Warehouse Automation System Market
PUBLISHED: 2024 ID: SMRC26869
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Warehouse Automation System Market

Warehouse Automation System Market Forecasts to 2030 - Global Analysis By Type (Storage and Retrieval Systems (AS/RS), Conveyor and Sortation Systems, Robotics, Picking Systems and Other Types), Automation Type (Physical Automation and Digital Automation), Component, Deployment Model, Enterprise Size, End User and Geography

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4.9 (38 reviews)
Published: 2024 ID: SMRC26869

This report covers the impact of COVID-19 on this global market
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Years Covered

2022-2030

Estimated Year Value (2024)

US $21.9 BN

Projected Year Value (2030)

US $57.1 BN

CAGR (2024-2030)

17.3%

Regions Covered

North America, Europe, Asia Pacific, South America, and Middle East & Africa

Countries Covered

US, Canada, Mexico, Germany, UK, Italy, France, Spain, Japan, China, India, Australia, New Zealand, South Korea, Rest of Asia Pacific, South America, Argentina, Brazil, Chile, Middle East & Africa, Saudi Arabia, UAE, Qatar, and South Africa

Largest Market

Asia Pacific

Highest Growing Market

Asia Pacific


According to Stratistics MRC, the Global Warehouse Automation System Market is accounted for $21.9 billion in 2024 and is expected to reach $57.1 billion by 2030 growing at a CAGR of 17.3% during the forecast period. A warehouse automation system employs technology, such as robotics and software, to streamline warehouse operations. It automates tasks like inventory management, order picking, and packing, enhancing efficiency and accuracy. This system reduces labor costs, minimizes errors, and accelerates order fulfillment, ultimately improving overall productivity and customer satisfaction by ensuring timely and accurate delivery of goods.  

According to Statista, the number of warehouses worldwide is expected to grow from 150,600 in 2020 to approximately 180,000 by 2025.

Market Dynamics:

Driver: 

Surge in online shopping

The rapid growth of e-commerce and online shopping is a key driver for the warehouse automation system market. As consumers increasingly prefer online purchasing, retailers and logistics companies are facing pressure to handle higher order volumes and faster delivery times. This surge in demand necessitates more efficient and automated warehouse operations to process orders quickly and accurately. Automated systems like robotic picking, conveyor belts, and sortation systems enable warehouses to handle larger volumes, reduce errors, and meet tight delivery schedules, driving the adoption of automation technologies across the industry.

Restraint:

High initial investment

The cost of purchasing and installing automated equipment, software, and infrastructure can be substantial, especially for small and medium-sized businesses. This financial barrier may deter some companies from adopting automation technologies, despite their long-term benefits. Additionally, the complexity of integrating automated systems with existing warehouse operations and the need for specialized training for staff further add to the overall investment, making it challenging for some businesses to justify the upfront costs against potential future gains.

Opportunity:

Rise of industry 4.0

The rise of Industry 4.0 presents a significant opportunity for the warehouse automation system market. As the manufacturing and logistics industries embrace digital transformation, there is increasing demand for smart, interconnected warehouse solutions. Industry 4.0 technologies such as the Internet of Things (IoT), artificial intelligence, and big data analytics can be integrated with warehouse automation systems to create highly efficient, data-driven operations. This trend, which enables synergy between Industry 4.0 and warehouse automation, opens up new avenues for market growth.

Threat:

Cybersecurity risks

Cybersecurity risks pose a significant threat to the warehouse automation system market. As warehouses become more digitally connected and reliant on automated systems, they become vulnerable to cyberattacks. These attacks can potentially disrupt operations, compromise sensitive data, or even manipulate automated equipment, leading to financial losses and reputational damage. The increasing sophistication of cyber threats and the critical nature of warehouse operations in supply chains make cybersecurity a major concern for potential adopters of automation systems.

Covid-19 Impact: 

The COVID-19 pandemic accelerated the adoption of warehouse automation systems. Lockdowns and social distancing measures highlighted the vulnerabilities of manual warehouse operations, while e-commerce demand surged. This led to increased interest in automation to ensure business continuity, worker safety, and efficiency. The pandemic also exposed supply chain weaknesses, prompting companies to invest in more resilient and automated warehouse solutions for future crisis preparedness.

