New Ikea online hub bid

Retail giant Ikea is planning to establish a new hub for its online customers in the Geelong region but has ruled out opening a full-scale store in the foreseeable future.

The cult Swedish furniture company has sought permission from the City of Greater Geelong to set up a collection centre in North Geelong that is expected to be operational in October.

Once up and running, the warehouse at 1-39 Roseneath St would likely replace the current Ikea collection centre at 62 Leather St, Breakwater.

“This new collection point location will provide customers in the Geelong region with a more convenient way to collect Ikea orders placed online, making the Ikea home furnishing range more accessible to customers across regional Victoria,” the company’s fulfilment manager Katya Somova said.

The collection point is expected to operate five days a week, although opening days and times could change based on customer demand, Ms Somova said.

Ikea’s application, currently out for public consultation, does not propose additional external works, while internal alterations would not increase the 472sq m floor area of the unit.

“The proposal utilises the existing approved building envelope and infrastructure already established under the overarching permit,” it states.

It is expected between five and 12 customer collections would occur each hour at the Roseneath St site.

But in a blow to the many people who have long called for Ikea to add a Geelong store to its existing Victorian outlets in Richmond and Springvale, Ms Somova said no such plans were being considered currently.

“Ikea is constantly looking at opportunities to expand and improve accessibility and convenience for our customers right across Australia and New Zealand,” she said.

Ingvar Kamprad founded Ikea in 1943 at the age of 17. The company now has more than 500 stores across 63 global markets, recording retail sales of $73.1bn last financial year.

More than a quarter of that amount was generated from online sales. Geelong’s collection centre is one of  only three in Victoria, alongside Truganina and Pakenham.