What does IKEA stand for?

Money & Economy By 1 min read

Quick answer

IKEA is an acronym made from founder Ingvar Kamprad’s initials (I.K.), plus Elmtaryd, the family farm where he grew up, and Agunnaryd, his nearby village in Småland, southern Sweden. Kamprad founded the company in 1943, when he was just 17, at first selling pens, wallets and other small items by mail.

Key facts

I
Ingvar
K
Kamprad
E
Elmtaryd (family farm)
A
Agunnaryd (village)

From pens to furniture

YearMilestone
1943Ingvar Kamprad founds IKEA at 17
1948Starts selling furniture made by local makers
1951First IKEA catalog
1956Begins flat-pack furniture after an employee removes the legs of a table to fit it in a car
1958First IKEA store opens in Älmhult, Sweden
2021The printed catalog ends after 70 years

The flat-pack idea

Selling furniture flat, for customers to assemble at home, cut costs for transport and storage and made furniture cheaper. It became IKEA’s trademark, along with its blue-and-yellow stores, maze-like layouts and Swedish meatballs.

How IKEA names its products

Kamprad had dyslexia and found names easier to remember than product numbers, so IKEA uses words:

Product typeNamed after
Sofas, armchairsSwedish place names
Beds, wardrobesNorwegian place names
RugsDanish place names
BookcasesOccupations or boys’ names, like Billy
Fabrics, curtainsGirls’ names

The Billy bookcase, launched in 1979, is one of the best-selling furniture items ever.

Ingvar Kamprad

Kamprad (1926–2018) was famous for his frugality, reportedly driving an old Volvo and flying economy despite being one of the world’s richest people. He wrote a famous company manifesto, The Testament of a Furniture Dealer (1976).

IKEA today

IKEA operates hundreds of stores in more than 60 countries, through a complex ownership structure based in the Netherlands and Sweden. For more about Sweden’s traditions, see the country that celebrates Midsummer with maypoles. For other acronyms, see what an acronym is.

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