Automated storage and retrieval system (ASRS) Market Size, Trends and Growth Analysis by 2027

In 2018, the global market for automated storage and retrieval systems (ASRS) was valued at approximately US$ 2.3 billion and is projected to grow to US$ 4.6 billion by 2027, reflecting a compound annual growth rate (CAGR) of 8.0% during the period from 2019 to 2027.

ASRS technology has evolved significantly over the years, with new solutions providing a diverse array of sizes, costs, speeds, and flexibility, which has accelerated the adoption of these systems. This advancement has positioned ASRS technologies as one of the most prevalent and influential investment opportunities for various operations.
 
The Asia-Pacific (APAC) region is anticipated to experience the highest CAGR throughout the forecast period. The rapid expansion of sectors such as healthcare, retail, food and beverage, and automotive is expected to drive the demand for automated storage and retrieval systems. Industries in the APAC region are increasingly embracing automation, which is contributing to the growth of the ASRS market. Additionally, the booming e-commerce sector in APAC is a crucial factor influencing the ASRS market. Numerous automotive manufacturers are enhancing their production capabilities in this region; for instance, Hyundai has announced plans to establish a new electric vehicle facility in Indonesia, while Tesla is working on a new electric car factory in China. These developments in the automotive sector are likely to further stimulate the ASRS market in APAC.

In 2018, Europe was estimated to dominate the ASRS market. The growth in this region can be attributed to the presence of numerous ASRS providers and a substantial customer base. Furthermore, significant investments by automotive companies in automated material handling equipment are propelling the installation of ASRS. The declining costs associated with automation implementation, coupled with rising labor costs in Europe, are also contributing to this growth.
 
The ASRS market is categorized by type and end-use industry. In terms of type, the market includes unit load ASRS, mini load ASRS, vertical carousels, horizontal carousels, vertical lift modules, AutoStore systems, and others. By end-use industry, the market is segmented into automotive, food and beverage, electronics and semiconductors, retail, e-commerce, chemicals, aerospace, pharmaceuticals, and more. Notably, the pharmaceutical segment is expected to register the highest CAGR in the ASRS market during the forecast period. This sector places a premium on maintaining the hygiene of stored products, and ASRS provides essential features such as dust protection, climate control, and humidity management, which traditional systems cannot offer. Consequently, the pharmaceutical industry is making significant investments in ASRS to ensure the necessary hygiene standards for products while also achieving effective storage and retrieval operations.
The pharmaceutical sector is among the most stringently regulated industries, requiring 100% quality control, which is critical compared to other sectors. Precision is vital in all production processes, and extreme hygienic conditions are essential in pharmaceutical manufacturing. ASRS solutions, such as vertical lift modules (VLMs), provide a dust-protection mechanism to prevent products from coming into contact with contaminants. Additionally, the trays within VLMs can be effectively separated to ensure that different products are stored independently.

Key players in the ASRS market include Bastian Solutions, Inc., Daifuku Co., Ltd., KION GROUP AG, Kardex Group, Knapp AG, Mecalux, S.A., SSI Schaefer Group, Swisslog Holding AG, System Logistics Spa, and Vanderlande Industries, among others. Many companies are investing in ASRS due to the potential enhancements in accuracy, operational efficiency, and timely order fulfillment, which help improve customer retention and competitive positioning in the market.

Additional Market Participants in the Value Chain:

Other notable players in the ASRS value chain include Murata Machinery, Ltd, TGW Logistics Group, Dematic, Beumer Group, IHI Corporation, SencorpWhite, Inc., Westfalia Technologies Inc., and Automation Logistics Corporation. These companies, while not profiled in the report, can be included upon request.
 
The overall size of the ASRS market has been determined through both primary and secondary research methods. The research process begins with comprehensive secondary research utilizing both internal and external sources to gather qualitative and quantitative data related to the ASRS market. It also provides an overview and forecast for the global ASRS market based on various segments across five primary regions: North America, Europe, Asia-Pacific, the Middle East and Africa, and South America. Additionally, primary interviews with industry participants and experts were conducted to validate the data and analysis. Participants typically include industry professionals such as VPs, business development managers, market intelligence managers, and national sales managers, as well as external consultants like valuation experts, research analysts, and key opinion leaders specializing in the ASRS industry.