Warehouse Robots Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)

The Report Covers Global Warehouse Robotics Market Technology & Share and It is Segmented by Type (industrial Robots, Sortation Systems, Conveyors, Palletizers, Automatic Storage and Retrieval Systems, and Mobile Robots), Function (storage, Packaging, Transshipment, and Other Functions), End-User Industry (food and Beverage, Automotive, Retail, Electrical and Electronics, Pharmaceutical, and Other End-User Industries), and Geography. The Market Sizes and Forecasts are Provided in Terms of Value USD for all the Above Segments.

Warehouse Robotics Market Size

Warehouse Robotics Market Summary
Study Period 2019 - 2029
Market Size (2024) USD 7.93 Billion
Market Size (2029) USD 17.91 Billion
CAGR (2024 - 2029) 17.70 %
Fastest Growing Market Asia Pacific
Largest Market Asia Pacific

Major Players

Warehouse Robotics Market Major Players

*Disclaimer: Major Players sorted in no particular order

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Warehouse Robotics Market Analysis

The Warehouse Robotics Market size is estimated at USD 7.93 billion in 2024, and is expected to reach USD 17.91 billion by 2029, growing at a CAGR of 17.70% during the forecast period (2024-2029).

The emergence of the Industrial Internet of Things (IIoT) and the advent of a network of connected systems are helping industries perform a multitude of tasks, such as material batching, picking, ordering, packaging, warehouse security, and inspection, as well as improve the operational efficiency by huge margins.

  • The growth in the e-commerce industry worldwide and the growing need for efficient warehousing and inventory management are driving the market's growth. Automation in warehousing offers extreme convenience in cutting down overall business costs and reducing errors in product deliveries. 
  • According to DHL, a prominent 3PL company and a significant end-user of warehouse automation solutions, despite the advantages, 80% of warehouses are 'still manually operated with no supporting automation.' Further, warehouses that use conveyors, sorters, and pick and place solutions, among other equipment (not necessarily automated), account for 15% of total warehouses. In contrast, only 5% of current warehouses are automatic.
  • Significant technological advancements, such as sensor technologies that enable an enhanced object perception and an accurate positioning system, have made way for the robotics industry to explore the untapped potential in various warehousing applications while attaining an optimal operational flow and logistics efficiency, among other accomplishments, across the different industry verticals.
  • According to the Bank of America, by 2025, 45% of all manufacturing tasks will be executed by robotic technology. With this emerging trend, large firms, such as Raymond Limited, a prominent Indian textile company, and Foxconn Technology, a China-based supplier for large technology manufacturers like Samsung, have replaced 10,000 and 60,000 workers, respectively, by incorporating automated technology into their factories.
  • These factors have directly impacted the increasing adoption of warehouse robotics. The rising number of warehouses and increasing investments in warehouse automation, coupled with the global rise in labor costs and availability of scalable technological solutions, have been driving the market for warehouse robots worldwide. For instance, prominent logistics brands in the United States, like DHL, XPO Logistics, and NFI Logistics, are investing in expansion activities, despite the adverse commercial renting climate.
  • During the COVID-19 outbreak, robots and automation played a critical role in managing the situation. Further, the situation is likely to bring new opportunities to the market. Ocado, a British online grocer, aims to make its warehouse robotics and grocery home-delivery technology available to other supermarkets for a licensing fee. Since May 2020, many warehouse sites have recovered after starting their operations post lockdown. However, the fluctuations caused in the starting four months of 2020 could result in order delays and lead time across the warehouse robotics supply chain throughout the year.
  • While significant advances have been accomplished in robotics, the human workforce still holds the upper hand in running a well-organized warehouse. Forecast of long-term labor shortages across the United States and Europe and sustained pressure on supply chains to deliver orders quickly and more precisely caused operations executives to seriously assess that question as they look for answers to staffing challenges.

Warehouse Robotics Market Trends

Food and beverage industry is Expected to Hold a Substantial Market Share

  • The growth of the food and beverage industry in the warehouse robots market can be attributed to several factors. Firstly, increased demand for efficiency and speed in warehouse operations prompts the adoption of automation technologies, optimizing processes from order fulfillment to inventory management.
  • Additionally, the perishable nature of many food products necessitates quick and accurate handling, where robots excel in precision and timely execution. Warehouse robots also contribute to reducing labor costs, addressing challenges associated with manual handling and improving overall supply chain management.
  • Moreover, advancements in robotic technology, including enhanced sensors and machine learning capabilities, make robots more adaptable to the diverse and dynamic requirements of the food and beverage sector, further fueling their integration into warehouse operations. 
  • For instance, in July 2023, SoftBank Group Corp. and Symbotic Inc. an A.I.-powered automation technology for the supply chain, introduced the establishment of GreenBox Systems LLC (“GreenBox”), which is a new joint venture to address around $5001 billion annual warehouse-as-a-service market opportunity. Simultaneously, Symbotic also introduced an approximately $7.5 billion new customer contract with GreenBox, who will be the provider of Symbotic systems in the warehouse-as-a-service market, and will make supply chain services accessible to customers.
Warehouse Robotics Market : Share of E-commerce to the Total Retail Sales, in %, United States, Q1'21 - Q1'23

