Conveyor Systems Market

Global Conveyor Systems Market: Global Size, Trends, Competitive, and Historical & Forecast Analysis, 2022-2028: The market will expand due to the increasing demand for automation and robotics in material handling operations, and the rising popularity of e-commerce and the need for efficient order fulfillment and distribution.

Conveyor Systems Market is valued at USD 9.98 Billion in 2022 and it is expected to reach USD 13.74 Billion by 2029 with a CAGR of 4.67% over the forecast period.

Scope of Global Conveyor Systems Market Report-

Conveyor systems refer to mechanical handling equipment that moves materials, products, or packages from one point to another within a predetermined path. The system is used in various industries, including manufacturing, warehousing, transportation, and logistics, among others. Conveyor systems consist of several components, including belts, rollers, motorized pulleys, and control systems, among others.

The first conveyor system was invented in the late 18th century by Richard Arkwright, who used it in the cotton mills. The conveyor system was further developed in the 19th century, with the introduction of powered conveyors, which made it easier to move heavy items.

Conveyor systems have numerous applications, including assembly lines, packaging, and shipping. They are also used in airports, seaports, and warehouses for material handling, sorting, and distribution. Conveyor systems are used by a wide range of industries, including automotive, food and beverage, pharmaceuticals, and e-commerce, among others.

Revenue Generation Model:

The revenue generation model for the conveyor systems market includes the sale of equipment, maintenance services, and spare parts.

Supply Chain Model:

The supply chain model for the conveyor systems market includes raw material suppliers, component manufacturers, equipment manufacturers, and distributors.

Value Chain Model:

The value chain model for the conveyor systems market includes product design and development, manufacturing, distribution, and after-sales services.

COVID-19 Impact on the Conveyor Systems market:

The COVID-19 pandemic has had a mixed impact on the conveyor systems market. On the one hand, the demand for conveyor systems has increased in certain industries, such as e-commerce and healthcare, as the pandemic has led to a surge in online orders and medical supplies. On the other hand, the pandemic has disrupted supply chains and led to a decline in demand for conveyor systems in other industries, such as automotive and aerospace. Reduction in capital expenditure due to economic uncertainties caused by the pandemic. And the challenges in the installation and maintenance of conveyor systems due to restrictions on travel and on-site work.

Key Players of Global Conveyor Systems Market Report-

• Daifuku Co., Ltd.
• Siemens AG
• Honeywell International Inc.
• Dematic Corp.
• BEUMER Group GmbH & Co. KG
• Swisslog Holding AG
• Vanderlande Industries B.V.
• Murata Machinery, Ltd.
• Fives Group
• Intelligrated, Inc.
• Interroll Holding AG
• TGW Logistics Group GmbH
• Shuttleworth, LLC
• Bastian Solutions, Inc.
• SSI Schaefer AG
• Hytrol Conveyor Company, Inc.
• Knapp AG
• Dorner Mfg. Corp.
• FlexLink AB
• Kardex Group
• Mitsubishi Electric Corp.
• Nordstrong Equipment Ltd.
• MK Technology GmbH
• Mecalux, S.A.
• Siemens Logistics GmbH
• Continental AG
• Efacec Handling Solutions S.A.
• Kion Group AG
• Metso Corp.
• Buhler AG
• Sandvik AB
• Voith GmbH & Co. KGaA
• Transnorm System GmbH
• Rulmeca Holding S.p.A.
• Rexnord Corp.
• Almac Industrial Systems
• WITRON Logistik + Informatik GmbH
• UPM Conveyors Ltd.
• Martin Engineering Co.
• Allied Conveyor Systems, Inc.

Global Conveyor Systems Market Segmentation: -

By Product:

• Belt
• Roller
• Overhead
• Floor
• Pallet
• Crescent
• Cable
• Bucket

By Load:

• Unit Load
• Bulk Load.

By End-User:

• Automotive
• Retail
• Food & Beverages
• Pharmaceutical and Healthcare
• Airport
• Others

By Distribution Channel:

• Direct Sales
• Sales Through Distributors.

By Regional & Country Level:

• North America
  • 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

Market Drivers:

Increasing demand for automation and robotics in material handling operations: The increasing demand for automation and robotics in material handling operations is driven by the need to improve operational efficiency and reduce labor costs. Automation technologies, such as conveyor systems, are able to handle repetitive and labor-intensive tasks more efficiently than human workers, allowing companies to increase productivity and reduce labor costs. Additionally, automation technologies can help reduce errors and improve product quality, leading to increased customer satisfaction.

For example, the adoption of automated material handling systems can result in a 30% reduction in labor costs and a 50% reduction in the time required for material handling. 65% of companies are planning to increase their investment in robotics and automation in material handling operations over the next two years.

