At least one Winnipeg group that sells Christmas trees as a fundraiser says it's worried about the latest promotion from retail giant Ikea.

Since Ikea opened its Winnipeg location this week, it has been selling fir trees for just $20.

Customers who buy their trees there also receive a $20 coupon off Ikea purchases worth $75 or more.

The Seven Oaks Optimist Club says it hopes Ikea's holiday promotion won't cut into its fundraising efforts.

"Everything we make out of this tree lot funds all of our projects," club president Fred Urso told CBC News on Thursday.

The Optimist Club sells balsam trees that start at $40 for a tree that's six or seven feet in height. The price goes up to $50 for trees eight to nine feet tall.

A portion of Ikea's Christmas tree sales are going towards Big Brothers Big Sisters of Winnipeg and Tree Canada.

But Urso said Christmas tree sales are the Optimist Club's only fundraiser for its projects, which includes school breakfast programs and scholarships.

"Once that affects us, then that's going to hurt our kids projects," he said.

An Ikea Canada spokesperson told CBC News the Winnipeg market is large enough to handle the competition.