In a strategic push to elevate its home delivery capabilities, Ingka Group – the largest IKEA retailer globally has acquired Locus, a U.S.-based logistics software company powered by artificial intelligence. The move signals IKEA’s intent to bring critical logistics technology in-house to better manage and optimise last-mile delivery operations, a key differentiator in today’s competitive retail environment.
Taking Control of Delivery Logistics
Traditionally reliant on third-party providers for delivery execution, IKEA’s acquisition of Locus marks a shift toward tighter control of its logistics stack. Locus offers an advanced AI-driven logistics management platform that includes real-time tracking, dynamic route optimisation, intelligent vehicle and resource utilisation, and capacity planning tools. By integrating these capabilities, Ingka Group aims to streamline the entire home delivery process – from order allocation to doorstep fulfilment – boosting both efficiency and customer satisfaction.
Tolga Öncü, Head of IKEA Retail at Ingka Group, underscores the strategic importance of the acquisition:
This acquisition aligns perfectly with our commitment to improving the customer journey at every touchpoint… allowing us to deliver with greater speed and flexibility to the many.
Strategic Timing Amid Online Growth
The acquisition comes at a pivotal time for IKEA’s e-commerce business, with online sales now representing a significant portion of total retail revenue – a clear indicator of shifting consumer behaviour toward digital channels. Bringing Locus’s technology onboard helps IKEA manage this accelerated demand while enhancing fulfilment agility.
Locus Remains Independent
Despite becoming part of Ingka Group’s technology portfolio, Locus will continue to operate as an independent entity, retaining its existing brand and leadership while serving customers beyond IKEA. This approach is designed to sustain innovation and allow Locus to grow its product and engineering teams to support broader enterprise logistics needs.
Global and Local Impact
The acquisition also carries regional significance. Integrating Locus’s AI capabilities aligns with IKEA’s broader “One IKEA” supply chain strategy, aiming to reduce operational complexity and prepare for surging home delivery volumes. This is expected to support not only faster delivery but also more affordable and sustainable service options.
What This Means for Logistics
For logistics and supply chain professionals, IKEA’s move reflects a growing trend: retailers investing in proprietary technology to gain competitive advantage in delivery and fulfilment. As consumers increasingly prioritise visibility, speed, and reliability, owning the underlying logistics technology – particularly AI-driven optimisation platforms – can deliver measurable operational and financial benefits.
By embedding Locus’s capabilities deeper into its logistics framework, IKEA is positioning itself to handle evolving fulfilment challenges and set new benchmarks for home delivery performance across global markets.
