Retail Automation Market Forecasts to 2030 - Global Analysis By Product, Type, Component, Implementation, End User and By Geography

According to Stratistics MRC, the Global Retail Automation Market is accounted for $19.45 billion in 2023 and is expected to reach $41.95 billion by 2030 growing at a CAGR of 11.6% during the forecast period. Retail automation refers to the use of technology and automated systems to streamline and enhance various aspects of retail operations. It encompasses a wide range of tools and solutions designed to improve efficiency, customer experience, and overall profitability in the retail industry. The retail automation consumes less time in purchasing and consumers can browse the products using a touch screen interface. The retail automation enables the selection of the product of their choice to proceed to pay for it using debit or credit card.

According to the latest US Census Bureau Annual Retail Trends report, retail sales have climbed 23% from 2010 until 2018, and the Y-o-Y growth since 2012 has averaged just under 4%. However, a significant portion of this growth has occurred in the e-commerce sector.

Market Dynamics:

Driver:

Increasing Demand in Healthcare Sector

E-commerce solutions that optimize corporate processes and distribution networks are increasing the need for automation from retailers by creating attractive new income opportunities. Electronic tracking of stock levels and inventory status as well as change notification are made possible by the inventory and order management systems provided by e-commerce automation solutions. Since there are no out-of-stock difficulties in the retail industry, inventory management is quicker. So, throughout the forecast period, it is anticipated that the globalisation of e-commerce activities would fuel the expansion of the worldwide retail automation market.

Restraint:

Lack of effectual management

Automation systems must be flexible to accommodate new trends and technology in a retail environment that is undergoing fast change. Systems might become antiquated and rigid without good management. Due to this, it could be challenging to justify the original investment or decide on future automation initiatives with knowledge. The installation of retail automation can be haphazard and ineffective without competent supervision. This may result in a system that is fragmented and has trouble integrating with current procedures.

Opportunity:

Growing demand for robotic process automation

RPA can gather, process, and analyze massive amounts of data, giving significant insights that may influence strategic decision-making in areas like consumer behaviour, inventory management, and supply chain optimization. Overall, the need for RPA in retail automation is driven by its potential to achieve operational efficiency, decrease costs, enhance customer experience, and offer the agility needed to succeed in a competitive industry. It complements the work of human employees, letting them to focus on higher-level strategic operations that demand creativity and critical thought.

Threat:

Risk of theft at unattended terminals

It is challenging for retailers to keep an eye on their kiosk systems or vending machines since they put them in remote locations like public streets, train stations, theatres, cafeterias, and airports. Due to their open nature, kiosks and vending machines are difficult to keep from being damaged or stolen, and typically there isn't a provision to have a protective shell around the kiosk during non-working hours. Retailers in this industry have a lot of challenges since thefts and damages can occasionally result in significant losses for the businesses.

COVID-19 Impact:

The COVID-19 pandemic accelerated the adoption of retail automation, as retailers sought to adapt to rapidly changing circumstances, prioritize health and safety, and meet the evolving needs and preferences of consumers. Retailers expedited the deployment of automation for jobs including replenishing shelves, cleaning, and conducting mundane administrative work in response to labour shortages and the requirement for social separation. Even after the epidemic has passed, these trends are probably going to keep influencing retail automation development.

The warehouse robotics segment is expected to be the largest during the forecast period

The warehouse robotics segment is estimated to have a lucrative growth. A key element of retail automation is the employment of warehouse robotics, which has completely changed how things are kept, selected, packed, and transported. For operations including labelling packages, placing products into boxes, and applying seals, robots are utilised. The use of warehouse robots in retail automation has several advantages, including faster and more accurate order fulfilment, better inventory control, lower labour costs, and higher operational efficiency, all of which are driving up demand in the market.

