Digital maturity within distributionA study within the Swedish retail industry

Abstract: The digital transformation is affecting every dimension of every business while the retailindustry is no exception. The changing expectations from the customer of today set increasedrequirements on distribution. Correspondingly, it seems that distribution is an area within whichdigital technologies can have major impact for retail companies. However, there is a lack ofpractical cases that demonstrate this impact in the Swedish market. As many retailers havestarted to integrate digital tools within their supply chains, different players have achieveddifferent levels of digital maturity in their distribution.The purpose of this research is to investigate the digital maturity level of retail companies withindistribution as well as their perception of digitalization alongside its impact on distributionprocesses. The method for data gathering consisted of qualitative interviews in combinationwith a questionnaire. The collected data in combination with theoretical research was used tofulfill the research purpose.The analysis revealed the digital maturity level within distribution for ten of Sweden’s largestretailers operating in different branches. All ten case companies were categorized as eitherAdopters or Collaborators. With respect to what literature have mentioned as benefits of digitaldistribution, the analysis further revealed the benefits that case companies have gained bydigital tools. Cost efficiency, traceability, delivery accuracy, improved lead time, shelfavailability, and increased free time in stores were the major benefits gained by digital tools, asdescribed by case companies.