IKEA Will Close Small-Format Store in Toronto Due to Online Shopping Shift
Swedish furniture giant, IKEA, has confirmed the upcoming closure of its compact store at the Scarborough Town Centre mall in Toronto early next year. The decision was primarily influenced by the changing shopping habits of consumers, with a preference for online shopping, as well as the store’s limited product offerings leading to underperformance.
Selwyn Crittendon, IKEA Canada’s CEO and Chief Sustainability Officer, emphasized the brand’s commitment to adapting to the evolving retail landscape to secure its position as a top omnichannel retailer for future generations. Crittendon assured that despite the challenging decision to close the store, IKEA values its employees and will prioritize their well-being during the transition.
The small-format IKEA store, which opened to the public in August 2023, is set to operate until a final closure date is determined. Currently employing 130 individuals, IKEA plans to support its staff affected by the closure by exploring alternative job opportunities within other IKEA locations.