Asia-Pacific is Expected to Hold Significant Market Share

  • The manufacturing sector is anticipated to account for a significant market share and become one of the key contributors in the region, with investments in the industry increasing massively. As warehouses play a crucial role in manufacturing both for storing raw materials/components and finished products, the expansion of the manufacturing industry will drive the demand for warehouse robotics in the Asia Pacific region.
  • Driven by the success of robotics solutions in warehouses, vendors are enhancing their adoption of warehouse robots. For instance, JD.com, a Chinese e-commerce giant based out of Wuhan, operates a fleet of robotic vehicles in its automated warehouses to supply essential goods to online residents shopping post lockdowns. The company claims it witnessed a growth in daily orders from about 600,000 to double in a single week during the pandemic.
  • South Korea's population is aging fast. By mid-century, it will have one of the most senior populations from the Organisation for Economic Co-operation and Development countries, just after Japan, Italy, and Greece. Furthermore, the South Korean government boosted the country's small and mid-size manufacturing companies, establishing 30,000 smart factories by 2022. Due to this, most manufacturing units enforce warehouse robots to maintain competitiveness and drive efficiency in the warehousing process.
  • In recent years, the e-commerce industry in the Asia Pacific region has witnessed unprecedentedted growth. Countries like China and India has emerged as the global hotspot for e-commerce companies owing to the presence of a large customer base and a rising penetration of smartphones and digital technologies among them. As a result, the warehousing industry is also on the rise, creating opportunities in the studied market.
Warehouse Robotics Market - Growth Rate by Region

Warehouse Robotics Industry Overview

The warehouse robotics market is moderately fragmented and consists of highly competitive players. Regarding market share, some major players, such as ABB Ltd, Honeywell, and Kiva Systems, currently dominate the market. These major players with a significant market share are expanding their customer base across various regions. Many companies are forming strategic and collaborative partnerships with multiple startup companies to increase their market share and profitability.

  • In July 2023, Maersk, integrator of logistics, announced that it is implementing an AI-enabled robotic solution in one of the warehouses in East Midlands, UK. According to the company, this state-of-the-art Robotic Shuttle Put Wall System by Berkshire Grey, a US-based company, will significantly automate, enhance, and accelerate warehouse operations in the 685,000 sq ft facility.
  • In March 2023, LexxPluss, a Japan-based startup that designs and develops autonomous mobile robots for warehouses & logistics sites, announced their plans to enter the US market with a fresh injection of approximately USD 10.7 million in Series A funding. The funding round was led by Drone Fund and SOSV's HAX, Incubate Fund, SBI Investment, and DBJ Capital.

Warehouse Robotics Market Leaders

  1. ABB Limited

  2. Kiva Systems (Amazon Robotics LLC)

  3. Honeywell International Inc.

  4. Toshiba Corporation

  5. Fanuc Corporation

*Disclaimer: Major Players sorted in no particular order

Warehouse Robotics Market.jpg
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Warehouse Robotics Market News

  • February 2023: DHL Supply Chain installed the Boston Dynamics' Stretch robot, designed for truck carton unloading. Just one year after DHL Supply Chain announced its USD 15 million investment in robotics solutions from Boston Dynamics, the robot has been successfully deployed. Stretch robots are used in the application to remove packages from trailers' backs and deposit them on a flexible conveyor.
  • August 2022: GEODIS & Locus Robotics announced a new expansion agreement to deploy 1,000 LocusBots at GEODIS' worldwide warehouse locations in the next 24 months. The company focuses on further expanding its global market presence and client base through this.
  • June 2022: Amazon.com Inc. announced a set of new warehouse robots, Proteus and Cardinal, that its engineers have designed to improve the efficiency of its fulfillment centers. The systems are developed to assist with the task of processing e-commerce packages.

Warehouse Robotics Market Report - Table of Contents

  1. 1. INTRODUCTION

    1. 1.1 Study Assumptions and Market Definition

    2. 1.2 Scope of the Study

  2. 2. RESEARCH METHODOLOGY

  3. 3. EXECUTIVE SUMMARY

  4. 4. MARKET INSIGHTS

    1. 4.1 Market Overview

    2. 4.2 Industry Attractiveness - Porter's Five Forces Analysis

      1. 4.2.1 Bargaining Power of Buyers

      2. 4.2.2 Bargaining Power of Suppliers

      3. 4.2.3 Threat of New Entrants

      4. 4.2.4 Threat of Substitute Products

      5. 4.2.5 Intensity of Competitive Rivalry

    3. 4.3 Industry Value Chain Analysis

    4. 4.4 Assessment of the Impact of COVID-19 on the Industry

  5. 5. MARKET DYNAMICS

    1. 5.1 Market Drivers

      1. 5.1.1 Increasing Number of SKUs

      2. 5.1.2 Increasing Investments in Technology and Robotics

    2. 5.2 Market Challenges

      1. 5.2.1 Stringent Regulatory Requirements

      2. 5.2.2 High Cost

  6. 6. MARKET SEGMENTATION

    1. 6.1 By Type

      1. 6.1.1 Industrial Robots

      2. 6.1.2 Sortation Systems

      3. 6.1.3 Conveyors

      4. 6.1.4 Palletizers

      5. 6.1.5 Automated Storage and Retrieval System (ASRS)