The supermarkets segment is expected to have the highest CAGR during the forecast period

The supermarkets segment is anticipated to witness the fastest CAGR growth during the forecast period. Retail automation has found extensive application in supermarkets, revolutionizing the way they operate. Inventory levels are monitored and managed in real-time via automation systems. Robots with computer vision capabilities can independently explore the aisles of stores, finding items and replenishing shelves. This keeps displays tidy and structured. By using these automation technologies, supermarkets can increase operational effectiveness, enhance consumer experiences, and maintain their competitiveness in a retail environment that is always changing.

Region with largest share:

North America is projected to hold the largest market share during the forecast period. North America, as a technologically advanced region, has seen widespread adoption of retail automation solutions. Many retailers in North America use AI-powered chatbots and virtual assistants on websites and mobile apps to provide instant customer support, answer queries, and guide customers through the purchasing process. The presence of major key players and availability of well-developed IT infrastructure in the region is boosting the market demand.

Region with highest CAGR:

Asia Pacific is projected to have the highest CAGR over the forecast period, owing to the growing digitalization. E-commerce growth in the Asia Pacific has led to increased adoption of warehouse automation technologies. Some retailers in the Asia Pacific have implemented biometric payment systems that allow customers to make payments using fingerprint or facial recognition technology, enhancing security and convenience. The factors such as technological advancements, changing consumer preferences, and the need for increased efficiency and competitiveness are accelerating the market growth in the region.

Key players in the market:

Some of the key players profiled in the Retail Automation Market include: Toshiba Global Commerce Solutions Inc., Datalogic S.P.A, National Cash Register Corporation, Posiflex Technology Inc., Pricer, Wincor Nixdorf AG, Honeywell Scanning & Mobility, Fujitsu Limited, First Data Corporation, KUKA AG, Zebra Technologies Corporation, Tecsys Inc., Samsung Electronics Limited, Optimove Inc., Capillary Technologies, Microlistics and Vinculum Solutions Pvt Limited.

Key Developments:

In July 2023, Datalogic announced the new Gryphon 4500 Fixed Series. This device is designed to work across a host of self-service applications in retail, manufacturing, healthcare, and transportation & logistics. It offers superior technological performance and ruggedness yet retains a small form factor for easy integration into kiosks, information points, self-check-in, and access control.

In April 2023, Toshiba Global Commerce Solutions unveiled its Global Services Command Center, a "mission control" site that offers retailers enhanced intelligence and proactive availability services for their retail store systems. The center enables remote monitoring, diagnostics, and issue resolution, allowing retailers to maintain system health and minimize downtime without requiring their direct involvement.

Products Covered:

• Unattended Terminals
• Manned POS Terminal

Types Covered:

• POS Terminal
• RFID & Barcode
• Camera
• Autonomous Guided Vehicle
• Electronic Shelf Labels
• Automatic Storage & Retrieval System
• Automated Conveyor
• Warehouse Robotics

Components Covered:

• Hardware
• Software

Implementations Covered:

• On-Warehouse
• On-Store Premise

End Users Covered:

• Supermarkets
• Hypermarkets
• Retail Pharmacy
• Single Item Stores
• Petrol Pumps/Fuel Stations
• Travel & Logistics
• Other End Users

Regions Covered:

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • Italy
  • France
  • Spain
  • Rest of Europe
• Asia Pacific
  • Japan
  • China
  • India
  • Australia
  • New Zealand
  • South Korea
  • Rest of Asia Pacific
• South America
  • Argentina
  • Brazil
  • Chile
  • Rest of South America
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • Qatar
  • South Africa
  • Rest of Middle East & Africa

What our report offers:

• Market share assessments for the regional and country-level segments
• Strategic recommendations for the new entrants
• Covers Market data for the years 2021, 2022, 2023, 2026, and 2030
• Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
• Strategic recommendations in key business segments based on the market estimations
• Competitive landscaping mapping the key common trends
• Company profiling with detailed strategies, financials, and recent developments
• Supply chain trends mapping the latest technological advancements

Free Customization Offerings:

All the customers of this report will be entitled to receive one of the following free customization options:

• Company Profiling
  • Comprehensive profiling of additional market players (up to 3)
  • SWOT Analysis of key players (up to 3)
• Regional Segmentation
  • Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
  • Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances