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Retail & Consumer

Ikea defies the retail gloom with rising º£½ÇÊÓÆµ sales

Swedish furniture giant says 'green' products have been a hit this year

Ikea has reported a rise in º£½ÇÊÓÆµ sales(Image: PA)

Furniture giant Ikea has defied the retail gloom by posting a hike in annual sales - and it says it's been helped by customers going green.

The Swedish group said British sales jumped 8% to £2.1bn in the year to August 31, with its share of the home furnishings market rising from 8.4% to 9%.

Ikea credited growing demand for green products for some of that success, with customers looking to reduce waste. It reported a 127% rise  in the sale of lunchboxes, as well as a 55% rise in sales of reusable water bottles and a 15% increase in sales of recycling bins.

Ikea has 22 stores and employs 11,181 staff in the º£½ÇÊÓÆµ. Earlier this year it opened a new store in Greenwich that employs 500.

That store is also Ikea º£½ÇÊÓÆµ’s first “sustainable” store, which uses geothermal heating and solar power.

The company said it was also helped by a surge in online sales, which now account for 19% of all sales. Its saw 224 million visits to its website over the year.

Ikea has also been growing its home delivery service. It aims to offer 24-hour delivery in London, and two-day delivery across the rest of the º£½ÇÊÓÆµ, by the end of the year - and has opened two customer delivery centres in the capital to drive that forward.

Ikea has been undergoing a global restructure, with 350 jobs going in the º£½ÇÊÓÆµ.