The global furniture company IKEA has become a leader in digital transformation for retail. IKEA’s digital transformation has had a profound impact on the company’s day-to-day operations. In just three years, the company has tripled its e-commerce levels and transformed its stores into fulfillment centers.
Data and analytics have played a crucial role in IKEA’s digital transformation, as they have become increasingly embedded in the company’s decision-making processes. By leveraging data, the company has been able to modernize its inventory management, logistics, fulfillment, and overall supply chain operations. This has led to the adoption of new working practices and an increased focus on agility.
Leaning into its customer-centric, fun approach to selling furniture, IKEA created the IKEA Place App for mobile. This tool uses AR and VR to allow customers to experience what a piece of IKEA furniture would look like in their home and ensure it fits before making a purchase decision. IKEA has also digitally transformed other aspects of the shopping experience for consumers with self-service kiosks, digital catalogs, interactive showrooms, and general investments in e-commerce.