32+ Warehouse Automation Statistics You Need to Know in 2024

Warehouse automation is the key to unlocking a whole new level of efficiency, productivity, and profitability. In this article, we will explore 32+ eye-opening statistics that highlight the power and potential of warehouse automation in 2024 and the years to come.

We've broken down the warehouse automation statistics into the following categories:

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Workforce trends

• Over the last 10 years, the number of employees in the warehousing & storage industry has almost tripled in the US. In 2013, the US Bureau of Labor Statistics reported 707,000 employees. In 2023, that number went up to 1,933,000. (Bureau of Labor Statistics)
• For the first time in a decade, the growth of the number of employees in the warehousing industry in the US is coming to a halt. (Bureau of Labor Statistics)
• Except for early 2020 and a few minor blips, the number of employees in this industry has never been stagnant for more than 1 month. However, since July of 2022, we’re seeing a consistent decline every month until March 2023. The biggest drop was in November 2022, where there was a loss of 13,600 (0.7%) employees in just one month. (Bureau of Labor Statistics)

• In 2021, there were approximately 5.5 workplace injuries per 100 full-time employees in the warehousing and storage sector. An injury or illness is considered work-related if an event or exposure in the work environment caused or contributed to the resulting condition or significantly aggravated a pre-existing condition. (Bureau of Labor Statistics)

 Warehouse number and sizes

• In 2020, there were approximately 151,000 warehouses all across the globe. 25,500 of these were located in North America. But because of the e-commerce boom, the global number is expected to reach 180,000 by 2025. (Statista)
• The average size of a warehouse is 181,370 sq ft. There’s a continuing trend where the average warehouse size is increasing every year. (G2)

• The number of warehouses worldwide is expected to reach 150.6k by 2025. (Statista)
• According to a recent report from CBRE, warehouse rents in certain areas  of the United States surged by 20% from the fourth quarter of 2021 to the first quarter of 2022, reaching a little over $12 per square foot. (Business Insider)

Technology and automation

• By 2026, the worldwide warehouse automation market is expected to exceed 30 billion U.S. dollars, up from 15 billion U.S. dollars in 2019. Warehouse automation is the process of improving repetitive and labor-intensive operations that are traditionally carried out by human workers. (Statista)
• Due to the challenges faced in 2022, Interact Analysis anticipates a slower pace of automation growth in 2023. As a result, the automation market's growth rate is projected to slow in 2023, with a 2% growth forecast, compared to the robust growth seen in 2021 and 2022. However, it is expected to return to a stronger growth trajectory through 2027. (Modern Materials Handling)

• In 2019, automation was present in 55% of warehouses, and that number is anticipated to exceed 75% by 2023. (Modern Materials Handling)
• Warehouse automation technology has the potential to reduce labor costs by up to 60%, increase labor productivity by 30%, decrease errors by up to 99%, cut shipping and handling times by up to 50%, boost warehouse storage capacity by up to 50%, and reduce operational costs by up to 30%. (Modern Materials Handling)
• Governments are providing support for the adoption of automation technology through subsidies, tax breaks, and other incentives. (Modern Materials Handling)
• Technological advancements such as artificial intelligence and the internet of things are making automation technology more sophisticated and accessible, driving its adoption in warehouses. (Modern Materials Handling)

Financial aspects

• Labor costs take around 50% to 70% of a company's warehousing budget, making it the highest operating cost in a warehouse. (G2)
• In the US Public Storage & Warehousing industry, the most significant costs as a percentage of revenue for businesses are Wages, accounting for 44.2% of costs, followed by Purchases at 3.8% and Rent & Utilities at 7.3%. (IBISWorld)
• It is anticipated that the worldwide warehouse automation market will attain a value of $41 billion by 2027, with a projected compound annual growth rate (CAGR) of almost 15% during the period from 2022 to 2027. (Business Wire)

Robotics and industry growth

• Increased use of robotics has the potential to drive a 25%–30% reduction in average manufacturing and labor costs. (G2)
• It is estimated that robots will replace 40% of warehouse jobs by 2030. (Tarqan)
• Robotics adoption in warehousing surged in 2022 and is poised to continue its upward trajectory in 2023 and beyond. By 2025, approximately 50,000 robotic warehouses may be developed, while users may receive up to 8 million robots by 2030. (Kardex-Remstar)
• Industrial robot installations in key regions globally are projected to reach 1 million units by 2024. (Statista)

