IKEA Moves Closer to City Shoppers
IKEA is bringing more stores into city centers as it tries to reach customers without cars. The Swedish furniture retailer is known for large stores outside cities, where shoppers can spend hours exploring displays. However, the company is also opening smaller locations closer to people’s daily routines. In a November 6 report, IKEA said it had opened 15 small stores in Europe during its financial year. Its chief executive explained that the company needs to be closer to customers as fewer people have a car or driving license. The change comes during a difficult period for the business. IKEA’s global sales fell two percent to 43.8 billion euros in the year ending August 31. This was its third consecutive year of falling sales, despite efforts to lower prices.
A smaller city store offers a different shopping experience from a large branch outside town. Customers may be able to visit during a lunch break or combine the trip with other errands. Seeing furniture in person also lets them check its size, color and comfort before buying. However, a smaller building has less space for displays and stock. Shoppers may need to order larger items rather than take them home immediately. Online shopping offers another option, although photographs cannot show exactly how a chair feels or how a fabric looks under different lighting. For retailers, the challenge is to connect these different ways of shopping. A convenient location can attract visitors, but price, delivery and helpful service still influence whether they decide to buy.
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Talk about these words from the article.
city centers / retailer / displays / locations / routines / driving license / global sales / consecutive / branch / errands / comfort / stock / fabric / convenient / delivery
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Discussion
How do you usually shop for furniture?
What are the advantages of a small store near your home or workplace?
What might make a trip to a large store outside the city worthwhile?
Which products do you prefer to see in person before buying?
How does access to a car affect your shopping choices?
What problems have you experienced when buying something online?
How should retailers divide their efforts between physical stores and online shopping?
What would make you choose one furniture shop over another?