Automated Storage and Retrieval Systems Market Size Forecast to Reach $10.7 Billion by 2026
The Growth of the Semiconductor and Electronics Industry Has Spurred the Demand for Automated Storage and Retrieval Systems Globally.
(EMAILWIRE.COM, November 06, 2021 ) Automated Storage and Retrieval Systems Market Size is forecast to reach $10.7 billion by 2026, at a CAGR of 6.9% during 2021-2026. The growth of the semiconductor and electronics industry has spurred the demand for automated storage and retrieval systems globally. Furthermore, the growing demand for safety and control systems in the industrial and manufacturing sectors will significantly propel the market. The growing wages will also result in a shift to automation in order to reduce the compensation provided to the workers and this further propels the market. Moreover, the automotive industry is showing growth mainly due to the high demand for electric vehicles and demand for automobile parts globally. The growing automation in this sector is set to spur automated storage market.
Automated Storage and Retrieval Systems Market Segment Analysis – By Type
The Vertical lift module (VLM) segment has held significant market share of 32.2% in the forecast period as it is designed to deliver stored items to the operator by eliminating walk and search time. In addition, this module also increases productivity up to 67% and saves up to 85% of the floor space. VLM is also integrated with pick-to-light technology to improve accuracy levels. Moreover, these systems can be used in collaboration with other material handling storage systems including conveyors, robotic work stations and Automated Guided Vehicles (AGV) to completely automate the facility. These systems make the overhead space into productive storage space. Further they have a small footprint and thus are perfect choice for point-of-use storage space in assembly operations and value-added manufacturing. Hence these factors are analysed to drive the market growth in the forecast period 2021-2026.
Request for Sample Report @ https://www.industryarc.com/pdfdownload.php?id=10611
Report Price: $ 4500 (Single User License)
Automated Storage and Retrieval Systems Market Segment Analysis – By Vertical
E-Commerce sector in automated storage systems is expected to witness a highest CAGR of 9.37% the forecast period 2021-2026. Automated storage systems with real time inventory management capabilities has exhibited high adoption as they allow enough product stocking in the warehouses. Customized automated storage and retrieval systems have been favored by e-commerce vendors for their needs. Effective supply chain management is another growing requirement for automated storage systems in this industry. The improved order fulfillment offered by these systems has resulted in their fast adoption in this industry. Moreover, multichannel automated storage and retrieval systems have gained prominence in this sector due to their impeccable order fulfilment capabilities. Warehouse automation has been on the rise as e-commerce has high penetration of automated systems in recent years. These e-commerce companies are investing in systems that can efficiently handle a high volume of small, multiple item orders. The various automated storage systems utilized include warehouse control systems (WCS), goods-to-person systems such as shuttles, pick-to-light, put-to-light and voice picking systems. Further various AS/RS manufacturers are providing significant support logistic and e-commerce companies by expanding their presence. In 2019, TGW has expanded its automation services to the north western part of Warsaw by building a distribution center for the Polish e-commerce specialist Frisco.pl. Hence this rising adoption is analyzed to witness significant growth in the forecast period 2021-2026.
Automated Storage and Retrieval Systems Market Segment Analysis – By Geography
Automated Storage and Retrieval Systems market in North America region held significant market share of 40% in 2020. Rise in adoption of big data technologies among organizations to enhance the consumer target marketing and risk management abilities is expected to boost the growth of the automated storage and retrieval system market. Moreover, automation has been the forefront in the countries such as U.S. and Canada manufacturing sector. The rising infrastructure and industrial development allowed the automated storage system manufacturers to expand their penetration in these countries. In addition, the growing safety and control demand in industrial and manufacturing sectors in the U.S will significantly propel the market for these systems. Further growing wages will also result in a shift to automation in order to reduce the compensation provided to the workers. Furthermore, Mexico is turning into the manufacturing hub for many manufacturers mainly accounted for its low labor costs and its proximity to the U.S. Majority of the leading manufacturing companies are establishing their plants in the region. The NAFTA agreements provide these companies an easier passage for their production to the U.S. and Canada leading to increasingly advanced manufacturing processes being employed in this region. The improved productivity and efficiency offered by the usage of automated storage systems has resulted in their growing deployment in Mexico. Hence these factors are analyzed to drive the market growth in the forecast period 2021-2026.
