Logistics automation involves the application of automated systems and technologies to manage material, information, and logistic flows within companies and manage interactions between organizations. Logistics automation solutions include automated storage and retrieval systems, automated guided vehicles, sortation systems, robotic picking, conveyor systems, warehouse management systems, and other software for inventory control and tracking. The key benefits of implementing logistics automation include improved order accuracy, higher throughput, reduced labor costs, minimized operational errors, enhanced workplace safety, and real-time cargo tracking.

The global logistics automation market is estimated to be valued at US$ 64.12 Bn in 2023 and is expected to exhibit a CAGR of 10.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Dynamics:

Growing E-Commerce Industry
Growing e-commerce industry is driving the demand for logistics automation to efficiently manage the complex logistics of high order volumes coming through online retail channels. E-commerce companies are adopting various automation solutions such as automated conveyors, sorters, robotic picking arms, and automated guided vehicles (AGVs) to boost operational efficiencies. These solutions minimize shipping errors and help companies maintain service-level commitments. The increasing penetration of e-commerce is estimated to remain a major growth driver for the logistics automation market over the forecast period.

SWOT Analysis

Strength: Global logistics automation market size enables improved efficiency and productivity through streamlined planning and management of operations. It reduces manual errors and allows for real-time tracking and visibility. Automated solutions can scale easily to handle growing volumes without added labor costs.

Weakness: Initial investment costs for automation equipment and technologies can be high. There is also a learning curve for employees to get accustomed to new automated systems and processes. Some business segments may have complex requirements that are challenging to automate fully.

Opportunity: Growing e-commerce is fueling demand for faster delivery timelines. Logistics Automation helps meet client and customer expectations of speed and accuracy. Emerging technologies like robotics, IoT, artificial intelligence and data analytics provide more opportunities for automation. Geographical expansion into developing markets increases addressable market size.

Threats: Technological obsolescence is a risk as new and improved solutions continuously emerge. Software and systems need regular upgrades to stay relevant. Dependence on technology raises reliability concerns in case of network or equipment failures. Intense competition between automation vendors impacts pricing and customer choices.

Key Takeaways

The global Logistics Automation market is expected to witness high growth over the forecast period of 2023 to 2030.

Regional analysis: North America currently dominates the market due to rapid e-commerce growth and major investments by leading automation solution providers in the region. Asia Pacific is poised to be the fastest growing regional market going forward on account of rising consumerism, increased spending on supply chain technologies by both global and local companies as well as supportive government policies in major economies like China and India.

Key players operating in the Logistics Automation market are Trigger Point Performance, RumbleRoller, The Original Muscle Roller, LIVEPRO, TheraBand, GoFit, SKLZ, Gaiam, Body Benefits, Corength.

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