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Ikea acquires US logistics tech platform to improve home delivery
Yahoo Financeยท 2025-10-08 18:03
Core Insights - Ikea has acquired U.S.-based logistics technology company Locus to enhance its delivery fulfillment network, marking a strategic move to take control of a crucial part of its supply chain [1][2] - The acquisition is expected to improve Ikea's distribution capabilities, allowing for greater speed and flexibility in delivery [2][3] - This move aligns with Ikea's commitment to enhancing the customer journey and meeting rising customer expectations through improved digital capabilities [2][3] Company Strategy - The acquisition of Locus is part of Ingka Group's broader strategy to strengthen Ikea's distribution network, which includes previous acquisitions such as Made4net in 2023 and TaskRabbit in 2017 [3] - Ikea's online sales have increased significantly, from 11% of total sales in 2019 to 28% in the previous year, highlighting the need for improved fulfillment processes [3] - In 2023, Ikea announced a $2.2 billion investment in its omnichannel strategy, which includes expanding its fulfillment network and opening new stores [4] Technology and Operations - Locus provides advanced fulfillment automation, route optimization, real-time tracking, and enhanced vehicle utilization, which Ikea plans to leverage for increased efficiency [2][3] - Following the acquisition, Locus will continue to operate independently while serving its existing enterprise clients, ensuring its ongoing development and research capabilities [4][5]