In a new retail collaboration, IKEA and Best Buy will pilot a new shop-in-shop concept across ten Best Buy locations in Florida and Texas later this fall. This initiative marks the first time IKEA products and services will be available inside another US retailer.
Each participating Best Buy store will dedicate a 1,000-square-foot branded section showcasing kitchen and laundry room displays. The micro-stores will feature IKEA furnishings paired with Best Buy appliances and electronics. The retail design goal is to create an interactive one-stop destination where customers can visualize cohesive room layouts enhanced by technology.
IKEA design consultants and Best Buy “blue shirt” associates will staff the spaces. IKEA team members will assist with planning and ordering furnishings, while Best Buy staff will guide customers in selecting smart appliances and electronics.
The ten pilot locations include:
- Florida: Boynton Beach, Daytona Beach, Lakeland, Melbourne, Waterford Lakes
- Texas: Alamo Ranch, Hulen (Fort Worth), Humble (Houston area), Mesquite (Dallas area), South Austin
This collaboration offers a mutually beneficial combination: IKEA’s design-driven, affordable home furnishings paired with Best Buy’s appliance and technology expertise. As Rob Olson, COO of IKEA US, explains: “By bringing together our home furnishing expertise, products, and services with Best Buy’s leadership in appliances and technology, we’re creating a one-stop destination where customers can design their dream kitchen, storage solutions or laundry space with ease.” Best Buy’s Chief Merchandising Officer Patrick McGinnis adds, “We get to combine technology and design and show shoppers what’s truly possible in their home like never before.”
Retail analysts note that this pilot reflects broader trends toward experiential retail and store-within-a-store models, allowing brands to tap into each other’s strengths and drive foot traffic in physical spaces. If the pilot succeeds, both companies may consider expanding the concept nationally. For IKEA, it aligns with ongoing expansion in the US, including several new store openings and small-format planning centers in development for 2025 and 2026.
The Rise of Shop-in-Shops in Retail Stores
The shop-in-shop model is becoming a core strategy for modern retail. Retailers and brands are increasing sales with micro‑stores within larger stores to leverage each other’s strengths: host retailers fill space and diversify their offerings, while partner brands have their own section, complete with their own retail signage and visual merchandising, as well as access built‑in foot traffic without the overhead of a standalone location. These shop‑in‑shops offer shoppers curated, immersive environments under one roof. As the Best Buy x IKEA pilot shows, these collaborations offer a scalable template to let companies test new markets, strengthen brand visibility and boost in‑store engagement at lower risk and cost, a win‑win for both parties. If you’re looking to step up your custom signage for a shop-in-shop or retail space, connect with us today to get started.
Image 1: Sephora shop-in-shop inside Kohls department store. Image 2: Macy’s toy department sales skyrocketed 15x after introducing Toys “R” Us shop-in-shops.
