IKEA plans to buy ships and containers to transport goods
One of the largest retail chains in the world, the Swedish company IKEA has decided to take precautions after the global problems of product delivery during the pandemic. It plans to buy its own containers for the transportation of goods, and the management also intends to charter ships. In this way the furniture giant wants to reduce its dependence on logistics operators.
Despite the fact that the global market has almost recovered from the pandemic, the consequences and problems in the transport sector are still tangible. This is affecting supply chains, ship delays and cargo downtime. In addition, the price of freight has increased fivefold, and delivery times have only increased.
For IKEA, as well as a number of companies that offer furniture and home improvement products, the pandemic has brought a significant increase in sales. People, spending almost all their time in their apartment or house, have started to actively repair and transform their homes. Therefore, now more than ever, IKEA depends on logistical operators and delivery times. Buyers all over the world want to get their goods in a short time, given that the competition in the market is enormous. So far, the situation is not good – demand continues to grow, while the supply does not have time to meet it due to problems with transportation.
In addition to freight rates, the cost of containers provided by shipping companies has also increased. All these factors forced IKEA to think about acquiring its own facilities for transporting goods. Such a move would enable the company to independently manage the supply chain and not to depend on the limited capacities of the operators. In addition, the company increased the volume of goods transported by rail, primarily along the route from China to Europe.
IKEA has gained popularity worldwide thanks to its concept of affordable furniture that you can assemble yourself. The chain offers simple and functional furnishings that are made from natural materials. The company pays a lot of attention to sustainability principles, with recycling centers in stores and the use of renewable energy sources for production.
Another interesting solution was a buy-back option, which operates in the state of Pennsylvania. IKEA offers customers to sell furniture that they previously purchased from the chain’s stores, and if it is in good condition, it will be put back on sale. So far this service operates in one state, but if it becomes popular, the possibility of reselling the products will become available in other regions of the country.
In order to get rid of old furniture, the client needs a store card and fills out the appropriate form on the website or in the physical outlet. The furniture is brought in assembled form, and for the money received it is possible to buy new pieces of furniture immediately.
