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Postal Automation Market Trends That Will Shape the Next Decade: Insights from Innovative Advancements In Postal Automation
Postal Automation
How Large Will the Postal Automation Market Size By 2025?
The value of the postal automation market has seen robust growth in the past and is anticipated to continue growing from $3.91 billion in 2024 to $4.19 billion in 2025, with a compound annual growth rate (CAGR) of 7.1%. Factors contributing to this historical growth trend include a surge in the number of online shoppers, upgrades to existing postal automation systems, heightened demand for package delivery services, and expansion of system capabilities.
How Big Is the Postal Automation Market Size Expected to Grow by 2029?
In the coming years, the postal automation market is anticipated to experience significant growth, with its size poised to reach $5.48 billion in 2029, registering a compound annual growth rate (CAGR) of 7.0%. This surge during the forecast period can be credited to the adoption of automated systems for mail and package sorting, packing, and delivery, a booming e-commerce industry, and the application of cost-saving measures to enhance operational efficiency and streamline processes. Key trends during the forecast period include advancements in automation technologies, strategic partnerships, and the launch of innovative designs.
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Which Key Market Drivers Powering Postal Automation Market Expansion and Growth?
Growth in the postal automation market is anticipated to be stimulated by the escalating demand for package delivery services. These services, provided by businesses or entities specializing in the transfer of packages or parcels between locations, are witnessing an upsurge due to the expansion of e-commerce and evolving consumer inclinations for more comfortable shopping experiences. Package delivery services employ postal automation to optimize the process of sorting, tracking, and delivering parcels, thereby improving their efficiency and guaranteeing punctual and precise delivery to customers around the globe. For instance, recent data from the parcel shipping index provided by Pitney Bowes Inc., an American shipping and mailing firm, illustrated a significant rise in the overall US parcel volume in 2023, marking a 0.5% increase relative to the previous year. More specifically, the volume grew from 21.5 billion units in 2022 to 21.7 billion units in 2023. Therefore, this heightened demand for package delivery services propels the expansion of the postal automation market.
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Which Fast-Growing Trends Are Poised to Disrupt the Postal Automation Market?
Leading businesses in the postal automation sector are putting their efforts into creating and adopting technologies like robot-based parcel sortation. This strategy aims to give them an advantage in the industry. The technologically advanced robot-based parcel sortation service employs self-directed robots that help streamline the process of sorting parcels in logistics. These robots can handle thousands of parcels hourly, greatly enhancing the speed of order processing and reducing error rates almost completely. In January 2024, Viettel Post (VTPost), a logistics company located in Vietnam, embraced this fully automated robot-based parcel sortation technology. They did this by installing 160 LiBiao 'Mini Yellow' autonomous guided robots in its Hanoi based storage and distribution center. This new sorting system equips VTPost with the ability to process about 6,000 varying parcels- in terms of size, weight and shape, every hour at the multi-client site. The system contains over 1,000 destination chutes. Upon reaching the allocated chute, the robots pause and drop off their parcel before going back to the induction station, collecting another order and repeating the process.
What Are the Emerging Segments in the Postal Automation Market?
The postal automation market covered in this report is segmented -
1) By Type: Culler Facer Cancellers, Letter Sorters, Flat Sorters, Parcel Sorters, Mixed Mail Sorters, Other Types
2) By Component: Hardware, Software, Services
3) By Application: Government Postal, Courier, Express And Parcel
Subsegments:
1) By Culler Facer Cancellers: Single-Function Culler Facer Cancellers, Multi-Function Culler Facer Cancellers
2) By Letter Sorters: High-Speed Letter Sorters, Low-Speed Letter Sorters, Automated Letter Sorters
3) By Flat Sorters: Manual Flat Sorters, Automated Flat Sorters
4) By Parcel Sorters: Automated Parcel Sorters, Manual Parcel Sorters
5) By Mixed Mail Sorters: High-Speed Mixed Mail Sorters, Low-Speed Mixed Mail Sorters
6) By Other Types: Barcode Scanning Systems, Mail Handling Systems, Document Scanners
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Who Are the Global Leaders in the Postal Automation Market?
Major companies operating in the postal automation market report are Siemens AG; Honeywell International Inc.; Toshiba Corporation; NEC Corporation; Leonardo S.p.A.; Murata Machinery Ltd.; Dematic Corporation; YASKAWA Electric Corporation; Pitney Bowes Inc.; Vanderlande Industries B.V.; Korber AG; BEUMER Group GmbH & Co. KG; Interroll Group; OPEX Corporation; Bastian Solutions LLC; Solystic SAS; National Presort LP; Falcon Autotech Private Limited; Fives North American Combustion Inc.; GBI Intralogistics Solutions; EuroSort Systems B.V.; Bowe Systec GmbH
Which are the Top Profitable Regional Markets for the Postal Automation Industry?
North America was the largest region in the postal automation market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the postal automation market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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