IKEA, India: IKEA is to leap into a milestone of sorts with the launch of it's Hyderabad store today.
In a milestone that's been more than a decade in the making, the Swedish furniture retailer's first India store opens today. It has localized its India offering - from the food menu to its "do-it-yourself" (DIY) assembly model - to ensure success and woo cost-conscious shoppers.The store built on a 13-acre land in Hyderabad will offer 1,000 products including cutlery, stuffed toys, hangers and container boxes priced under Rs. 200 - cheaper than in most countries to cater to the world's fastest-growing middle class.
IKEA has visited more than 800 homes in the country to see how people live and the launch today comes at least 12 years after it started studying India. It has further invested more than 10 billion rupees on its first foray in India.Its opening, set for July 19, was postponed by three weeks to give the store more time to live up to its expected quality commitments towards customers and co-workers.
The cafeteria in Ikea's new store will have 1,000 seats; what it won't have is Swedish beef meatballs to cater to Indian sensitivities. The pork-and-beef dish will be dropped from the menu in favor of chicken meatballs, biryani, samosas and vegetarian hotdogs. The company officials said last year that they plan to open 25 stores in India by 2025.
Here are the Highlights of IKEA's First India Store Launch:
Out of the total outlay of Rs. 10,500 crore, the company has invested Rs. 1,000 crore in the Hyderabad store alone, which would have a range of around 7,500 products, stated PTI. The store is spread over 13 acres of land and has a built up area of 4 lakh sq ft. Patrik Antoni, Deputy CEO, IKEA India, told reporters that they have so far invested Rs. 4,500 crore including in land.
IKEA has employed 950 people directly and another 1,500 indirectly at its store in Hyderabad and plans to hire 15,000 in the coming years as it expands operations in India according to news agency PTI.
Customers were greeted by Ikea staff members in blue-and-yellow company polo shirts who had packed themselves at the stairway, waving India and Sweden flags.
IKEA's traditional co-worker breakfast before their opening of first store in India.
Rajani Venugopal, the cricketer, was the first customer of Ikea Hyderabad.
Telangana Minister for Industry & Commerce K T Rama Rao inaugurates its first store in India today along with Peter Betzel, CEO of IKEA India and Ambassador Klas Molin.
Telangana IT and Municipal Administration and Urban Development Minister KT Rama Rao at IKEA's Hyderabad store launch.
IKEA Restaurant
The cafeteria in Ikea's new Hyderabad store will have 1,000 seats excluding the Swedish meatballs. To adapt to the Indian culture, the pork-and-beef dish will be dropped from the menu in favor of chicken meatballs, biryani, samosas, dal makhni and vegetarian hotdogs. Indians' beloved biryani dish will sell for 99 rupees and chicken meatballs at 149 rupees.
The world's biggest furniture retailer expects seven million people a year to throng its new store in Hyderabad, the first of 25 outlets it hopes to open across the country of 1.25 billion people by 2025.
The Swedish retailer IKEA will finally mark its entry into India today with a massive 400,000 square foot (37,160 square metre) store in Hyderabad.