PUBLISHER: Grand View Research | PRODUCT CODE: 1493505
PUBLISHER: Grand View Research | PRODUCT CODE: 1493505
The global auto-boxing technology market is anticipated to reach USD 3.82 billion by 2030, growing at a CAGR of 7.7% from 2024 to 2030, according to a new report by Grand View Research, Inc. The market growth is attributed to factors such as the growing need for fast and efficient packaging solutions that minimize the dependency on the workforce. Automated packaging solutions, including auto-boxing technology solutions, address labor shortage challenges. Moreover, auto-boxing technology solutions are witnessing growth in adoption owing to the expansion of the e-commerce sector.
Auto-boxing technology involves designing right-sized boxes utilizing intelligent and automated technology. Auto-boxing technology systems offer numerous benefits to businesses operating in various sectors, such as food, beverages, and retail & e-commerce. These benefits include reduced operating costs, material wastage, and enhanced box quality. According to Sparck Technologies, a Netherlands-based auto-boxing technology company, the company's auto-boxing technology solutions can reduce labor costs by about 88% and, on average, save 29% of corrugate material.
The growing emphasis on environmental sustainability is likely to benefit the adoption of auto-boxing technology solutions, as they are usually energy-efficient and the automated way of packaging leads to less consumption of materials. Moreover, government initiatives to boost automation and robotics development are having a positive impact on the target market. For instance, in November 2022, Sanctuary Cognitive Systems Corporation, a Canada-based general-purpose robot developer, announced that it received funding of USD 22.2 million from the Government of Canada through the Strategic Innovation Fund (SIF). The company would use the funds to address the labor shortage by developing robotics and AI technology.