Automated Storage and Retrieval System Market Research Report By Type (Load Based ASRS, Shuttle And Bot-Based ASRS, Carousel Based, Vertical Lift Module (VLM) ASRS), By Industry Vertical (Automotive, Metals And Machinery, Food And Beverages, Chemicals, Healthcare, Semiconductor And Electronics, Retail And E-Commerce, Aviation, Others) and By Regional (North America, Europe, South America, Asia Pacific, Middle East and Africa) - Forecast to 2035

Automated Storage Retrieval System Market Summary

As per MRFR Analysis, the Global Automated Storage and Retrieval Systems (ASRS) Market was valued at USD 9.29 billion in 2024 and is projected to reach USD 20.97 billion by 2035, growing at a CAGR of 7.7% from 2025 to 2035. The market is driven by the rising demand for efficient inventory management, space optimization, and cost reduction, particularly in the automotive and retail sectors. The adoption of ASRS is further fueled by advancements in technology and the Fourth Industrial Revolution, enhancing manufacturing accuracy and efficiency.

Key Market Trends & Highlights

The ASRS market is witnessing significant growth due to various trends.

• Market Size in 2023: USD 8.63 billion.
• Projected Market Size by 2035: USD 20.97 billion.
• CAGR from 2025 to 2034: 7.7%.
• Largest Market Share in 2022: Carousel based ASRS.

Market Size & Forecast

2023 Market Size: USD 8.63 billion

2024 Market Size: USD 9.29 billion

2035 Market Size: USD 20.97 billion

CAGR (2025-2035): 7.7%.

Major Players

Honeywell International Inc., Murata Machinery Ltd, SSI Schaffer Group, Hairobotics, Exotec, Opex Corporation, Toyota Industries Corporation, Bastian Solutions, Vanderland Industries BV, Swisslog Holdings AG, Kardex, Autostore Holdings Ltd.

Key Automated Storage and Retrieval System Market Trends Highlighted

The Global Automated Storage and Retrieval System (ASRS) industry is changing a lot because people want warehouses and logistics to be more efficient and accurate. As more and more people use e-commerce, the demand for better inventory management systems has grown. This is because companies want to speed up order fulfilment and save expenses.

The growing cost of labour in many areas and the requirement for storage solutions that save space are two of the main factors driving the industry. Companies are looking for methods to make their supply chains work better, which has sped up the move to automated systems. There are many chances to be had in the worldwide market, especially as sectors like retail, automotive, and healthcare start to see how useful automated storage systems can be.

Advanced technologies like AI, the IoT, and robots are changing how warehouses work all across the globe. This opens up new ways for ASRS to innovate. Companies may improve their operations even more by using enhanced data analytics. This helps them get the most out of their storage and retrieval procedures. Recent trends also show that organizations are focusing on sustainability by using greener technology in their logistics plans to lower their carbon footprint. Automation makes storage facilities more productive and uses energy more efficiently.

The need for eco-friendly automated solutions is anticipated to expand as businesses become more conscious of how important it is to think about the environment. The worldwide ASRS industry is changing quickly as more and more warehouses become "smart." This is a time of fast change and adaptability to new problems in logistics and supply chain management.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Automated Storage and Retrieval System Market Drivers

Increasing Demand for Efficiency in Warehousing Operations

The need for efficiency in warehousing operations is a significant driver for the growth of the Automated Storage and Retrieval System Market Industry. With the increasing e-commerce market, businesses are striving to enhance their operational processes to meet consumer demands. According to the Global Logistics Market report, e-commerce logistics is expected to grow at a CAGR of 12.7% through 2025. Major logistics companies like Amazon and DHL have been investing in automated storage systems to optimize their distribution centers, which accounts for a substantial part of their operations.

These investments lead to increased order fulfillment speed and reduced labor costs, making automation a preferred choice for warehousing. As a result, the race for efficiency among global retailers is propelling the demand for automated storage and retrieval systems significantly.

Technological Advancements in Robotics and AI

Technological advancements in robotics, artificial intelligence (AI), and machine learning are driving significant growth in the Automated Storage and Retrieval System Market Industry. Innovations in these technologies have led to the development of more sophisticated automated systems that can perform complex tasks more efficiently and accurately. A report from the International Federation of Robotics highlights that the global stock of operational industrial robots is projected to reach 4 million by 2025, up from 2.7 million in 2020.

Prominent companies like KUKA and ABB are at the forefront of developing advanced solutions that integrate AI into automated storage systems, enhancing both speed and accuracy in material handling. This surge in technological capabilities fosters adoption across various industries, including manufacturing and retail, boosting the market growth.

Rising Labor Costs and Labor Shortages

The increasing labor costs and ongoing labor shortages in the global market are pivotal drivers in the expansion of the Automated Storage and Retrieval System Market Industry. According to the Global Labor Market report, labor shortages in key sectors have escalated, with a projected workforce deficit of over 6 million in the manufacturing sector alone by 2025. Industries like retail and logistics are particularly feeling this strain, leading companies to invest in automation to mitigate labor-related challenges.

