Logistics Automation Market Analysis

Logistics Automation Market Analysis

The retail & e-commerce segment held a market revenue of over 10 billion in 2022 and will depict 12% growth during 2023-2032. The adoption of logistics automation solutions has aided online and multichannel retailers in tracking & monitoring the movement of light goods vehicles, ensuring product delivery on time. Due to the increasing trend of electronic fund transfer, internet marketing, online transaction processing, and electronic data interchange, the e-commerce segment is expected to grow with the highest industry share.

Rapidly changing customer demands, an increase in online shopping, an increase in the demand for shorter delivery times, and fierce competition among online retailing companies have increased the demand for automated fulfillment centers, which has increased the demand for adaptable & dedicated logistics automation solutions in the e-commerce industry.

The hardware segment crossed valuation USD 25 billion of logistics automation market in 2022. The system will be used more frequently in the automation of retrieval and storage systems. The maximum use of hardware in the form of sortation systems and conveyors will also lead to market growth. The hardware segment is expected to grow rapidly due to the increased use of robots in warehouse management, which will also aid market expansion. Robots increases the speed and accuracy along with decreasing need for manpower.

The sales logistics sector held 45% of the industry share in 2022 and is expected to grow at a lucrative pace by 2032. The most critical aspect of the supply chain is sales logistics, which involves moving or delivering goods to end consumers. Automation solutions, such as autonomous mobile robots and automated storage & retrieval systems, increase efficiency and reduce the delivery turnaround time; hence, are becoming popular in sales logistics operations.

North America logistics automation market dominated 35% of the global share in 2022. Many North American businesses are implementing logistics automation solutions to improve their supply chain operations. Growing logistics automation demand in the healthcare and pharmaceutical industries, growing food & beverage industry and rising technology adoption in manufacturing facilities is propelling the industry outlook in this region. The increasing adoption of automation robots by leading players in the region to optimize warehouse and logistics operations is driving market expansion.