Inquiry Before Buying @ https://www.industryarc.com/reports/request-quote?id=10611
Automated Storage and Retrieval Systems Market Drivers
Leasing of material handling equipment paving new avenues for the automated material handling systems
As businesses in the U.S. continue to increase spending on capital equipment, the leasing and financing of business equipment will observe an incessant growth. The cost of Automated Storage & Retrieval System in initial phases is generally high including installation, training and services costs. These high prices generally deter the small & medium warehouse operators from integrating the AS/RS into their centers, but the rising support for equipment leasing, evident from the European Law Faculties Association (ELFA) data has opened new ways for the operators to acquire these systems. Leasing of these equipment allow the distribution centers to reap the benefits of these systems including efficiency, quality control and lower operational costs while simultaneously realizing immediate return on investment. Hence, as the leasing of equipment in the industries becomes easily accessible, the AS/RS market will witness an up-surging market in the future.
Multichannel supply-chain strategy in retail to drive the AS/RS market:
The multichannel supply chain strategy is an increasing trend in the current times, particularly among the retail sector. Under this strategy, the companies are aiming at creating an “in-house” distributing facility for order fulfilment operations instead of outsourcing it to third part logistics (3PL). By building an in-house distribution centres, companies are aiming at handling both store and individual orders in a same facility thus saving significant costs on distribution performance. In today’s world, the retail distribution centres are not limited to as an intermediate phase for storing and shipping the goods. The rise of retail sector facilitated by the boom in electronic commerce has already witnessed major changes in the retail distribution centres including mass personalization and up surged customer services requirements which has led to an exponential growth in the stock keeping units (SKUs). As the global economy progresses gradually, the retail sector will observe a boost in the demand of goods that will require proper integration of new automation technologies to maintain demand and supply balance which will be a notable for the emergence of automated storage & retrieval systems market.
Automated Storage and Retrieval Systems Market Challenges
Delayed return on investment (RoI) model constricting the emergence of AS/RS
Emerging out of the high initial cost of AS/RS is the need to make profits. The costs for these systems have come down significantly in the recent years but are not enough to convince the small and medium logistic operators to compel them to install it. Also, the AS/RS return on investment (ROI) generally lies in the period of 5 to 7 years which deters market significantly. In long-term, the AS/RS prove to be a significant value addition product by providing several advantages over a manual labor in terms of operating costs and productivity but the initial skepticism associated with AS/RS ROI still looms over the strategies of operators, thus acting as a hindrance to the market emergence.
Automated Storage and Retrieval Systems Market Landscape
Product launches, acquisitions, Partnerships and R&D activities are key strategies adopted by players in the Automated Storage and Retrieval Systems market. Automated Storage and Retrieval Systems top 10 companies include Bastian Solutions, Inc., Beumer Group, Daifuku Co., Ltd., Dematic, Honeywell Intelligrated, Kardex Group, KNAPP AG, Murata Machinery, Ltd., SSI Schaefer Group, TGW Logistics Group among others.
Acquisitions/Product Launches
In 2019, Knapp partnered with kratzer Automation, logistic software company to enhance Knapp’s portfolio in the last mile area to make the supply chain (logistic facility) more efficient.
In 2019, TGW partnered with Kellner and Kunz, a tools and fastening technology Company to expand its automation services to Austria and also help Kellner and kunz to expand its warehouse by adding State of art automation.
Key Takeaways
Automated Storage and Retrieval Systems market in North America region held significant market share of 40% in 2020. Rise in adoption of big data technologies among organizations to enhance the consumer target marketing and risk management abilities is expected to boost the growth of the automated storage and retrieval system market.
E-Commerce sector in automated storage systems is expected to witness a highest CAGR of 9.37% the forecast period as the e-commerce companies are investing in systems that can efficiently handle a high volume of small, multiple item orders.
The Vertical lift module (VLM) segment is growing at a significant CAGR of 8.7% in the forecast period as it is designed to deliver stored items to the operator by eliminating walk and search time.
The adoption of automated systems has multiplied significantly with the increase in need for automation in all industrial sectors. Organizations are inclining toward adopting automation solutions to automate their processes to deliver high-quality products, increase their manufacturing capabilities and efficiently manage their processes.
Related Reports:
A. Material Handling Technology Market
https://www.industryarc.com/Report/18654/material-handling-technology-market.html
B. Latin America & Africa Automated Storage Retrieval Systems Market
https://www.industryarc.com/Report/18195/latin-america-africa-automated-storage-retrieval-systems-market.html
For more Automation and Instrumentation Market reports, please click here
About IndustryARC: IndustryARC primarily focuses on Cutting Edge Technologies and Newer Applications market research. Our Custom Research Services are designed to provide insights on the constant flux in the global supply-demand gap of markets. Our strong team of analysts enables us to meet the client research needs at a rapid speed, with a variety of options for your business. Any other custom requirements can be discussed with our team, drop an e-mail to sales@industryarc.com to discuss more about our consulting services.
