IKEA Pricing in Focus: Value Under Tariff Headwinds

The quick take

IKEA’s latest results show the cost of choosing affordability in a tariff world. According to Bloomberg, IKEA’s operating profit fell about 26% year over year as the company cut prices in many markets to regain value, while raising some U.S. prices on imported items because tariffs lifted costs.

Why it matters

IKEA is running a two-track price plan. Globally, it’s lowering prices to make the price range feel fair again and win traffic. In the U.S., where furniture tariffs hit imports, some items had a price increase until more local supply is in place. That mix explains why volumes can rise while profit and some regional prices move in different directions.

The broader read

We are seeing another case of value-trend appear again. IKEA Canada is a great example: $50M invested this year to lower prices on 550+ products. Kitchens were priced about 25% lower YoY and items such as the BRIMNES 3-drawer chest saw a price reduction. At the same time, in the U.S. IKEA raised prices on select imports from Europe and China, and suppliers are adding U.S. production capacity for staples like BILLY and KALLAX to blunt tariff costs moving forward.

Why pricing intelligence matters more than ever

hoppr iq customers have been tracking how IKEA’s pricing has unfolded in 2025 and they’ve noted price volatility across their assortment. Prices fluctuated depending on where the product was sourced or if it targeted value-conscious customers.

Pricing intelligence matters so that you can track where the price changes are landing and where tariff pass-through is unavoidable. Watch kitchen systems, storage, and popular case goods for new reference prices; monitor price gaps on imported SKUs. The goal is to see which SKUs are carrying the value story, which assortments moved up for tariff reasons, and how quickly competitors adjust. That lets you keep entry points fair, price lifts where demand holds, and target discounts to avoid giving up margin.

How hoppr iq helps with price intelligence

• Competitor price and promo tracking across retailers and marketplaces, refreshed on-demand during events.
• Trend dashboards that visualize top price moves, price gaps, and promo depth.
• Alerts and guardrails so your team reacts to meaningful changes instead of scanning pages.