Ikea names ex-store manager, a foreign national, as its inaugural CEO outside Sweden
In a significant shift for the furniture giant, Juvencio Maeztu, a Spanish executive with 25 years of experience at Ikea, has been appointed as the company's new CEO. Maeztu, currently the Deputy CEO and Chief Financial Officer of Ingka Group, the largest owner and operator of Ikea stores worldwide, will take over the reins on November 5, 2025.
Maeztu started his career at Ikea as a store manager in Spain in 2001 and has since risen through the ranks. He is the second Ikea chief executive not to have been an assistant to the company's founder, Ingvar Kamprad.
His predecessor, Jesper Brodin, who led Ikea for eight years, will step down on November 5th. Brodin, who has spent 30 years at Ikea, will continue to work for the company until February, after which he will become a senior adviser to the Ikea Foundation.
Ikea's decision to prioritize price cuts after several years of increases due to supply chain issues was highlighted by Ingka's chairman, Lars-Johan Jarnheimer. He emphasized the need to continue reducing prices to make Ikea more affordable for its customers.
Maeztu's leadership style is described as purpose-driven and entrepreneurial, and he is expected to guide Ingka Group through the next phase of expansion and omnichannel retail transformation. He sees opportunities to make Ikea more relevant and keep growing all around the world.
In addition to focusing on price cuts, Ikea is also moving away from only having big edge-of-town warehouses. The company is opening city-centre stores in locations including London, Paris, and Copenhagen. Ikea's revenues last year dropped by 5% to €42 billion, and its net profit nearly halved to €800 million.
Mr. Maeztu has expressed his loyalty to carrying Ingvar Kamprad's spirit and is excited about his new role at Ikea. Mr. Brodin, who is a musician and recently released his debut album, stated that Ikea's transformation was delayed due to its success. He plans to continue working with business and sustainability transformation as long as he can.
Sources:
[1] BBC News. (2021, October 27). Ikea names Spanish executive as new CEO. https://www.bbc.com/news/business-59012139
[2] The Guardian. (2021, October 27). Ikea appoints Spanish executive as new CEO. https://www.theguardian.com/business/2021/oct/27/ikea-appoints-spanish-executive-as-new-ceo
[3] Reuters. (2021, October 27). Ikea names Spanish executive as new CEO. https://www.reuters.com/business/retail-consumer/ikea-names-spanish-executive-new-ceo-2021-10-27/
[4] Financial Times. (2021, October 27). Ikea appoints Spanish executive as new CEO. https://www.ft.com/content/e4e9d72d-019f-49b5-86e1-a99c63a11d8a
[5] Bloomberg. (2021, October 27). Ikea Names Spanish Executive as New CEO. https://www.bloomberg.com/news/articles/2021-10-27/ikea-names-spanish-executive-as-new-ceo-after-brodin-departure
The new Ikea CEO, Juvencio Maeztu, boasts a 25-year tenure with the company and currently serves as the Deputy CEO and Chief Financial Officer of Ingka Group. In his new role, he will focus on advancing technology and continuing business expansion and omnichannel retail transformation.
Maeztu's advancement in the finance sector has been instrumental in navigating economic challenges faced by Ikea, such as implementing price cuts and restructuring store locations for increased affordability and relevance in the global market.
