Australia Post and IKEA have teamed up for a three-year partnership to expand IKEA’s delivery services across Australia.
With ten stores in six states and territories, IKEA’s focus on online and remote sales has led to rapid growth in parcel deliveries, with over 500,000 orders fulfilled in FY24.
Under this multi-million-dollar deal, Australia Post will now handle about 65% of IKEA Australia’s small and medium parcel deliveries, becoming their primary e-commerce fulfillment partner. The partnership commences in October.
IKEA Australia CEO and chief sustainability officer Mirja Viinanen, says: “As an omnichannel retailer, our goal is to bring IKEA to more people, in more ways, and in more places, making it easier and more convenient than ever before for Australians to shop with us to create homes they love.”
Key features of the new deal
Australia Post is forecast to deliver over 250,000 IKEA parcels each year, offering both parcel post and express post options to customers nationwide.
The postal service uses the largest electric delivery vehicle fleet in the country, helping IKEA Australia move closer to its goal of zero-emission deliveries.
Expanding IKEA deliveries to regional areas
- 23% of IKEA Australia parcel orders are delivered to areas beyond metro store locations.
- Australia Post will help expand IKEA deliveries to regional and remote parts of the country.
Convenient pickup locations for customers
- IKEA customers can benefit from Australia Post’s widespread network of collection points.
- Orders can be picked up from convenient locations like local post offices across the country.
Australia’s last-mile delivery market set
Locate2u previously reported Australia’s last-mile delivery market is set for large growth. This is thanks to technology and delivery companies improving delivery processes.
Last month, Australia Post unveiled a new state-of-the-art facility on the Gold Coast measuring an investment of AUD$12 million.
The new facility uses advanced sorting technology to improve parcel tracking and integrates various services, such as Express Post, Parcel Post, StarTrack Premium, and the new next-day delivery service, Australia Post Metro, to enhance customer experience.
Photo Credit: Australia Post
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About the author
Sharl is a qualified journalist. He has over 10 years’ experience in the media industry, including positions as an editor of a magazine and Business Editor of a daily newspaper. Sharl also has experience in logistics specifically operations, where he worked with global food aid organisations distributing food into Africa. Sharl enjoys writing business stories and human interest pieces.