Gcc Warehouse Automation Market
GCC Warehouse Automation Market, By Component (Hardware, Software); By Product Category (Semi-Automated, Fully Automated); By Technology (Automated Storage & Retrieval Systems (AS/RS), Automatic Guided Vehicles (AGVs), Autonomous Mobile Robots (AMRs), Voice Picking & Tasking, Automated Sortation Systems); By End User (Healthcare, Retail, BFSI (Banking, Financial Services, and Insurance), IT & Telecom, Manufacturing); By Country (Saudi Arabia, UAE, Qatar, Bahrain, Kuwait, Oman), Trend Analysis, Competitive Landscape & Forecast, 2019–2030
- Published Date: August 2024
- Report ID: BWC24624
- Available Format: PDF
- Page: 300
Report Overview
The booming e-commerce sector, governments’ supportive initiatives, and increasing labor cost and shortages are expected to drive GCC Warehouse Automation Market during the forecast period between 2024 and 2030
GCC Warehouse Automation Market – Industry Trends & Forecast Report, 2030
GCC Warehouse Automation Market size was estimated at USD 1.09 billion in 2023. During the forecast period between 2024 and 2030, GCC Warehouse Automation Market size is projected to grow at a CAGR of 16.02% reaching a value of USD 3.10 billion by 2030. Prominent drivers of the market include substantial investments by countries such as the UAE and Saudi Arabia in infrastructure to support e-commerce growth. This investment encompasses enhancements in internet access, data centers, cloud computing, and logistical infrastructure, leading to a notable increase in warehouses across the region. The surge in e-commerce has driven businesses to enhance their operational capabilities, thereby escalating the demand for warehouse automation solutions. As the region strives to establish itself as a global e-commerce hub, the demand for automation solutions is rising to ensure efficient order fulfillment in a dynamic market. Furthermore, the emphasis on strengthening manufacturing sectors has led to the establishment of additional facilities and warehouses, generating significant demand for warehouse automation technologies, such as Automated Storage and Retrieval Systems (AS/RS), robotic picking systems, conveyor systems, and inventory management software, to optimize manufacturing processes.
Warehouse Automation – Overview
Warehouse automation refers to the use of technology and machinery to perform tasks traditionally handled by human labor within a warehouse. This includes systems and equipment designed to enhance efficiency, accuracy, and speed in the handling, storage, and retrieval of goods. Key components of warehouse automation can include automated storage and retrieval systems (AS/RS), conveyor systems, robotic picking systems, automated guided vehicles (AGVs), and inventory management software. By integrating these technologies, warehouse automation aims to streamline operations, reduce labor costs, minimize errors, and improve overall productivity in warehouse environments.
GCC Warehouse Automation Market
Growth Drivers
Booming E-commerce Sector
The GCC region boasts a digitally proficient population, characterized by a high percentage of young residents and extensive internet access. Significant investments in infrastructure, including internet connectivity, data centers, and logistics, have spurred e-commerce growth, resulting in a remarkable 33% increase in sales from 2019 to 2022, surpassing the global average of 17%, according to Dubai CommerCity. This e-commerce surge has driven a rise in warehouse establishments, essential for order fulfillment, thereby increasing the demand for warehouse automation solutions as businesses seek to enhance operational efficiency in the evolving e-commerce environment.
Governments’ Supportive Initiatives
The GCC countries have embarked on comprehensive digitalization strategies as part of their National Visions to enhance supply chain efficiency and management. For instance, the UAE’s Vision 2030 focuses on integrating advanced technologies like AI and blockchain to streamline supply chains and improve operational productivity. Similarly, Saudi Arabia’s Vision 2030 aims to establish the country as a global logistics hub through improved digital infrastructure and services. Qatar’s Smart Qatar Program, with its substantial investment, is also pivotal in advancing digital logistics and transportation. These initiatives collectively foster a robust digital ecosystem, propelling the demand for warehouse automation solutions as businesses and governments alike seek to modernize and optimize supply chain processes amidst growing market dynamics.
