The Robotic Process Automation Market is expected to register a CAGR of 26.34%, during the forecast period of 2019-2024. Robotic process automation (RPA) also called as intelligent automation or smart automation basically refers to advanced technologies that can be programmed to perform a series of tasks, like data manipulation, triggering responses, and creating necessary communication with other process and systems, which previously required human intervention. Market vendors are also enhancing their offerings, by adding new features in areas, such as automation lifecycle management, workload management, SLA-based automation, credential management, and Citrix automation, as well as adding new data APIs. These enhancements are attracting new industries that are looking for higher operational and security capabilities.
- The adoption of RPA among SMEs, especially financial services, are thriving market growth. According to a survey conducted by Nasdaq, in 2018, 70% of respondents are already using the technology in their operations.
- Growing deployment of SaaS, IaaS, and PaaS offerings, for customer relationship management, cloud computing, enterprise resource management, open source resources, cooperative robot learning, network connectivity, and other financial applications, are also developing a market for RPA solutions.
- The rising trend of the shift toward cloud-based solutions and increasing adoption of robot-based solutions, throughout various end-user industries, are expected to create new opportunities for the establishment of robotic process automation market globally.
- The adoption of software robots for managing routine work carried out by temporary or seasonal staff, or for staff bursts that are required by regulatory spikes, new product launches, or some new operation being introduced, is further developing the market growth.
Scope of the Report
RPA is an application technology which uses software with capabilities of artificial intelligence and machine learning for handling a high volume, repeatable tasks. It allows employees to configure and program any computer software or a robot to interpret exiting application in the organization for manipulating data, processing transactions and communicating with digital systems. The RPA is similar to traditional IT automation but the major difference between these technologies is, RPA is capable of learning itself and adaptive to changing circumstances which a traditional IT automation system lacks.
Key Market Trends
Retail Expected to Have Significant Growth
Rapid growth in the e-commerce industry is an important factor adding to the growth of the robotic process automation market. Online sales in the United States are expected to double, by 2023, reaching approximately 20 to 25% of the overall retail sector. Along with adopting innovative practices to attract and engage more customers, the players in the retail industry have been using newer technologies for Retail automation to smoothen their processes and gaining a growth momentum to counter various challenges. The retail landscape is facing numerous challenges, which require a reorganization of business processes from top to bottom. RPA solutions can easily penetrate the issues, such as the rising cost of production, tech-enabled shoppers, an unreliable supply, implementing new technologies, from payment to payroll management systems, and labor availability.
- The growing number of warehouses is making the retail sector to use Robotic Process Automation in order to do the tasks more efficiently and effectively. A recent study conducted by Zebra Technologies on the anticipated future trends in the retail sector revealed that around 60% of the retailers are expected to adopt automation across all the key functions by 2021.
- The growing adoption of machine learning and big data into the RPA solutions is further increasing the adoption of RPA in retail. Moreover, many offline retail players are enhancing their online presence through RPA solutions.
- Returns processing, workflow management, customer support management, accounting and finance, ERP management and marketing, and consumer behavior analysis are some of the applications in the retail sector, with RPA playing an important role.
- It is estimated that more than 2 trillion USD can be saved in a global workforce by automating almost half of the tasks performed by humans, especially in an emerging industry, like retail.
- With the introduction of innovative technologies like Radio Frequency Identification, Point Of Sale and the most recent and most impactful RPA (Robotic Process Automation), companies are looking beyond the human capabilities to manage processes more accurately and productively.
- For instance, In March 2018, Walmart Inc. announced plans to expand its Online Grocery Delivery option to more than 40% of US households, by the end of the year. The service, available in six markets as of March, aims to grow to more than 100 metro areas across the country.
North America Expected to Have Significant Market Share
North America accounted for significant market share in the robotic process automation market. The increased demand for robotic process automation in this region is attributed to the rising of automation in various sectors such as healthcare, electronics, retail, education, services, and government. Due to the high number of outsourced customer services companies and the presence of major vendors of the market studied, the region is dominating the global RPA market.
- Due to the presence of prominent players in the region coupled with the availability of infrastructure for the successful adoption of RPA the adoption of robotic process automation solutions is increasing in this region. North American is expected to account for a substantial share due to the increasing adoption of digital transformation across industries, in the robotics process automation market.
- The United States which is the largest in the BPO sector (as per the data from NASSCOM and Philippines Labor Statistics, US Labor Statistics), is an early adopter of RPA, across enterprises. The growth of the IT and telecom industry in the country is expected to augment the growth of RPA, owing to the benefits it offers.
The Robotic Process Automation Market is moving towards consolidation as various acquisitions and collaboration of large companies are expected to take place shortly which focuses on innovation.
- June 2018 - UiPath announced its partnership with Humley, a cognitive assistant platform. This partnership is intended to provide an AI assistant chat solution to UiPath's customers. Humley would enable a virtual assistant to support RPA management and build voice or chat user interfaces, which would help UiPath's customers to innovate. Through this partnership, UiPath is creating a robust ecosystem of partners to grow as an RPA provider, with leading partner technologies.
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