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E-commerce Surge Fuels Growth In Automated Sortation Systems Market: The Driving Engine Behind Automated Sortation System Market Evolution in 2025
Automated Sortation System
Automated Sortation System Market Size Growth Forecast: What to Expect by 2025?
In the past few years, the automated sortation system market size has witnessed significant growth. The growth scale is predicted to rise from a worth of $7.09 billion in 2024 to $7.6 billion in 2025, with a compound annual growth rate (CAGR) of 7.3%. Factors such as enhanced handling capacity, rising demand for speed and efficiency, labor costs and accessibility, intense market competition, and visible return on investment are credited for this growth witnessed in the historical period.
How Will the Automated Sortation System Market Size Evolve and Grow by 2029?
The market size of the automated sortation system is anticipated to witness robust expansion in the upcoming years, reaching $9.94 billion in 2029 with a compound annual growth rate (CAGR) of 6.9%. This forecasted growth can be connected to factors like increased labor expenses, the resilience and agility of supply chains, globalization and trading dynamics, data analysis and optimization, and the enlargement of E-commerce. Noteworthy trends throughout the forecast period encompass autonomous sorting technologies, integration of advanced robotics, AI-guided optimization, predictive maintenance, and dynamic sortation networks.
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What Drivers Are Propelling the Growth of Automated Sortation System Market Forward?
The growth of the automated sortation system market is projected to be driven by the increasing e-commerce sales. E-commerce sales consist of online transactions that transpire through websites or mobile apps and obviate the need for traditional physical stores. The goods or services purchased online are often sold electronically. The rising trend of online shopping, spurred by the sheer convenience it offers, coupled with access to a wider array of products and competitive prices, has catalyzed the increase in e-commerce sales. Automated sortation systems play a vital role in e-commerce by simplifying order processing. They efficiently sort and route packages, thereby boosting operational efficiency and expediting order fulfillment. For example, as per the data from the United States Census Bureau, a government agency in the US, e-commerce sales hit $1,118.7 billion in 2023, registering an increase of 7.6% from 2022. Consequently, the accelerating e-commerce sales are propelling the growth of the automated sortation system market.
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What Long-Term Trends Will Define the Future of the Automated Sortation System Market?
Leading businesses in the automated sortation system market are embracing cutting-edge robotic and automation products tailored for warehousing. These include sorting and order retrieval systems to gain a competitive advantage in the market. Sorting and order retrieval systems represent technology and mechanisms that enhance and automate item sorting and order retrieval in warehouses, distribution centers, and fulfillment centers. For instance, OPEX Corporation, a pioneer in automation solutions based in the US, debuted two novel solutions in March 2024 - OPEX Sure Sort X and OPEX Xtract. These cutting-edge automated sortation and order retrieval solutions are designed to optimize automated sorting and order retrieval activities. The OPEX Sure Sort automated sorting system is a swift, small-item robotic sorting system that reduces the surfeit of touches linked with existing manual sorters, augmenting productivity without raising labor requirements.
What Are the Key Segments in the Automated Sortation System Market?
The automated sortation systemmarket covered in this report is segmented -
1) By Component: Hardware, Software
2) By System: Unit Sorters, Case Sorters, Combo Sorters
3) By Sorting: Linear Sorters, Divert Systems, Circular Sorters
4) By End-Use Industry: Retail And E-commerce, Food And Beverages, Transportation And Logistics, Pharmaceutical, Other End-Users
Subsegments:
1) By Hardware: Conveyors, Sortation Wheels, Barcode Scanners, Sensors, Motors And Drives, Control Panels
2) By Software: Sortation Control Software, Warehouse Management Software (WMS), Inventory Management Software, Cloud-Based Software Solutions, Integration And Analytics Software
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Who Are the Key Players Shaping the Automated Sortation System Market's Competitive Landscape?
Major companies operating in the automated sortation system market report are Siemens AG; Mitsubishi Electric Corporation; Daifuku Co. Ltd.; Dematic Corp; SSI Schaefer; Vanderlande Industries; Murata Machinery Ltd.; Fives Group; Honeywell Intelligrated; Beumer Group GmbH; Interroll Group; Eisenmann SE; Bastian Solutions Inc.; Knapp AG; Viastore Systems GmbH; Grenzebach Group; Cimcorp; TGW Logistics Group; Berkshire Grey Inc.; SDI Group; Swisslog Holding AG; Datex Corporation; Conveyco Technologies; Eurosort Systems; Fortna Inc.
What Geographic Markets Are Powering Growth in the Automated Sortation System Market?
Europe was the largest region in the automated sortation system market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the automated sortation system market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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