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Global Sortation Systems Market - By End User Vertical and Region - Trends and Forecasts (2019 - 2024)

Global Sortation Systems Market - By End User Vertical and Region - Trends and Forecasts (2019 - 2024)

  • March 2019
  • 168 pages
  • ID: 5778405
  • Format: PDF
  • By Mordor Intelligence LLP


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Although there are multiple basic functions in every distribution system that has undergone improvements due to technical advances, sortation systems are the most efficient of all. In a high-volume distribution environment, speed of package flow moving through the system, as determined by the sortation equipment, is usually focused upon as the criteria for production. In general, the speed at which the sortation equipment is running, needs to be increased in order to increase throughput.

The Global sortation system market accounted for USD 4,390.46 million in 2016, and is expected to touch USD 5,773.35 million by 2022, at a CAGR of 4.76% during 2017-2022.


Smart IT systems have prompted an expansion in responsiveness and allowed retail distribution centers to significantly reduce inventory by receiving and dispatching goods just-in-time. Some retailers are expected to handle about 90% of their goods in this way. Manufacturers of many fast moving consumer goods are opting for sortation systems to handle cartonized products as they come off the production line to reduce handling steps. Sortation systems help in reducing cost per case with faster delivery, reducing the inventory in distribution centers.


The retail businesses have changed their traditional production and distribution systems with final customers ordering in different amounts and through different channels, like e-Commerce. E-commerce has diversified the selling model, and customers are preferring to buy virtually due to the transaction conveniences. Owing to all these trends, companies have begun to adapt sortation systems in their distribution centers (DCs) to satisfy both in-store and virtual consumers in a timely and correct manner. Cross-docking and flow-through handling processes are adopted as well with the use of sortation systems to distribute cases to stores when they arrive at a DC.


Irrespective of a couple of external and domestic risks that could impact the positive outlook, the economy of Asia-Pacific is set to grow with the aid of stronger growth in advanced economies, a moderate recovery in commodity prices, and a recovery in the global trade growth. Online retailers in developing countries, such as China, India, etc. are embracing innovative sortation technologies, offered by leading intralogistics service providers, to achieve unprecedented capacity and energy efficiency.


Singapore Post Limited (SingPost) announced the launch of its regional e-commerce logistics hub located at the Tampines Logistics Park. The USD 182 million facility is SingPost’s largest e-commerce logistics investment in Singapore. The ground floor of the building houses a fully automated parcel sorting facility with a capacity of up to 100,000 parcels a day, and end-to-end sorting, shipping, and returns management capabilities that enable quicker order fulfilment.


The Beumer Group equipped tote-based baggage transport and sortation system with RFID technology quite recently. As a result, swift identification of a large number of containers, along with adjustable power output for individual adaption to system and environmental condition, are to be expected from the new baggage and transport system.

Our report on the Global Sortation System market covers the following

- The global sortation system market trends & dynamics
- Latest news in sortation system market
- Porter’s five forces analysis
- Investment scope
- Deep-dive insights

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