Press release
Logistics Automation Market Poised for Growth Driven by Advancements in Technology and Increased Adoption
Logistics Automation Market
Automation has revolutionized the logistics industry, particularly in warehouses and distribution centers, by minimizing human intervention and speeding up processes. Robots and modern computer systems are now working together to streamline operations, improve accuracy, and optimize storage space. As automation continues to transform logistics, companies are seeing improved order fulfillment and fewer mistakes, which are essential to meeting growing customer expectations.
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A key driver of market growth is the cost-saving potential of automation. For example, in 2020, Amazon reported employing over 200,000 robots in its warehouses, which assist with tasks like order picking. These robots use AI and ML to analyze data from sensors, optimize layouts, and predict demand, leading to smarter warehouse management. Additionally, IoT devices, including sensors and RFID tags, enable real-time tracking of goods, further enhancing efficiency across the supply chain.
Despite the promising outlook, the logistics automation market faces certain challenges. One significant barrier is the shortage of skilled workers capable of managing and maintaining the complex automation systems. This has slowed the pace of adoption, as companies need to continuously train their workforce to keep up with rapidly evolving technologies. To address this, many companies are investing in training programs to upskill their employees and bridge the skills gap.
Market Segmentation Insights
The logistics automation market is segmented by components, logistics types, organization size, and regions.
By Components: The market is divided into hardware and software segments. In 2022, hardware components, including robots, automated storage systems, and conveyors, accounted for the largest market share. These components are critical in modernizing infrastructure to improve operational efficiency. The software segment, which includes warehouse management and transportation systems, is also expected to see steady growth, as businesses increasingly adopt data-driven insights to optimize processes.
By Logistics Type: The market is further categorized into production logistics, procurement logistics, recovery logistics, and sales logistics. Production logistics is expected to lead market growth due to the widespread use of automation in manufacturing. Automation technologies such as robots and Automated Guided Vehicles (AGVs) are streamlining production processes. Sales logistics is also growing, driven by the rise of e-commerce and the need to automate order fulfillment, inventory management, and order tracking.
By Organization Size: The market is segmented into large enterprises and small & medium-sized enterprises (SMEs). Large enterprises are expected to see the fastest growth, as they continue to make significant investments in automation technologies, including AI-powered predictive analytics and robotic systems. On the other hand, SMEs are adopting automation to streamline order processing and inventory management, allowing them to meet customer demands more effectively. Government incentives and subsidies are further encouraging SMEs to embrace automation.
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Regional Insights
The logistics automation market is expected to experience strong growth across all regions, with North America, Europe, and Asia-Pacific leading the way. North America is witnessing significant investments from large companies in automation technologies, which is fueling the demand for automated solutions. Europe is also seeing a rise in the adoption of robotics and AI to optimize logistics processes. In Asia-Pacific, growing e-commerce activities and manufacturing expansion are driving the demand for automation in logistics.
Logistics Automation Top Companies and Competitive Landscape
The global logistics automation market is fragmented with several large and medium-sized players accounting for majority of market revenue. Major players are deploying various strategies, entering into mergers & acquisitions, strategic agreements & contracts, developing, testing, and introducing more effective logistics automation solutions.
Some major players included in the global Logistics Automation market report are:
Dematic
Vanderlande Industries B.V.
Berkshire Grey
SSI SCHAEFER Group
Siemens AG
Amazon Robotics
KNAPP AG
Interroll Group
Beumer Group
Swisslog Holding AG
Zebra Technologies
Locus Robotics
Murata Machinery Ltd.
Blue Yonder Group Inc.
Witron Logistik
Daifuku Co., Ltd.
Bastian Solutions
GreyOrange Inc.
Honeywell Integrated Inc.
Mecalux, S.A.
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Logistics Automation Latest Industry Updates
In September 2023, Flexport pioneered the first genuinely all-in-one, end-to-end global commerce system, enabling entrepreneurs to instantly access financing, freight, fulfilment, and replenishment to all major marketplaces and retail establishments. With the new technology, business owners can concentrate on increasing sales while cutting costs. In addition, business owners can also drastically reduce the amount of work required to manage their whole supply chain, freeing up valuable resources to concentrate on their consumers.
In August 2022, Smart Robotics, a global pioneer in picking automation as a service for warehouses and logistics processes, announced the official debut of Smart Fashion Picker, its latest cobot. The Smart Fashion Picker addresses the issue of warehouse automation revolution. The requirement stems from the fact that, in comparison to other industries, the warehouse industry has been slow to adopt automation and is now facing a quick shift to modern operations.
Logistics Automation Market Segmentation Analysis
For the purpose of this report, Emergen Research has segmented the global logistics automation market on the basis of components, logistics type, organization size, application, end-use, and region:
Components Outlook (Revenue, USD Billion; 2019-2032)
Hardware
Autonomous Robots
De-palletizing/Palletizing Systems
Automated Storage and Retrieval Systems (AS/RS)
Conveyor Systems
Automatic Identification and Data Collection (AIDC)
Software
Transportation Management System
Warehouse Management System
Logistics Type Outlook (Revenue, USD Billion; 2019-2032)
Production Logistics
Procurement Logistics
Recovery Logistics
Sales Logistics
Organization Size Outlook (Revenue, USD Billion; 2019-2032)
Large Enterprises
Small and Medium Enterprises (SMEs)
Application Outlook (Revenue, USD Billion; 2019-2032)
Order Management
Inventory Management
Shipping Management
Vendor Management
Labor Management
Customer Support
End-use Outlook (Revenue, USD Billion; 2019-2032)
Food & Beverage (F&B)
Post and Parcel
Groceries
General Merchandise
Apparel
Manufacturing
Others
Regional Outlook (Revenue, USD Billion; 2019-2032)
North America
U.S.
Canada
Europe
Germany
France
UK
Italy
Spain
Benelux
Russia
Rest of Europe
Asia Pacific
China
Japan
South Korea
India
ASEAN Countries
Oceania
Rest of APAC
Latin America
Brazil
Mexico
Rest of LATAM
Middle East & Africa
GCC Countries
Israel
Turkey
South Africa
Rest of Middle East & Africa
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Latest Published Reports by Emergen Research:
Logistics Automation Market Size @ https://www.emergenresearch.com/industry-report/logistics-automation-market/market-size
Logistics Automation Market Share @ https://www.emergenresearch.com/industry-report/logistics-automation-market/market-share
Logistics Automation Market Trends @ https://www.emergenresearch.com/industry-report/logistics-automation-market/market-trends
Logistics Automation Regional Market Demand @ https://www.emergenresearch.com/industry-report/logistics-automation-market/regional-market-demand
Logistics Automation Market Analysis @ https://www.emergenresearch.com/industry-report/logistics-automation-market/market-analysis
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