The automated storage and retrieval systems (AS/RS) segment is expected to be the largest during the forecast period

The automated storage and retrieval systems (AS/RS) segment is estimated to dominate the warehouse automation system market due to its capability to optimize space utilization and enhance inventory management efficiency. AS/RS technologies automate the storage, retrieval, and movement of goods within warehouses, minimizing labor costs and reducing errors. Their versatility and scalability make AS/RS solutions essential for industries with high inventory turnover, such as retail, automotive, and pharmaceuticals, contributing significantly to market share.

The digital automation segment is expected to have the highest CAGR during the forecast period

The digital automation segment anticipates the highest CAGR in the warehouse automation system market, driven by advancements in AI, machine learning, and IoT integration. Digital automation solutions enhance real-time decision-making, predictive analytics, and operational agility in warehouses. These technologies enable adaptive workflows, predictive maintenance, and autonomous operations, catering to the demand for flexible and scalable automation solutions. The segment's growth is fueled by industries prioritizing digital transformation and smart warehouse initiatives to achieve efficiency gains and competitive advantages.

Region with largest share:

Asia Pacific is poised to dominate the warehouse automation system market due to its rapidly growing e-commerce sector, particularly in countries like China and India. The region's large manufacturing base and expanding retail industry drive demand for efficient warehouse operations. Government initiatives promoting industrial automation and smart logistics further contribute to market growth. The presence of major electronics and automotive manufacturers in countries like Japan and South Korea also fuels the adoption of advanced warehouse automation technologies, solidifying Asia Pacific's position as the largest market for warehouse automation systems.

Region with highest CAGR:

Asia Pacific is expected to maintain the highest growth rate in the warehouse automation system market. This rapid growth is driven by the region's fast-developing economies, increasing urbanization, and rising labor costs, which are pushing businesses towards automation. The ongoing digital transformation in countries like China, India, and Southeast Asian nations is accelerating the adoption of advanced warehouse technologies. Additionally, the expansion of e-commerce platforms and the need for efficient last-mile delivery in densely populated urban areas are fueling investments in warehouse automation, contributing to the region's high growth rate.

Key players in the market

Some of the key players in Warehouse Automation System market include Daifuku Co., Ltd., Knapp AG, Murata Machinery, Ltd., SSI Schaefer AG, KION Group AG, Honeywell Intelligrated, Vanderlande Industries, Beumer Group, Swisslog Holding AG, TGW Logistics Group, Dematic Corporation, Fives Group, Mecalux, S.A., Intelligrated Systems, LLC, Cimcorp Automation Ltd., Kuka AG, ABB Ltd., and SAP SE.

Key Developments:

In March 2024, PepsiCo, a global leader in convenient foods and beverages, has reached a significant milestone in its vision of a digitalised future, having recently partnered with Dematic to integrate automation as a central feature of its expanded production and logistics facility in Rojana, Thailand. PepsiCo's Rojana facility is a critical regional hub that produces a variety of products. With a growing demand for its products in Thailand, PepsiCo recognised the necessity to build capacity in both production and logistics.

In November 2023, Daifuku Intralogistics India, a global leader in material handling solutions, participated in the India Warehousing & Logistics Show (IWLS) 2023, held from November 21-23 at the Bombay Exhibition Centre, Mumbai. The company showcased the latest logistics and warehousing solutions advancements, offering a glimpse into the future of material handling and automated storage systems.

In April 2023, Daifuku Co. Ltd, one of the global leaders in material handling systems, has announced a major expansion plan for its Indian subsidiary, Daifuku Intralogistics India Private Limited. Daifuku acquired Hyderabad-based Vega Conveyors & Automation in 2019 as part of their business expansion in India. After consolidating Vega and Daifuku India operations in 2022, the company now renamed the subsidiary to Daifuku Intralogistics India Private Limited.

Types Covered:
• Automated Storage and Retrieval Systems (AS/RS)
• Conveyor and Sortation Systems
• Robotics
• Picking Systems
• Other Types

Automation Types Covered:
• Physical Automation
• Digital Automation

Components Covered:
• Hardware
• Services
• Software

Deployment Models Covered:
• On-Premise
• Cloud-Based

Enterprise Sizes Covered:
• Large Enterprises
• Small and Medium Enterprises (SMEs)

End Users Covered:
• Food and Beverage
• E-commerce
• Automotive
• Retail
• Healthcare
• Manufacturing
• Transportation and Logistics
• Other End Users