Challenges
High Initial Investment
High initial investment could restrain the growth of GCC Warehouse Automation Market, as the substantial upfront costs required for implementing advanced automation technologies can be a significant barrier for many businesses. These initial expenses, which include purchasing and integrating sophisticated systems such as Automated Storage and Retrieval Systems (AS/RS), robotic picking systems, and advanced inventory management software, may deter smaller enterprises from adopting such solutions. Consequently, the high capital expenditure limits the market’s expansion potential, particularly for businesses with constrained budgets, and slows down the overall adoption of warehouse automation across the GCC region.
Impact of Escalating Geopolitical Tensions on GCC Warehouse Automation Market
Escalating geopolitical tensions among countries across regions could have a significant impact on the growth of GCC Warehouse Automation Market. These tensions can disrupt supply chains and create uncertainty in international trade, leading to interruptions in the flow of goods and raw materials essential for automation systems. Additionally, heightened geopolitical risks may deter foreign investments and delay critical infrastructure projects needed for automation. This environment of uncertainty can prompt businesses to adopt a cautious approach, prioritizing short-term stability over long-term investments, thus slowing the growth and adoption of warehouse automation technologies in the GCC region.
GCC Warehouse Automation Market
Segmental Coverage
GCC Warehouse Automation Market – By Component
By component, GCC Warehouse Automation Market is bifurcated into Hardware and Software segments. The hardware segment holds a higher share in GCC Warehouse Automation Market by component, due to its fundamental role in automation systems. Key hardware elements, including Automated Storage and Retrieval Systems (AS/RS), conveyor systems, and robotic picking devices, are essential for streamlining warehouse operations and improving efficiency. These technologies are critical for enhancing storage capabilities, optimizing order fulfillment, and reducing manual labor. As businesses in the GCC invest in advanced automation solutions to meet growing e-commerce demands, the substantial investment in hardware reflects its central importance in driving operational improvements and market growth.
GCC Warehouse Automation Market – By Product Category
Based on product category, GCC Warehouse Automation Market is split into Semi-Automated and Fully Automated segments.
GCC Warehouse Automation Market – By Technology
Based on technology, GCC Warehouse Automation Market is divided into Automated Storage & Retrieval Systems (AS/RS), Automatic Guided Vehicles (AGVs), Autonomous Mobile Robots (AMRs), Voice Picking & Tasking, and Automated Sortation Systems segments. The automated storage and retrieval systems (AS/RS) segment holds the highest share in GCC Warehouse Automation Market by technology. AS/RS employs advanced technologies, including robotics, conveyors, and warehouse management software (WMS), to automate the storage and retrieval of goods. This technology optimizes floor space, enhances vertical storage capacity, and improves inventory density and throughput. It also offers significant benefits such as improved ergonomics, increased safety, and reduced labor costs. AS/RS systems streamline production and shipping processes, minimize accident risks, and are widely used across various industries including semiconductors, food and beverage, automotive, healthcare, e-commerce, and chemicals, making it the leading technology in warehouse automation.
GCC Warehouse Automation Market – By End User
On the basis of end user, GCC Warehouse Automation Market is divided Healthcare, Retail, BFSI (Banking, Financial Services, and Insurance), IT & Telecom, Manufacturing, and Others (Government, Travel & Tourism) segments.
GCC Warehouse Automation Market – By Country
The in-depth research report on the GCC Warehouse Automation Market covers the market in the region’s major countries including Saudi Arabia, UAE, Qatar, Bahrain, Kuwait, and Oman. Saudi Arabia holds the highest share in GCC Warehouse Automation Market and is expected to maintain its dominance during the forecast period, driven by the expansion of its manufacturing, retail, and e-commerce sectors. According to the International Trade Administration, the country had a high smartphone penetration rate of 97% and surpassed many developed markets in mobile broadband internet subscriptions as of 2022. This high connectivity has fueled the e-commerce boom and, in turn, increased investment in warehouse automation solutions. Government initiatives to improve supply chain management have significantly contributed to the growth of the Warehouse Automation Market. Additionally, Saudi Arabia's strategic goal to achieve an annual container capacity of over 40 million containers has spurred the development of port infrastructure and logistics zones, further boosting market growth. The government's substantial investments in expanding the manufacturing sector, including consumer electronics, transportation, and pharmaceuticals, are expected to drive up storage needs and, consequently, the demand for warehouse automation solutions in the coming years.
