Ikea to open ‘pickup point concept’ store in Phuket

Posted on August 20, 2014

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Ikea, the giant Swedish furniture and home furnishing company, is to open a showcase store in Phuket as part of plans to will speed up its expansion in Thailand, which will also include online service

Lacia Sherlock, Ikea Bangna store manager, said the company would open its first Ikea pickup point concept store in Phuket in July next year to cash in on the high purchasing power of customers on the island.

Thailand will be the third country for Ikea to introduce this concept store after its success in Greece and Spain in the past few years.

The Ikea pickup point in Phuket will be slightly different from those in Spain and Greece in terms of store size and products and services.

Customers will be able to view and touch the furniture and place an order if they want to buy anything. The products will be delivered to them within a few days.

Currently Ikea has a full-scale store in only Bangkok’s Bang Na area. It is trying to reach a wider customer base by opening Ikea pop-up stores in other locations in the capital. The pop-up store is just a temporary display area and will not accept purchase orders.

“We’re looking to open more pop-up stores in Bangkok next year,” Ms Sherlock said.

The first Ikea pop-up store was introduced in Siam Square followed by others in Major Ratchayothin and Major Pinklao.

Yesterday, the latest pop-up store at Major Esplanade was opened to showcase Ikea furniture and Swedish decor until Aug 31.

The Ikea pop-up store at Major Esplanade covers 380 square metres.

“Customers will learn about the do-it-yourself furniture concept and understand it at the pop-up store. Once they like Ikea and its concept, we hope they will visit the store in Bang Na and buy furniture in the near future,” Ms Sherlock added.

The three pop-up stores could help the brand reach 2.5 million customers and Ikea hopes they will visit Ikea Bangna in the future.

“We are very happy with the results of the pop-up store in Bangkok and now some Ikea networks in South Korea and Hong Kong are interested in applying this strategy,” she said.

Ikea has plans to open two new big-scale stores in the West and North of Bangkok over the next 5-6 years. About 7-8 Ikea pickup points will also be opened in the future to satisfy customers in many locations.

The company is also conducting a feasibility study on online services in a bid to provide convenience for customers while its number of stores is limited.

“We had a fantastic first-half performance and unbelievable sales. We faced minimal impact from the political crisis as our store is located outside the city so customers felt it is safe to visit,” Ms Sherlock said, adding that the company expects sales this year to grow by 12 per cent.

 

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