Ikea to cut prices on 457 products in Ireland in bid to attract cash-strapped shoppers

Home furniture giant said it was making the price cuts to help with cost-of-living pressures on customers

The Ikea store in Ballymun, Dublin.

Swedish home furnishing retailer Ikea has announced it will be implementing €6m worth of price cuts across 457 of its products in Ireland as part of a larger €1.2bn effort in Europe to lower prices.

Ikea said it was making these price cuts with the aim of attracting cash-strapped shoppers and driving sales after two consecutive years of declining revenue.

The reductions will be seen in items such as the Vallevag standard double mattress, down from €299 to €229, and the Kallax shelving unit down from €70 to €59. Additional exclusive in-store offers are also available at Ikea Ballymun, including the Billy bookcase, now €29 from €40.

Deputy chief executive of Ikea UK and Ireland Mostafa El Garaa said “as households across Ireland navigate ongoing cost-of-living pressures, our goal is to make good design and everyday functionality as accessible as possible”.

Chief executive of Ingka, the biggest Ikea retailer worldwide, Juvencio Maeztu said the “cost of living is increasing and it's getting tougher and tougher for many people,"

Ingka operates Ikea stores in most European countries under the franchise model run by Inter Ikea, the brand owner and furniture supplier.

"For many people, home is a bedroom in a shared house, and it's even more important to offer storage and organised solutions," he added.

The investment is not an activity or short-term campaign — it’s about making Ikea more affordable when people need it most, even if it means accepting a lower margin.

 "We try to constantly optimise the cost picture by redesigning the products from the beginning," said Jakub Jankowski, chief executive of Inter Ikea, which sources from its own factories as well as third-party suppliers.

A redesign of the Pax wardrobe line cut packaging costs by 70%, he said.

In Germany, more than 1,500 products will have their prices lowered by an average of 20%. These include the Besta TV bench, which is reduced by 27%, and Ikea 365+ kitchen products by up to 24%.

In the UK, prices will be reduced on hundreds of home furnishing products and accessories, including the iconic Billy bookcase by 28% and the Trofast storage combination by 24%.

In Italy, prices on hundreds of products have been reduced by an average of 22%, including the Kivik sofa and the Poang armchair.

Greater automation and using renewable energy have also helped bring costs down, Mr Jankowski said. Europe is a key manufacturing region for Ikea, with Poland, Italy, Lithuania and Germany among its top sourcing countries.

As it tries to attract new customers, Ikea has also opened seven smaller stores across Europe since January, shifting away from its traditional out-of-town big-box model.

The price cuts will be coming into effect from September 1.

Ikea’s Irish operations recorded a pre-tax profit of €15.75m last year — more than double the year before — despite revenues remaining flat due to consumer confidence here remaining subdued.

Revenues increased by only 0.36%, from €246.46m to €247.33m in the 12 months to the end of August last.

The directors say the company “had a strong financial performance” as total retail sales reached €247.3m “despite a challenging economic backdrop where consumer confidence remained subdued due to continued pressure on household spend”.

Globally, Ikea generated €44.6bn in sales during its 2025 financial year - down from the €45.1bn recorded in 2024 and the €47.6bn recorded in 2023.

Additional reporting Reuters