In a surprising turn of events, IKEA furniture in the Czech Republic is now more affordable than in neighboring Poland and Germany. This marks a significant shift from just two years ago when the same IKEA sofa could cost up to 15,000 crowns less in Germany compared to the Czech Republic.
The price difference is substantial. When purchasing an Enhet kitchen with basic appliances, Czech customers save approximately 14% compared to their German counterparts. For bedroom furnishings, the savings can reach nearly a quarter of the price. In concrete terms, a complete bedroom set costs almost 8,000 crowns less in the Czech Republic than in Germany.
IKEA spokesperson Petr Šašek attributes this change to the company’s response to improving economic conditions. “Over the past year, we’ve reduced prices on 70% of our product range,” Šašek stated. He also noted that retail organizations in each country where IKEA operates set their prices, considering factors such as sales volume in the local market.
Economic experts offer additional insights into this pricing phenomenon. Vít Hradil, chief economist at Cyrrus, suggests that the previous price hikes in the Czech Republic were not solely due to increased costs but also driven by businesses capitalizing on the inflationary wave. The subsequent price correction resulted from falling real wages and consumer sentiment in the Czech Republic, contrasting sharply with the booming consumer spending in Poland.
Interestingly, this trend doesn’t apply to all furniture retailers. XXXLutz, another major player in the market, maintains higher prices in the Czech Republic compared to Germany. For instance, a corner sofa costing about 25,000 crowns in Germany is over 6,000 more expensive in the Czech Republic. This highlights the importance of consumers comparing prices across borders, especially for larger purchases, as the savings could outweigh the cost of travel.