Ikano Retail, the IKEA franchisee in the Philippines and 4 other countries, exceeds €1 billion in sales for the first time
IKEA Philippines sees turnover of PHP 6.4 billion in its opening year
The retailer’s revenue surpassed the EUR 1 billion mark for the first time as it grew sales in its five markets, opened two new stores and welcomed more visitors than ever before in its last financial year.
‘’After two years of retail disruptions and COVID restrictions, people made 113 million visits to our stores and shopping centres,’’ said Christian Roejkjaer, Ikano Retail CEO. ‘’It’s clear people were looking for a great day out and turning to IKEA for home furnishing inspiration, Swedish meatballs and affordable products that make life at home a little more comfortable and sustainable.’’
In the Philippines, Ikano Retail owns and operates the world’s largest IKEA with IKEA Pasay City, an omnichannel business with ecommerce, Click & Collect pick-up points, IKEA Food and a B2B arm, IKEA for Business. In its first year of operations since opening on 25 November, IKEA Philippines ended its 2022 financial year on 31 August with a turnover of PHP 6.4 billion.
Ikano Retail also met 122.5 million visitors on IKEA websites across its five markets and grew its total ecommerce sales 16% on last year. Mr. Roejkjaer noted that Ikano Retail managed to keep growing amid tough challenges for retailers.
‘’Our shelves were not fully stocked as we would have liked it and our costs went way up. Still, we are leading our markets for affordable, quality home furnishing solutions – and our customers appreciate that.’’
Bedroom furniture and Workspaces were the top earning categories for IKEA Philippines, with the BRIMNES wardrobe with three doors and the ALEX drawer unit among top-selling products. People were also getting organised in their kitchens, taking home 83,865 pieces from the IKEA 365+ series of food storage solutions. IKEA Food was a hit among customers in the Philippines in its opening year, with nearly 8 million plant, vegetable and meatballs sold.
Aside from IKEA Pasay City, Ikano Retail opened a second store in Mexico with IKEA Puebla in its last financial year. In the years ahead, Ikano Retail will continue its expansion in Mexico with a third store already under construction. The retailer is set to grow its business further in 2023 with the opening of IKEA Sukhumvit in the heart of metropolitan Bangkok, adding to three existing IKEA stores in the country.
