Automated Material Handling Equipment and Systems Market

Material handling generally refers to short distance mobility between an automobile and a building, and within the boundaries of buildings. It uses a broad range of automated, semi-automated and manual equipment. Material handling equipment and systems are mechanical equipment and systems used to move, store, control, and protect materials, products and good during the course of manufacturing, circulation, consumption and clearance.

One of the key driving factors for the global automated material handling equipment and services market is the increase in automated adoption. Another aspect boosting growth of this market is the focus on safe conditions for working in industries. Besides, the advancing applications in case of e-commerce evoke the companies to react rapidly as far as outbound and returns logistics is concerned, and this simplifies the processes of ordering. Moreover distribution systems and automation warehouses satisfy the logistic needs of this sector.

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The development of the global automated material handling equipment and systems market is restrained by issues such as rise in prices, high expenditure on capital, high maintenance costs of equipment and systems, concerns regarding manual labor replacement, and shortage of skilled labor supply. The challenge towards the end-use industries lies in the choosing of technology that is sufficient for the business needs and balances the trade-off between the performance and cost of the automated material handling equipment and systems.

The increase in demand for a diverse range of automated material handling equipment and systems encourages the producers to lay emphasis on innovation to bear the competition. This exhibits massive promise for the global market. Furthermore, automation investment is, at times, considered to be a technological upgrade and not a separate application.

The global automated material handling equipment and systems market is segmented according to application, equipment, and operation type. On the basis of application, this market can be segmented into retail, automotive, healthcare, energy, manufacturing, and other applications. Manufacturing and automotive are leading the market at present, together consisting of a majority of the market share. Due to the rapid increase in demand for products of e-commerce, the retail segment is forecast to account for the highest rate of growth.

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The segments on the basis of equipment are automated storage and retrieval systems, automated guided vehicle systems, robotic systems, and sortation and conveyor systems. Guided vehicle systems are forecast to account for the highest growth rate, while robotic systems has been dominating the market in terms of market share. On the basis of operation type, the global market is categorized into assembly, packaging, logistics, transportation, distribution, and other operation types. The logistics sector, consisting of handling and storage, has been recording the largest market share, while the fastest growing segments are packaging and transporting.

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