Ikea not ready to open first India store yet, postpones launch to August 9

Around 45,000 visitors are expected at the store on the earlier launch day

Ikea
IKEA will initially sell an optional clip-on lamp and table to be used with the product, and plans to roll out more accessories in time. (Photo: Reuters)
Nivedita Mookerji New Delhi
Last Updated : Jul 14 2018 | 1:55 AM IST
Less than a week before the scheduled opening of its first India store, Swedish furnishing major Ikea announced a change in plan. Instead of July 19, Ikea’s Hyderabad store will now open on August 9, a company statement said on Friday, days after the invites had been sent out for the grand inauguration of the 400,000 sq ft facility by the global CEO Jesper Brodin. It needs some more time to live up to its expected quality commitments towards customers and co-workers, Ikea India CEO Peter Betzel said in a statement. 

Responding to a query on why Ikea decided to move the date after finalising everything, a company executive said, "The reasons are of our readiness to welcome the many people in a good way in the store." Although local infrastructure issues such as a flyover construction close to the Ikea store at Hi-Tech City in Hyderabad may have been a hurdle, the company said the Telangana government had been very supportive. 

Around 45,000 visitors are expected at the store on the launch day and the company may have felt that the required measures to ensure smooth movement of the crowd in terms of external parking were still not in place, a source said. Over the next 20 days or so, the infrastructure issues may get resolved to some extent, he said.      

"It’s about our own readiness in the store to match the high standards that we would like people to experience," the executive said when asked whether infrastructure gaps had forced the company to move the store opening date. Ikea is opening its first store in the country six years after announcing its 1.5 billion euros investment in single-brand retail business.     

On the number of visitors likely to come for the store opening, the executive said, "This is our first store and we are ready to be positively surprised. We will communicate the new date in all our ongoing outdoor communications."

According to the company, this is not the first time that Ikea is doing something as drastic as changing the opening date after sending out invites and going all out on publicity blitz. "Ikea has over 450 stores in more than 50 countries. We believe in doing things right. This isn’t a first time scenario. In the past, situations such as adverse climate have resulted in  delays." But the day the company opens the store, "we should be sure that we offer our customers a great quality experience and a safe and secure place for our customers and co-workers", a spokesperson said. The company is yet to confirm whether Brodin would fly down for the opening on August 9.  

One subscription. Two world-class reads.

Already subscribed? Log in

Subscribe to read the full story →
*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

Next Story