--> ‘25-30% of IKEA India’s budget goes to outdoor, radio & print; digital gets 40%’

‘25-30% of IKEA India’s budget goes to outdoor, radio & print; digital gets 40%’

In a conversation with e4m, Jayendra Gupta, IKEA’s Country Manager of Integrated Media, spoke about the brand’s strategic entry into Delhi NCR, evolving consumer behaviour and more

by Chehneet Kaur
Published - February 28, 2025
6 minutes To Read
‘25-30% of IKEA India’s budget goes to outdoor, radio & print; digital gets 40%’

IKEA is all set to launch online deliveries in Delhi-NCR and 9 satellite cities, including Agra, Prayagraj (Allahabad), Amritsar, Chandigarh, Jaipur, Kanpur, Lucknow, Ludhiana, and Varanasi, starting March 1, 2025. The brand has invested Rs 10,500 crore in the Indian market and plans to accelerate it further. As per IKEA India’s CEO, Susanne Pulverer, “85% of the revenues are reinvested for expansion.”

e4m spoke to Jayendra Gupta - Country Integrated Media Manager at IKEA India on the Swedish brand finally starting online operations in Delhi-NCR and the plan to launch physical stores in Gurgaon in 2026 and later in Noida. 

Jayendra Gupta explained that IKEA chose to launch with an e-commerce-first strategy in Delhi NCR as part of a broader omnichannel strategy. “Delhi is a massive market with immense potential, and consumers will see more and more physical touchpoints and smaller stores coming up in the future. We followed a similar approach in Mumbai and Bangalore, starting with e-commerce as it helps us understand consumer needs and refine our offerings. That knowledge can then inform the in-store experience when physical locations open,” he mentioned.

More of the conversation: 

After seven years in India, what have you learned about consumer behavior, and how are you applying that knowledge to Delhi NCR?

Jayendra Gupta: We invest a lot of time, effort, and resources to understand consumer behaviour across India’s diverse regions. Life at home varies significantly across the country, influenced by cultural diversity, lifestyle, and even living conditions. Delhi, for example, has a vibrant arts and cultural vibe. We incorporate these insights into our marketing communication and product offerings. We want to inspire people to make the most of their living situations with our range of products tailored for every corner of the home.

How does IKEA adapt its product range for a city like Delhi, where homes often have larger spaces and balconies compared to cities like Mumbai?

While the core product range remains consistent across India, we use local insights to inspire people to utilize their living spaces better. For example, Delhi’s larger homes and balconies present an opportunity to showcase our outdoor furniture and storage solutions. It’s about showing consumers how our products fit their unique living environments rather than changing the range itself.

How significant is influencer marketing for IKEA’s Delhi NCR launch?

Influencer marketing is a critical part of our strategy. We’ve been leveraging creators for content and storytelling for a while now. For Delhi, influencers are integral to building anticipation, amplifying launch buzz, and later driving product awareness through their unique styles of content. For example, our out-of-home campaign has an influencer leg to it, blending traditional and digital strategies.

Household durables contribute about 5% to the traditional media AdEx, according to PItch-Madison Advertising Report 2025. What’s the current mix between traditional and digital advertising for IKEA in India?

We believe in a healthy mix of all channels. For this launch, we didn’t use TV, but around 25-30% of our budget went to outdoor, radio and print media. Digital, including performance marketing, takes up generally about 40% and the remaining goes to influencer partnerships, and experiential activities. It’s all about using each channel for what it does best and ensuring our storytelling reaches consumers in the most impactful way.

What’s the current sales split for IKEA India between online and offline channels?

For India, around 30% of sales come from online, and 70% from offline channels. But this mix evolves as we grow, and with the launch of new stores and touchpoints, we expect the balance to shift naturally.

As of now, IKEA India is not competing with Homecenter, Pepperfry or Urban Ladder but the non-branded furniture segment. How does IKEA plan to compete with North India’s strong unorganized furniture market?

It’s true that the unorganized sector is very dominant, especially in North India, where people value the convenience and cost-effectiveness of local carpenters and sellers. But we see this as an opportunity to grow the organized home furnishing sector together. Our focus is on educating consumers about the quality, design, and affordability that IKEA brings. Over time, this will help shift perceptions and grow the organized market share.

Much before IKEA products were available in India, many e-commerce platforms sold dupes of the product and lack of consumer awareness made it worse. How does IKEA plan to tackle the issue of counterfeit products being sold online on marketplaces?

Educating consumers about our official online ecosystem is a big priority. Many people don’t realize they’re buying knock-offs at inflated prices on third-party marketplaces. That’s why we’re building a strong memory structure in our communication, emphasizing that IKEA products are available on IKEA.in, the IKEA app, and through our remote customer meeting points. Influencers are also part of this awareness drive.

India isn’t traditionally a DIY market when compared globally. How is IKEA addressing that challenge?

We understand that DIY culture isn’t as ingrained in India as it is in the West. But we’re already seeing early adopters who enjoy building their own furniture because there’s a special satisfaction in assembling your own sofa! For those who prefer assistance, we’ve partnered with service providers for assembly support. It’s a hybrid approach, giving customers both options and helping the DIY culture gradually take root.

Given the high operational costs and relatively thin margins in India, how does the brand plan to balance profitability with expansion?

We’re in India for the long haul. While profitability is important, we’re patient and confident in the strength of our range, services, and brand value. Our focus is on creating a home furnishing movement and delivering quality at affordable prices. Over time, as we scale and deepen our connection with consumers, we believe these early operational losses will balance out.

Since you are a global brand catering to multiple linguistics, how does IKEA localise its storytelling for different Indian regions, particularly North vs. South India?

While some elements of our communication are universal like democratic design and solutions for every corner of the home, we also adapt to local cultural nuances. We study everyday rituals, living patterns, and regional aesthetics to craft stories that resonate. For instance, storytelling in North India might draw more from Delhi’s vibrant cultural life, while communication in South India might lean into minimalism or space-saving solutions. It’s all about blending global brand values with local sensibilities.

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