Automated Storage and Retrieval System Trends and Forecast
The future of the global automated storage and retrieval system market looks promising with opportunities in the aviation, automotive, chemical, retail & e-commerce, food & beverage, healthcare & pharmaceutical, metal & heavy machinery, and semiconductor & electronic sectors. The global automated storage and retrieval system market is expected to reach an estimated $12.5 billion by 2030 with a CAGR of 7.1% from 2024 to 2030. The major drivers for this market are the growing use of this system to optimize space usage, increasing application of ASRS in the automotive and e-commerce sectors, and the rising demand for automated material handling systems.
• Lucintel forecasts that, within the type category, unit load is expected to witness the highest growth over the forecast period due to its significant usage among industries owing to its ability to handle large machinery or equipment and provide real-time inventory information.
• Within the end use industry category, Automotive will remain the largest segment due to the increasing application of ASRS in this sector to manage spare parts during manufacturing, increase the amount of space that may be used for storage, and enable better material handling.
• In terms of regions, APAC is expected to witness the highest growth over the forecast period due to the rapid expansion of Industry 4.0, the existence of major automotive manufacturing units, and supportive investment by manufacturers and suppliers in the installation of ASRS in warehouses and distribution sites of the region.
Gain valuable insights for your business decisions with our 150+ page report.
Emerging Trends in the Automated Storage and Retrieval System Market
The growth of the AS/RS market continues with the development of technologies and changing industrial requirements. The following is the identification and description of five major trends that shape the future of AS/RS.
• Integration of AI and Machine Learning: With investment in AI and machine learning, predictive maintenance will be improved. Such advanced technologies enable the analysis of large volumes of data to predict equipment failure, thereby decreasing downtimes and increasing the efficiency of the entire system.
• Growth of E-Commerce and Omnichannel Retailing: The growth of e-commerce and omnichannel retail will further drive warehouse demand for AS/RS. Companies are investing in automated systems to handle high volumes of orders and achieve faster delivery times and customer satisfaction.
• Adoption of Flexible and Modular AS/RS Designs: It is little wonder that the concept of flexible and modular AS/RS designs is gaining traction since businesses can scale storage solutions to meet their ever-growing needs. These systems can be easily reconfigured, making them ideal for businesses with changing inventories and space constraints.
• Increased Focus on Sustainability: Today, there is increasing interest in sustainability, with firms considering energy-efficient AS/RS systems that have minimal environmental impact. Other well-known innovations being incorporated into the design of automated storage solutions include the use of energy recovery systems and eco-friendly materials.
• Penetration into Emerging Economies: The dispersion of AS/RS in developing markets—particularly in countries in Asia and Latin America—is increasing rapidly. This fast growth has been primarily driven by the expansion of e-commerce and the increased need for more developed logistics infrastructure. These economies drive demand for automated storage solutions.
The above-mentioned emerging trends are restructuring the AS/RS market by pushing it toward efficiency, scalability, and eco-friendly storage solutions. Indeed, as industries continue to evolve, the integration of advanced AS/RS technologies will be crucial for competing in a fast-paced global marketplace.
Recent Developments in the Automated Storage and Retrieval System Market
• Automation and Robotics Integration: Automation is changing the market for abrasive blast systems, including the use of robotic and AI systems. These innovations facilitate the blasting processes, making the procedure more accurate, faster, cheaper, and safer, with less human labor required. This has been a major trend, especially in the aviation and automobile industries.
Strategic Growth Opportunities for Automated Storage and Retrieval System Market
In the last few years, the automated storage and retrieval system market has seen considerable growth due to increasing demands for effective warehousing solutions, advanced automation technologies, and growing e-commerce activities. This market presents a plethora of strategic growth opportunities in several applications.
• E-commerce: Increased online shopping has consequently raised the need for e-commerce to have an effective order fulfillment process. AS/RS systems can significantly enhance picking accuracy while reducing labor costs and maximizing warehouse space—the kind of benefit e-commerce businesses need to survive.
• Manufacturing: Manufacturing industries are incorporating AS/RS systems into their production cycles to manage high material movements, maintain improved inventory control, and reduce production downtimes, thereby enhancing overall manufacturing efficiency and competitiveness in the market.
• Health Care: The health care industry is now finding ASRS solutions for managing medical supplies, pharmaceuticals, and laboratory samples. Such systems facilitate improved patient safety, reduce medication errors, and optimize inventory control in both hospitals and pharmacies.
• Retail: Retailers are taking advantage of several benefits of ASRS systems to make their supply chains as effective as possible. This includes improved stock accuracy and customer service. Stockouts will be reduced, and overall store operations will be enhanced once inventory management is automated.
• Cold Chain Logistics: The cold chain industry, which operates temperature-sensitive products, is increasingly adopting ASRS systems to maintain product integrity and adhere to regulatory standards. These systems can keep storage conditions optimal and minimize spoiled products.
Coupled with growth opportunities, these factors drive the growth of the ASRS market. Increasing utilization of ASRS systems across industries has resulted in growing demands for more advanced automation solutions, thereby creating an atmosphere of innovation and motivating technological advancements. As such, in the coming years, the ASRS market will continue to develop and grow.
