Dublin, Sept. 12, 2023 (GLOBE NEWSWIRE) -- The "Warehouse Automation Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)" report has been added to ResearchAndMarkets.com's offering.
The global Warehouse Automation Market is poised for significant growth, with projections indicating a surge from USD 22.15 billion in 2023 to USD 46.93 billion by 2028, reflecting a Compound Annual Growth Rate (CAGR) of 16.20% during the forecast period. This growth is attributed to the increasing adoption of automation logistics, particularly in the e-commerce and retail sectors, to optimize operational efficiency.
Automation in Logistics: Boosting Efficiency and Accuracy
Automation in logistics encompasses the use of control systems, machinery, and software to enhance operational efficiency, particularly in processes within warehouses and distribution centers that require minimal human intervention. Such automation brings forth benefits like improved customer service, scalability, speed, organizational control, and reduction of errors.
E-commerce and Warehouse Automation
The burgeoning global e-commerce industry and the imperative for efficient warehousing and inventory management are major drivers of the warehouse automation market. E-commerce warehouse automation streamlines operations, from inventory movement within warehouses to deliveries, minimizing human intervention. It eradicates labor-intensive tasks involving repetitive physical work and manual data handling.
Despite the benefits of automation, a significant portion of warehouses (80%) remains manually operated. However, the growth of e-commerce, coupled with the demand for efficient logistics, has led to increased adoption of automation solutions.
Challenges and Opportunities
The unpredictable nature of demand, lack of transparency and collaboration within the supply chain, and technical complexities pose challenges. However, manufacturers are expected to address these challenges by optimizing warehouse management and enhancing supply chain visibility.
The adoption of warehouse management systems (WMS) offers workflow efficiency and error reduction, yet it can be costly and time-consuming for e-commerce businesses. Such systems demand substantial upfront investments for hardware, extensive training, and ongoing upkeep costs.
COVID-19 Impact: Paving the Way for Automation
The COVID-19 pandemic prompted a shift towards contactless operations to enhance logistics efficiency and reduce costs. This drove the demand for automated technologies, such as warehouse management systems (WMS), to optimize tasks like parcel location and packaging selection.
Market Trends and Segmentation: Retail and Asia-Pacific
Warehouse automation finds significant application in the retail sector, encompassing e-commerce and grocery. The rise of e-commerce sales and total retail sales emphasizes the need for automation to optimize logistics and enhance customer experience. Retailers are increasingly implementing automation to address growing scale and complexity in e-commerce logistics operations.
Asia-Pacific is anticipated to hold a significant share in the warehouse automation market, with China playing a pivotal role. The region's manufacturing sector and integration with automation to enhance ROI contribute to market growth.
Competitive Landscape: Strategies and Alliances
The warehouse automation market exhibits competitiveness, with key players like Dematic Group, Daifuku Co. Limited, Swisslog Holding AG, Honeywell Intelligrated, and Jungheinrich AG. Companies are focusing on product launches, acquisitions, and partnerships to enhance their market presence.
For instance, Jungheinrich AG acquired Indiana-based Storage Solutions Group in 2023 to expand its access to the US warehousing and automation market. Additionally, Dematic partnered with Upshop in 2022 to offer integrated fulfillment services for the grocery industry, leveraging automation and software.
Major players in the Warehouse Automation Market are
- Dematic Group (Kion Group AG)
- Daifuku Co. Limited
- Swisslog Holding AG (KUKA AG)
- Honeywell Intelligrated (Honeywell International Inc.)
- Jungheinrich AG
- Murata Machinery Ltd
- Knapp AG
- TGW Logistics Group GmbH
- Kardex Group
- Mecalux SA
- BEUMER Group GmbH & Co. KG
- SSI Schaefer AG
- Vanderlande Industries BV
- WITRON Logistik + Informatik GmbH
- Oracle Corporation
- One Network Enterprises Inc.
- SAP SE
For more information about this report visit https://www.researchandmarkets.com/r/1y5os7
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