Light-directed Picking Systems Market

Global Light-directed Picking Systems Market: Global Size, Trends, Competitive, and Historical & Forecast Analysis, 2023-2029: The market will expand due to the increased demand for e-commerce and home delivery services, and technological advancements in ldps hardware and software.

Global Light-directed Picking Systems Market is valued at USD 541.9 Million in 2022 and it is expected to reach USD 1069.5 Million by 2029 with a CAGR of 10.2% over the forecast period.

Scope of Global Light-directed Picking Systems Market Report-

Light-directed Picking Systems (LDPS) is a technology used in warehouses and distribution centers to automate the order-picking process. The system uses light and/or voice commands to guide pickers to the right locations and items for picking, ensuring accuracy and efficiency. The first LDPS was developed in the 1980s by a company called Kiva Systems (later acquired by Amazon). Since then, technology has advanced significantly and has become a popular solution for warehouses and distribution centers worldwide.

LDPS is primarily used in e-commerce, retail, and logistics industries to increase order-picking efficiency and accuracy. It is especially useful for high-volume, low-SKU (stock-keeping unit) operations. The primary end-users of LDPS are warehouses and distribution centers across various industries such as e-commerce, retail, and logistics.

Covid-19 Impact on the Global Light-directed Picking Systems Market:

The Covid-19 pandemic had a significant imapct on the light-directed picking systems market growth. On the one side, the pandemic has lead to the increased demand for e-commerce and home delivery services resulting in increased demand for LDPS solutions. LDPS can help reduce the risk of infection in warehouse operations by reducing the need for human interaction. However, on the other side, the pandemic has led to the disruption in global supply chains leading to delays and shortages of LDPS components and equipment. Economic uncertainties caused by the pandemic led to reduced investment in automation technologies, including LDPS.

Key Players of Global Light-directed Picking Systems Market Report-

Some major key players for the global Light-directed Picking Systems market report cover prominent players like

• Dematic
• Honeywell Intelligrated
• Kardex Remstar
• Kion Group
• Knapp
• Mecalux
• Murata Machinery
• Swisslog
• Daifuku Co.
• SSI Schaefer
• Interroll Holding
• Vanderlande Industries
• Beumer Group
• Bastian Solutions
• Raymond
• System Logistics
• Automation Logistics Corporation
• SencorpWhite
• Logitrade
• DMW&H
• Westfalia Technologies
• Cornerstone Automation Systems
• Locus Robotics
• Fetch Robotics
• GreyOrange
• IAM Robotics
• Magazino
• Balyo
• Comau
• Geek+
• Gideon Brothers
• NextShift Robotics
• RightHand Robotics
• Vecna Robotics
• 6 River Systems
• BlueBotics
• MiR (Mobile Industrial Robots)
• Omron
• Seegrid
• Clearpath Robotics.
• and others.

Global Light-directed Picking Systems Market Segmentation:-

By Type of System:

• Pick-to-Light systems
• Put-to-Light systems
• Pick-by-Vision systems

By End-User:

• Retail
• E-Commerce
• Healthcare
• Automotive
• Others

By Regional & Country Level:

• North America

  • U.S.
  • Canada

• Europe

  • K.
  • France
  • Germany
  • Italy

• Asia Pacific

  • China
  • Japan
  • India
  • Southeast Asia

• Latin America

  • Brazil
  • Mexico

• Middle East and Africa

  • GCC
  • Africa
  • Rest of Middle East and Africa

Revenue Generation Model:

The revenue generation model of the LDPS market is primarily based on the sale of hardware and software solutions, as well as maintenance and support services. Some vendors also offer software-as-a-service (SaaS) and pay-per-use models.

Supply Chain Model:

The supply chain model of the LDPS market involves manufacturers, distributors, system integrators, and end-users. Manufacturers produce LDPS hardware and software solutions, which are then distributed by distributors to system integrators or directly to end-users. System integrators then install and configure the LDPS solutions in warehouses and distribution centers.

Value Chain Model:

The value chain model of the LDPS market includes hardware and software manufacturers, distributors, system integrators, and end-users. The value chain starts with hardware and software manufacturers who develop LDPS solutions, which are then distributed by distributors to system integrators or directly to end-users. System integrators then install and configure the LDPS solutions in warehouses and distribution centers, providing value-added services to end-users.

Market Drivers:

Increased demand for e-commerce and home delivery services: With the rise of online shopping, there is a growing need for efficient and accurate order fulfillment to ensure timely delivery to customers. LDPS technology offers a solution to streamline the picking and packing process, reducing errors and improving efficiency. Additionally, the Covid-19 pandemic has accelerated the growth of e-commerce and home delivery services, further driving demand for LDPS technology. Home delivery services have also seen significant growth, with the global food delivery market expected to reach $154 billion in 2023, up from $107 billion in 2019.

