Global sortation systems market: Introduction
Sortation systems are high throughput machinery, which are designed to meet the growing demand for small order sizes, and higher efficiency in shipping and logistics. Sortation systems are an ideal solution for a variety of sortation applications, such as separation of products from in-feed conveyor lines for shipping, palletizing operations, packaging stations, among others. Manufacturers of sortation systems emphasize on dynamic machinery, which can be used to sort a wide range of packaging solutions of different sizes and weights.
Many distributors today, are switching toward automated sortation systems to optimize the supply chain, and this trend is expected to continue during the next ten years. The global sortation systems market is expected to witness healthy growth during the forecast period, with increasing labor costs, and high demand from supply chains for faster, more efficient, and responsive operations. Therefore, the outlook for the growth of the global sortation systems market is expected to remain largely positive during the forecast period.
Global sortation systems market: Dynamics
The global sortation systems market is expected to grow on the backdrop of growing penetration of automated filling and sorting systems across the world. High throughput sortation systems also facilitate reduction of cost per cases. Sortation systems are often used in distribution centers. One of the key factors expected to drive the demand for sortation systems, globally, is the need for reduction in labor costs, injuries, and the time taken to consolidate and ship orders.
Modern trade has pushed the limits of volume of goods in transit around the world. Amidst consumers’ expectations for ‘value of money’ and the global push for efficient and optimized supply chains, the global sorting systems market is expected to register meteoric growth in the coming years. A significant number of large retailers use sortation systems to handle most of their goods, using sortation systems. Modern warehouse automation systems require diverse handling and high capacity demands, for which, sortation systems are an ideal solution.
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The warehousing industry in most regions is expected to have a positive outlook during the forecast period, supported by many innovative practices, such as the use of RF scanners, cloud technology, and real-time monitoring systems. Despite the positive outlook, there are certain factors, which might hamper the growth of the global sortation systems market. Many retailers and warehouses refrain from installing sortation systems due to the high initial costs.
The North America sortation systems market is expected to retain the leading position in the global sortation systems market, during the forecast period. The APEJ region is expected to register a high CAGR, with the growing logistics and warehousing industry. China is expected to spearhead the growth of the APEJ sortation systems market.
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The Latin America sortation systems region is currently on a recovery path from the recession of 2015, which was termed by many as the worst recession in the region’s history. However, post-2020, the scenario might change and incline towards growth. In addition, the GCC logistics market has been facing certain challenges in recent years. Warehousing companies in the region are looking to optimize their warehouses with regards to automation, especially pallet warehouses with high capacity and turnover.
Global sortation systems market: Key Players
Few of the key players operating in the global sortation systems market are – Dematic Corp., Invata Intralogisitcs, Bastian Solutions, Inc., Beumer Group, Integrated Systems Design, Intelligrated, Inc., DMW&H, Viastore Systems, Conveyco Technologies, Inc. and ARUP Technologies, among others.
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