The news: The investment arm of Ingka Group, which operates most of Ikea’s stores, is buying US logistics technology firm Locus. The deal aims to improve the furniture retailer’s ecommerce operations by making its deliveries to shoppers smoother and faster.

• Locus operates an AI-powered logistics platform that helps plan delivery routes, track shipments in real time, and make the best use of vehicles and resources.
• Those tools should help Ingka Group run its supply chain more efficiently—from managing capacity to handling last-mile deliveries.

Why is this happening? Ikea sees ecommerce as an essential ingredient to expand its reach. But to boost sales and compete with online-focused rivals like Wayfair, the company knows it must offer a smoother digital shopping experience and faster delivery.

• Ikea aims for Locus’ AI-driven logistics platform to help it offer more delivery time slots and options, provide real-time package tracking, and speed up deliveries. Ikea plans to pilot the technology in the US and UK before rolling it out globally.
• The deal is also expected to simplify Ikea’s logistics operations and cut delivery costs by roughly €100 million ($117 million) a year.
• The deal comes at a pivotal time for the company as ecommerce has grown from 11% of total sales in fiscal 2019 to 28% in fiscal 2024.

Locus will continue to operate independently and serve other clients, aligning with Ikea’s broader strategy of investing in complementary businesses such as TaskRabbit, which expanded its furniture assembly services.

Our take: Ikea is moving aggressively both online and offline as it embarks on a strategic shift to reach more customers beyond its large suburban stores. Alongside its ecommerce expansion—including pickup-only outlets to make online shopping more convenient—it is opening smaller urban-format locations, such as stores in Manhattan, and partnering with other retailers through initiatives like the store-within-a-store concept being tested at 10 Best Buy stores.

Together, these moves signal Ikea’s ambition to increase share in the US market. By combining new physical access points with smarter logistics, the company is building a more flexible, customer-centric model that could drive meaningful long-term growth.

This content is part of EMARKETER’s subscription Briefings, where we pair daily updates with data and analysis from forecasts and research reports. Our Briefings prepare you to start your day informed, to provide critical insights in an important meeting, and to understand the context of what’s happening in your industry. Non-clients can click here to get a demo of our full platform and coverage.