Mobile robot shipments grow by 53% in 2022

The market is far from saturated and growth prospects remain strong, with the ongoing labor shortage providing a continual stimulus for warehouses to automate any operations they can. Demand for mobile robots from the manufacturing sector is less consistent, with some major manufacturers remaining cautious with their spending plans due to volatile demand for their products. This insight will look at long- and short-term trends in the mobile robot market. It will also take a look at the growth trajectory and some regional and industry-specific factors.

What does the future look like?

Although the mobile robot market is now well established, and arguably quite mature in some respects, growth shows no signs of slowing any time soon. We forecast an installed base of over 4 million mobile robots by the end of 2027, 1.5 million of which will be installed in 2027 alone. Meanwhile, revenue growth will average 30-40% annually out to 2027.

The short-term perspective

Difficult economic conditions have caused some companies to roll back larger capital investments, including in mobile robot automation projects, and supply chain disruption and component shortages have caused delays for some mobile robot projects. Additionally, growth in e-commerce has slowed, easing the pressure on retailers to automate. But these issues are not stopping overall mobile robot market growth. While some capex has been paused, the larger trend is that the pandemic has caused warehouses in particular to accelerate automation plans in order to reduce their reliance on human labor due to the ongoing labor crisis. While e-commerce, despite having plateaued, remains much higher than pre-pandemic. The result is that demand for mobile robots remains broadly strong.

The long-term perspective

The long-term drivers for growth in the mobile automation market are strong and show no signs of abating. These include scarcity of labor, the growth in e-commerce, and the shift to flexible manufacturing. Between 2022 and 2027, shipments of mobile robots will grow at an annual rate of ~50%. The potential is boosted still further when we consider how limited overall mobile robot market penetration rates will be by 2027, even in spite of the strong growth that will have happened in the sector. Only 2% of all forklifts shipped in 2027 will be automated and only 14% of warehouses will have deployed at least one order fulfillment AMR. Let’s take an industry-specific look at the market to see if the story changes.

Material transport will drive revenues

Material transport automation is a key revenue driver. Within this, conveying solutions will make up the majority of revenue volume. However, material transport AGV and AMR revenues will reach over $8.5 billion by 2027 – up from just under $3 billion today. This segment will make up almost a quarter of the installed base by 2027, at which point it will be over 1 million units.