Competitive Landscape
Major players operating in GCC Warehouse Automation Market include Honeywell International Inc., SSI Schaefer, Omron Corporation, Schneider Electric, ABB Ltd, Toshiba Corporation, ALS Logistic Solutions DMCC, Falcon Autotech, Daifuku, Swisslog, Acme Intralog Fzco, Savoye Designs, Kardex, and Infor Designs. To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.
Recent Developments
-
In August 2023 - Addverb, a global provider of warehouse automation solutions, partnered with Logsquare, a leading logistics system integrator, to enhance their presence in the Middle East, particularly in the GCC and Iraq. The alliance combines Addverb's expertise in Industry 4.0, IoT, and robotics with Logsquare's local engineering and comprehensive logistics solutions. The collaboration will integrate Addverb's Autonomous Mobile Robots and Fleet Management System into Logsquare’s offerings, aiming to improve supply chain efficiency and operational performance.
Scope of the Report
Attributes |
Details |
Years Considered |
Historical Data – 2019–2030 |
Base Year – 2023 |
|
Estimated Year – 2024 |
|
Forecast Period – 2024–2030 |
|
Facts Covered |
USD Billion |
Market Coverage |
Saudi Arabia, UAE, Qatar, Bahrain, Kuwait, Oman |
Product/ Service Segmentation |
Component, Product Category, technology, End User, Region |
Key Players |
Honeywell International Inc., SSI Schaefer, Omron Corporation, Schneider Electric, ABB Ltd, Toshiba Corporation, ALS Logistic Solutions DMCC, Falcon Autotech, Daifuku, Swisslog, Acme Intralog Fzco, Savoye Designs, Kardex, Infor Designs |
By Component
-
Hardware
-
Software
By Product Category
-
Semi-Automated
-
Fully Automated
By Technology
-
Automated Storage & Retrieval Systems (AS/RS)
-
Automatic Guided Vehicles (AGVs)
-
Autonomous Mobile Robots (AMRs)
-
Voice Picking & Tasking
-
Automated Sortation Systems
By End User
-
Healthcare
-
Retail
-
BFSI (Banking, Financial Services, and Insurance)
-
IT & Telecom
-
Manufacturing
By Country
-
Saudi Arabia
-
UAE
-
Qatar
-
Bahrain
-
Kuwait
-
Oman
- Research Framework
- Research Objective
- Product Overview
- Market Segmentation
- Executive Summary
- GCC Warehouse Automation Market Insights
- Industry Value Chain Analysis
- DROC Analysis
- Growth Drivers
- E-commerce Boom
- Government Initiatives
- Labor Cost and Shortages
- Restraints
- High Initial Investment
- Return on Investment (ROI) Justification
- Data Security Concerns
- Opportunities
- Growth in Non-Ecommerce Sectors
- Advancements in Technology
- Integration with Existing Systems
- Challenges
- Power Supply and Infrastructure
- Skill Gap for New Technologies
- Growth Drivers
- Technological Advancements/Recent Developments
- Regulatory Framework
- Porter’s Five Forces Analysis
- Bargaining Power of Suppliers
- Bargaining Power of Buyers
- Threat of New Entrants
- Threat of Substitutes
- Intensity of Rivalry
- GCC Warehouse Automation Market: Marketing Strategies
- GCC Warehouse Automation Market Overview
- Market Size & Forecast, 2019–2030
- By Value (USD Billion)
- Market Share & Forecast
- By Component
- Hardware
- Software
- By Product Category
