Ingka Group, the largest IKEA retailer, has announced plans to open 20 new small-format stores across Europe and North America within the next six months, marking the next phase in the company's strategy to bring its home furnishing offer closer to customers in smaller cities and suburban areas.
© IKEA
The expansion reflects IKEA's broader ambition to become more accessible, affordable and sustainable, complementing its traditional large-format stores and urban locations with a new generation of compact retail spaces. These smaller outlets are designed to integrate more naturally into people's everyday routines, often located in areas where consumers already shop.
In France, the retailer will open its first compact store of around 2,000 square metres in Limoges by summer, with further locations planned across the country. In Portugal, the city of Coimbra will host the new format in a store spanning more than 4,000 square metres, while Poland is set to welcome its second store of this type in Białystok later this year.
Juvencio Maeztu, CEO of Ingka Group, said: "The physical store remains at the centre of our omnichannel business – it plays a key role in our fulfilment network and gives people more reasons to interact with us. New smaller stores are a complement to our traditional stores and part of a broader commitment to optimising store space, advancing digital capabilities, and continuing the development of services."
He added: "Our ambition is to come closer to customers with an affordable home furnishing range and a selected food offer, and to respond faster to what people want and where they want it."
The compact stores will offer more than 2,000 home furnishing products and accessories, focusing primarily on everyday essentials. Customers will still have access to IKEA's full product range through flexible pick-up and delivery services, allowing the smaller locations to function as both retail and fulfilment hubs.
Designed to be more cost-efficient and faster to open than traditional IKEA stores, the format integrates planning services, knowledgeable staff and a curated food offering. Early pilot projects have demonstrated strong customer interest in having IKEA stores closer to residential areas.
Maeztu noted: "With the pilot store already opened we have learned that customers truly appreciate having IKEA closer to them and in locations that naturally fit into their daily life."
The rollout forms part of Ingka Group's €5 billion three-year investment programme, aimed at opening new locations and upgrading existing stores across its 32 markets. After the end of the 2026 financial year, the company will evaluate the performance of the compact stores before deciding on further expansion.
For the European furniture and interiors sector, the move reflects a broader shift in retail strategies, with large home furnishing brands increasingly adapting store formats to evolving urban lifestyles, omnichannel shopping habits and localised market demand.
More information:
IKEA
www.ingka.com