Automated Storage and Retrieval System Market Driver and Challenges
The factors influencing the ASRS market are many and varied, including technological, economic, and regulatory aspects. These factors act as both drivers and challenges regarding the marketÄX%$%Xs growth and development.
The factors responsible for driving the automated storage and retrieval system market include:
• Technological Advancements: The fast growth of robotics, artificial intelligence, and sensor technologies is enabling the design and development of more sophisticated and efficient ASRS systems. Such advancements are a major driver of cost reduction, improved performance, and increased functionality.
• Increasing labor costs, especially in regions with higher minimum wages, stimulate companies to invest in automating processes. ASRS systems decrease the demand for human labor due to cost-effectiveness and enhanced productivity.
• E-commerce Growth: The rise of e-commerce promotes efficient and scaled warehousing solutions. ASRS systems fulfill the demands of order processing for e-commerce with speed and accuracy.
• Increased supply chain complexity—driven by globalization and omnichannel retail, for instance—requires flexible and responsive logistics solutions. ASRS systems help businesses handle such complex supply chains effectively.
• Legislation and regulatory needs: Regulations for industries dealing with data privacy, safety, and environmental sustainability encourage the use of ASRS systems. This ensures that automatic warehouse management systems support businesses in meeting regulatory requirements and help improve the environment.
Challenges in the automated storage and retrieval system market include:
• High Initial Investment: Implementing AS/RS systems can be very costly in the initial stages, making them unaffordable for certain business entities. However, research and studies indicate long-term benefits from such systems through efficiency and cost savings.
• Integration Challenges: Integrating AS/RS systems with existing warehouse management systems and other critical enterprise applications may be complex and time-consuming. Proper implementation requires careful planning and coordination.
• Maintenance and Repair Costs: The systems require frequent maintenance and repairs to keep them at optimum levels. These costs can be considerable, and businesses should factor them into their overall operational costs.
The impact of drivers and challenges on the ASRS market is manifested in various ways. While technological and economic factors prevail, high initial investments and integration complexities pose challenges to growth. However, the long-term benefits of new-generation ASRS systems—including improved efficiency, cost savings, and compliance with regulatory requirements—are likely to overcome these challenges. Ultimately, the market will continue to change, and the challenges mentioned here are expected to be overcome through technological advancements and innovative solutions.
List of Automated Storage and Retrieval System Companies
Companies in the market compete on the basis of product quality offered. Major players in this market focus on expanding their manufacturing facilities, R&D investments, infrastructural development, and leverage integration opportunities across the value chain. Through these strategies automated storage and retrieval system companies cater increasing demand, ensure competitive effectiveness, develop innovative products & technologies, reduce production costs, and expand their customer base. Some of the automated storage and retrieval system companies profiled in this report include-
• Daifuku
• Murata Machinery
• SSI Schaefer
• TGW Logistics
• Kardex
• BEUMER
• Honeywell International
• KION
• KNAPP
• KUKA
Automated Storage and Retrieval System by Segment
The study includes a forecast for the global automated storage and retrieval system by type, function, end use industry, and region.
Automated Storage and Retrieval System Market by Type [Analysis by Value from 2018 to 2030]:
• Autostore
• Carousel
• Mid Load
• Mini Load
• Unit Load
• Vertical Lift Module
Automated Storage and Retrieval System Market by Function [Analysis by Value from 2018 to 2030]:
• Assembly
• Distribution
• Kitting
• Order Picking
• Storage
• Others
Automated Storage and Retrieval System Market by End Use Industry [Analysis by Value from 2018 to 2030]:
• Aviation
• Automotive
• Chemicals
• Retail & E-Commerce
• Food & Beverages
• Healthcare & Pharmaceuticals
• Metals & Heavy Machinery
• Semiconductors & Electronics
• Others
Automated Storage and Retrieval System Market by Region [Analysis by Value from 2018 to 2030]:
• North America
• Europe
• Asia Pacific
• The Rest of the World
Country Wise Outlook for the Automated Storage and Retrieval System Market
The automated storage and retrieval system market has tremendous potential for improvement in key global regions due to advanced technologies and increased industry adoption. This abstract outlines the status of the market in the United States, India, Germany, and Japan.
• US: The growth of the U.S. AS/RS market is primarily due to increased demand from e-commerce fulfillment and retail automation. In addition, significant investments in robotics and AI-powered systems further enhance warehouse efficiency and reduce labor costs.
• China: Smart logistics integration in the supply chain is rapidly occurring in China. AS/RS plays an important role in this respect. Government initiatives on industrial automation further accelerate the usage of these systems among manufacturing and logistics industries.
• Germany: The German AS/RS market is trending, with many focuses on Industry 4.0. IoT and AI technologies integrated into automated systems may boost real-time inventory management for better operational efficiency in the logistics and manufacturing sectors.
• India: Coupled with growth in the e-commerce sector, the need for efficient storage solutions has further propelled the growth of the Indian AS/RS market. In addition to investments in modern logistics infrastructure, more companies are adopting AS/RS to optimize space and streamline operations.
