What: Best Buy launches pioneering partnership with Ikea, introducing shop-in-shop concepts in 10 U.S. locations to combine technology and home furnishing expertise.

Why it is important: This collaboration represents a strategic evolution in retail partnerships, where complementary retailers join forces to enhance customer experience and expand market reach through innovative store formats.

Best Buy and Ikea have announced a groundbreaking partnership that will introduce Ikea shop-in-shops across 10 Best Buy locations in Florida and Texas. The 1,000-square-foot spaces will showcase kitchen and laundry room settings, with two locations also serving as pickup points for most Ikea orders. The collaboration combines Ikea's home furnishing expertise with Best Buy's technology leadership, creating a comprehensive shopping experience where customers can receive support from both Ikea co-workers and Best Buy's blue shirt employees. This initiative marks Ikea's first partnership with another U.S. retailer, coming as Best Buy reports a 0.9% revenue decline to $8.8 billion in the first quarter and adjusts its full-year guidance due to trade policy concerns. The partnership aligns with Ikea's broader U.S. expansion plans, which include opening eight new locations across various states in 2025.

IADS Notes:

This partnership follows Ikea's recent strategic shifts in retail format innovation. In September 2024, the company piloted collection lockers with Tesco in the UK :cite[ekx], while May 2025 saw a significant £378 million investment in London's Oxford Street, demonstrating commitment to urban accessibility :cite[n1k]. The strategy aligns with broader industry trends, as retailers increasingly control their retail environments through property acquisition :cite[cvs]. This approach mirrors successful retail collaborations like Bloomingdale's integration of DTC brands through the Lucky platform :cite[c5u], showing how traditional retailers are evolving through strategic partnerships.

Best Buy to pilot Ikea shop-in-shops