Market Size of Postal Automation System Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| CAGR | 7.00 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Postal Automation System Market Analysis
The Postal Automation Market is expected to register a CAGR of approximately 7% during the forecast period (2021 - 2026). The increasing adoption of automated solutions across various end-user industries and major technological advancements like industry 4.0 and digitization has necessitated the need for automation in the sorting and delivery processes in the postal industry. Further, rising labor costs due to labor shortages are expected to further drive the postal automation market.
- Also, the evolution of smart, connected, and efficient automated postal operations through the integration of Industry 4.0 practices with various technologies like RFID, Barcode Readers, Scanners, etc. is expected to grow the market significantly.
- The massive growth in e-commerce has resulted in massive growth in the volume of parcels and packages. For instance, according to Shopify, it is estimated that there will be 1.92 billion global digital buyers in 2019, with e-commerce sales expected to account for 13.7% of retail sales worldwide. Thus, a need for automated solutions in the postal industry is expected to further enhance the e-commerce logistics industry. Hence, automation in the postal industry is expected to grow significantly in the forecast period.
- However, the declining volume of traditional mails like letters and mails, owing to internet penetration and the use of smart devices, is one of the major factors hindering the market growth. Also, high initial investments and maintenance costs are further restricting the growth of the market.