- Semi-Automated
- Fully Automated
- By Technology
- Automated Storage & Retrieval Systems (AS/RS)
- Automatic Guided Vehicles (AGVs)
- Autonomous Mobile Robots (AMRs)
- Voice Picking & Tasking
- Automated Sortation Systems
- Others
- By End User
- Healthcare
- Retail
- BFSI (Banking, Financial Services, and Insurance)
- IT & Telecom
- Manufacturing
- Others (Government, Travel & Tourism)
- By Countries
- Saudi Arabia
- UAE
- Qatar
- Bahrain
- Kuwait
- Oman
- By Component
- Market Size & Forecast, 2019–2030
- Saudi Arabia Warehouse Automation Market
- Market Size & Forecast, 2019–2030
- By Value (USD Billion)
- Market Share & Forecast
- By Component
- By Product Category
- By Technology
- By End User
- Market Size & Forecast, 2019–2030
- UAE Warehouse Automation Market
- Market Size & Forecast, 2019–2030
- By Value (USD Billion)
- Market Share & Forecast
- By Component
- By Product Category
- By Technology
- By End User
- Market Size & Forecast, 2019–2030
- Qatar Warehouse Automation Market
- Market Size & Forecast, 2019–2030
- By Value (USD Billion)
- Market Share & Forecast
- By Component
- By Product Category
- By Technology
- By End User
- Market Size & Forecast, 2019–2030
- Bahrain Warehouse Automation Market
- Market Size & Forecast, 2019–2030
- By Value (USD Billion)
- Market Share & Forecast
- By Component
- By Product Category
- By Technology
- By End User
- Market Size & Forecast, 2019–2030
- Kuwait Warehouse Automation Market
- Market Size & Forecast, 2019–2030
- By Value (USD Billion)
- Market Share & Forecast
- By Component
- By Product Category
- By Technology
- By End User
- Market Size & Forecast, 2019–2030
- Oman Warehouse Automation Market
- Market Size & Forecast, 2019–2030
- Market Share & Forecast
- By Component
- By Product Category
- By Technology
- By End User
- Competitive Landscape
- List of Key Players and Their Offerings
- GCC Warehouse Automation Company Market Share Analysis, 2023
- Competitive Benchmarking, By Operating Parameters
- Key Strategic Developments (Mergers, Acquisitions, Partnerships, etc.)
- Impact of Escalating Geopolitical Tensions on GCC Warehouse Automation Market
- Company Profiles (Company Overview, Financial Matrix, Competitive Landscape, Key Personnel, Key Competitors, Contact Address, Strategic Outlook, and SWOT Analysis)
- Honeywell International Inc.
- SSI Schaefer
- Omron Corporation
- Schneider Electric
- ABB Ltd
- Toshiba Corporation
- ALS Logistic Solutions DMCC
- Falcon Autotech
- Daifuku
- Swisslog
- Acme Intralog Fzco
- Savoye Designs
- Kardex
- Infor Designs
- Other Prominent Players
- Key Strategic Recommendations
- Research Methodology
- Qualitative Research
- Primary & Secondary Research
- Quantitative Research
- Market Breakdown & Data Triangulation
- Secondary Research
- Primary Research
- Breakdown of Primary Research Respondents, By Region
- Assumptions & Limitations
- Qualitative Research
*Financial information of non-listed companies can be provided as per availability.
**The segmentation and the companies are subject to modifications based on in-depth secondary research for the final deliverable.