Firms like Walmart and FedEx are actively integrating automated systems to ensure uninterrupted operations despite labor constraints, thereby propelling the growth of automated storage systems significantly as organizations strive for higher operational efficiency with reduced dependence on human labor.

Automated Storage and Retrieval System Market Segment Insights

Automated Storage and Retrieval System Market Type Insights  

The Automated Storage and Retrieval System Market showcases a rich tapestry of market segments categorized primarily by Type, reflecting the varied landscape of solutions available within this growing industry. The market is positioned for significant growth, with anticipated revenue reaching 9.29 USD Billion by 2024 and projected to climb to 20.97 USD Billion by 2035, a clear indication of the accelerating demand for automated solutions. Among the prominent categories, Load Based ASRS stands out with a valuation of 3.0 USD Billion in 2024, predicted to increase to 6.9 USD Billion by 2035, largely due to its efficiency in handling heavy loads and optimizing storage space.

It serves as a backbone in industries such as manufacturing and distribution, where real-time inventory management is crucial. The Shuttle and Bot-Based ASRS, valued at 2.5 USD Billion in 2024 and expected to reach 5.8 USD Billion in 2035, is gaining traction due to its agility and flexibility in navigating complex warehouse layouts, making it essential for e-commerce and retail sectors that require fast fulfillment times. Another key category, Carousel Based systems, recorded a market value of 1.8 USD Billion in 2024, which is anticipated to grow to 4.2 USD Billion by 2035.

These systems excel in compact storage solutions, allowing businesses to maximize floor space while ensuring quick access to products, thus directly supporting inventory efficiency. Moreover, the Vertical Lift Module (VLM) ASRS is positioned at 2.99 USD Billion in 2024, likely to reach 4.07 USD Billion by 2035, celebrated for its vertical storage capability that helps in minimizing floor space usage while enhancing operational productivity. Each of these types plays a crucial role in enhancing storage efficiency, streamlining operations, and ensuring quick retrieval processes within warehouses and fulfillment centers.

This varied segmentation reflects the broader trends of increasing automation and technological advancement within the industry, leading to improved operational efficiencies and cost savings for businesses on a global scale. As industries continue to embrace digital transformation, the role of these automated systems becomes increasingly integral, driving market growth and influencing future developments in automated storage technologies. The rise of e-commerce and the need for efficient inventory management underscore the potential of these systems, making their advancements essential for operational success.

Overall, the Automated Storage and Retrieval System Market segmentation illuminates the flexible, responsive nature of the industry, revealing how each type contributes uniquely to the overarching goal of automation in warehousing and inventory management.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Automated Storage and Retrieval System Market Industry Vertical Insights  

The Automated Storage and Retrieval System Market is poised for significant growth, projected to be valued at 9.29 USD Billion in 2024 and increasing substantially to 20.97 USD Billion by 2035. This growth reflects an expected compound annual growth rate (CAGR) of 7.68% from 2025 to 2035, underscoring the rising demand for efficient storage solutions across various sectors of the industry.

The market includes diverse segments such as Automotive, Metals and Machinery, Food and Beverages, Chemicals, Healthcare, Semiconductor and Electronics, Retail and E-Commerce, Aviation, and Others.
Each industry vertical exhibits unique characteristics and demand patterns, driving the utilization of automated storage and retrieval solutions.

For instance, the Automotive sector benefits from automation to optimize inventory management and manufacturing processes, while Healthcare relies on these systems for accurate and efficient drug storage and retrieval. The Food and Beverages segment places emphasis on maintaining storage conditions, which automated systems can effectively manage. Retail and E-Commerce, driven by the need for fast order fulfillment, has also seen significant adoption of automated technologies to enhance efficiency and customer satisfaction.

As industries increasingly focus on reducing operational costs and improving supply chain management, the Automated Storage and Retrieval System Market is set to expand, presenting numerous opportunities and challenges in the evolving landscape.

Automated Storage and Retrieval System Market Regional Insights  

The Automated Storage and Retrieval System Market is showing substantial regional dynamics, with a total valuation in North America of 3.25 USD Billion in 2024, which is expected to grow to 7.1 USD Billion by 2035, reflecting its significant role as a leader in the industry. Europe follows closely with an initial valuation of 2.8 USD Billion in 2024, projected to reach 6.7 USD Billion by 2035, driven by advancements in technology and automation in warehouse management. The Asia Pacific region holds a considerable market share valued at 2.7 USD Billion in 2024, expected to increase to 4.9 USD Billion by 2035, showcasing the rapid industrial growth and increasing demand for automated solutions.

Meanwhile, South America and the Middle East and Africa present smaller segments; South America is valued at 0.55 USD Billion in 2024, anticipated to grow to 1.3 USD Billion by 2035, while the Middle East and Africa market stands at 0.99 USD Billion in 2024, with a future projection of 1.97 USD Billion. The majority holding in North America emphasizes its technological advancements and high adoption rates of automated systems, making it a crucial player in the Automated Storage and Retrieval System Market, whereas Europe benefits from stringent regulations favoring automation, enhancing operational efficiency across industries.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Automated Storage and Retrieval System Market Key Players and Competitive Insights

The Automated Storage and Retrieval System Market has emerged as a dynamic arena characterized by rapid technological advancements and a growing demand for efficiency in warehousing and distribution processes. Companies operating in this market are constantly striving to enhance their product offerings to meet the diverse needs of various industries, including retail, manufacturing, and logistics.