Automated Storage and Retrieval Systems Market Segment Analysis – By Type
The Vertical lift module (VLM) segment has held significant market share of 32.2% in the forecast period as it is designed to deliver stored items to the operator by eliminating walk and search time. In addition, this module also increases productivity up to 67% and saves up to 85% of the floor space. VLM is also integrated with pick-to-light technology to improve accuracy levels. Moreover, these systems can be used in collaboration with other material handling storage systems including conveyors, robotic work stations and Automated Guided Vehicles (AGV) to completely automate the facility. These systems make the overhead space into productive storage space. Further they have a small footprint and thus are perfect choice for point-of-use storage space in assembly operations and value-added manufacturing. Hence these factors are analysed to drive the market growth in the forecast period 2021-2026.
Request for Sample Report @ https://www.industryarc.com/pdfdownload.php?id=10611
Report Price: $ 4500 (Single User License)
Automated Storage and Retrieval Systems Market Segment Analysis – By Vertical
E-Commerce sector in automated storage systems is expected to witness a highest CAGR of 9.37% the forecast period 2021-2026. Automated storage systems with real time inventory management capabilities has exhibited high adoption as they allow enough product stocking in the warehouses. Customized automated storage and retrieval systems have been favored by e-commerce vendors for their needs. Effective supply chain management is another growing requirement for automated storage systems in this industry. The improved order fulfillment offered by these systems has resulted in their fast adoption in this industry. Moreover, multichannel automated storage and retrieval systems have gained prominence in this sector due to their impeccable order fulfilment capabilities. Warehouse automation has been on the rise as e-commerce has high penetration of automated systems in recent years. These e-commerce companies are investing in systems that can efficiently handle a high volume of small, multiple item orders. The various automated storage systems utilized include warehouse control systems (WCS), goods-to-person systems such as shuttles, pick-to-light, put-to-light and voice picking systems. Further various AS/RS manufacturers are providing significant support logistic and e-commerce companies by expanding their presence. In 2019, TGW has expanded its automation services to the north western part of Warsaw by building a distribution center for the Polish e-commerce specialist Frisco.pl. Hence this rising adoption is analyzed to witness significant growth in the forecast period 2021-2026.
Automated Storage and Retrieval Systems Market Segment Analysis – By Geography
Automated Storage and Retrieval Systems market in North America region held significant market share of 40% in 2020. Rise in adoption of big data technologies among organizations to enhance the consumer target marketing and risk management abilities is expected to boost the growth of the automated storage and retrieval system market. Moreover, automation has been the forefront in the countries such as U.S. and Canada manufacturing sector. The rising infrastructure and industrial development allowed the automated storage system manufacturers to expand their penetration in these countries. In addition, the growing safety and control demand in industrial and manufacturing sectors in the U.S will significantly propel the market for these systems. Further growing wages will also result in a shift to automation in order to reduce the compensation provided to the workers. Furthermore, Mexico is turning into the manufacturing hub for many manufacturers mainly accounted for its low labor costs and its proximity to the U.S. Majority of the leading manufacturing companies are establishing their plants in the region. The NAFTA agreements provide these companies an easier passage for their production to the U.S. and Canada leading to increasingly advanced manufacturing processes being employed in this region. The improved productivity and efficiency offered by the usage of automated storage systems has resulted in their growing deployment in Mexico. Hence these factors are analyzed to drive the market growth in the forecast period 2021-2026.
Inquiry Before Buying @ https://www.industryarc.com/reports/request-quote?id=10611
Automated Storage and Retrieval Systems Market Drivers
Leasing of material handling equipment paving new avenues for the automated material handling systems
As businesses in the U.S. continue to increase spending on capital equipment, the leasing and financing of business equipment will observe an incessant growth. The cost of Automated Storage & Retrieval System in initial phases is generally high including installation, training and services costs. These high prices generally deter the small & medium warehouse operators from integrating the AS/RS into their centers, but the rising support for equipment leasing, evident from the European Law Faculties Association (ELFA) data has opened new ways for the operators to acquire these systems. Leasing of these equipment allow the distribution centers to reap the benefits of these systems including efficiency, quality control and lower operational costs while simultaneously realizing immediate return on investment. Hence, as the leasing of equipment in the industries becomes easily accessible, the AS/RS market will witness an up-surging market in the future.
