• Clint Engel

Is Ikea coming to Amazon?

Reuters reports the home furnishings giant plan to test sales on other websites

CONSHOHOCKEN, Pa. — Is Ikea furniture coming to Amazon and other online marketplaces?

Reuters reported Thursday the Sweden-based home furnishings giant plans to test selling its products on third-party websites next year. The move would be a first for the company, which has been putting greater emphasis on building its online business.

“On digital platforms, we only sell our products through our own website, and there we also see that the competitive landscape is changing,” Ikea Group Chief Executive Torbjorn Loof, told Reuters.

He declined to name which platforms Ikea would sell through, noting no contracts have been signed, according to the report.

Loof told Reuters, “We will test and pilot, to see ‘what does this mean, what does digital shopping look like in future and what do digital shopping centers mean?’”

Ikea’s U.S. operations are ranked No. 3 on Furniture Today’s Top 100, based on estimated furniture, bedding and accessory sales of $3.3 billion at 42 stores in its fiscal year ended Aug. 31. Reuters reported Ikea Group's online sales for most stores worldwide totaled $1.6 billion last year, a fraction of the more than $35 billion in total sales.

It may be the biggest, but Ikea is not the first home furnishings chain to explore alternative online sales channels. In 2015, Art Van reached a short-lived deal to sell through Overstock.com. Earlier this year, Ethan Allen announced plans for an Ethan Allen Design Studio selling furniture on Amazon. Also this spring Amazon was active at the High Point Market encouraging major furniture stores to sell through its marketplace under an enhanced program coming later this year.

Clint EngelClint Engel | Senior Retail Editor, Furniture Today

Please feel free to email or call me with all of your retail news and tips, including expansion news, successful merchandising and marketing strategies and anything else you would like to see covered by Furniture/Today.  Contact me directly at cengel@furnituretoday.com or 336-605-1129.

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