The competitive landscape is shaped by a mix of established players and innovative newcomers, all of whom are leveraging cutting-edge technologies, such as artificial intelligence and the Internet of Things, to deliver smarter and more integrated solutions. The market is witnessing strategic partnerships, mergers, and acquisitions that enable companies to expand their capabilities and reach a broader customer base, ultimately enhancing their competitive edge.

KION Group stands out as a strong player in the Automated Storage and Retrieval System Market, widely recognized for its comprehensive range of products and solutions tailored to optimize warehouse operations. The company has established a significant global presence, leveraging its extensive experience and innovative technologies to meet customer needs. KION Group's strengths lie in its ability to provide customized solutions that enhance operational efficiency and reduce costs for its clients.

The company benefits from a robust supply chain and a well-established network that facilitates a swift response to market demands. Moreover, KION Group's focus on continuous innovation and improving its product portfolio positions it favorably against its competitors, enabling it to address the evolving challenges of automated storage and retrieval systems effectively.

Swisslog is another formidable participant in the Automated Storage and Retrieval System Market, known for its intelligent automation solutions designed to streamline logistics and warehouse management. The company offers a range of key products, including automated guided vehicles and sophisticated warehouse management software, which form an integral part of its value proposition.

With a strong commitment to innovation, Swisslog has successfully positioned itself as a leader in integrated logistics solutions, reflecting its strengths in addressing complex customer needs in diverse industries. The company has actively pursued mergers and acquisitions to enhance its technological capabilities and expand its market footprint, allowing for a robust synergetic approach to product development. Swisslog's strategic initiatives and emphasis on intelligent automation ensure that it remains competitive in the global market, making it a notable contender as businesses increasingly prioritize automation in their logistical operations.

Key Companies in the Automated Storage and Retrieval System Market Include

• KION Group
• Swisslog
• Vanderlande
• System Logistics
• Mecalux
• Daifuku
• Fives Group
• Dematic
• Schaefer Systems International
• Knapp AG
• TGW Logistics Group
• Honeywell

Automated Storage and Retrieval System Industry Developments

The Global Automated Storage and Retrieval System (ASRS) Market has been experiencing significant developments recently, particularly in terms of advancements in technology and increased adoption across various sectors. Notably, in October 2023, KION Group announced the launch of a next-generation ASRS solution designed to enhance operational efficiency in warehousing and logistics.

Similarly, Daifuku has been making strides in expanding its footprint in North America, leveraging its innovative ASRS offerings to meet growing customer demand. In terms of mergers and acquisitions, in September 2023, Honeywell announced its acquisition of a leading robotics company to bolster its automation capabilities in the ASRS sector, further demonstrating the increasing consolidation in the industry.

Additionally, System Logistics is reported to have expanded its partnerships with major retailers to implement advanced ASRS solutions, while Mecalux has upgraded its existing systems to include artificial intelligence features that optimize storage processes. The market valuation of companies such as Vanderlande and Dematic has been positively impacted by these developments, reflecting the increasing demand for automated warehousing solutions globally, driven by the need for efficiency and productivity in supply chains.

Automated Storage And Retrieval System Market Segmentation Insights

• Automated Storage and Retrieval System Market Type Outlook

  • Load Based ASRS
  • Shuttle And Bot-Based ASRS
  • Carousel Based
  • Vertical Lift Module (VLM) ASRS

• Automated Storage and Retrieval System Market Industry Vertical Outlook

  • Automotive
  • Metals And Machinery
  • Food And Beverages
  • Chemicals
  • Healthcare
  • Semiconductor And Electronics
  • Retail And E-Commerce
  • Aviation
  • Others

• Automated Storage and Retrieval System Market Regional Outlook

  • North America
  • Europe
  • South America
  • Asia Pacific
  • Middle East and Africa

Report Attribute/Metric	Details
Market Size 2023	8.63 (USD Billion)
Market Size 2024	9.29 (USD Billion)
Market Size 2035	20.97 (USD Billion)
Compound Annual Growth Rate (CAGR)	7.68% (2025 - 2035)
Report Coverage	Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
Base Year	2024
Market Forecast Period	2025 - 2035
Historical Data	2019 - 2024
Market Forecast Units	USD Billion
Key Companies Profiled	KION Group, Swisslog, Vanderlande, System Logistics, Mecalux, Daifuku, Fives Group, Dematic, Schaefer Systems International, Knapp AG, TGW Logistics Group, Honeywell,
Segments Covered	Type, Industry Vertical, Regional
Key Market Opportunities	Increasing e-commerce demand, Warehouse optimization needs, Adoption of Industry 4.0 technologies, Rising labor costs, Expansion of cold storage solutions
Key Market Dynamics	Increased automation demand, labor cost reduction, inventory management efficiency, technological advancements, supply chain optimization
Countries Covered	North America, Europe, APAC, South America, MEA