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Warehouse Management Systems Market Growing at 16.3% CAGR | Reach USD 12.3 Billion by 2031 Globally

WILMINGTON, DE, UNITED STATES, July 21, 2025 /EINPresswire.com/ -- Allied Market Research published a new report, titled, "Warehouse Management Systems Market Growing at 16.3% CAGR | Reach USD 12.3 Billion by 2031 Globally." The report offers an extensive analysis of key growth strategies, drivers, opportunities, key segments, Porter’s Five Forces analysis, and competitive landscape. This study is a helpful source of information for market players, investors, VPs, stakeholders, and new entrants to gain a thorough understanding of the industry and determine steps to be taken to gain competitive advantage.

The global warehouse management system market size was valued at USD 2.7 billion in 2021 and is projected to reach USD 12.3 billion by 2031, growing at a CAGR of 16.3% from 2022 to 2031.

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Driving Factors

Robust growth in e-commerce industry and increased demand for cloud WMS solutions are driving the growth of the market. In addition, surge in adoption of multichannel distribution networks is fueling the growth of the warehouse management system market. However, high investment required in setting up on-premises WMS for SMEs and concerns regarding data privacy and information security limit the growth of this market. Conversely, the adoption of digital technologies in supply chain management is anticipated to provide numerous opportunities for warehouse management system industry expansion during the forecast period.

Market Segmentation

The global warehouse management system market is segmented into components, user type, deployment models, industry verticals, and regions. Depending on the component, the market is divided into software and services. Based on user type, it is categorized into large enterprises and SMEs. By Deployment model, it is divided into on-premise and cloud-based. Based on industry verticals, it is bifurcated into retail and consumer goods, healthcare and pharmaceuticals, manufacturing, food and beverages, transportation and logistics, automotive and others. Region-wise, it is analyzed across North America, Europe, Asia-Pacific, and LAMEA.

Key Players

The global warehouse management system market is dominated by key players such as Blue Yonder Group, Inc., HighJump Software, Inc.(koeber), IBM Corporation, Infor Inc., Manhattan Associates, Inc., Oracle Corporation, PSI Logistic (PSI AG), SAP SE, Softeon, Inc., and Tecsys, Inc. These players have adopted various strategies to increase their market penetration and strengthen their position in warehouse management system industry.

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Region-wise, the warehouse management system market was dominated by North America in 2021 and is expected to retain its position during the forecast period, owing to the need for manufacturers to automate warehouse management procedures to reduce costs in this region. However, Asia Pacific is expected to witness significant growth during the forecast period, owing to the new technological acceptance and developing digital transformation due to the increasing competition among market players in this region.

Depending on the component, the software segment dominated the WMS market share in 2022 and is expected to continue this trend during the forecast period, owing to the rapid adoption of the warehouse management system, to decrease order processing errors and delivery lag times. However, the service segment is expected to witness the highest growth in the upcoming years, owing to the rise in the adoption of warehouse management solutions requires precise maintenance by the business to achieve strategic and competitive advantages.

Depending on the user type, the large enterprise segment dominated the warehouse management system market share in 2021 and is expected to continue this trend during the forecast period, owing to the increase in dependence on warehouse management solutions due to increasing demand from consumers is expanding quickly and manufacturers supply chains are evolving, particularly in the transport and logistics and retail sectors. However, the SMEs segment is expected to witness the highest growth rate in the warehouse management system market analysis, owing to the increase in investments by the market players to develop security cloud services for SMEs.

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Robust Growth in the E-commerce Industry

● The growth in the e-commerce industry is directly influencing the adoption of WMS solutions, as it helps in improving the accuracy of store-level inventory and multiplying the order and fulfillment options. This leads to reconfigured traditional warehouses by retailers with a major focus on e-commerce, and they are investing a significant amount of funds in in-store WMS solutions.

● For instance, in May 2022, Wabash, the visionary leader of connected solutions for the transportation, logistics, and distribution industries, introduced the creation of a new tech-enabled Wabash Parts distribution network. This unifies and expands Wabash’s parts distribution capabilities across all product lines, and provides immediate scale to grow. This is enhancing the e-commerce channel which in turn drives WMS market growth.

● Furthermore, the rise in e-commerce sales further accelerates consumer spending on warehouse management systems owing to its feature of better inventory tracking and traceability. According to the Census Bureau’s Annual Retail Trade Survey (ARTS) release, e-commerce sales increased by $244.2 billion or 43% in 2020, the first year of the pandemic, rising from $571.2 billion in 2019 to $815.4 billion in 2020. Such robust growth in the e-commerce industry will significantly drive the move toward the growth of the warehouse management system industry.

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Lastly, this report provides market intelligence most comprehensively. The report structure has been kept such that it offers maximum business value. It provides critical insights into market dynamics and will enable strategic decision-making for existing market players as well as those willing to enter the market.

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About Us:

Allied Market Research (AMR) is a market research and business-consulting firm of Allied Analytics LLP, based in Portland, Oregon. AMR offers market research reports, business solutions, consulting services, and insights on markets across 11 industry verticals. Adopting extensive research methodologies, AMR is instrumental in helping its clients to make strategic business decisions and achieve sustainable growth in their market domains. We are equipped with skilled analysts and experts and have a wide experience of working with many Fortune 500 companies and small & medium enterprises.

Pawan Kumar, the CEO of Allied Market Research, is leading the organization toward providing high-quality data and insights. We are in professional corporate relations with various companies. This helps us dig out market data that helps us generate accurate research data tables and confirm utmost accuracy in our market forecasting. Every data company in the domain is concerned. Our secondary data procurement methodology includes deep presented in the reports published by us is extracted through primary interviews with top officials from leading online and offline research and discussion with knowledgeable professionals and analysts in the industry.

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