DUBLIN--(BUSINESS WIRE)--The "Warehouse Management System Market with COVID-19 Impact Analysis by Offering (Software, Services), Deployment (On-Premise, On-Cloud), Tier Type (Advanced, Intermediate, Basic), Industry (3PL, Automotive, E-Commerce), and Region - Global Forecast to 2025" report has been added to ResearchAndMarkets.com's offering.
The global WMS market was valued at USD 2.3 billion in 2019 and is expected to reach USD 5.1 billion by 2025, at a CAGR of 16.0% from 2020 to 2025.
The WMS market projected to grow at a significant rate from 2020 to 2025.
A WMS is a software application that helps manage operations in warehouses in the most efficient and productive manner. Functions of these systems include inventory control, labor management, yard management, and dock management, among others. COVID-19 has emerged as a global pandemic that has spread across 215 countries worldwide and disrupted various industries around the world. The prominent players across industries have been affected by this pandemic. The foreseeable decline in the growth of end-user industries may have a considerable direct impact on the warehouse management system market.
The WMS market for services expected to grow at the highest CAGR during the forecast period.
The WMS market for services is expected to grow at the highest rate during the forecast period. Need for increased efficiency, constant upgrades to ensure data security, and improved operations of WMS software are the major factors boosting the demand for WMS services. Governments around the world have been encouraging the use of WMS in warehouses to improve the autonomy of processing. The rising use of WMS software is leading to an increasing need for services to ensure its smooth functioning.
The 3PL industry projected to account for the largest share of the WMS market during the forecast period.
The 3PL industry is one of the major industries driving the growth of the WMS market. Factors such as the growing need for efficient order management increased outsourcing of logistics and transportation operations, and globalization of supply chain networks has fueled the adoption of warehouse management systems in the 3PL industry. Due to the outbreak of COVID-19, a complete 360 transformation in business operations and logistic processes can be observed. Processes have become more dynamic than before, while companies are focusing on the fulfillment of critical tasks. Many companies have stopped using various automobile services for logistical operations, for the simple reason of cost-cutting. This has given a tremendous boost to 3PL services. As companies continue to make use of 3PL services, their warehousing needs are increasing. This has bolstered the demand for WMS in the 3PL sector.
APAC projected to grow at a higher CAGR during the forecast period.
The WMS market in APAC is expected to grow at the highest rate during the forecast period. The rise in manufacturing and warehousing facilities in this region is facilitated by various initiatives taken by the government to ramp up indigenous production of goods. Also, the introduction of tax relaxations to set up warehouses in the region have improved the warehouse infrastructure in APAC, resulting in attractive market opportunities for warehouse management systems. Asia Pacific has suffered significantly due to the COVID-19 pandemic as it has some of the world's biggest developing economies. Industrial production of many devices was suspended because of logistics slowdown and the unavailability of the workforce. This has resulted in complete closedown of some of the warehouses in the region due to decreased demand and scarce availability of workforce, impacting the WMS market.
- Increasing Growth in E-Commerce Industry Due to Onset of Covid-19 Pandemic
- Emergence of Multichannel Distribution Networks
- Globalization of Supply Chain Networks
- Increasing Adoption of On-Cloud WMS Solutions
- Need for Efficient Forecasting Models
- Lack of Workforce for Maintenance of WMS Due to Onset of Covid-19
- High Implementation Cost of On-Premise WMS for SMEs
- Data Privacy and Security Concerns
- Digitization of Supply Chain Management
- Rising Investment of Multinational Companies in Emerging Economies
- Lack of Awareness About Benefits of WMS Among Small-Scale Industries
- Constant Need for Software Upgrades
- Manhattan Associates
- Blue Yonder (Jda Software)
- Highjump (Krber)
- Blujay Solutions
- Epicor Software
- 3Pl Central
- Cantaloupe Systems
- Generix Group
- Synergy Logistics
- Vinculum Solutions
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