Smart Warehousing Market worth $25.4 billion by 2026
According to a research report "Smart Warehousing Market Size by Component (Hardware, Solutions, and Services), Technology (IoT & Analytics, RFID, AGV), Application (Inventory Management, Order Management), Organization Size, Deployment Mode, Vertical, and Region - Global Forecast to 2026" published by MarketsandMarkets, the global smart warehousing market size to grow from USD 14.8 billion in 2021 to USD 25.4 billion by 2026, at a Compound Annual Growth Rate (CAGR) of 11.5% during the forecast period. Various factors such as the proliferation of smartphones for faster goods management, the rising advancement in the eCommerce industry due to the onset of the COVID-19 pandemic, the emergence of multi-channel distribution networks, and the dynamic nature and globalization of supply chain networks are expected to drive the adoption of smart warehousing hardware, solutions, and services. However, the market faces restraints, such as a lack of uniform governance standards in the fragmented logistics industry and growing data security and privacy concerns. The COVID-19 pandemic disrupted global supply chains has overtaken and impacted both supply and demand at a higher pace. But the impact of COVID on the warehouse is going to have long and lasting effects. As the virus spreads throughout the world, there is an outbreak or transportation delay in one part of the world that would have a devastating impact across the globe, causing shutdowns due to warehouse closures or missing or delayed supplies. At the warehouse, some organizations were left with excess inventory they could not ship sitting in inventory and few other firms were at a standstill as they waited to receive inventory at their depleted warehouse. Some industries witnessed unprecedented demand while other industries saw the demand fall, leading to a negative impact on the overall smart warehousing market. Post COVID-19, warehouse and supply chain sectors have adopted and implemented automation technologies, such as Assisted Guided Vehicles (AGV), forklift automation, robotics, and smart sorting to enable businesses to thrive amid today’s changing conditions. The services segment to hold higher CAGR during the forecast period Based on components, the smart warehousing market is segmented into hardware, solutions and services. The services segment has been further divided into professional and managed services. These services are essential for the successful operation of the warehouse and logistics process. The overall cost of the smart warehousing technology installation depends on the complexity of the application and the type of technology used. It comprises hardware, software, and middleware, and services cost. The services play an important part in the overall smart warehousing implementation process, especially for asset tracking and navigation. The on-premises segment to hold the larger market size during the forecast period Deployment mode segment for the smart warehousing market are segmented into cloud and onpremises. On-premises segment to hold larger market share during the forecast period. Highly secure data encryption and the complete data visibility and control feature boost the adoption of on-premisesbased smart warehousing solutions across verticals, such as retail and eCommerce, transportation and logistics, and manufacturing, to have better and efficient warehouse operations. AI in warehouse segment to account for the highest CAGR during the forecast period