Multichannel supply-chain strategy in retail to drive the AS/RS market:
The multichannel supply chain strategy is an increasing trend in the current times, particularly among the retail sector. Under this strategy, the companies are aiming at creating an “in-house” distributing facility for order fulfilment operations instead of outsourcing it to third part logistics (3PL). By building an in-house distribution centres, companies are aiming at handling both store and individual orders in a same facility thus saving significant costs on distribution performance. In today’s world, the retail distribution centres are not limited to as an intermediate phase for storing and shipping the goods. The rise of retail sector facilitated by the boom in electronic commerce has already witnessed major changes in the retail distribution centres including mass personalization and up surged customer services requirements which has led to an exponential growth in the stock keeping units (SKUs). As the global economy progresses gradually, the retail sector will observe a boost in the demand of goods that will require proper integration of new automation technologies to maintain demand and supply balance which will be a notable for the emergence of automated storage & retrieval systems market.
Automated Storage and Retrieval Systems Market Challenges
Delayed return on investment (RoI) model constricting the emergence of AS/RS
Emerging out of the high initial cost of AS/RS is the need to make profits. The costs for these systems have come down significantly in the recent years but are not enough to convince the small and medium logistic operators to compel them to install it. Also, the AS/RS return on investment (ROI) generally lies in the period of 5 to 7 years which deters market significantly. In long-term, the AS/RS prove to be a significant value addition product by providing several advantages over a manual labor in terms of operating costs and productivity but the initial skepticism associated with AS/RS ROI still looms over the strategies of operators, thus acting as a hindrance to the market emergence.
Automated Storage and Retrieval Systems Market Landscape
Product launches, acquisitions, Partnerships and R&D activities are key strategies adopted by players in the Automated Storage and Retrieval Systems market. Automated Storage and Retrieval Systems top 10 companies include Bastian Solutions, Inc., Beumer Group, Daifuku Co., Ltd., Dematic, Honeywell Intelligrated, Kardex Group, KNAPP AG, Murata Machinery, Ltd., SSI Schaefer Group, TGW Logistics Group among others.
Acquisitions/Product Launches
In 2019, Knapp partnered with kratzer Automation, logistic software company to enhance Knapp’s portfolio in the last mile area to make the supply chain (logistic facility) more efficient.
In 2019, TGW partnered with Kellner and Kunz, a tools and fastening technology Company to expand its automation services to Austria and also help Kellner and kunz to expand its warehouse by adding State of art automation.
Key Takeaways
Automated Storage and Retrieval Systems market in North America region held significant market share of 40% in 2020. Rise in adoption of big data technologies among organizations to enhance the consumer target marketing and risk management abilities is expected to boost the growth of the automated storage and retrieval system market.
E-Commerce sector in automated storage systems is expected to witness a highest CAGR of 9.37% the forecast period as the e-commerce companies are investing in systems that can efficiently handle a high volume of small, multiple item orders.
The Vertical lift module (VLM) segment is growing at a significant CAGR of 8.7% in the forecast period as it is designed to deliver stored items to the operator by eliminating walk and search time.
The adoption of automated systems has multiplied significantly with the increase in need for automation in all industrial sectors. Organizations are inclining toward adopting automation solutions to automate their processes to deliver high-quality products, increase their manufacturing capabilities and efficiently manage their processes.
Related Reports:
A. Material Handling Technology Market
https://www.industryarc.com/Report/18654/material-handling-technology-market.html
B. Latin America & Africa Automated Storage Retrieval Systems Market
https://www.industryarc.com/Report/18195/latin-america-africa-automated-storage-retrieval-systems-market.html
For more Automation and Instrumentation Market reports, please click here
About IndustryARC: IndustryARC primarily focuses on Cutting Edge Technologies and Newer Applications market research. Our Custom Research Services are designed to provide insights on the constant flux in the global supply-demand gap of markets. Our strong team of analysts enables us to meet the client research needs at a rapid speed, with a variety of options for your business. Any other custom requirements can be discussed with our team, drop an e-mail to sales@industryarc.com to discuss more about our consulting services.
Contact Information:
IndustryARC
Venkat Reddy
Tel: (+1) 970-236-3677
Email us
----
This press release is posted on EmailWire.com -- a global newswire that provides Press Release Distribution Services with Guaranteed Results
IndustryARC
Venkat Reddy
Tel: (+1) 970-236-3677
Email us
----
This press release is posted on EmailWire.com -- a global newswire that provides Press Release Distribution Services with Guaranteed Results