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2025 Logistics Automation Industry Trends Report: Long-Term Outlook Through 2034
Logistics Automation Market Size
Logistics Automation Market Size Valuation Forecast: What Will the Market Be Worth by 2025?
In recent years, there has been substantial growth in the size of the logistics automation market. The market size, which stands at $66.59 billion in 2024, is set to rise to $73.9 billion in 2025, yielding a compound annual growth rate (CAGR) of 11.0%. Factors fueling this growth during the historic period include cost reduction, heightened demand for efficiency, the surge in e-commerce, globalization, evolving customer expectations, and sustainability issues.
Logistics Automation Market Size Forecast: What's the Projected Valuation by 2029?
In the upcoming years, the market size for logistics automation is anticipated to undergo swift expansion. It's predicted to reach a hefty $126.19 billion in 2029, with a compound annual growth rate (CAGR) of 14.3%. Factors such as autonomous vehicles, warehouse robotics, robotic process automation (RPA), adaptability, and collaborative robotics (Cobots) are contributing to this growth during the forecast period. Significant trends during this period encompass blockchain technology, integration with artificial intelligence (AI), technological progression, autonomous vehicles, drones, and the use of robotics within warehousing.
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What Are the Drivers Transforming the Logistics Automation Market?
The development of the e-commerce sector is predicted to drive the expansion of the logistics automation market in the future. Ecommerce involves the online purchase and sale of products and services. The e-commerce sector utilizes logistics automation to manage its inventory in warehouses and distribution hubs, making it easier to navigate goods across various departments within the organization. For example, as reported by Forbes LLC, a media firm based in the UK, in June 2024, the count of e-commerce users in the UK was around 60 million in 2023, and it is anticipated to escalate to 62.1 million by 2025. Hence, the progression of the e-commerce sector is spurring the growth of the logistics automation market.
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What Long-Term Trends Will Define the Future of the Logistics Automation Market?
Key entities in the logistics automation marketplace are concentrating on collaborative strategies to deliver their customers reliable services. These strategic collaborations are essentially advantageous partnerships among two or more independent parties working in unison towards shared goals that reflect their individual strategic agendas. To illustrate, in December 2023, Logistex, a Software company based in the UK, partnered with Geek+, a globally recognized technology company from China. This alliance was aimed at providing customers with comprehensive automation solutions for logistics. This partnership, which leverages Logistex's proficiency in warehouse design and software and Geek+'s pioneering mobile robotic solutions, establishes a complete range of services designed to streamline fulfillment and boost productivity.
Which Segments in the Logistics Automation Market Offer the Most Profit Potential?
The logistics automation market covered in this report is segmented -
1) By Component: Hardware, Software, Services
2) By Function: Warehouse and Storage Management, Transportation Management
3) By Organization Size: Small-Medium Size Organizations, Large Scale Organization
4) By End-User: Retail and E-Commerce, Automotive, Food and Beverage, Logistics and Transportation, Other End Users
Subsegments:
1) By Hardware: Workstations and Desktops, Laptops and Mobile Devices, Printers and Scanners, Networking Equipment, Servers and Storage Devices, Audio-Visual Equipment, Security Hardware
2) By Software: Workplace Management Software, Collaboration and Communication Tools, Project Management Software, IT Service Management (ITSM) Software, Document Management Software, Customer Relationship Management (CRM) Software, Security Software (Antivirus, Firewalls)
3) By Services: Technical Support Services, Consulting Services, Training and Development Services, Maintenance and Repair Services, Implementation Services, Managed Services, Cloud Services
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Which Firms Dominate the Logistics Automation Market by Market Share and Revenue in 2025?
Major companies operating in the logistics automation market include Oracle Corporation, ABB Ltd., Toshiba Logistics Corporation, Murata Manufacturing Co Ltd., Kion Group AG, Jungheinrich Aktiengesellschaft, Daifuku Co Ltd., Kuka Robotics GmbH, Yaskawa Electric Corporation, Dematic GmbH, JBT Corporation, SSI Schaefer AG, Knapp AG, Körber Supply Chain Solutions, Mecalux S.A., Beumer Group GmbH, TGW Logistics Group GmbH, Manhattan Associates Inc., Swisslog Holding AG, JDA Software Group Inc., WiseTech Global Limited, Descartes Systems Group Inc., System Logistics SpA, VITRONIC GmbH, Falcon Autotech Private Limited, One Network Enterprises Inc., HighJump Software LLC, Matternet Inc., FANUC Corporation, Kawasaki Heavy Industries Ltd.
Which Regions Offer the Highest Growth Potential in the Logistics Automation Market?
North America was the largest region in the logistics automation market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the logistics automation market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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