Warehouse Management Systems Market 2024 : Trends And Growth Factors Analysis

The emergence of digital technology and expanding application of WMS has led to increased adoption of warehouse management systems. The market for warehouse management systems (WMS) is anticipated to expand at a revenue CAGR of 14.4% during the forecast period from 2019 to 2027. The global warehouse management systems market was valued at US$ 2,114.0 Mn in 2019. Warehouse management system (WMS) provides optimization, monitoring and control of complex warehouse and distribution activities such as yard management, dock scheduling, order management, labor management, inventory management, and others in an efficient manner. Hence, growing e-commerce industry and the subsequent adoption of WMS in this sector is expected to drive the warehouse management systems market. Another significant factor supporting the growth of warehouse management systems market is the increasing adoption of BYOD in various industries such as retail, 3PL, health care, and manufacturing among others. This has led to an increasing demand for cloud based warehouse management systems, subsequently driving the warehouse management systems market.

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Holding Major Share, On-premise Warehouse Management Systems Emerged Dominant in 2019

The global warehouse management systems market has been segmented on the basis of component and application. On the basis of the component, the market is segmented into software and services. The software segment in the deployment type segmentation is further divided into on-premise and cloud based warehouse management systems. On-premise and cloud based warehouse management system segments are each further categorized into labor management system, analytics and optimization, and others which includes yard management and 3PL billing. In 2019, North America on-premise warehouse management systems accounted for maximum share of the warehouse management software market at around 72.7% of the revenue of overall warehouse management software market. However, cloud based warehouse management software is expected to show substantial growth during the forecast period due to technological advancements and cost effectiveness as compared to on-premise warehouse management software. Based on the services, the market is segmented into consulting, system integration, and operations and maintenance. In 2019, the maintenance segment held the largest revenue share and is also expected to expand at a highest CAGR during the forecast period

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In terms of various applications, the market is segmented into retail, electronics, food and beverage, pharmaceutical, third party logistics, and others which includes book and publishing, and home improvement. In 2019, the third party logistics (3PL) segment held the largest revenue share in the global warehouse management systems market.

fa global warehouse management systems market

Asia Pacific to Offer Lucrative Growth Prospects in Coming Years

Geographically, Europe is the largest market for warehouse management systems. Asia Pacific is expected to witness fastest growth during the forecast period. China, India, Japan, Australia and Indonesia are among the major markets for warehouse management systems in the Asia Pacific region. Through the course of the report’s forecast period, Asia Pacific is expected to showcase robust opportunities for growth to the market. The rising demand for extended WMS solutions to support in-store inventory, order management, and cloud integration is the chief driver of the warehouse management systems market in Asia Pacific. Besides this, the Middle East and Africa and Latin America are likely to offer substantial growth opportunities to the market in the coming years. The rising retail application in nations such as the UAE, Saudi Arabia among others on account of the expanding ecommerce market will augment the market’s growth in the Middle East and Africa.

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Some of the major players in the global warehouse management systems market with the significant developments are

  • HighJump Software
  • Tecsys, Inc.
  • Infor Inc.
  • JDA Software Group, Inc.
  • LogFire Inc.
  • Made4net LLC
  • Manhattan Associates Inc.
  • Oracle Corporation
  • Reply
  • SAP SE
  • Softeon, Inc.
  • Synergy Logistics Ltd.

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