Rising Consumer Expectations Driving Retail Automation Growth. Emerges as a Core Driver of the Retail Automation Market in 2025

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What Is the Expected CAGR for the Retail Automation Market Through 2025?
In the past years, we have witnessed a swift expansion in the retail automation market. From $20.07 billion in 2024, its size is projected to leap to $22.39 billion in 2025 alongside a compound annual growth rate (CAGR) hitting 11.6%. Factors that have contributed to this growth during the historic phase include the strain of competition, complexities in the supply chain, escalation of e-commerce, increasing labor expenses, and shifting consumer habits.

What's the Projected Size of the Global Retail Automation Market by 2029?
The size of the retail automation market is predicted to undergo substantial expansion in the following years, escalating to $35.58 billion by 2029 with a CAGR of 12.3%. The escalation predicted during this forecast period is related to an emphasis on factors like a shift towards omnichannel retail, improvements in customer experience, the growing necessity for contactless solutions, sustainability efforts, regulatory adherence, and strengthened security provisions. Key trends expected to shape the forecast period include the adoption of blockchain in supply chain transparency, the rise of independent retail solutions, the incorporation of augmented reality (AR) in retail, a focus on sustainability, and the proliferation of voice commerce.

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Top Growth Drivers in the Retail Automation Industry: What's Accelerating the Market?
Expectations for a speedier and more seamless shopping experience from consumers are anticipated to drive the expansion of the retail automation market. Streamlined transactions, swift checkouts, simple navigation, access to product information, and uncomplicated payments all contribute to the notion of faster and more seamless shopping. These elements, along with enhanced customer satisfaction, streamlined processes, and data-driven optimization, are stimulating growth in the retail automation market by encouraging innovation and expansion. Retail automation utilizes technology to simplify and hasten the shopping experience, offering quicker transactions and seamless processes to improve efficiency and convenience for consumers. For example, the Department of Commerce's Census Bureau, a US government department, reported in February 2024 that the e-commerce estimate for the fourth quarter of 2023 saw an uptick of 7.5% (±1.2%) in comparison to the fourth quarter of 2022, and overall retail sales saw a 2.8% (±0.4%) increase during the same timeframe. Consequently, the increasing demand for quicker and more seamless shopping experiences from consumers is fueling the expansion of the retail automation market.

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What Are the Key Trends Driving Retail Automation Market Growth?
Prominent organizations in the retail automation industry are creating cutting-edge technologies, such as automation and robotic integration, to provide customers with more sophisticated features. This integration implies the incorporation of robotic systems and automated solutions in various industrial, manufacturing, or other industry operations. For example, Dobot, a robotic arms manufacturer based in Japan, released its Nova collaborative robots for retail automation in August 2023. The premier two models of Nova can carry 2 kg and 5 kg loads, catering to retail and physiotherapy operations respectively. The Nova Series is equipped with multiple safety mechanisms to intelligently detect human movement and halt operations in 0.01 seconds if a collision is detected. During a power failure, Nova automatically remains stationary to prioritize the safety of others.

What Are the Main Segments in the Retail Automation Market?
The retail automationmarket covered in this report is segmented -

1) By Product: Point-Of-Sale (POS), RFID And Barcode, Camera, Electronic Shelf Label, Warehouse Robotics, Other Products
2) By Implementation: In-Store, Warehouse
3) By End-Use: Hypermarkets, Single Item Stores, Supermarkets, Fuel Stations, Retail Pharmacies, Other End-Uses

Subsegments:
1) By Point-Of-Sale (POS): Traditional POS Systems, Mobile POS Systems, Cloud-Based POS Systems
2) By RFID And Barcode: RFID Tags And Readers, Barcode Scanners, Inventory Management Systems
3) By Camera: Surveillance Cameras, Smart Cameras For Analytics, Customer Behavior Tracking Cameras
4) By Electronic Shelf Label: LCD Shelf Labels, E-Paper Shelf Labels, Wireless Communication Systems
5) By Warehouse Robotics: Automated Guided Vehicles (AGVs), Autonomous Mobile Robots (AMRs), Robotic Picking Systems
6) By Other Products: Self-Service Kiosks, Digital Signage, Payment Solutions

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Which Top Companies are Driving Growth in the Retail Automation Market?
Major companies operating in the retail automation market are Samsung Electronics Co. Ltd., Amazon Web Services Inc., Honeywell International Inc., Fujitsu Limited, Posiflex Technology Inc., NCR Corporation, Zebra Technologies Corporation, KUKA AG, Diebold Nixdorf Inc., Casio Computer Co. Ltd., Capillary Technologies, PAX Technology Inc., Datalogic S.p.A, Toshiba Global Commerce Solutions Inc., WiseTech Global group, First Data Corporation, Optimove Inc., Tecsys Inc., ECR Software Corporation, SandenVendo, E&K Automation GmbH, 6 River Systems LLC, Focus Softnet FZ LLC, Vinculum Solutions Pvt. Ltd., Pricer AB, Future Way Technical Services LLC, QR Retail Automation (Asia) Sdn Bhd, Napse, Kiosk & Display LLC, Wincor Nixdorf AG

Which Regions Will Dominate the Retail Automation Market Through 2029?
North America was the largest region in the retail automation market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the retail automation market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

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