IKEA Group releases FY16 Yearly Summary and Sustainability Report
With continued focus on multichannel retail and sustainability investment, total revenue reached EUR
With the aim of becoming the world’s leading home furnishing multichannel retailer, IKEA Group is expanding and developing new capabilities in in-store and online shopping, to cater for people’s ever changing needs.IKEA Group opened 12 new stores, 19 new format Pick-up and Order points and further developed its multichannel distribution network. Work also continued on opening the first IKEA stores in India and Serbia.
China remains one of the fastest growing markets for IKEA Group, while the five largest retail markets based on sales value were Germany, USA, France, UK and Sweden.
The IKEA Group stores had 783 million visits during the year.IKEA Family also became one of the world’s largest membership clubs during the year, reaching 100 million members.
“We want to offer our customers a great experience at every touchpoint, whether it is online or in-store,” said Peter Agnefjäll, President and CEO. “We cannot do this without our dedicated and professional co-workers, who have contributed to making FY16 a fantastic year for the IKEA Group.We will continue to think and invest long term, with a strong focus on continuous growth and efficiency in our operations.”
According to the FY16 Yearly Summary, IKEA Group also set aside a total of EUR 443 million during the year for the co-worker loyalty and bonus program to share its business success with co-workers.
Meanwhile, IKEA Group is committed to having a positive impact on people and the planet and has allocated over EUR 3 billion to become resource and energy independent.This includes a financial frame of EUR 1 billion, announced today, to secure a long-term supply of sustainable materials by investing in forestry as well as companies active in recycling, renewable energy development and biomaterial developments. It also includes the EUR 1.5 billion invested in wind and solar energy projects since 2009 and EUR 600 million allocated for further investments to become energy independent, producing as much renewable energy as it consumes in its own operations by 2020. Other sustainability highlights in FY16 include:
- Sold almost 80 million LED bulbs to inspire and enable its many customers to live a more sustainable life at home
- Launched a new home solar offer in three markets
- Sourced all cotton and 61% of wood used for IKEA products from more sustainable sources
- Phased out oil-based expanded polystyrene (EPS) in IKEA flat packs, replacing it with fibre-based, fully recyclable materials
- Continued efforts to create a fully inclusive work environment; 48% of managers are women
Full versions of IKEA Group’s FY16 Yearly Summary and Sustainability Report can be found at the IKEA Korea homepage(http://www.ikea.com/ms/en_KR/this-is-ikea/reports-downloads/index.html).