Ikea’s sales took a hit in 2024 as the flat-pack furniture seller lowered prices in a bid to remain affordable for its customers.

IKEA annual sales slumped 5% as consumers pull back on furniture purchases amid a weak housing market, according to an earnings report released Thursday. The Swedish home decor retailer has slashed prices and committed itself to making more price cuts in the future in an effort to win back cash-strapped customers.

The Swedish furniture giant’s sales fell 5.3% to $49.34 billion in the 12 months to Aug. 31, after lowering the prices of its goods to encourage shoppers into stores.