The rising popularity of e-commerce and the need for efficient order fulfillment and distribution: The rising popularity of e-commerce has led to a significant increase in the volume of orders, which requires efficient order fulfillment and distribution systems. Conveyor systems provide a highly efficient and automated solution for moving products through the various stages of the fulfillment process, from picking and packing to shipping. As e-commerce continues to grow and evolve, the demand for conveyor systems is expected to increase significantly, driving the growth of the market. For example, during the 2020 holiday season (November-December), e-commerce sales in the US increased by 32.2% year-over-year, reaching $188.2 billion.

Market Restraints:

Limited flexibility and adaptability to changing production processes: Many traditional conveyor systems are designed for specific applications and are not easily adaptable to changes in production processes or product lines. This can result in downtime, increased maintenance costs, and reduced efficiency. The lack of flexibility and adaptability of traditional conveyor systems can result in significant downtime and lost productivity. A study found that downtime costs manufacturers an average of $260,000 per hour. These costs can be even higher in industries such as automotive manufacturing, where downtime can cost up to $50,000 per minute. In addition, as manufacturing processes become more complex and diversified, the need for flexible and modular conveyor systems that can adapt to changing needs becomes increasingly important.

High initial investment costs associated with conveyor systems: The cost of purchasing, installing, and maintaining conveyor systems can be significant, especially for small and medium-sized businesses with limited budgets. The cost of purchasing a basic conveyor system can range from $1,000 to $10,000 per linear foot, depending on the type of conveyor and the materials used. However, installation costs are generally estimated to be between 10-30% of the total cost of the conveyor system. This can make it difficult for these businesses to justify the investment in conveyor systems, especially if they have low production volumes or do not require high levels of automation.

Opportunity Factors:

• Adoption of Industry 4.0 technologies, such as IoT and AI, to improve the performance and efficiency of conveyor systems.
• The growth of the food and beverage industry and the need for automated processing and packaging systems.
• The increasing focus on sustainability and energy efficiency, can be addressed through the use of advanced conveyor systems.

Market Trend:

Product and Technology Trends:

Integration of Industry 4.0 technologies, such as IoT and AI, to improve the performance and efficiency of conveyor systems. Development of modular and flexible conveyor systems to allow for customization and adaptation to changing production processes. Implementation of energy-efficient and sustainable conveyor systems, such as regenerative braking and solar-powered conveyors.

Customer Trends:

Increasing demand for conveyor systems in e-commerce and omnichannel distribution. Adoption of automation and robotics technologies to improve operational efficiency and reduce labor costs. And the need for flexible and modular conveyor systems that can adapt to changing production processes.

Market Competition Nature:

The conveyor systems market is highly competitive, with several key players competing for market share. To stay competitive, companies are adopting various strategies, including:

• Product innovation and development of new technologies to improve efficiency and performance.
• Expansion into new regions and markets through partnerships and acquisitions.
• Strategic collaborations and partnerships with other companies to leverage their strengths and capabilities.
• Focus on sustainability and energy efficiency to meet customer demands and comply with regulations.
• Enhancement of after-sales services, such as maintenance and repair, to improve customer satisfaction and loyalty.

For example, Daifuku Co., Ltd. has focused on product innovation and development to improve its market position. The company has introduced new conveyor systems, such as the Cleanveyor, which uses a vacuum system to prevent dust and debris buildup, and the UniSort MXT, which uses advanced sensors to sort items accurately and efficiently.

Geography Analysis:

North America:

The North American conveyor systems market is expected to grow at a moderate rate during the forecast period, driven by the increasing demand for automation and robotics in various industries, such as e-commerce, food and beverage, and automotive. The US is the largest market for conveyor systems in North America, due to the presence of several key players and the high adoption of automation technologies in the country. In 2020, North America accounted for 16% of the total global supply of industrial robots, with a total of 33,300 units sold in the region. In the US e-commerce sales are expected to reach $933.3 billion in 2021, up 14.3% from 2020.

Europe:

Europe is a significant market for conveyor systems, with Germany being the largest market in the region. The region's conveyor systems market is driven by the growing demand for automation and robotics in various industries, such as automotive, food and beverage, and pharmaceuticals. The European Federation of Pharmaceutical Industries and Associations (EFPIA), the European pharmaceutical industry employed over 795,000 people in 2019 and generated a revenue of €243 billion ($292 billion). The use of robotics in pharmaceutical manufacturing is expected to increase in the coming years, driven by the need for improved quality control and production efficiency.

Key Benefits of Global Conveyor Systems Market Report–

• Global Conveyor Systems Market report covers in-depth historical and forecast analysis.
• Global Conveyor 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 Conveyor Systems Market report helps to identify opportunities in the marketplace.
• Global Conveyor Systems Market report covers extensive analysis of emerging trends and competitive landscape.