PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1498813
PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1498813
Postal Automation Systems Market size was valued at USD 784.2 Million in 2023, expanding at a CAGR of 7.00% from 2024 to 2032.
A postal automation system is letter-handling equipment that processes letters quickly and reads addresses accurately. This system automates the process, providing customers with a dependable, fast, and cost-effective alternative. In addition to being a cost-effective solution, postal automation systems help to reduce the possibility of human error during sorting and processing processes. It offers more inexpensive solutions and better customer service. The system includes culler facer cancellers, bar code readers, OCR letter sorting devices, and other parts. It is often utilized to improve courier and parcel services.
Postal Automation Systems Market- Market Dynamics
Increase in the E-commerce Sector Propels Market Demand
The growth of e-commerce and online shopping has resulted in the processing of millions of orders each day. The daily distribution of multiple parcels to users has necessitated the automation of postal and parcel handling in order to deliver things to clients properly. The market for parcel and postal automation systems is being pushed by improved delivery accuracy and tracking, as well as increased fulfilment efficiency. As a huge number of shipments will necessitate the implementation of an efficient parcel automation system, the high volume of package exchanges is expected to propel the postal automation industry forward. For instance, according to Shopify, there will be 1.92 billion digital customers worldwide in 2019, and e-commerce sales are expected to account for 13.7% of total retail sales internationally. As a result, the e-commerce logistics sector is expected to expand as the postal sector needs automated solutions. As a result, during the predicted period, the postal sector's automation is expected to rise dramatically.
Postal Automation Systems Market- Key Insights
As per the analysis shared by our research analyst, the global market is estimated to grow annually at a CAGR of around 7.00% over the forecast period (2024-2032)
Based on Component segmentation, the hardware component contributed the biggest revenue share in 2023.
Based on application segmentation, the government postal services category is expected to rise at a high CAGR throughout the projection period.
Based on Product segmentation, parcel sorter systems was the leading type in 2023
On the basis of region, North America was the leading revenue generator in 2023
The Global Postal Automation Systems Market is segmented on the basis of Component, Application, Product, Technology, and Region.
The market is divided into three categories based on Components: Hardware, Software, and Services. The hardware component contributed the highest revenue share in 2023 due to advancements in sensors, processors, scanner systems, recognition, and the need for new solutions to boost the capacity of those currently in place. During the projection period, the market is expected to rise dramatically. The primary suppliers of postal automation systems are focusing on expanding their market share by improving existing capabilities and establishing production sites around the world.
The market is divided into two categories based on application: government postal and Courier, Express, and parcel. The government postal services category is predicted to increase at a rapid CAGR over the forecast period. This is due to the government's emphasis on strengthening the network, implementing new technologies, and improving operational efficiency. It helps businesses standardize parcel tracking and package sortation procedures at different mailroom or carrier route levels, among other things.
Postal Automation Systems Market- Geographical Insights
Geographically, this market is widespread in the regions of North America, Latin America, Europe, Asia Pacific, and the Middle East and Africa. These regions are further divided as per the nations bringing business. In 2023, North America accounted for a sizable portion of the global market and was expected to rise significantly in the future years. The expanding use of cutting-edge technologies in postal services, as well as the presence of important market participants in the region, have contributed to the region's worldwide market expansion. Furthermore, the industry is growing as more businesses use automation in response to rising labor costs and labor shortages. The government, BFSI, and other industrial verticals are seeing a surge in demand for postal automation services, which is fueling regional market growth.
The Asia Pacific region is predicted to be the fastest-growing global market throughout the forecast period. Because of the rapid growth of e-commerce in countries such as China, Japan, and India, a highly developed e-commerce logistics sector is now required. Furthermore, the increased need for postal automation systems from the BFSI industry would drive regional market growth in the future years.
Leading market players such as NEC, Toshiba, Siemens AG, Pitney Bowes, and Vanderlande, among others are extensively spending on R&D to extend their product lines, allowing the postal automation system market to grow even more. Market participants are also engaging in a variety of strategic initiatives to grow their worldwide presence, with significant market developments including new product launches, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations. To grow and survive in a more competitive and increasing market environment, the postal automation system sector must provide cost-effective products.
In July 2022, Korber AG bought Siemens Logistics GmbH. Korber AG will benefit from Siemens Logistics GmbH's automation and software solutions, increasing its industry offerings and mail and package operations, allowing the company to flourish.
GLOBAL POSTAL AUTOMATION SYSTEMS MARKET KEY PLAYERS- DETAILED COMPETITIVE INSIGHTS
Siemens AG
NEC
Toshiba
Pitney Bowes
Vanderlande
Solystic
Fives Group
Lockheed Martin
Leonardo
Beumer Group
National Presort (NPI)
Interroll, Dematic
Eurosort Systems
Intelligrated
Honeywell International Inc
Bastian Solutions, Inc.
Falcon Autotech Private Limited
GBI Intralogistics, Inc
Fluence Automation, LLC
OPEX Corporation
Planet Artificial Intelligence Gmb
Others