According to a recent industry analysis by market research and competitive intelligence source Fact.MR, the size of the global Parcel Sorting Systems Market is projected to reach US$ 2.7 billion by 2032, growing at a 6.7% CAGR from 2022 to 2032.

A system of conveyor belts that arranges packages based on their final destination is called a parcel sortation system. Distribution lines (which send packages to carriers), sorting and routing modules, one or more input stations, and numerous output stations are usually included.

Many industries, including food and beverage, automotive, electronics, logistics, retail, and pharmaceutical, use parcel sorting systems extensively. Companies' spending is increasing due to a rise in labor costs. As a result, businesses are using automated solutions that will help to reduce labor expenses while still providing high accuracy in the process. The growing need for automated systems in various industries is expected to boost the demand for parcel sortation systems.

Moreover, rapid increase in usage of Internet of Things technology has created a profitable potential for parcel sortation system makers. The incorporation of the Internet of Things in parcel sortation systems improves the visibility of the product's location. Furthermore, the demand for parcel sortation systems is projected to grow rapidly as the number of consumers using e-commerce platforms increases.

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With increasing Internet penetration rates in developing nations, particularly in Asia Pacific and Latin America, the adoption of online retailing is rising rapidly. As internet penetration increases in developing nations, demand for parcel sortation systems will rise significantly throughout the forecast period.

Key Takeaways from Market Study

  • The global parcel sortation systems market is valued at US$ 1.4 billion in 2022.
  • The market is anticipated to garner US$ 2.7 billion revenue by 2032.
  • Worldwide demand for parcel sortation systems is expected to increase at a CAGR of 6.7% during the forecast period.
  • The European market is projected to expand at a CAGR of 5.4% from 2022 to 2032.
  • The United States market reached a value of US$ 322.1 million in 2022

“Rapidly growing e-Commerce industry, rising labor costs & industrial automation, and advancements in technologies such as AI and robots for sorting activities are the primary factors driving the growth of the global parcel sortation systems market. Moreover, the widespread usage of IoT technology is offering more prospects for market growth,” says a Fact.MR analyst

Key Segments of Parcel Sortation Systems Industry Research

  • By Component:
    • Hardware
    • Software
    • Services
  • By Type:
    • Linear
    • Loop
  • By End Use:
    • Logistics
    • e-Commerce
    • Airports
    • Food & Beverages
    • Other End Uses
  • By Region:
    • North America
    • Latin America
    • Europe
    • APAC
    • MEA

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Regional Analysis

Europe is projected to lead the global parcel sortation systems market during the study period. The United Kingdom and Germany are expected to make substantial contributions to the European market.

Market players in Europe are heavily focused on smart technologies, such as robot-based and AI-based parcel sorting systems.

For example, in September 2021, LiBiao Robot introduced a new mobile robot-based parcel sortation system called "Mini Yellow." This was created primarily for European economies such as the United Kingdom, Germany, Italy, and France.

Key Companies Profiled:

  • Alstef Automation S.A
  • Autotech Private Limited
  • Bastian Solutions, LLC
  • Beumer Group
  • Murata Machinery, Ltd
  • Honeywell International Inc
  • Böwe Systec GmbH
  • Daifuku Co. Ltd
  • Siemens Logistics GmbH
  • Dematic
  • Equinox
  • Falcon Fives
  • GBI Intralogistics, Inc
  • GreyOrange
  • Interroll Group
  • Intralox, L.L.C
  • Invata Intralogisitcs
  • Okura Yusoki Co. Ltd

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More Valuable Insights on Offer

Fact.MR, in its new offering, presents an unbiased analysis of the global parcel sortation systems market, presenting historical demand data (2017-2021) and forecast statistics for the period of 2022-2032.

The study divulges essential insights on the market on the basis of component (hardware, software, services) type (linear, loop) and end use (logistics, e-Commerce, airports, food & beverage, other end uses), across five major regions (North America, Europe, Asia Pacific, Latin America, and MEA).

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