• Japan: Japan is one of those countries that, with its organized structure and precision in work, has rapidly moved toward integrating AS/RS technologies into the full automation of its industries. It is mainly utilized within the automotive and electronics sectors. Compactness in high-density storage systems will assist companies in overcoming space constraints and increasing productivity as a whole.
Features of the Global Automated Storage and Retrieval System Market
Market Size Estimates: Automated storage and retrieval system market size estimation in terms of value ($B).
Trend and Forecast Analysis: Market trends (2018 to 2023) and forecast (2024 to 2030) by various segments and regions.
Segmentation Analysis: Automated storage and retrieval system market size by type, function, end use industry, and region in terms of value ($B).
Regional Analysis: Automated storage and retrieval system market breakdown by North America, Europe, Asia Pacific, and Rest of the World.
Growth Opportunities: Analysis of growth opportunities in different types, functions, end use industries, and regions for the automated storage and retrieval system market.
Strategic Analysis: This includes M&A, new product development, and competitive landscape of the automated storage and retrieval system market.
Analysis of competitive intensity of the industry based on Porter’s Five Forces model.
If you are looking to expand your business in this market or adjacent markets, then contact us. We have done hundreds of strategic consulting projects in market entry, opportunity screening, due diligence, supply chain analysis, M & A, and more.
FAQ
Q.1 What is the automated storage and retrieval system market size?
Answer: The global automated storage and retrieval system market is expected to reach an estimated $12.5 billion by 2030.
Q.2 What is the growth forecast for automated storage and retrieval system market?
Answer: The global automated storage and retrieval system market is expected to grow with a CAGR of 7.1% from 2024 to 2030.
Q.3 What are the major drivers influencing the growth of the automated storage and retrieval system market?
Answer: The major drivers for this market are growing use of this system to optimize space usage, increasing application of ASRS in the automotive and e-commerce sectors, and rising demand for automated material handling systems.
Q4. What are the major segments for automated storage and retrieval system market?
Answer: The future of the automated storage and retrieval system market looks promising with opportunities in the aviation, automotive, chemical, retail & e-commerce, food & beverage, healthcare & pharmaceutical, metal & heavy machinery, and semiconductor & electronic sectors.
Q5. Who are the key automated storage and retrieval system market companies?
Answer: Some of the key automated storage and retrieval system companies are as follows:
• Daifuku
• Murata Machinery
• SSI Schaefer
• TGW Logistics
• Kardex
• BEUMER
• Honeywell International
• KION
• KNAPP
• KUKA
Q6. Which automated storage and retrieval system market segment will be the largest in future?
Answer: Lucintel forecasts that unit load is expected to witness highest growth over the forecast period due to its significant usage among industries owing to its ability to handle large machinery or equipment and provide real-time inventory information.
Q7. In automated storage and retrieval system market, which region is expected to be the largest in next 5 years?
Answer: APAC is expected to witness highest growth over the forecast period due to rapid expansion of industry 4.0, existence of major automotive manufacturing units, and supportive investment by manufacturers and suppliers in the installation of ASRS in warehouses and distribution sites of the region.
Q.8 Do we receive customization in this report?
Answer: Yes, Lucintel provides 10% customization without any additional cost.
This report answers following 11 key questions:
Q.1. What are some of the most promising, high-growth opportunities for the automated storage and retrieval system market by type (autostore, carousel, mid load, mini load, unit load, and vertical lift module), function (assembly, distribution, kitting, order picking, storage, and others), end use industry (aviation, automotive, chemicals, retail & e-commerce, food & beverages, healthcare & pharmaceuticals, metals & heavy machinery, semiconductors & electronics, and others), and region (North America, Europe, Asia Pacific, and the Rest of the World)?
Q.2. Which segments will grow at a faster pace and why?
Q.3. Which region will grow at a faster pace and why?
Q.4. What are the key factors affecting market dynamics? What are the key challenges and business risks in this market?
Q.5. What are the business risks and competitive threats in this market?
Q.6. What are the emerging trends in this market and the reasons behind them?
Q.7. What are some of the changing demands of customers in the market?
Q.8. What are the new developments in the market? Which companies are leading these developments?
Q.9. Who are the major players in this market? What strategic initiatives are key players pursuing for business growth?
Q.10. What are some of the competing products in this market and how big of a threat do they pose for loss of market share by material or product substitution?
Q.11. What M&A activity has occurred in the last 5 years and what has its impact been on the industry?
For any questions related to Automated Storage and Retrieval System Market, Automated Storage and Retrieval System Market Size, Automated Storage and Retrieval System Market Growth, Automated Storage and Retrieval System Market Analysis, Automated Storage and Retrieval System Market Report, Automated Storage and Retrieval System Market Share, Automated Storage and Retrieval System Market Trends, Automated Storage and Retrieval System Market Forecast, Automated Storage and Retrieval System Companies, write Lucintel analyst at email: helpdesk@lucintel.com. We will be glad to get back to you soon.