Logistics Automation Market Size, Share, And Growth Analysis Report 2032

Logistics Automation Market Size

Zion Market Research has published a report on the global Logistics Automation Market, estimating its value at USD 35.74 Billion in 2023, with projections indicating that it will reach USD 83.59 Billion by 2032. The market is expected to expand at a compound annual growth rate (CAGR) of 9.9% over the forecast period 2024-2032.

The report explores the factors fueling market growth, the hitches that could hamper this expansion, and the opportunities that may arise in the Logistics Automation Market industry. Additionally, it offers a detailed analysis of how these elements will affect market demand dynamics and market performance throughout the forecast period.

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Logistics Automation Market: Overview

Logistic automation is the computer-aided programming and/or automated machinery used to improve the efficiency of logistics operations. Normally this alludes to activities inside a warehouse or distribution center, with more extensive undertakings embraced by supply chain management systems and enterprise resource planning systems. Logistics automation frameworks can capably supplement the facilities provided by these higher level computer systems. More specifically, the term logistics automation can be used to describe the process of automating the storage and distribution of goods in a warehouse and transportation, by using robots and centrally managed computer systems. Many warehouses still do not have completely mechanized frameworks yet depend on pallet trucks and conveyor belts which require human intervention at the time of implementation. However, times are changing and the utilization of robots in the materials handling and logistics industry is winding up progressively.

Growing penetration of IoT & Logistics 4.0 in transportation and warehousing primarily drives the global logistics automation market. Logistics 4.0 deals with various aspects of end-to-end logistics and supply chain management in the perspective of Industry 4.0, IoT, emerging technologies, cyber-physical systems, advanced data analytics, and (semi-)autonomous decisions enabled by Artificial Intelligence. Reduction in operational cost due to the advanced automated logistic systems is another major factor driving the growth of logistics automation market across the globe. Logistics automation inherits features such as integration to commodities via ERP system and access to user’s address book, automatic storage, and entry of fuel surcharges and accessorial. Furthermore, increasing need for real-time freight in transportation system propels the growth of global logistics automation market. Real-time freight helps shippers and brokers with freight execution, business automation, internal and external transparency, and data-fueled decision-making. Implementation of driverless vehicles and drones in logistics system has been considered as a potential opportunity in global logistics automation market. However, high installation cost may hinder the growth of logistics automation market across the globe. 

Logistics Automation Market: Growth Drivers

Massive demand for reducing shipping costs and effective stock record keeping will drive market trends. Rise in e-commerce activities in retail industry will produce new growth avenues for logistics automation market. Apart from this, surge in acceptance of robots in a slew of industries is projected to spur expansion of logistics automation market. Massive requirement of bringing proficiency in warehousing & inventory management activities is anticipated to generate new growth opportunities over ensuing years. In addition to this, onset of industrial internet of things helping in performing of multiple tasks including material batching, warehouse security, ordering, picking of goods & materials, and material inspection is expected to embellish expansion of logistics automation industry.

Moreover, application of IoT tools in warehouse for real-time transfer of data and big data analytics will prop up growth of logistics automation industry. Nonetheless, outbreak of COVID-19 pandemic adversely impacted warehouse & logistics operations due to less movement of goods from one place to another, thereby putting brakes on market growth.

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Logistics Automation Market: Segmentation

The logistics automation market is segmented into component, vertical, and region.

On the basis of the component, the market is categorized into transportation management and warehouse & storage management. Warehouse & storage management segment is expected to gain significant growth in the forecast period in the logistics automation market. This is due to the growing implementation of advanced technologies such as robotics and IoT, in various industries to improve warehouse operations.

The vertical segment includes logistics & transportation, retail, manufacturing, oil & gas, healthcare, automotive, aerospace & defense, food & beverage, and others. Retail industry vertical is anticipated to have the highest share in the logistics automation market during the forecast period. This is due to rapid growth in the retail and e-commerce industry which can be attributed to an increase in the adoption of logistics automation solutions.

Logistics Automation Market: Report Scope

Logistics Automation Market: Regional Landscape

Asia Pacific To Contribute Majorly Towards Market Size Over 2021-2028

Rise in acceptance of industrial 4.0 in manufacturing activities is projected to create new dimensions of growth for logistics automation industry in Asia Pacific Zone. Increase in purchase of goods through e-commerce apps along with thriving online retailing activities will steer regional market growth. With China and Japan being early adopters of new technologies in transport & logistics sector, the market for logistics automation is predicted to gain traction in upcoming years. Furthermore, countries such as India, New Zealand, and Australia have also started accepting & investing in production of logistics automation equipment for enhancing logistics methods and supply chain activities in these countries, thereby driving regional market growth.  

Logistics Automation Market: Competitive Landscape

Key players leveraging market progression and profiled in study are:

• Beumer Group
• Honeywell Intelligrated
• Vitronic
• Muratec Murata Machinery Ltd.
• Knapp AG
• Jungheinrich AG
• SSI Schaefer
• Mecalux S.A.
• Daifuku Co. Ltd.
• Swisslog

The global Logistics Automation Market is segmented as follows:

By Process

• Warehouse & Storage Management
• Transportation Management

By Vertical

• Logistics & Transportation
• Manufacturing
• Retail
• Oil & Gas
• Healthcare
• Automotive
• Aerospace & Defense
• Food & Beverage

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa