Lower turnover forces IKEA Philippines to slash prices

MANILA, Philippines —  Home furnishings retailer IKEA Philippines is further reducing prices of over 2,000 items, after posting a decline in sales last year.

This was announced by Ikano Retail, which operates IKEA Philippines.

In a statement yesterday, Ikano Retail said prices were reduced again this year on over 2,000 items at IKEA Philippines including sleep solutions and cookware.

In addition, it lowered the price on parcel and delivery services and offered free Click and Collect options to help customers stretch their hard-earned savings further amid high costs of living.

The announcement was made as Ikano Retailer reported that it closed the last financial year on Aug.31 in the Philippines with its turnover down by two percent to EUR 141 million from the previous year.

“Worldwide, retail had a tough year, and so did we,” Ikano Retail CEO Christian Roejkjaer said, recognizing the impact of inflation and the rising costs of living on consumers.

According to the Philippine Statistics Authority, inflation slowed to 1.9 percent in September, its lowest inflation print since the 1.6 percent in May 2020.

This brought average inflation in the January to September period to 3.4 percent, within the government’s two to four percent target.

In 2023, inflation averaged six percent, well-above the government’s two to four percent target band.

Even with lower sales, the retailer is committed to bringing down prices on essential and best-selling home furnishing items, food and services to help consumers.