Postal Automation System Market Size was valued at USD 0.7 billion in 2022. The postal automation system market industry is projected to grow from USD 0.7483 Billion in 2023 to USD 1.276 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 6.90% during the forecast period (2023 - 2032). Growing adoption of automated solutions across various end-user industries and significant technological advancements are the key market drivers enhancing market growth.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
The need for automation in the postal industry's sorting and delivery processes has arisen due to the growing adoption of automated solutions across various end-user industries and significant technological advancements like Industry 4.0 and digitization. The postal automation market is also anticipated to be further driven by rising labor costs brought on by a lack of labor. The development of Industry 4.0 practices with various technologies, such as RFID, Barcode Readers, Scanners, etc., to create smart, connected, and effective automated postal operations. It is anticipated to expand the market significantly.
The volume of packages and parcels has increased dramatically due to the enormous growth in e-commerce. For instance, according to Shopify, there will be 1 point 92 billion digital buyers worldwide in 2019, and e-commerce sales are predicted to make up 13 points 7 percent of all retail sales globally. As a result, the e-commerce logistics sector is anticipated to grow due to a need for automated solutions in the postal sector. As a result, during the forecast period, automation in the postal sector is anticipated to increase significantly.
One of the main factors impeding the market's growth is the decline in traditional mail, such as letters and mail, brought on by internet usage and the use of smart devices. Further limiting the market's expansion are high initial investments and maintenance costs. The need for automation in the postal industry's sorting and delivery processes has arisen due to the growing adoption of automated solutions across various end-user industries and significant technological advancements like Industry 4.0 and digitization. The postal automation market is also anticipated to be further driven by rising labor costs brought on by a lack of labor.
The volume of packages and parcels has increased dramatically due to the enormous growth in e-commerce. For example, according to Shopify, there will be 1 point 92 billion digital buyers worldwide in 2019, and e-commerce sales are predicted to make up 13 points 7 percent of all retail sales globally. As a result, the e-commerce logistics sector is anticipated to grow due to a need for automated solutions in the postal sector. As a result, during the forecast period, automation in the postal sector is anticipated to increase significantly.
One of the main factors impeding the market's growth is the decline in traditional mail, such as letters and mail, brought on by internet usage and the use of smart devices. Further limiting the market's expansion are high initial investments and maintenance costs. Thus, driving the postal automation system market revenue.
Based on components, the Postal Automation System Market segmentation includes hardware, software and services. The hardware segment dominated the market. Any end-user industry's automation is a network of linked hardware parts and informational systems. As a result, the postal and parcel industry's need for automation is growing, which in turn, is increasing the need for a hardware component. A major factor expected to drive the market is the rise in new system installations as part of capacity expansion and upgrades in the existing system as part of automation in the postal sector.
Based on technology, the Postal Automation System Market segmentation includes delivery barcode sorter and facer canceller system. The delivery barcode sorter segment generated the most income. Sortation is the process that recognizes the items on conveyer systems and directs them to the desired location using various software-controlled devices. The parcel sorting solutions deliver precise results and, by enhancing traceability, reduce the number of requests for missing packages.
Additionally, it enhances operations by enabling real-time access to the package to simplify the procedures. Incorporating customer clearance, invoicing, and other systems aids businesses is becoming more efficient. Over the ensuing years, parcel sorters are anticipated to become more widely used.
The Postal Automation System Market segmentation is based on application includes, including public and government posts. The government posts segment generated the most income. To meet the growing customer demand, the government postal services put their attention on network enhancement, the addition of new machinery, and operational improvements. For instance, in February 2022, the United States Postal Service (USPS) announced the rollout of USPS Connect, a collection of delivery solutions designed to meet high consumer demand while offering quick regional, local, and national deliveries that are affordable and returnable.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
By Region, the study provides market insights into North America, Europe, Asia-Pacific and the Rest of the World. The North American postal automation system market area will dominate this market, The market growth in the region is being driven by important factors like the presence of significant postal and CEP companies in the area. Additionally, installation or capacity expansion of these systems due to renovation and upgrade of already-existing postal automation systems in North America has led to market expansion in the region.
Furthermore, the region's rapid expansion of e-commerce has increased the demand for automated solutions in the postal and parcel sector. In the first quarter of 2019, for instance, the US Department of Commerce reports that the proportion of e-commerce in overall U. S. retail sales increased from 9.8 percent in the first quarter of 2018 to 10.7 percent. In the United States, retail e-commerce sales were close to USD 146.2 billion as of that quarter.
Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Europe’s postal automation system market accounts for the second-largest market share. The market is expanding due to companies adopting automation due to rising labor costs and labor shortages. Government, BFSI, and other sectors increasingly need postal automation services, boosting the market's expansion in the area. Further, the German postal automation system market held the largest market share, and the UK postal automation system market was the fastest-growing market in the European region.
