Ikea packing them in around the world as it gains share in most markets

Sweden’s Ikea, seen as a good gauge of global consumption due to its vast footprint, said some of the strongest growth was in Russia and China, and there was also significant progress in North America during the past year.

“While southern Europe continued being affected by the current economic situation, the Ikea Group continued gaining market shares in almost all markets,” Ikea said in a statement.

“Value for money is increasingly important to our customers – and our sales development shows that people all over the world appreciate our concept of good quality, well-designed products at low prices,” said president and CEO Peter Agnefjäll.

In the 12-month period ended August 31, Ikea sales rose to 27.9 billion euros, the company said. Sales in comparable stores grew 1.8 per cent in the same period, it added. The sales figures were released separately with the full earnings report due in January next year.

Privately-held Ikea, famous for its self-build flat packs and huge stores, last year set a target to double sales to around 50 billion euros by 2020. There are currently 303 Ikea group stores globally, which were visited by 690 million people in the year.

Mr Agnefjäll added: “Reducing household energy bills is the most important issue for many people today when it comes to living more sustainably at home. In the last year, we sold 20 million energy saving LED products at affordable prices, helping people to do just that. And by 2016 we will convert all of our lighting products to LED to help even more people save money at home. Sustainability should not be a luxury good,”

Ikea has a store in Leeds and wants to open another one near Meadowhall in Sheffield. The proposal has attracted criticism though with some fearing that it will harm city centre trade, but Ikea says the store will bring new customers to the city. A council verdict is expected early next year. Construction could start in the summer, with the store being ready by the end of 2015.