List of Figures
Figure 1 GCC Warehouse Automation Segmentation
Figure 2 GCC Warehouse Automation Market Value Chain Analysis
Figure 3 Company Market Share Analysis, 2023
Figure 4 GCC Warehouse Automation Market Size, By Value (USD Billion), 2019–2030
Figure 5 GCC Warehouse Automation Market Share, By Component, By Value, 2019–2030
Figure 6 GCC Warehouse Automation Market Share, By Product Category, By Value, 2019–2030
Figure 7 GCC Warehouse Automation Market Share, By Technology, By Value, 2019–2030
Figure 8 GCC Warehouse Automation Market Share, By End User, By Value, 2019–2030
Figure 9 GCC Warehouse Automation Market Share, By Country, By Value, 2019–2030
Figure 10 Saudi Arabia Warehouse Automation Market Size, By Value (USD Billion), 2019–2030
Figure 11 Saudi Arabia Warehouse Automation Market Share, By Component, By Value, 2019–2030
Figure 12 Saudi Arabia Warehouse Automation Market Share, By Product Category, By Value, 2019–2030
Figure 13 Saudi Arabia Warehouse Automation Market Share, By Technology, By Value, 2019–2030
Figure 14 Saudi Arabia Warehouse Automation Market Share, By End User, By Value, 2019–2030
Figure 15 UAE Warehouse Automation Market Size, By Value (USD Billion), 2019–2030
Figure 16 UAE Warehouse Automation Market Share, By Component, By Value, 2019–2030
Figure 17 UAE Warehouse Automation Market Share, By Product Category, By Value, 2019–2030
Figure 18 UAE Warehouse Automation Market Share, By Technology, By Value, 2019–2030
Figure 19 UAE Warehouse Automation Market Share, By End User, By Value, 2019–2030
Figure 20 Qatar Warehouse Automation Market Size, By Value (USD Billion), 2019–2030
Figure 21 Qatar Warehouse Automation Market Share, By Component, By Value, 2019–2030
Figure 22 Qatar Warehouse Automation Market Share, By Product Category, By Value, 2019–2030
Figure 23 Qatar Warehouse Automation Market Share, By Technology, By Value, 2019–2030
Figure 24 Qatar Warehouse Automation Market Share, By End User, By Value, 2019–2030
Figure 25 Bahrain Warehouse Automation Market Size, By Value (USD Billion), 2019–2030
Figure 26 Bahrain Warehouse Automation Market Share, By Component, By Value, 2019–2030
Figure 27 Bahrain Warehouse Automation Market Share, By Product Category, By Value, 2019–2030
Figure 28 Bahrain Warehouse Automation Market Share, By Technology, By Value, 2019–2030
Figure 29 Bahrain Warehouse Automation Market Share, By End User, By Value, 2019–2030
Figure 30 Kuwait Warehouse Automation Market Size, By Value (USD Billion), 2019–2030
Figure 31 Kuwait Warehouse Automation Market Share, By Component, By Value, 2019–2030
Figure 32 Kuwait Warehouse Automation Market Share, By Product Category, By Value, 2019–2030
Figure 33 Kuwait Warehouse Automation Market Share, By Technology, By Value, 2019–2030
Figure 34 Kuwait Warehouse Automation Market Share, By End User, By Value, 2019–2030
Figure 35 Oman Warehouse Automation Market Size, By Value (USD Billion), 2019–2030
Figure 36 Oman Warehouse Automation Market Share, By Component, By Value, 2019–2030
Figure 37 Oman Warehouse Automation Market Share, By Product Category, By Value, 2019–2030
Figure 38 Oman Warehouse Automation Market Share, By Technology, By Value, 2019–2030
Figure 39 Oman Warehouse Automation Market Share, By End User, By Value, 2019–2030
List of Tables
Table 1 GCC Warehouse Automation Market Size, By Value (USD Billion), 2019–2030
Table 2 GCC Warehouse Automation Market Share, By Component, By Value, 2019–2030
Table 3 GCC Warehouse Automation Market Share, By Product Category, By Value, 2019–2030
Table 4 GCC Warehouse Automation Market Share, By Technology, By Value, 2019–2030
Table 5 GCC Warehouse Automation Market Share, By End User, By Value, 2019–2030
Table 6 GCC Warehouse Automation Market Share, By Country, By Value, 2019–2030
Table 7 Saudi Arabia Warehouse Automation Market Size, By Value (USD Billion), 2019–2030
