Automated Storage And Retrieval System Market Growing Owing To...

Automated Storage And Retrieval System Market Growing Owing To Increasing Adoption In Ecommerce Industry

Posted 2024-01-05 10:33:37

The automated storage and retrieval system or ASRS is a material handling system that provides high-density storage with automatic handling and retrieval of loads. ASRS are commonly used in applications like warehouses, distribution centers, and hospitals for storage and order picking processes. It helps optimize floor space, reduce labor costs, and improves warehouse efficiency by consolidating a large amount of goods into a small space and retrieving goods when needed.

The global automated storage and retrieval system market is estimated to be valued at US$ 9833.58 Mn in 2023 and is expected to exhibit a CAGR of 22% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Dynamics:
Increasing adoption in ecommerce industry is one of the major drivers propelling the growth of the global automated storage and retrieval system market during the forecast period. The rising penetration of online shopping has increased the pressures on warehouses and distribution centers to store and retrieve goods at a much faster rate. ASRS helps boost productivity and fulfill orders accurately and quickly by automating storage and retrieval tasks. Rapid urbanization has also reduced the availability of storage space in cities driving the need for automated warehousing with high-density storage capabilities provided by ASRS. Moreover, ASRS helps reduce labor costs substantially which is another key factor fueling their increasing adoption across industries in the coming years. However, the high initial investment required for installation of ASRS may limit their adoption to some extent.

SWOT Analysis
Strength: The Automated Storage and Retrieval System market has seen significant growth in recent years driven by rising demand for automation technologies across industries. Automated systems help minimize human errors and improve efficiency of warehousing operations by reducing material handling time. They are compact in nature and make optimum utilization of available warehouse space.
Weakness: High initial investment costs associated with automated solutions pose a major challenge for small businesses. Dependence on advanced technologies also makes these systems complex to operate and maintain. Issues like system breakdowns can disrupt business continuity until repairs are carried out.
Opportunity: Growing e-commerce sector is opening up new opportunities for automated warehousing globally. Industries are focusing on offering differentiated fulfillment models to customers which is augmenting demand. Ongoing trend of warehouse modernization and Industry 4.0 present a favorable environment for adoption of automated solutions.
Threats: Presence of alternatives like conventional manual warehousing poses threat. Economic downturns can negatively impact capital expenditure plans of companies. Stringent regulations regarding integration of robotics and automation also need close monitoring.

Key Takeaways
The Global Automated Storage And Retrieval System Market Share is expected to witness high growth over the forecast period supported by increasing volume of both B2B and B2C shipments. The global Automated Storage and Retrieval System Market is estimated to be valued at US$ 9833.58 Mn in 2023 and is expected to exhibit a CAGR of 22% over the forecast period 2023 to 2030.

The Asia Pacific region currently dominates market share owing to rapid industrialization and manufacturing activities in countries like China and India. E-commerce companies are major adopters of ASSR systems paving way for new growth avenues in the region. Significant presence of prominent logistics companies and ongoing warehouse modernization trends are fueling demand. Stringent regulations regarding workplace safety have boosted adoption of automated technology.

Key players related content comprises: Key players operating in the Automated Storage and Retrieval System market are Murata Machinery, Ltd., Honeywell Intelligrated, Bastian Solutions, Inc., Dematic, TGW Logistics Group, Daifuku Co., Ltd., KNAPP AG, Beumer Group, SSI Schaefer Group, and Kardex Group. The market is competitive in nature with focus on product innovation and customized solutions.

Get more insights on this topic: https://www.newswirestats.com/automated-storage-and-retrieval-system-market-size-and-share-analysis-growth-trends-and-forecasts-2023-2030/