With the new year just beginning, Conshohocken-based IKEA has reported that its customers should expect to pay more when they shop at its stores during 2022, writes Parija Kavilanz for CNN Business.
Ikea has said prices are going to increase by an average of 9 percent worldwide to help offset the great increase in transportation and raw material costs incurred by Ingka Group, which owns and runs most of IKEA’s stores.
Many companies are facing similar issues regarding higher costs due to ongoing global supply chain problems, but IKEA is now really starting to feel the burden.
“Unfortunately, now, for the first time since higher costs have begun to affect the global economy, we have to pass parts of those increased costs onto our customers,” said Tolga Öncü, the retail operations manager at IKEA Retail.
Affordability has always been important for the company to provide for its customers, but this move has made to ensure IKEA’s “competitiveness and resilience,” according to Öncü.
Currently, IKEA is trying to mitigate the impact from supply chain issues in various ways such as by charting extra ships and loaders.
“Our intention is to give back to the customer any decrease in purchase prices we get,” said Öncü.
Read more about IKEA’s price increase at CNN Business.