In a structural shift for the UK retail landscape, Ikea’s Ingka Group has announced a groundbreaking partnership with Decathlon to debut a ‘store-in-store’ concept this spring. This development will see a 1,188-sq-m Decathlon unit embedded within the 25,000-sq-m IKEA Croydon ‘blue box.’ This move marks the first time Ikea has hosted a third-party global brand in its UK estate, signaling a broader strategy to monetize massive physical footprints while adapting to the ‘convenience-first’ consumer.
Synergizing lifestyle and sporting interests
The collaboration is rooted in data from IKEA’s Life at Home Report 2025, which revealed that 36 per cent of UK residents view hobbies and personal interests as their primary source of domestic enjoyment. Decathlon will stock over 5,000 product lines - including technical apparel, hiking gear, and cycling equipment - directly alongside IKEA’s home furnishings. By positioning sports gear as a complementary lifestyle category, both retailers aim to boost footfall, which grew by 1.3 per cent globally for Ingka Group last year. Our stores must evolve into inviting destinations that reflect modern lifestyle needs - convenience, inspiration, and an expanded offer, states Javier Quiñones, Commercial Manager, Ingka Group.
Circular commerce and operational consolidation
Beyond product sales, the Croydon pilot prioritizes sustainable services, integrating Decathlon’s ‘Buyback’ and repair initiatives within the IKEA ecosystem. This structural alignment allows both firms to share logistical efficiencies and Click & Collect infrastructure, addressing the rising overhead costs that saw Decathlon UK invest over £16 million in automation and digital upgrades recently. The pilot serves as a litmus test for a potential pan-European rollout; Ingka Group is already investing €11 million to refurbish sites in Austria for third-party retailers. If successful, this ‘one-stop lifestyle hub’ model could redefine the purpose of suburban retail parks, turning traditional warehouses into multi-brand experiential destinations.
Ingka Group is the largest IKEA retailer, operating 32 markets with a €5 billion investment plan through 2026. Decathlon, a global multi-specialist sports brand, serves 79 territories with a focus on technical excellence and circularity. Both firms are scaling omnichannel capabilities to capture the resurgent physical retail demand in the UK.
