Global Postal Automation Systems Market to Reach $1 Billion by 2025 |


SAN FRANCISCO, March 28, 2022 /PRNewswire/ — New market research published by Global Industry Analysts Inc., (GIA), the leading market research firm, today released its report titled “Postal Automation Systems – Global Market Trajectory and Analysis”. The report presents new insights into the opportunities and challenges in a significantly transformed post COVID-19 market.


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Editing: 7; Published: February 2022

Executive Pool: 17302

Companies: 50 – Players covered include Accenture Plc; Ammeraal Beltech Holding BV; BEUMER Group GmbH & Co. KG; Escher Group; Falcon Autotech Private Limited; Fives Group; Leonardo SpA; Lockheed Martin Company; Mitsubishi Electric Corporation; National Presort, Inc.; NEC Corporation; Pitney Bowes Inc.; Siemens Logistics GmbH; SOLYSTIC SAS; Toshiba Corporation; Vanderlande Industries BV; Zebra Technologies Corp. and others.

Blanket: All major geographies and key segments

segments: Application (Government Post, Courier, Express and Parcel); Component (Hardware, Software, Services); Technology (Parcel Sorters, Flatbed Sorters, Letter Sorters, Culler Facer Cancellers, Mixed Mail Sorters, Other Technologies)

Geographies: World; United States; Canada; Japan; China; Europe; France; Germany; Italy; UK; Rest of Europe; Asia Pacific; Rest of the world.

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Global Postal Automation Systems Market to Reach $1 billion by 2025

Amid COVID-19 Crisis, Global Postal Automation Systems Market is Expected to Reach 1 billion US dollars by 2025, registering a compound annual growth rate (CAGR) of 6.0% over the analysis period. United States represents the largest regional market for postal automation systems, accounting for an estimated 37.8% share of the global total. The market should reach US$381.9 million at the end of the analysis period. China is expected to spearhead the growth and become the fastest growing regional market with a CAGR of 7.8% over the analysis period.

The market is mainly driven by the pressing need for automated sorting and faster delivery of parcels. Growing automation is pushing businesses in various industries to adopt advanced sorting systems to reduce labor costs, minimize errors, and improve efficiency. Rising interest in advanced postal automation systems among leading technology developers and vendors is benefiting the market. Postal operators should invest in these systems to ensure high accuracy and speed of parcel delivery. The continuous increase in the volume of parcels and parcels, especially due to the growing popularity of online shopping, is likely to create the demand for reliable and efficient solutions to sort parcels and deliver them on time. Additionally, the shift from conventional postal operations to connected, efficient and intelligent operations through the integration of Industry 4.0 practices is sure to provide huge opportunities for growth. In the years to come, parcel sorting systems are expected to be accepted across a wide range of industries, including automotive, electronics, retail, pharmaceuticals, and food and beverage. On the other hand, high investment and maintenance costs along with concerns about the contribution of automation to rising unemployment are likely to inhibit the growth of the market. However, advancements in technology and increasing automation are expected to benefit the market in both developing and developed regions.

The growing popularity of online shopping is also driving the growth of the market.

The growing use of the channel for purchases has also increased the number of parcels and parcels that need to be reliably processed and delivered. This trend has played a vital role in increasing the adoption of postal automation systems. On the other hand, high capital investments and contraction in the letter market continue to limit the overall expansion of the postal automation systems market. One of the major challenges for market players is to design advanced systems in the era of Industrial Internet of Things (IIoT). Additionally, technical issues associated with these systems can hamper entire operations. Technical problems associated with the sensing elements of these systems could interrupt operation, while software problems could affect operation and delay the sorting process. These concerns require companies to offer more efficient systems that can meet the expectations of postal operators and help them provide faster and more reliable services.

The United States is estimated to account for the dominant share of the global postal automation systems market and will witness substantial growth in the coming years. The strong position of the region can be attributed to the adoption of advanced technologies and the presence of prominent CEP and postal players. North America in the same way Europe pioneered the adoption of postal automation systems to provide enhanced connectivity and meet changing consumer needs. The region is witnessing increasing investments from players to renovate and upgrade postal automation systems to increase capacity. United States Postal Service (USPS), the government postal service provider in the United States, continues to spend on postal automation solutions as various parcel, express and courier service providers across the country have teamed up to suppliers of postal automation systems. Another significant factor boosting the regional market is the impressive growth in the e-commerce industry, creating a high demand for automation systems within the postal and parcel industry. The market for postal automation systems in Asia Pacific is expected to experience the highest growth rate in the coming years owing to the continued automation of distribution centers and warehouses as well as the expansion of logistics and e-commerce players in the region. Continued

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