Logistics automation refers to the application of computer software and robotics to facilitate the transportation of cargo and inventory within warehouses and distribution centers. Advancements in AI, machine learning, and robotics have enabled solutions like autonomous mobile robots, conveyor systems, automated storage and retrieval systems that optimize workflows and boost productivity.
The global Logistics Automation Market is estimated to be valued at US$ 73.87 billion in 2024 and is expected to exhibit a CAGR of 10% over the forecast period 2024-2031, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Adoption of artificial intelligence is expected to significantly drive the Global Logistics Automation Market Size over the forecast period. AI allows for predictive route optimization, dynamic order scheduling, and automatically sorting shipments, among other functions. Global logistics companies are incorporating AI technologies like machine learning to gain actionable insights for informed business decisions. AI-powered solutions analyze massive sets of logistics data to optimize fleet utilization, reduce operating costs, enhance customer experience, and support sustainability goals through efficient routing and load consolidation. AI capabilities of self-learning and adaptation have made it well-suited for logistics operations and further accelerated the automation trend in the industry.
SWOT Analysis
Strength: Logistics Automation provides efficiency in material handling and transportation leading to reduced costs and optimized supply chain processes. It allows remote monitoring of supply chain activities.
Weakness: High initial investments requirements for automation equipment and technologies. Reskilling employees for new automated systems can be difficult and expensive. Dependence on technology makes the supply chain vulnerable to cybersecurity threats and system failures.
Opportunity: Increasing demand for warehouse automation, self-driving vehicles, and smart routing solutions from e-commerce sector presents significant growth opportunities. Growing focus on enabling contactless operations post-COVID will further accelerate automation adoption across industries.
Threats: technological disruptions from new entrants offering cheaper and better automation alternatives. Stringent regulations regarding safety of automated systems and job losses can delay automation projects. Trade tensions and geopolitical instability affect global supply chains.
Key Takeaways
The global Logistics Automation Market is expected to witness high growth over the forecast period of 2024 to 2031. The market size is projected to reach US$ 73.87 Billion by 2024 growing at a CAGR of 10%.
Regional analysis indicates that North America currently dominates the market due to strong presence of leading automation companies and growing e-commerce sector. Asia Pacific is expected to be the fastest growing region owing to infrastructure developments in major economies like China and India to support automated supply chains. Countries are offering incentives to attract automation investments and create smart logistics hubs.
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. These players are focusing on developing innovative automation solutions like AI-enabled robots, autonomous mobile robots, automated conveyor systems etc. through investments in R&D. Strategic collaborations with logistics companies will help them strengthen market presence globally.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it