IKEA South Korea rolls out new automated fulfillment technology

This system will handle approximately 2,000 orders daily.

IKEA South Korea is set to enhance its delivery operations with a $12m (EUR11m) investment from Ingka Group, its largest franchisee. 

The funding will introduce automated systems at the IKEA Giheung store to speed up order fulfillment, improve working conditions, and boost customer satisfaction.

The new technology features wireless-controlled robots for efficient product storage and retrieval. This system will handle approximately 2,000 orders daily, increase picking efficiency by eight times, and pack 300 boxes per hour. 

An advanced automated packaging system will also create custom-sized boxes, handle cutting, taping, weighing, and invoice attachment—all in one streamlined process.

This investment is part of a larger $332m (EUR300m) commitment by Ingka Group to the South Korean market over the next three years.

“This is a great milestone in our omnichannel journey – both for IKEA South Korea and globally,” said Marcus Baumgartner, global head of Fulfilment & Services for Ingka Group. 

“By revamping our stores and embracing new technology, we are able to support our co-workers while still providing inspiration for our customers and being closer to meeting their needs,” he added.