Regions Covered:
• North America
o US
o Canada
o Mexico
• Europe
o Germany
o UK
o Italy
o France
o Spain
o Rest of Europe
• Asia Pacific
o Japan        
o China        
o India        
o Australia  
o New Zealand
o South Korea
o Rest of Asia Pacific    
• South America
o Argentina
o Brazil
o Chile
o Rest of South America
• Middle East & Africa 
o Saudi Arabia
o UAE
o Qatar
o South Africa
o Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2022, 2023, 2024, 2026, and 2030
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements

Free Customization Offerings: 
All the customers of this report will be entitled to receive one of the following free customization options:
• Company Profiling
o Comprehensive profiling of additional market players (up to 3)
o SWOT Analysis of key players (up to 3)
• Regional Segmentation
o Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances

Table of Contents

1 Executive Summary       
        
2 Preface       
 2.1 Abstract      
 2.2 Stake Holders      
 2.3 Research Scope      
 2.4 Research Methodology      
  2.4.1 Data Mining     
  2.4.2 Data Analysis     
  2.4.3 Data Validation     
  2.4.4 Research Approach     
 2.5 Research Sources      
  2.5.1 Primary Research Sources     
  2.5.2 Secondary Research Sources     
  2.5.3 Assumptions     
        
3 Market Trend Analysis       
 3.1 Introduction      
 3.2 Drivers      
 3.3 Restraints      
 3.4 Opportunities      
 3.5 Threats      
 3.6 End User Analysis      
 3.7 Emerging Markets      
 3.8 Impact of Covid-19      
        
4 Porters Five Force Analysis       
 4.1 Bargaining power of suppliers      
 4.2 Bargaining power of buyers      
 4.3 Threat of substitutes      
 4.4 Threat of new entrants      
 4.5 Competitive rivalry      
        
5 Global Warehouse Automation System Market, By Type       
 5.1 Introduction      
 5.2 Automated Storage and Retrieval Systems (AS/RS)      
  5.2.1 Stacker Cranes     
  5.2.2 Carousel Systems     
  5.2.3 Vertical Lift Modules (VLMs)     
 5.3 Conveyor and Sortation Systems      
  5.3.1 Conveyors      
  5.3.2 Sortation Systems     
  5.3.3 Warehouse Execution Systems (WES)      
 5.4 Robotics      
  5.4.1 Autonomous Mobile Robots (AMRs)     
  5.4.2 Automated Guided Vehicles (AGVs)     
  5.4.3 Robotic Arms     
 5.5 Picking Systems      
  5.5.1 Goods-to-Person Picking Systems     
  5.5.2 Put-to-Light Systems     
  5.5.3 Voice Picking Systems     
 5.6 Other Types      
        
6 Global Warehouse Automation System Market, By Automation Type       
 6.1 Introduction      
 6.2 Physical Automation      
 6.3 Digital Automation      
        
7 Global Warehouse Automation System Market, By Component       
 7.1 Introduction      
 7.2 Hardware      
 7.3 Services      
 7.4 Software      
  7.4.1 Warehouse Management Software (WMS)     
  7.4.2 Warehouse Execution Software (WES)     
        
8 Global Warehouse Automation System Market, By Deployment Model       
 8.1 Introduction      
 8.2 On-Premise      
 8.3 Cloud-Based      
        
9 Global Warehouse Automation System Market, By Enterprise Size       
 9.1 Introduction      
 9.2 Large Enterprises      
 9.3 Small and Medium Enterprises (SMEs)      
        
10 Global Warehouse Automation System Market, By End User       
 10.1 Introduction      
 10.2 Food and Beverage      
 10.3 E-commerce      
 10.4 Automotive      
 10.5 Retail      
 10.6 Healthcare      
 10.7 Manufacturing      
 10.8 Transportation and Logistics      
 10.9 Other End Users      
        
11 Global Warehouse Automation System Market, By Geography       
 11.1 Introduction      
 11.2 North America      
  11.2.1 US     
  11.2.2 Canada     
  11.2.3 Mexico     
 11.3 Europe      
  11.3.1 Germany     
  11.3.2 UK     
  11.3.3 Italy     
  11.3.4 France     
  11.3.5 Spain     
  11.3.6 Rest of Europe     
 11.4 Asia Pacific      
  11.4.1 Japan     
  11.4.2 China     
  11.4.3 India     
  11.4.4 Australia     
  11.4.5 New Zealand     
  11.4.6 South Korea     
  11.4.7 Rest of Asia Pacific     
 11.5 South America      
  11.5.1 Argentina     
  11.5.2 Brazil     
  11.5.3 Chile     
  11.5.4 Rest of South America     
 11.6 Middle East & Africa      
  11.6.1 Saudi Arabia     
  11.6.2 UAE     
  11.6.3 Qatar     
  11.6.4 South Africa     
  11.6.5 Rest of Middle East & Africa     
        
