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Logistics Automation Market Size Outlook: How Quickly Will Revenue Expand Through 2030?
The logistics automation market has seen rapid expansion in recent years. Its value is expected to rise from $73.37 billion in 2025 to $83.63 billion in 2026, exhibiting a compound annual growth rate (CAGR) of 14.0%. Several factors contributed to this growth during earlier periods, including the expansion of e-commerce logistics, increasing labor expenses, the requirement for quicker order fulfillment, the enlargement of warehouse capacities, and the digitization of supply chains.
The logistics automation market size is set to experience substantial expansion over the next few years. It is projected to achieve a value of $139.88 billion by 2030, growing at a compound annual growth rate (CAGR) of 13.7%. The anticipated growth during this period can be attributed to several factors including AI-enabled logistics optimization, the rising adoption of autonomous mobile robots, the integration of IoT sensors, increasing demand for last-mile automation, and a strong emphasis on operational efficiency. Significant trends expected in the forecast period include automated warehouse management systems, robotic material handling, smart transportation management, real-time inventory visibility, and autonomous sorting and packaging.
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Logistics Automation Market Opportunity Drivers: What’s Unlocking New Revenue Potential?
The expansion of the e-commerce industry is expected to significantly boost the logistics automation market moving forward. E-commerce is characterized as the transaction of goods and services facilitated by the Internet. The e-commerce sector employs logistics automation to maintain its stock efficiently across warehouses and distribution centers. This technology assists in the smooth transfer of goods between different departments within a company. For instance, in June 2024, data published by Forbes LLC, a UK-based media company, indicated that the count of e-commerce users in the UK was approximately 60 million in 2023, with forecasts suggesting this figure could rise to 62.1 million by 2025. Consequently, the increasing growth of the e-commerce industry is a primary impetus for the expansion of the logistics automation market.
Logistics Automation Market Segment Analysis Spotlighting Growth Areas
The logistics automation market covered in this report is segmented –
1) By Component: Hardware, Software, Services
2) By Function: Warehouse and Storage Management, Transportation Management
3) By Organization Size: Small-Medium Size Organizations, Large Scale Organization
4) By End-User: Retail and E-Commerce, Automotive, Food and Beverage, Logistics and Transportation, Other End Users
Subsegments:
1) By Hardware: Automated Storage and Retrieval Systems (AS/RS), Conveyor and Sortation Systems, Automated Guided Vehicles (AGVs), Autonomous Mobile Robots (AMRs), Palletizing and Depalletizing Robots, Robotic Picking Systems, Warehouse Cranes and Shuttle Systems
2) By Software: Warehouse Management Systems (WMS), Transportation Management Systems (TMS), Warehouse Execution Systems (WES), Warehouse Control Systems (WCS), Inventory Management Software, Order Fulfillment and Order Management Systems
3) By Services: Automation System Integration Services, Consulting and Process Optimization Services, Installation and Commissioning Services, Maintenance and Equipment Support Services, Technical Support Services
Logistics Automation Market Innovation Trends Shaping Future Development
Key players within the logistics automation market are prioritizing strategic collaborations with the aim of delivering dependable services to their clientele. Such collaboration involves a reciprocal partnership between multiple autonomous entities, uniting their efforts to attain common objectives that align with their distinct strategic aims. As an illustration, in December 2023, Logistex, a UK-based software company, partnered with Geek+, a China-based global technology firm, to facilitate comprehensive end-to-end automation solutions for logistics clients. This union leverages Logistex’s proficiency in warehouse design and software alongside Geek+’s cutting-edge mobile robotic offerings, thereby forming an extensive toolkit designed to optimize fulfillment processes and enhance productivity.
Logistics Automation Market Leading Companies: Who Holds The Strongest Market Presence?
Major companies operating in the logistics automation market are ABB Ltd; KION Group AG; Daifuku Co Ltd; Jungheinrich AG; SSI Schaefer AG; KNAPP AG; Dematic Group; TGW Logistics Group; Swisslog Holding AG; Murata Machinery Ltd; Toyota Industries Corporation; Mecalux SA; Beumer Group GmbH; Vanderlande Industries BV; Honeywell International Inc; FANUC Corporation; Yaskawa Electric Corporation; Kawasaki Heavy Industries Ltd; Manhattan Associates Inc; Blue Yonder Group; WiseTech Global Limited; Descartes Systems Group Inc
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Logistics Automation Market Regional Analysis And Top Geography
North America was the largest region in the logistics automation market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the logistics automation market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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Wasay has over a decade of experience in market research, data modelling, and analytics, with prior experience at GlobalData and Decision Tree Consulting Services. At The Business Research Company , he leads research operations across syndicated studies, customized consulting engagements, and the Global Market Model platform. His professional experience includes supporting organizations such as Boston Consulting Group, KPMG, and Ernst & Young. Wasay holds a degree in Electronics and Communications Engineering, postgraduate management qualifications from International Management Institute Belgium and Indian School of Business and Entrepreneurship, and completed the Integrated Program in Business Analytics from Indian Institute of Management Indore.
