Mumbaikars, if you’ve looked forward to visiting R-City Mall in Ghatkopar West just so you can explore IKEA, then we have bad news for you. IKEA is shutting down its store in R-City Mall by the middle of this year. However, do note that IKEA’s other two stores— the city store in Worli and the big box store in Navi Mumbai— will continue to operate. Read on to know the reason behind IKEA’s closure at R-City Mall.
IKEA Store In R-City Mall To Shut Down By Mid-2024
Swedish furniture retailer, IKEA will discontinue its operations at Mumbai’s R-City Mall by mid-2024. It will instead consolidate its operations at the Worli store. The reason cited is the viability of operating a small-format store in R-City Mall. Spread across 70,000 square feet, this IKEA store opened its doors in June 2022 offering a limited selection of goods. As per a report by Business Standard, IKEA stated that it was unable to offer customers the complete IKEA experience due to the limitations of the location, design and layout of the store at R-City Mall.
It’s the only in-mall store operating in India. The furniture retailer assures its customers that all other units in India will remain unaffected. Moreover, other IKEA stores located in Mumbai, Hyderabad and Bengaluru will continue delivering the best experience to customers. The big-format store in Navi Mumbai, spread across 5 lakh sq feet will continue to delight customers with its furniture and home decor offerings. The small-format store in Worli will expand in the city.
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It’s Exploring Pune As A Potential Market
IKEA stated that the store in R-City was launched in 2022 as one of the new small-format stores. As it was a nice concept it offered a lot of learnings when it came to attracting customers. And how they experienced the products and stores. IKEA called Mumbai, one of its key markets in India and stated that it will continue to invest in other parts of Maharashtra. Interstingly, IKEA is exploring Pune as a potential market. However, there are no concrete plans as of now.
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Calling India a long-term priority for the company, it stated its continuation to invest in more job opportunities and growth avenues. When it comes to workers being affected in the R-City Mall store, IKEA informed that they will be offered equal opportunities in future assignments in Mumbai and other markets. The company hopes these workers will continue their journey with IKEA.
The Furniture Retailer Released A Statement
IKEA released an official statement:“Taking care of our dedicated co-workers is our highest priority and we will lead with respect and compassion throughout the process. We are committed to supporting them with equal growth opportunities and a seamless transition and have them continue to be a part of the IKEA family”.
It added, “This strategic decision is at the back of the learnings we have had in terms of customer experience and aligned to our vision of creating a leaner and faster retail business in the country. It further allows us to consolidate our Mumbai operations to IKEA Worli, IKEA Navi Mumbai and online presence, while exploring newer opportunities for future growth.”
Furthermore, the retailer stated, “The focus on growing Mumbai remains robust as we explore newer omni-channel formats for the city, further develop the existing IKEA Navi Mumbai site into a retail destination, expand our physical presence in Pune, and become even accessible through our online presence across Maharashtra. India is a long-term priority for IKEA, and we will continue to invest in more growth avenues and job opportunities.”
Mumbaikars, are you sad to bid goodbye to the IKEA store at R-City Mall?
Cover Image Courtesy: IKEA/ Website
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