IKEA Thailand, part of the Swedish home furnishing company, is addressing economic difficulties by reducing prices and launching the IKEA for Business programme. This initiative targets growing demand from hotels, offices, property developers, and small and medium-sized enterprises (SMEs).
Leonie Hoskin, retail manager for IKEA Thailand and Vietnam, noted that fiscal 2025 (September 2024 to August 2025) was challenging due to high household debt and political instability, which affected the economic and business climate.
Consequently, the company’s total sales increased by only 1%. IKEA aims for a 6% sales growth for fiscal 2026, driven by increased investment in its price reduction campaign.
Bangkok Post reported that the initiative reduces prices by 20 to 25% on 2,500 products, nearly double the offerings from the previous year, maintaining these prices throughout the year. The Everyday More Value campaign offers prices from 19 baht to a maximum of 200 baht.
“This year’s reductions are deeper than in previous years, ensuring that everyone can access quality, well-designed products at affordable prices,” said Hoskin.
Additionally, the company introduced its business-to-business (B2B) service, offering comprehensive design, furniture selection, and after-sales solutions for hotels, offices, property developers, universities, restaurants, and cafés.
“This is a growing market, supported by the steady expansion of the real estate sector and the constant renovation of hotels and office spaces,” stated Pornpak Chintakovit, Manager of IKEA for Business at IKEA Thailand.
The company forecasts B2B sales to reach 170 million baht this fiscal year, up from 137 million in fiscal 2025, and aims for an annual revenue of 300 million baht in four years. Pornpak noted that IKEA’s B2B customers comprise 80% SMEs and 20% project customers.
IKEA Thailand plans to open its sixth store in the northeast next July with 750 square metres of floor space and an investment of approximately 30 million baht.
The store format is similar to the recently opened Chiang Mai branch, featuring Life Xpress, developed in partnership with CP Future City Development Corp, part of the Charoen Pokphand Group.
This format, described as more compact and cost-efficient, offers over 300 selected products, focusing on storage solutions available for immediate purchase.
IKEA operates five stores in Thailand, located in Bang Na, Bang Yai in Nonthaburi, Phuket, Phrom Phong in Bangkok, and Chiang Mai.
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