IKEA will lease flatpack furniture to businesses this month and could expand the scheme to kitchenware after profits plunged 12 per cent
- Ikea will start leasing out furniture as the company tries new ways of business
- The Swedish flatpack specialist is the world’s biggest furniture retailer
- But profits at Ikea fell by 12% last year and the company is exploring alternatives
Ikea is to start leasing furniture for the first time this month as it tries out new ways of doing business.
The flatpack specialist’s trial will initially involve office furniture for businesses but it hopes to expand into kitchens and the consumer market.
Profits at Ikea, the world’s biggest furniture retailer, fell by 12 per cent last year and the company is exploring alternatives.
Flatpack specialist Ikea is set to start leasing furniture for the first time as it tries out new ways of conducting business (pictured: Ikea store in Logan, Australia)
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The trial will initially involve office furniture for businesses but it hopes to expand into kitchens and the consumer market (pictured: Interior view of an Ikea kitchen)
Torbjourn Loof, chief executive of parent firm Inter Ikea, told the Financial Times: ‘You could say leasing is another way of financing a kitchen.
‘It’s interesting if you as a consumer say, “I can change and adapt and modernise my kitchen if that’s a subscription model”.’
Mr Loof said the leasing trial in Switzerland is part of a ‘mission’ to develop a ‘circular’ business model to re-use and turn products into new items.
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