Table 8 Saudi Arabia Warehouse Automation Market Share, By Component, By Value, 2019–2030
Table 9 Saudi Arabia Warehouse Automation Market Share, By Product Category, By Value, 2019–2030
Table 10 Saudi Arabia Warehouse Automation Market Share, By Technology, By Value, 2019–2030
Table 11 Saudi Arabia Warehouse Automation Market Share, By End User, By Value, 2019–2030
Table 12 UAE Warehouse Automation Market Size, By Value (USD Billion), 2019–2030
Table 13 UAE Warehouse Automation Market Share, By Component, By Value, 2019–2030
Table 14 UAE Warehouse Automation Market Share, By Product Category, By Value, 2019–2030
Table 15 UAE Warehouse Automation Market Share, By Technology, By Value, 2019–2030
Table 16 UAE Warehouse Automation Market Share, By End User, By Value, 2019–2030
Table 17 Qatar Warehouse Automation Market Size, By Value (USD Billion), 2019–2030
Table 18 Qatar Warehouse Automation Market Share, By Component, By Value, 2019–2030
Table 19 Qatar Warehouse Automation Market Share, By Product Category, By Value, 2019–2030
Table 20 Qatar Warehouse Automation Market Share, By Technology, By Value, 2019–2030
Table 21 Qatar Warehouse Automation Market Share, By End User, By Value, 2019–2030
Table 22 Bahrain Warehouse Automation Market Size, By Value (USD Billion), 2019–2030
Table 23 Bahrain Warehouse Automation Market Share, By Component, By Value, 2019–2030
Table 24 Bahrain Warehouse Automation Market Share, By Product Category, By Value, 2019–2030
Table 25 Bahrain Warehouse Automation Market Share, By Technology, By Value, 2019–2030
Table 26 Bahrain Warehouse Automation Market Share, By End User, By Value, 2019–2030
Table 27 Kuwait Warehouse Automation Market Size, By Value (USD Billion), 2019–2030
Table 28 Kuwait Warehouse Automation Market Share, By Component, By Value, 2019–2030
Table 29 Kuwait Warehouse Automation Market Share, By Product Category, By Value, 2019–2030
Table 30 Kuwait Warehouse Automation Market Share, By Technology, By Value, 2019–2030
Table 31 Kuwait Warehouse Automation Market Share, By End User, By Value, 2019–2030
Table 32 Oman Warehouse Automation Market Size, By Value (USD Billion), 2019–2030
Table 33 Oman Warehouse Automation Market Share, By Component, By Value, 2019–2030
Table 34 Oman Warehouse Automation Market Share, By Product Category, By Value, 2019–2030
Table 35 Oman Warehouse Automation Market Share, By Technology, By Value, 2019–2030
Table 36 Oman Warehouse Automation Market Share, By End User, By Value, 2019–2030
Table 37 Honeywell International Inc. Company Overview
Table 38 Honeywell International Inc. Financial Overview
Table 39 SSI Schaefer Company Overview
Table 40 SSI Schaefer Financial Overview
Table 41 Omron Corporation Company Overview
Table 42 Omron Corporation Financial Overview
Table 43 Schneider Electric Company Overview
Table 44 Schneider Electric Financial Overview
Table 45 ABB Ltd Company Overview
Table 46 ABB Ltd Financial Overview
Table 47 Toshiba Corporation Company Overview
Table 48 Toshiba Corporation Financial Overview
Table 49 ALS Logistic Solutions DMCC Company Overview
Table 50 ALS Logistic Solutions DMCC Financial Overview
Table 51 Falcon Autotech Company Overview
Table 52 Falcon Autotech Financial Overview
Table 53 Daifuku Company Overview
Table 54 Daifuku Financial Overview
Table 55 Swisslog Company Overview
Table 56 Swisslog Financial Overview
Table 57 Acme Intralog Fzco Company Overview
Table 58 Acme Intralog Fzco Financial Overview
Table 59 Savoye Designs Company Overview
Table 60 Savoye Designs Financial Overview
Table 61 Kardex Company Overview
Table 62 Kardex Financial Overview
Table 63 Infor Designs Company Overview
Table 64 Infor Designs Financial Overview
Table 65 Other Prominent Players Company Overview
Table 66 Other Prominent Players Financial Overview
Market Segmentation
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