IKEA Revenue: How Big Is IKEA Really? Insights from Global Manufacturing Trends

When you think of IKEA revenue, the annual income generated by the Swedish furniture giant through global retail sales and localized manufacturing. Also known as IKEA sales figures, it reflects not just how many bookshelves it sells, but how it controls every step—from plastic resin sourcing to flat-pack logistics. In 2023, IKEA reported over €47 billion in revenue, making it the world’s largest furniture retailer by far. But here’s what most people miss: that number isn’t just from stores. It’s built on a tightly managed network of factories in Poland, Romania, India, and beyond—factories that don’t just assemble furniture, they optimize for cost, speed, and scale.

Behind every flat-pack shelf is a manufacturing system designed to cut waste, reduce labor costs, and ship products across continents at a fraction of traditional prices. This is where IKEA manufacturing, the process of designing, sourcing, and producing furniture in low-cost regions while maintaining global quality standards. Also known as global furniture production, it enables IKEA to offer products at prices that challenge local makers everywhere. India, for example, isn’t just a market for IKEA—it’s a production hub. Components for IKEA’s best-selling items are made in Indian factories that also supply local brands like Pepperfry and Durian. The same factories that produce IKEA’s KUNGSBACKA kitchen fronts also make similar products for Indian homes. The line between global brand and local supplier is thinner than you think.

And it’s not just about price. global furniture sales, the movement of finished and semi-finished furniture products across international borders, driven by cost efficiency and consumer demand. Also known as furniture export trends, it’s reshaping how countries think about industrial policy. India’s new textile and furniture policies are trying to copy what IKEA did—use scale, automation, and export incentives to compete. But IKEA’s edge isn’t just in cost. It’s in control. They own their supply chain from wood sourcing to delivery trucks. Most Indian manufacturers still buy raw materials from middlemen and rely on third-party logistics. That’s why IKEA’s revenue keeps growing while others struggle to scale.

If you’re building a manufacturing business in India, understanding IKEA’s model isn’t about copying it—it’s about learning how to compete with it. The tools, materials, and production methods IKEA uses are the same ones available to small players. The difference? How they’re organized. In the posts below, you’ll find real examples of how Indian factories are already supplying global brands, how local manufacturers are cutting costs to match international standards, and what it actually takes to build a product that can compete on price, quality, and delivery. No fluff. Just the facts behind the numbers.