      6. 6.1.6 Mobile Robots (AGVs and AMRs)

    2. 6.2 By Function

      1. 6.2.1 Storage

      2. 6.2.2 Packaging

      3. 6.2.3 Trans-shipment

      4. 6.2.4 Other Functions

    3. 6.3 By End-user Industry

      1. 6.3.1 Food and Beverage

      2. 6.3.2 Automotive

      3. 6.3.3 Retail

      4. 6.3.4 Electrical and Electronics

      5. 6.3.5 Pharmaceutical

      6. 6.3.6 Other End-user Industries

    4. 6.4 By Geography

      1. 6.4.1 North America

        1. 6.4.1.1 United States

        2. 6.4.1.2 Canada

      2. 6.4.2 Europe

        1. 6.4.2.1 United Kingdom

        2. 6.4.2.2 Germany

        3. 6.4.2.3 France

        4. 6.4.2.4 Rest of Europe

      3. 6.4.3 Asia-Pacific

        1. 6.4.3.1 China

        2. 6.4.3.2 South Korea

        3. 6.4.3.3 Japan

        4. 6.4.3.4 Rest of Asia-Pacific

      4. 6.4.4 Latin America

      5. 6.4.5 Middle-East and Africa

  7. 7. COMPETITIVE LANDSCAPE

    1. 7.1 Company Profiles

      1. 7.1.1 ABB Limited

      2. 7.1.2 Kiva Systems (Amazon Robotics LLC)

      3. 7.1.3 TGW Logistics Group GMBH

      4. 7.1.4 Singapore Technologies Engineering Ltd (Aethon Incorporation)

      5. 7.1.5 InVia Robotics Inc.

      6. 7.1.6 Fanuc Corporation

      7. 7.1.7 Honeywell International Incorporation

      8. 7.1.8 Toshiba Corporation

      9. 7.1.9 Omron Adept Technologies

      10. 7.1.10 Yaskawa Electric Corporation (Yaskawa Motoman)

      11. 7.1.11 Kuka AG

      12. 7.1.12 Fetch Robotics Inc.

      13. 7.1.13 Geek+ Inc.

      14. 7.1.14 Grey Orange Pte Ltd

      15. 7.1.15 Hangzhou Hikrobot Technology Co. Ltd

      16. 7.1.16 Syrius Robotics

      17. 7.1.17 Locus Robotics

    2. *List Not Exhaustive
  8. 8. INVESTMENT ANALYSIS

  9. 9. FUTURE OF THE MARKET

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Warehouse Robotics Industry Segmentation

Warehouse robotics uses automated robots and specialized software to transport materials, perform various tasks, and streamline or automate the warehouse process. In recent years, robotics gained significant importance in supply chains, distribution centers, and warehouse management circles. It continues to play an essential part in warehouse automation.

The warehouse robotics market is segmented by type, function, end-user industry, and geography. The market sizes and forecasts are provided in terms of value USD for all the above segments.

By Type
Industrial Robots
Sortation Systems
Conveyors
Palletizers
Automated Storage and Retrieval System (ASRS)
Mobile Robots (AGVs and AMRs)
By Function
Storage
Packaging
Trans-shipment
Other Functions
By End-user Industry
Food and Beverage
Automotive
Retail
Electrical and Electronics
Pharmaceutical
Other End-user Industries
By Geography
North America
United States
Canada
Europe
United Kingdom
Germany
France
Rest of Europe
Asia-Pacific
China
South Korea
Japan
Rest of Asia-Pacific
Latin America
Middle-East and Africa
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Warehouse Robotics Market Research FAQs

The Warehouse Robotics Market size is expected to reach USD 7.93 billion in 2024 and grow at a CAGR of 17.70% to reach USD 17.91 billion by 2029.

In 2024, the Warehouse Robotics Market size is expected to reach USD 7.93 billion.

ABB Limited, Kiva Systems (Amazon Robotics LLC), Honeywell International Inc., Toshiba Corporation and Fanuc Corporation are the major companies operating in the Warehouse Robotics Market.

Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).

In 2024, the Asia Pacific accounts for the largest market share in Warehouse Robotics Market.

In 2023, the Warehouse Robotics Market size was estimated at USD 6.53 billion. The report covers the Warehouse Robotics Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Warehouse Robotics Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.

Warehouse Robotics Industry Report

Statistics for the 2024 Warehouse Robotics market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Warehouse Robotics analysis includes a market forecast outlook to for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.

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Warehouse Robots Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)