Ikea India to close R-City Mall Mumbai store

As per reports, the R-City store, which opened in 2022, was initially launched as part of Ikea's initiative to test smaller format concepts in India

Despite the closure of the R-City store, Ikea remains dedicated to exploring newer growth avenues and job opportunities in India (representative image) (@IKEA/X)
Despite the closure of the R-City store, Ikea remains dedicated to exploring newer growth avenues and job opportunities in India (representative image) (@IKEA/X)
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NH Digital

Swedish furniture retail giant Ikea has announced its decision to discontinue operations at its store in Mumbai's R City mall by the mid of this year.

The move comes as part of Ikea's strategy to consolidate its Mumbai operations, focusing on larger stores like Ikea Worli and Ikea Navi Mumbai, along with its e-commerce platform, as per reports by Times Now and Hindu Businessline.

As per the report by Hindu Businessline, the R-City store, which opened in 2022, was initially launched as part of Ikea's initiative to test smaller format concepts in India.

However, the store faced challenges in delivering the full brand experience due to layout and design-related limitations. Despite efforts to optimise operations, the decision was made to streamline the company's presence in Mumbai, reported Times Now.

”This strategic decision is at the back of the learnings we have had in terms of customer experience and aligned to our vision of creating a leaner and faster retail business in the country. It further allows us to consolidate our Mumbai operations to Ikea Worli, Ikea Navi Mumbai and online presence, while exploring newer opportunities for future growth,” Ikea India said in a statement, as per Hindu Businessline.

Employees currently working at the R-City store will not be impacted by the closure and will be provided with opportunities to transition to other Ikea outlets. Ikea emphasised its commitment to supporting its workforce, ensuring a seamless transition for all employees, the report added.

Hindu Businessline reported that despite the closure of the R-City store, Ikea remains dedicated to exploring newer growth avenues and job opportunities in India. The company recently expanded its doorstep delivery services to 62 new districts across four states, including Maharashtra. Additionally, Ikea plans to launch e-commerce operations in Delhi within the next year and is investing in meeting centers in Gurugram and Noida through its parent company Ingka Group's shopping center division, Ingka Centres.

As per Times Now, Ikea presently operates three large-format stores in India, located in Hyderabad, Navi Mumbai, and Bengaluru, along with two small stores in Mumbai.

While the closure of the R-City store marks the end of an era for Ikea in Mumbai, the company reiterated its long-term commitment to the Indian market and its goal of providing quality home furnishing solutions to customers across the country.

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