12 Key Developments       

 12.1 Agreements, Partnerships, Collaborations and Joint Ventures      
 12.2 Acquisitions & Mergers      
 12.3 New Product Launch      
 12.4 Expansions      
 12.5 Other Key Strategies      
        
13 Company Profiling       
 13.1 Daifuku Co., Ltd.      
 13.2 Knapp AG      
 13.3 Murata Machinery, Ltd.      
 13.4 SSI Schaefer AG      
 13.5 KION Group AG      
 13.6 Honeywell Intelligrated      
 13.7 Vanderlande Industries      
 13.8 Beumer Group      
 13.9 Swisslog Holding AG      
 13.10 TGW Logistics Group      
 13.11 Dematic Corporation      
 13.12 Fives Group      
 13.13 Mecalux, S.A.      
 13.14 Intelligrated Systems, LLC      
 13.15 Cimcorp Automation Ltd.      
 13.16 Kuka AG      
 13.17 ABB Ltd.      
 13.18 SAP SE      
        
List of Tables        
1 Global Warehouse Automation System Market Outlook, By Region (2022-2030) ($MN)       
2 Global Warehouse Automation System Market Outlook, By Type (2022-2030) ($MN)       
3 Global Warehouse Automation System Market Outlook, By Automated Storage and Retrieval Systems (AS/RS) (2022-2030) ($MN)       
4 Global Warehouse Automation System Market Outlook, By Stacker Cranes (2022-2030) ($MN)       
5 Global Warehouse Automation System Market Outlook, By Carousel Systems (2022-2030) ($MN)       
6 Global Warehouse Automation System Market Outlook, By Vertical Lift Modules (VLMs) (2022-2030) ($MN)       
7 Global Warehouse Automation System Market Outlook, By Conveyor and Sortation Systems (2022-2030) ($MN)       
8 Global Warehouse Automation System Market Outlook, By Conveyors (2022-2030) ($MN)       
9 Global Warehouse Automation System Market Outlook, By Sortation Systems (2022-2030) ($MN)       
10 Global Warehouse Automation System Market Outlook, By Warehouse Execution Systems (WES)  (2022-2030) ($MN)       
11 Global Warehouse Automation System Market Outlook, By Robotics (2022-2030) ($MN)       
12 Global Warehouse Automation System Market Outlook, By Autonomous Mobile Robots (AMRs) (2022-2030) ($MN)       
13 Global Warehouse Automation System Market Outlook, By Automated Guided Vehicles (AGVs) (2022-2030) ($MN)       
14 Global Warehouse Automation System Market Outlook, By Robotic Arms (2022-2030) ($MN)       
15 Global Warehouse Automation System Market Outlook, By Picking Systems (2022-2030) ($MN)       
16 Global Warehouse Automation System Market Outlook, By Goods-to-Person Picking Systems (2022-2030) ($MN)       
17 Global Warehouse Automation System Market Outlook, By Put-to-Light Systems (2022-2030) ($MN)       
18 Global Warehouse Automation System Market Outlook, By Voice Picking Systems (2022-2030) ($MN)       
19 Global Warehouse Automation System Market Outlook, By Other Types (2022-2030) ($MN)       
20 Global Warehouse Automation System Market Outlook, By Automation Type (2022-2030) ($MN)       
21 Global Warehouse Automation System Market Outlook, By Physical Automation (2022-2030) ($MN)       
22 Global Warehouse Automation System Market Outlook, By Digital Automation (2022-2030) ($MN)       
23 Global Warehouse Automation System Market Outlook, By Component (2022-2030) ($MN)       
24 Global Warehouse Automation System Market Outlook, By Hardware (2022-2030) ($MN)       
25 Global Warehouse Automation System Market Outlook, By Services (2022-2030) ($MN)       
26 Global Warehouse Automation System Market Outlook, By Software (2022-2030) ($MN)       
27 Global Warehouse Automation System Market Outlook, By Warehouse Management Software (WMS) (2022-2030) ($MN)       
28 Global Warehouse Automation System Market Outlook, By Warehouse Execution Software (WES) (2022-2030) ($MN)       
29 Global Warehouse Automation System Market Outlook, By Deployment Model (2022-2030) ($MN)       
30 Global Warehouse Automation System Market Outlook, By On-Premise (2022-2030) ($MN)       
31 Global Warehouse Automation System Market Outlook, By Cloud-Based (2022-2030) ($MN)       
32 Global Warehouse Automation System Market Outlook, By Enterprise Size (2022-2030) ($MN)       
33 Global Warehouse Automation System Market Outlook, By Large Enterprises (2022-2030) ($MN)       
34 Global Warehouse Automation System Market Outlook, By Small and Medium Enterprises (SMEs) (2022-2030) ($MN)       
35 Global Warehouse Automation System Market Outlook, By End User (2022-2030) ($MN)       
36 Global Warehouse Automation System Market Outlook, By Food and Beverage (2022-2030) ($MN)       
37 Global Warehouse Automation System Market Outlook, By E-commerce (2022-2030) ($MN)       
38 Global Warehouse Automation System Market Outlook, By Automotive (2022-2030) ($MN)       
39 Global Warehouse Automation System Market Outlook, By Retail (2022-2030) ($MN)       
40 Global Warehouse Automation System Market Outlook, By Healthcare (2022-2030) ($MN)       
41 Global Warehouse Automation System Market Outlook, By Manufacturing (2022-2030) ($MN)       
42 Global Warehouse Automation System Market Outlook, By Transportation and Logistics (2022-2030) ($MN)       
43 Global Warehouse Automation System Market Outlook, By Other End Users (2022-2030) ($MN)       
        