• A projected 15% to 20% growth in cross-border e-commerce will increase the demand for modern warehouses and automation systems. (G2)
• The top companies in the warehouse automation industry include Dematic Group (Kion Group AG), Daifuku Co. Limited, Swisslog Holding AG (KUKA AG), Honeywell Intelligrated (Honeywell International Inc.), and Jungheinrich AG. As of 2020, Dematic held the lead in the industry, with a market share of roughly 9%. (Statista)
• The eCommerce sector is spurring demand for warehouse automation, with a projected CAGR of 14.8% from 2022 to 2030. (GlobeNewsWire)
• According to estimates, the worldwide market for warehouse automation will experience a compounded annual growth rate (CAGR) of 14%, resulting in a value of $30 billion by the year 2026. (Selecthub)
• By 2025, an estimated 4 million commercial warehouse robots will be installed in over 50,000 warehouses. (G2)

Technology adoption and inventory management

• The most widely implemented technology for 3PLs in 2022 was warehouse management systems (WMS), with a staggering 87% adoption rate. Following closely behind were order management, implemented by 52% of companies, and mobile barcode scanning, which was implemented by 51%. (Extensiv)
• As of 2023, 83% of 3PLs and 70% of shippers are exploring labor alternatives by implementing or researching technology and automation to address talent shortages. (3PLStudy)

• Nearly 53% of third-party logistics providers (3PLs) consider automating their warehouse processes to be a top opportunity for 2023. (Venture Beat)
• 77% of organizations are serious about automated warehouse systems and mapping a plan to maximize data-driven performance. (G2)
• 17% of inventory mistakes that lead to lost customers are caused by wrong product packaging and delivery. (G2)
• In 2018, the average number of SKUs in a warehouse was 13,985, up from 13,130 the previous year. (G2)
• The number of SKUs in a warehouse can impact its efficiency, with higher SKU counts leading to increased difficulty in managing inventory. (WERC)

Related: Learn about 3PL industry statistics, warehouse industry statistics, and logistics industry statistics.

References

• https://www.statista.com/statistics/1223289/warehouses-worldwide-region/
• https://data.bls.gov/timeseries/CES4349300001?amp%253bdata_tool=XGtable&output_view=data&include_graphs=true
• https://werc.org/store/viewproduct.aspx?id=20177565
• https://www.statista.com/statistics/1094202/global-warehouse-automation-market-size/
• https://www.extensiv.com/resource-library/report/2022-third-party-logistics-warehouse-benchmark-report
• https://www.3plstudy.com/ntt3pl/nttds_3pl.nttds_prior
• https://www.g2.com/articles/warehouse-automation-statistics
• https://www.ibisworld.com/industry-statistics/number-of-businesses/public-storage-warehousing-united-states/
• https://www.selecthub.com/warehouse-management/warehouse-automation-trends/
• https://www.businesswire.com/news/home/20220527005136/en/41-Billion-Global-Warehouse-Automation-Market-2022-to-2027---by-Technology-Industry-and-Regions---ResearchAndMarkets.com
• https://tarqan.com/blog/important-2023-warehouse-automation-statistics/
• https://us.blog.kardex-remstar.com/warehouse-automation-trends-2023
• https://www.mmh.com/article/warehouse_automation_market_growth_expected_to_cool_in_2023/automation_warehouse
• https://www.mmh.com/article/mhi_and_deloitte_launch_2023_annual_industry_report_survey
• https://www.globenewswire.com/en/news-release/2022/06/19/2465012/0/en/Warehouse-Automation-Market-Size-to-Reach-USD-64-639-by-2030-Says-Acumen-Research-Consulting.html
• https://venturebeat.com/automation/report-logistics-providers-expect-to-increase-use-of-robotics-by-133-in-2023/
• https://www.statista.com/topics/8741/warehouse-automation-market-worldwide/
• https://www.statista.com/statistics/1259245/warehouse-automation-companies-market-share/
• https://www.bls.gov/iag/tgs/iag493.htm
• https://www.businessinsider.com/warehouse-rents-are-rising-amazon-industrial-real-estate-2022-4