Technological advancements in LDPS hardware and software: The integration of advanced technologies such as artificial intelligence (AI), machine learning (ML), and the Internet of Things (IoT) has led to the development of more efficient and accurate LDPS solutions. For example, the manufacturing and supply chain industry is one of the largest adopters of machine learning, with an estimated market size of $2.2 billion in 2020. And in 2020, the global spending on AI systems was $50.1 billion, and this is expected to reach $110 billion by 2024.

Additionally, the use of 3D imaging and scanning technology and wearable devices has increased the precision and speed of the picking process, improving overall productivity and reducing errors. These advancements have also led to the development of more flexible and customizable LDPS solutions, enabling companies to tailor their operations to their specific needs and requirements.

Market Restraints:

High initial investment costs: The high initial investment costs required for implementing light-directed picking systems (LDPS) solutions can be a significant barrier for small and medium-sized businesses looking to adopt the technology. The cost of hardware and software components, as well as installation and training, can be substantial. This may make it challenging for companies to justify their investment in LDPS solutions, especially if they have limited financial resources or are operating on thin profit margins. The cost of installation and training can also add to the overall cost, with some estimates suggesting that these costs can add up to 30% to 40% of the initial investment.

The need for significant changes to warehouse layouts to implement LDPS solutions: One of the significant restraints of implementing Light-directed Picking Systems (LDPS) is the need for significant changes to warehouse layouts. Implementing LDPS often requires reconfiguring the warehouse layout, which can be time-consuming and expensive. This can also lead to disruptions in warehouse operations and cause productivity losses.

Market Opportunities:

• Increasing demand for automation and digitization in the supply chain and logistics industry.
• Growth in e-commerce and home delivery services.
• The need for efficient and accurate order fulfillment in warehouses and distribution centers.
• Advances in technology such as artificial intelligence (AI), machine learning (ML), and the Internet of Things (IoT) offer opportunities for product innovation and development.
• Emerging markets with a growing e-commerce industry and increasing demand for automation in warehouse operations.

Market Trend:

Product and Technology Development:

• Integration of AI and ML technologies to improve picking accuracy and efficiency.
• The development of autonomous mobile robots (AMRs) and drones for picking and delivery operations.
• The use of 3D imaging and scanning technology for accurate location tracking and identification of items.
• Development of wearable devices and augmented reality (AR) technologies for hands-free picking.

Customer Trend:

• Growing demand for real-time tracking and visibility of inventory and order fulfillment.
• Increased focus on sustainability and reducing carbon footprint in warehouse operations.
• Growing demand for customized solutions that can be tailored to the specific needs of different industries and customers.

Market Competition Nature:

Past/Future Strategies of Key Market Players:

• Acquisition and integration of complementary technologies and companies.
• Development of innovative products and solutions to differentiate from competitors.
• Expansion into new markets through partnerships and strategic alliances.
• Focus on customer-centric solutions and services to build customer loyalty.
• Investment in research and development to stay ahead of emerging technologies and market trends.

North America:

The North American market for LDPS is driven by factors such as the growth of e-commerce and home delivery services, the need for efficient and accurate order fulfillment, and technological advancements. For example; according to the U.S. Department of Commerce; e-commerce sales in North America (U.S., Canada, and Mexico) totaled $791.7 billion in 2020, up 32.4% from the previous year. Additionally, online sales accounted for 14.0% of total retail sales in the region, up from 11.0% in 2019. The United States is the largest market for LDPS in the region, with Canada and Mexico also contributing to market growth.

Key players in the North American market include Dematic, Honeywell Intelligrated, Kardex Group, Kion Group AG, Knapp AG, Murata Machinery Ltd., Swisslog Holding AG, and Toshiba Logistics Corporation.

Europe:

The European market for light-directed picking systems is driven by factors such as the growing e-commerce industry, the need for efficient warehouse operations, and government initiatives promoting automation in the supply chain industry. The region has a well-established logistics and warehousing infrastructure, which further supports the adoption of advanced picking solutions such as LDPS.

The retail and e-commerce sectors are the major end-users of LDPS solutions in Europe. The e-commerce sales are expected to account for 18.1% of global retail sales in 2022, up from 14.1% in 2019. Germany, France, and the United Kingdom are the leading countries in the region in terms of the adoption of LDPS solutions. The demand for LDPS solutions is also increasing in other European countries such as Italy, Spain, and the Netherlands.

Key Benefits of Global Light-directed Picking Systems Market Report–

• Global Light-directed Picking Systems Market report covers in-depth historical and forecast analysis.
• Global Light-directed Picking Systems Market research report provides detailed information about Market Introduction, Market Summary, Global market Revenue (Revenue USD), Market Drivers, Market Restraints, Market Opportunities, Competitive Analysis, and Regional and Country Level.
• Global Light-directed Picking Systems Market report helps to identify opportunities in the marketplace.
• Global Light-directed Picking Systems Market report covers an extensive analysis of emerging trends and the competitive landscape.