The global cross-belt sorters market is anticipated to accumulate a market value of US$ 3.61 billion in 2023 and is expected to record a market valuation of US$ 9.6 billion by exhibiting a CAGR of 10.27% in the forecast period 2023 to 2033. The market for Cross-belt sorters market registered a CAGR of 7.1% in the historical period 2018 to 2022.
The growth of e-commerce has had positive impact on the global cross belt sorters market. With the expansion of the e-commerce industry, there is a high need for cross-belt sorters for the mass parcels and packaging. This is majorly due to constraints and human errors that occur while handling large volumes of parcels. This has positively benefitted the market, thus fuelling its growth. Furthermore, the use of crossbelt sorters will also cut labour costs significantly. Apart from this, the growing emphasis of companies on increasing productivity in order to create a favorable environment for sustainable business is expected to drive the growth of cross-belt sorter system during the forecast period.
Numerous features and benefits of cross belt sorters including high product throughput across extensive range of products, flexible incorporation into existing layouts, less operating expenses, mechanically simple construction, and greater sort location density is a significant driving factor of the market. Rising internet penetration with the ease of online shopping have led to a surge in the number of products ordered online. Also, with the increasing focus of individuals to buy products through online platforms, the demand for cross-belt sorters is also increasing which is expected to augment market growth during the forecast period.
Furthermore, according to the United nation conference on trade and development, the online e-commerce sale shares increased from 15% to 19% in 2020. According to report by Morgan Stanley, the global e-commerce industry grew from 15% in 2019 to 21% in 2021. Therefore, the e-commerce sector is propelling the growth of cross-belt sortation system market.
On the other hand, use of automation in end-user industries like logistics, e-commerce, and others enable enhanced performance by decreasing the errors and improving the quality. Moreover, rising implementation of Internet of things and robotics in industrial automation is also anticipated to boost market growth during the projected period. Internet of Things-based systems are used for affordable, effective operations and to maximize the productivity of sorting systems. These factors are expected to drive growth in the forecast period.
Region-wise, the Asia Pacific is expected to lead the market with maximum share of 39.7% during the forecast period. The growth is attributed to brisk growth in the e-commerce sector and rapidly industrial expansion. Furthermore, huge exports of pharmaceuticals, consumer goods, food and beverages will require faster and more accurate deliveries. Transparency, minimal risks, increased productivity, low processing time, and less human intervention and dependency are some other benefits of the cross-belt sorter in e-commerce industry. These factors are expected to increase businesses capabilities, thereby creating more demand for cross-belt sorters.
Likewise, Europe will be the second largest market for cross-belt sorter systems. The market in this region is anticipated to account for around 31% market share while growing at a CAGR of 7.2% during the projected period. Technological advancements, as well as the presence of various e-commerce giants, will most likely lead to growth in the cross-belt sorters system market. Additionally, growth in the number of producers and end-users will also boost the product sales, which will benefit the market in the forecast period.
| Data Points | Key Statistics |
|---|---|
| Expected Market Value in 2023 | US$ 3.61 billion |
| Projected Market Value in 2033 | US$ 9.6 billion |
| Growth Rate (2023 to 2033) | 10.27% CAGR |
Latest developments in technology, mergers, acquisitions, tie-ups, and partnerships within the companies involved in manufacturing Cross-belt sorters are anticipated to create lucrative prospects for market growth during the forecast period.
Efficiency, speed and reliability are the key success factors in today’s marketplace. Factors such as rising industrialization and mechanization, increasing labor costs and growth in e-commerce sector are anticipated to drive the growth for cross - belt sorters and would have a positive impact on the market for cross- belt sorters market.
The growth in the cross-belt sorter market would grow exponentially due to the expand in the e-commerce sector. Creating value for customers and customer satisfaction is the major focus for the shipment and logistics companies worldwide. The advent of internet and age of digitalization has raised the way customers shop in today’s age and has led to boost in the number of parcels delivered.
Therefore, the need to deliver the goods in minimum timeframe without any manual intervention becomes a challenge for the logistic companies. Cross belt sorters are effective solutions to tackle the problem to enhance productivity and this I likely to push the demand for cross-belt sorters. This would positively impact the cross- belt sorter market.
Recent developments have seen, Interroll company introduced the MX 025H cross-belt sorter which offers a high conveying speed and enable throughput rate which allows more flexibility for sorting parcels of different dimensions. Cross-belt sorter are highly efficient and highly economical, they also have low maintenance which means the cross-belt sorters have low installation costs and training due to simple technology.
These factors are likely to contribute towards the growth in cross-belt sorters. The cross belt sorters streamline packing operations and improve order accuracy, enhance faster order processing and results in fewer accidents which does not result in profit shrinkage. Customization of cross-belt sorters as per the need of the logistics and e-commerce companies might lead to its higher adoption.
These factors might give an opportunity for the cross - belt sorters to grow.
Leveraging automation enhances the inventory visibility and limiting the intervention of humans results in cost efficiency. Furthermore, the reverse e-commerce and cross docking with the help of cross-belt sorters becomes a less tedious task. Increasing labor costs and growing focus of companies towards increasing their productivity to create a favorable environment for sustainable business is likely to influence the cross-belt sorter market positively.
Technological advancements and improvements regarding the automation in the logistics and e-commerce industry is likely to augment the growth of the cross-belt sorters market in the years to come.
Asia Pacific region owing to its pounding growth in the E-commerce sector and rapidly growing industrialization is likely to augment the growth of cross-belt sorter market. Furthermore, huge exports of pharmaceuticals, consumer goods and food and beverages will demand for faster deliveries with higher accuracy.
The advantages of the cross-belt sorter in the e-commerce industry would be transparency, fewer risks, increased productivity, low time for processing and lesser human intervention and dependency. These factors are likely to increase the capabilities of the businesses thereby likely to hike the demand for cross-belt sorters.
Europe owning to its technological advancements and presence of several e-commerce players might lead to developments in the cross-belt sorter market. In addition, increasing number of manufacturers and customers for cross-belt sorter is likely to augment the demand for cross-belt sorter which might impact the market positively in the forecasted years.
Key players in the cross-belt sorter market are as follows,
Cross-Belt sorter market can be segmented on the basis of Capacity per hour, End-use industry and orientation.
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Cross-Belt Sorters Market
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