IKEA is gearing up for its highly anticipated debut in New Zealand, with its first store set to open in Sylvia Park, Auckland, by late 2025. This long-awaited move marks a significant milestone for the Swedish furniture giant, which has been eyeing the New Zealand market for years.
As the opening date approaches, excitement is building among Kiwi consumers who have been eagerly awaiting IKEA’s arrival. With construction now underway and recruitment in progress, the store is expected to provide a significant boost to the local economy. IKEA plans to offer hundreds of jobs during the construction phase and even more once the store is operational.
Mirja Viinanen, CEO and Chief Sustainability Officer of IKEA Australia and New Zealand, says, “Entering a new market is a significant undertaking. Our investment is a key part of our desire to enter the market in the best way possible and establish our omnichannel retail business in New Zealand for the long term.”
The company has already begun recruiting its first New Zealand-based staff. In April 2024, IKEA announced it was looking to hire its first local employee, marking a significant step in establishing its presence in the country. The recruitment drive is expected to intensify as the opening date nears, with plans to hire around 500 employees to staff the new store.
Construction of the new IKEA store officially began in June 2023, following years of planning and negotiations. Located at Sylvia Park, Auckland’s largest shopping centre, the store will occupy a prime position within this bustling retail hub.
The Sylvia Park store is set to be one of IKEA’s largest outlets in the Southern Hemisphere, spanning over 34,000 square metres. It will feature the brand’s iconic maze-like showroom, a market hall, a self-serve furniture area, and a Swedish food market, along with a restaurant serving IKEA’s famous meatballs. The store’s vast size and comprehensive offerings are expected to attract customers from all over the country, making it a destination in its own right.
The opening of IKEA’s first New Zealand store is a major milestone for both the company and the country. For IKEA, it represents the culmination of years of planning and a significant expansion into a new market. For New Zealand, it marks the arrival of one of the world’s most recognisable retail brands, bringing with it a new shopping experience and a range of affordable, stylish home furnishings.
While the store may disrupt the existing furniture and home goods market, leading to increased competition for smaller retailers, it also presents opportunities for collaboration, job creation, and economic growth. NZ business owners may face pressure to adapt their pricing strategies and product offerings, but they could also benefit from partnerships with IKEA for sourcing materials, logistics, and other operational needs.