The Asia-Pacific Postal Automation System Market is expected to grow at the fastest CAGR from 2023 to 2032. A technologically advanced e-commerce logistics sector is now necessary due to the rapid growth of the e-commerce sector in nations like Japan, China, and India. Additionally, there are many opportunities for postal automation systems to grow in the Asia Pacific region due to rising BFSI sector demand. Moreover, China’s postal automation system market held the largest market share, and the Indian postal automation system market was the fastest-growing market in the Asia-Pacific region.
Leading market players are investing heavily in research and development in order to expand their product lines, which will help the postal automation system market grow even more. Market participants are also undertaking various strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, postal automation system industry must offer cost-effective items.
Manufacturing locally to minimize operational costs is one of the key business tactics manufacturers use in the global postal automation system industry to benefit clients and increase the market sector. The postal automation system industry has offered some of the most significant advantages in recent years. Major postal automation system market players, including Toshiba Corporation (Japan), Mitsubishi Logistics (Japan), Escher Group (U.S.), NEC Corporation (Japan), Accenture PLC (Ireland), Siemens AG (Germany), Fujitsu (Tokyo), Vanderlande (Netherlands), Falcon Autotech (India), Solystic SAS (France) and others, are attempting to increase market demand by investing in research and development operations.
Siemens AG (Germany) is a technology company focusing on business, transportation, infrastructure, and healthcare. We develop technology to provide real customer value, whether through resource-efficient factories, resilient supply chains, smarter buildings and grids, cleaner and more comfortable transportation, or cutting-edge healthcare. The Siemens Group generated revenue of €72.0 billion and a net income of €4.4 billion during the fiscal year 2022, which ended on September 30, 2022. The company, which combines a rich history with the spirit of innovation, had about 311,000 employees worldwide as of September 30, 2022. Here is a summary of the origins and growth of our business, along with the most recent data on our companies' operations and solutions to the pressing issues of the day.
Fujitsu (Tokyo), Our mission is to increase social trust through innovation in order to create a more sustainable world. To achieve the Fujitsu Group Purpose, we will improve our capacity to stay abreast of world society while pursuing agile change-making and value creation. With about 130,000 employees supporting customers in 180 countries, we provide a wide range of products, services, and solutions.
March 2022: Siemens Logistics provides airports and airlines with cutting-edge software solutions to streamline processes. This includes Service 4.0, which handles the preventative maintenance of baggage handling equipment. To increase system reliability and prevent unplanned downtimes, forecasts are created using the data that has been collected.
January 2022: Parcel and Post Expo will be held in The Netherlands, and Vanderlande will introduce the latest iteration of its scalable solutions (evolutions), DIRECTSORT. To minimize the total cost of ownership (TCO), DIRECTSORT is a modular, user-friendly, and future-proof solution that sorts packages as soon as they are unloaded from trailers, vans, or load carriers.
Hardware
Software
Services
Delivery Barcode Sorter
Facer Canceller System
Public Post
Government Post
North America
Europe
Asia-Pacific
China
Japan
India
Australia
South Korea
Australia
Rest of Asia-Pacific
Rest of the World
Middle East
Africa
Latin America
| Report Attribute/Metric | Details |
| Market Size 2022 | USD 0.7 billion |
| Market Size 2023 | USD 0.7483 billion |
| Market Size 2032 | USD 1.276 billion |
| Compound Annual Growth Rate (CAGR) | 6.90% (2023-2032) |
| Base Year | 2022 |
| Market Forecast Period | 2023-2032 |
| Historical Data | 2019- 2021 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | Components, Technology, Applications, and Region |
| Geographies Covered | North America, Europe, Asia Pacific, and the Rest of the World |
| Countries Covered | The U.S., Canada, German, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled | Toshiba Corporation (Japan), Mitsubishi Logistics (Japan), Escher Group (U.S.), NEC Corporation (Japan), Accenture PLC (Ireland), Siemens AG (Germany), Fujitsu (Tokyo), Vanderlande (Netherlands), Falcon Autotech (India), Solystic SAS (France) |
| Key Market Opportunities | Growing adoption of automated solutions across a variety of end-user industries and significant technological advancements |
| Key Market Dynamics | Increase volume of packages and parcels |
Frequently Asked Questions (FAQ) :
The Postal Automation System Market size was valued at USD 0.7 Billion in 2022.
The global market is projected to grow at a CAGR of 6.90% during the forecast period, 2023-2032.
North America had the largest share of the global market
The key players in the market are Toshiba Corporation (Japan), Mitsubishi Logistics (Japan), Escher Group (U.S.), NEC Corporation (Japan), Accenture PLC (Ireland), Siemens AG (Germany), Fujitsu (Tokyo), Vanderlande (Netherlands), Falcon Autotech (India), Solystic SAS (France).
The hardware category dominated the market in 2022.
The delivery barcode sorter segment had the largest share in the global market.
Senior Research Analyst Ankit gupta is an analyst in market research industry in ict and semi industry. with post-graduation in "telecom and marketing management" and graduation in "electronics and telecommunication" vertical he is well versed with recent development in ict industry as a whole. having worked on more than 150+ reports including consultation for fortune 500 companies such as microsoft and rio tinto in identifying solutions with respect to business problems his opinions are inclined towards mixture of technical and managerial aspects.
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