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Global Logistics Automation Market to Reach US$ 121.27 Billion by 2027, Bolstered by Rapid Growth of E-Commerce Platforms

Published on Mar 29, 2022

The latest report by IMARC Group, titled “Logistics Automation Market: Global Industry Trends, Share, Size, Growth, Opportunity and Forecast 2022-2027,” finds that the global logistics automation market size reached US$ 58.65 Billion in 2021. Logistics automation refers to the use of control systems, machinery, and software to improve the efficiency of logistics operations. It applies to the processes performed in a warehouse or distribution center requiring minimal human intervention. Logistics automation aids in improving customer services, scalability and speed, organizational control, and reducing mistakes. It also minimizes manual data errors, ensures proper insurance and automatic notifications. Logistics automation is increasingly replacing traditional logistics processes among small and large businesses as it streamlines and automates various tasks, such as processing freight automation, tracking, and documentation. Consequently, logistics automation finds application in the retail, automotive, and food and beverage (F&B) industries.

We are regularly tracking the direct effect of COVID-19 on the market, along with the indirect influence of associated industries. These observations will be integrated into the report.

Global Logistics Automation Market Trends: 

The market is primarily driven by the increasing penetration of high-speed internet and smartphones due to rapid digitization across the globe. Besides this, the significant growth of the e-commerce industry is escalating the demand for logistics automation. It has the capability to automate loading and unloading containers, palletizing and de-palletizing, commissioning, and feeding of production lines. In addition, the emergence of the industrial internet of things (IIoT) and the advent of network-connected systems that enhance the performance of tasks across various industries are also facilitating the market growth. Nowadays, with the rising number of warehouses, organizations are increasingly investing in warehouse automation. This, along with technological advancements in manufacturing and industrial robotics, has resulted in the development of advanced robotics such as automated guided vehicles, which are anticipated to create a positive market outlook. Looking forward, the market is expected to reach a value of US$ 121.27 Billion by 2027, exhibiting a CAGR of 13.35% during the forecast period (2022-2027).

Market Summary: 

  • Based on the component, the market has been segmented into hardware [mobile robots (AGV, AMR), automated storage and retrieval systems (AS/RS), automated sorting systems, de-palletizing/palletizing systems, conveyor systems, automatic identification and data collection (AIDC), and order picking], software [warehousing management systems (WMS) and warehouse execution systems (WES)], and services (value added services and maintenance).
  • On the basis of the function, the market has been classified into warehouse and storage, and transportation management.
  • The market has been categorized based on the enterprise size into small and medium-sized, and large enterprises.
  • On the basis of the industry vertical, the market has been segregated into manufacturing, healthcare and pharmaceuticals, fast-moving consumer goods (FMCG), retail and e-commerce, 3PL, aerospace and defense, oil, gas and energy, chemicals, and others.
  • Region-wise, the market has been divided into North America (the United States and Canada), Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, and others), Europe (Germany, France, the United Kingdom, Italy, Spain, Russia, and others), Latin America (Brazil, Mexico, and others), and Middle East and Africa.
  • The competitive landscape of the market has been examined, with some of the key players being ABB Limited, Beumer Group GmbH & Co. KG, Daifuku Corporation Limited, Dematic (Kion Group AG), Honeywell International Inc., Jungheinrich AG, Kardex Group, Knapp AG, Mecalux S.A., Murata Machinery Limited, Oracle Corporation, SAP SE, and Swisslog Holding AG (KUKA AG).

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