launched a range of mattresses that catered to Indian sleeping habits, and designed its furniture to be easily assembled and disassembled, keeping in mind the limited space available in many Indian homes.
Another way in which IKEA adapted to local tastes was by offering a wide range of vegetarian and vegan food options in its stores. In fact, IKEA’s food offerings have become so popular in India that the brand is now planning to launch standalone restaurants in the country.
Marketing in India
IKEA’s marketing strategy in India has been focused on building brand awareness and trust. The brand has leveraged a mix of traditional and digital marketing channels to reach out to its target audience.
One of IKEA’s most successful marketing campaigns in India was its “Make Everyday Brighter” campaign, which focused on showcasing how IKEA’s products could help Indian customers create bright, functional, and affordable living spaces. The campaign was rolled out across various media channels, including TV, social media, and outdoor advertising.
In addition to its marketing campaigns, IKEA has also invested in creating a seamless shopping experience for its customers in India. The brand has launched a dedicated e-commerce platform for the Indian market, and offers a range of services such as home delivery, assembly, and installation.
Conclusion
IKEA’s journey in India is a testament to the brand’s ability to adapt to new markets and customer needs. By customizing its products and services for the Indian market, and building a strong brand presence through effective marketing, IKEA has established itself as a household name in India.
