Dublin, April 29, 2021 (GLOBE NEWSWIRE) -- The "Conveyors Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)" report has been added to ResearchAndMarkets.com's offering.
The Conveyors Market was valued at USD 7.73 billion in 2020 and is expected to reach USD 10.07 billion by 2026 and work at a CAGR of 4.5% over the forecast period (2021-2026). The world of intralogistics is undergoing a major transformation. With the globalization of economy, shorter product cycles, and the advancements in e-commerce, the international flow of goods is increasing and accelerating which is driving the market studied.
With the rapidly increasing growth in stock-keeping units (SKUs), wholesalers and distributors are finding it difficult to make informed decisions about their operations. This drives the need for the smarter use of labor, equipment, and technology. The main factors driving the need for these automated material handling systems are the cost savings, labor efficiency, and space constraints.
Shorter delivery time is increasingly becoming USP for various enterprises operating in an e-commerce space. According to Clutch, in 2012, online shoppers received packages approximately within 5.5 days, and in 2019, online shoppers received their packages within 2-3 days, and late deliveries caused some shoppers to abandon their company preferences.
The conveyor systems market is influenced by various factors, such as industrial growth, expansions, modernization of industries and product and process specific conditions. Conveyor systems help in simplifying the task of handling bulky materials. It plays a vital role in operations by reducing and minimizing the production cycle time and errors respectively.
The spread of COVID-19 has positively affected the market studied especially in Food & Beverage and Pharmaceuticals sector, which have been deemed under essential services. Due to increased sales of the products under these segments, manufacturing facilities have been working round the clock to deliver the end-products, which would not have been possible without use of conveyor belt and other machines.
Key Market Trends
Retail Segment to Witness Significant Growth
To optimize warehouse space utilization and to stay profitable, retailers currently are increasingly adopting automated warehousing and distribution solutions. The retail sector utilizes these conveyor systems for distribution and warehousing operations, sorting and cross-docking. Growth in shopping through the online channel in the Asia-Pacific and LAMEA regions has created a conducive market environment.
The increasing usage of online retailing, coupled with changing consumer behavior toward goods purchasing, is likely to have a positive impact on the adoption of conveyor and sortation systems. In addition, many companies already invested in the sortation facility, are expected to increase their capacity, owing to the rising demand. For instance, UPS in September 2018, announced to expand their sortation capacity to reach over 25% increase in cross border orders by 2022.
The increasing purchasing power of consumers, changing lifestyles, growing working-class segment, and relaxation in government regulations such as Foreign Direct Investment. These factors have boosted the growth of supermarket chains and distribution centers, which are driving the demand for new distribution centers and warehouses, which is then expected to drive the conveyors market.
Asia Pacific is Expected to Hold the Largest Market Share
Many international corporations from developed countries across the globe have set up their production facilities in the APAC region, especially in developing countries such as India and China, because of the availability of cheaper factors of production (labor, raw material, and equipment). The increase in the growth of manufacturing activities has increased the adoption of conveyor systems in this region.
Moreover, increasing spending power, improving standard of living, and higher GDP among other factors are increasing the demand for manufactured goods, which in turn is leading to the increased adoption of these automated systems. For example, the majority of belt conveyors in Indian manufacturing facilities were initially of the low-speed type, with the expansion of these facilities fueled by increased public demand for goods is leading to the increased adoption of high-speed belt conveyors.
In India, demand is expected to increase from the retail, airport, and post and parcel industries during the forecast period. The retail market is primarily driven by the emergence of the e-market and customers shopping online which gave rise to fulfillment centers and warehouses. Also, with increased usage of communication devices, the internet is helping the growth of e-commerce and m-commerce.
The conveyors market is highly competitive owing to the presence of many large players supplying their product in domestic as well as in the international markets. The market appears to be moderately fragmented with the major players adopting strategies like product innovation and mergers and acquisitions. Some of the major players in the market are Daifuku Co. Ltd, SSI Schaefer AG, Murata Machinery Ltd among others.
January 2020 - SSI Schaefer implemented a logistics center for Misumi -- a global manufacturer and provider of mechanical components and indirect materials for special machine construction and assembly automation. Core elements of the system are an automated shuttle warehouse, a four-storied rack system, ergonomic work stations connected via a conveying system and the logistics software Wamas.
March 2019 - Daifuku completed the acquisition of Vega Conveyors and Automation Private Limited, a prominent material-handling vendor based in India. The acquisition is expected to strengthen the company's localization strategy. It is expected to benefit from the increasing demand for automation in the Asia-Pacific region.?
January 2019 - BEUMER Group signed an agreement with Aruba Airport Authority N.V. for the design and installation of a USD 33 million, high-speed baggage transportation and sortation system at Aruba's Queen Beatrix International Airport. The installation, which also includes BEUMER's residential program for on-site operation and maintenance, is part of the airport's Gateway 2030 expansion and modernization progam.
Reasons to Purchase this report:
The market estimate (ME) sheet in Excel format
3 months of analyst support
Key Topics Covered:
1.1 Study Deliverables
1.2 Study Assumptions
1.3 Scope of the Study
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET DYNAMICS
4.1 Market Overview
4.2 Introduction to Market Drivers and Restraints
4.3 Market Drivers
4.3.1 Increasing Demand for Handling Larger Volumes of Goods and Improving Productivity
4.3.2 Increasing E-commerce Trend to Drive the Market
4.4 Market Restraints
4.4.1 High Initial Investments
4.5 Industry Value Chain Analysis
4.6 Industry Attractiveness - Porter's Five Force Analysis
4.6.1 Threat of New Entrants
4.6.2 Bargaining Power of Buyers/Consumers
4.6.3 Bargaining Power of Suppliers
4.6.4 Threat of Substitute Products
4.6.5 Intensity of Competitive Rivalry
5 MARKET SEGMENTATION
5.1 By Product Type
5.2.1 North America
22.214.171.124 By End User
126.96.36.199.5 Food and Beverage
188.8.131.52.7 Mining *(Kindly note that similar end-user segment coverage is provided for all other regions in the scope)
184.108.40.206 By Country
220.127.116.11.1 United States
18.104.22.168 By End User
22.214.171.124 By Country
126.96.36.199 By End User
188.8.131.52 By Country
184.108.40.206.8 South Korea
5.2.4 Latin America
220.127.116.11 By End User
18.104.22.168 By Country
5.2.5 Middle East & Africa
22.214.171.124 By End User
126.96.36.199 By Country
188.8.131.52.2 Saudi Arabia
184.108.40.206.3 South Africa
6 COMPETITIVE LANDSCAPE
6.1 Company Profiles
6.1.1 Daifuku Co. Ltd
6.1.2 SSI Schaefer AG
6.1.3 Murata Machinery Ltd
6.1.4 Mecalux SA
6.1.5 BEUMER Group GmbH & Co. KG
6.1.6 KNAAP AG
6.1.7 KUKA AG (Swisslog AG)
6.1.8 Honeywell Intelligrated Inc.
6.1.9 Kardex Group
6.1.10 Viastrore Systems GmbH
6.1.11 Bastian Solutions Inc.
7 INVESTMENT ANALYSIS
8 MARKET OPPORTUNITIES AND FUTURE TRENDS
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