Note: Tables for North America, Europe, APAC, South America, and Middle East & Africa Regions are also represented in the same manner as above.        

List of Figures

RESEARCH METHODOLOGY


Research Methodology

We at Stratistics opt for an extensive research approach which involves data mining, data validation, and data analysis. The various research sources include in-house repository, secondary research, competitor’s sources, social media research, client internal data, and primary research.

Our team of analysts prefers the most reliable and authenticated data sources in order to perform the comprehensive literature search. With access to most of the authenticated data bases our team highly considers the best mix of information through various sources to obtain extensive and accurate analysis.

Each report takes an average time of a month and a team of 4 industry analysts. The time may vary depending on the scope and data availability of the desired market report. The various parameters used in the market assessment are standardized in order to enhance the data accuracy.

Data Mining

The data is collected from several authenticated, reliable, paid and unpaid sources and is filtered depending on the scope & objective of the research. Our reports repository acts as an added advantage in this procedure. Data gathering from the raw material suppliers, distributors and the manufacturers is performed on a regular basis, this helps in the comprehensive understanding of the products value chain. Apart from the above mentioned sources the data is also collected from the industry consultants to ensure the objective of the study is in the right direction.

Market trends such as technological advancements, regulatory affairs, market dynamics (Drivers, Restraints, Opportunities and Challenges) are obtained from scientific journals, market related national & international associations and organizations.

Data Analysis

From the data that is collected depending on the scope & objective of the research the data is subjected for the analysis. The critical steps that we follow for the data analysis include:

  • Product Lifecycle Analysis
  • Competitor analysis
  • Risk analysis
  • Porters Analysis
  • PESTEL Analysis
  • SWOT Analysis

The data engineering is performed by the core industry experts considering both the Marketing Mix Modeling and the Demand Forecasting. The marketing mix modeling makes use of multiple-regression techniques to predict the optimal mix of marketing variables. Regression factor is based on a number of variables and how they relate to an outcome such as sales or profits.


Data Validation

The data validation is performed by the exhaustive primary research from the expert interviews. This includes telephonic interviews, focus groups, face to face interviews, and questionnaires to validate our research from all aspects. The industry experts we approach come from the leading firms, involved in the supply chain ranging from the suppliers, distributors to the manufacturers and consumers so as to ensure an unbiased analysis.

We are in touch with more than 15,000 industry experts with the right mix of consultants, CEO's, presidents, vice presidents, managers, experts from both supply side and demand side, executives and so on.

The data validation involves the primary research from the industry experts belonging to:

  • Leading Companies
  • Suppliers & Distributors
  • Manufacturers
  • Consumers
  • Industry/Strategic Consultants

Apart from the data validation the primary research also helps in performing the fill gap research, i.e. providing solutions for the unmet needs of the research which helps in enhancing the reports quality.


For more details about research methodology, kindly write to us at info@strategymrc.com

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