Europe Logistics Automation Market to Reach US$ 25.19 Billion by 2030, Driven by SME Integration in Supply Chain Logistics
The Europe logistics automation market was valued at US$ 10,084.34 million in 2022 and is projected to reach US$ 25,191.85 million by 2030, growing at a CAGR of 12.1% from 2022 to 2030.
SMEs Fueling Growth Through Logistics Optimization
Small and medium-sized enterprises (SMEs) are the backbone of most global economies, especially in emerging markets. Representing approximately 90% of all firms and contributing to over 50% of global employment, SMEs play a pivotal role in economic development. In developing regions, formal SMEs contribute up to 40% of GDP, with informal enterprises pushing this figure even higher.
As SMEs increasingly rely on robust transportation and logistics networks to scale their operations, logistics automation becomes essential. Efficient logistics solutions—particularly through third-party logistics (3PL) providers—enable SMEs to manage inventory, meet fluctuating demand, and ensure timely delivery. This demand for dependable logistics services is driving innovation and automation across supply chains.
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In regions like India, companies such as Delhivery, BlackBuck, Rivigo, and Shadowfax have revolutionized logistics by integrating automation and data-driven technologies into supply chain processes. TruckBhejo, serving diverse sectors from retail and FMCG to telecom and e-commerce, demonstrates how full-spectrum logistics services (first, middle, and last mile) can create scalable, efficient supply chain ecosystems.
These global best practices offer a roadmap for SMEs in Europe, whose increasing participation in supply chain logistics is expected to accelerate the adoption of automation technologies across the continent.
Europe Logistics Automation Market Overview
Growing technological advancements have encouraged the adoption of robots in various industries. Logistics automation is becoming essential for retailers owing to the growing retail and e-commerce sectors worldwide. Market players are trying to achieve omnichannel and online strategies. Thus, logistics automation is necessary for retailers. Logistics automation ensures inventory management, tracking, reporting and forecasting, packaging, transportation of goods, and warehouse management. The retailers attract customers by providing free and fast delivery options. Thus, various industries are shifting toward adopting logistics automation to achieve effective supply chain processes and gain a competitive advantage to maintain their strong presence in the market. Continuous technological advancements and the rise in demand for automation positively impact the global market.
Europe is a technologically advanced region. The growth of e-commerce and online retail sectors in the region fuels the demand for diverse types of warehouses such as parcel sorting centers, mega fulfillment centers (merchandise storage and pick-up), local parcel delivery centers, return processing centers, dot.com warehouses (fulfillment of online orders), and local delivery centers (for same-day deliveries). The warehouse and storage market in Europe has grown annually by ~2-3% due to online retail and e-commerce growth. These factors contribute to the high market growth in this region.
Europe Logistics Automation Strategic Insights
Strategic insights for the Europe Logistics Automation provides data-driven analysis of the industry landscape, including current trends, key players, and regional nuances. These insights offer actionable recommendations, enabling readers to differentiate themselves from competitors by identifying untapped segments or developing unique value propositions. Leveraging data analytics, these insights help industry players anticipate the market shifts, whether investors, manufacturers, or other stakeholders. A future-oriented perspective is essential, helping stakeholders anticipate market shifts and position themselves for long-term success in this dynamic region. Ultimately, effective strategic insights empower readers to make informed decisions that drive profitability and achieve their business objectives within the market.
Market leaders and key company profiles
BEUMER Group GmbH & co KG
Daifuku Co Ltd
Dematic Corp
Honeywell Intonational Inc
KNAPP AG
Mecalux SA
Swisslog Holding AG
TGW Logistics Group GmbH
Europe Logistics Automation Regional Insights
The geographic scope of the Europe Logistics Automation refers to the specific areas in which a business operates and competes. Understanding local distinctions, such as diverse consumer preferences (e.g., demand for specific plug types or battery backup durations), varying economic conditions, and regulatory environments, is crucial for tailoring strategies to specific markets. Businesses can expand their reach by identifying underserved areas or adapting their offerings to meet local demands. A clear market focus allows for more effective resource allocation, targeted marketing campaigns, and better positioning against local competitors, ultimately driving growth in those targeted areas.
Europe Logistics Automation Market Segmentation Overview
The Europe logistics automation market is segmented by component, mode of freight transport, application, end-user industry, and country.
- By Component:
The market is divided into hardware, software, and services. Among these, hardware accounted for the largest market share in 2022, driven by the widespread deployment of automation equipment and systems. - By Mode of Freight Transport:
Segments include land, water, and air transport. In 2022, the land segment held the dominant share, supported by the region’s extensive road and rail infrastructure. - By Application:
The market is categorized into warehouse management and transportation management. Warehouse management emerged as the leading application area in 2022, reflecting growing investments in automated storage and retrieval systems. - By End-User Industry:
Key end-user industries include manufacturing, retail and e-commerce, oil and gas, food and beverages, automotive, healthcare and pharmaceuticals, and others. The manufacturing sector led the market in 2022 due to its high adoption of automation technologies to streamline operations and enhance productivity. - By Country:
Geographically, the market is segmented into Germany, France, the UK, Italy, Spain, and the Rest of Europe. Germany held the largest share of the Europe logistics automation market in 2022, supported by its advanced industrial base and strong presence of automation providers.
Leading Companies:
Prominent players in the Europe logistics automation market include BEUMER Group GmbH & Co. KG, Daifuku Co., Ltd., Dematic Corp, Honeywell International Inc., KNAPP AG, Mecalux SA, Swisslog Holding AG, and TGW Logistics Group GmbH. These companies are at the forefront of innovation, offering a wide range of automation solutions tailored to logistics operations across the continent.
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Author’s Bio
Akshay
Senior Market Research Expert at Business Market Insights
