The study involved four major activities in estimating the size of the warehouse management system market. Exhaustive secondary research has been done to collect information on the market, peer market, and parent market. Validation of these findings, assumptions, and sizing with industry experts across the value chain through primary research has been the next step. Both top-down and bottom-up approaches have been employed to estimate the global market size. After that, market breakdown and data triangulation have been used to estimate the market sizes of segments and subsegments.
Secondary Research
Various secondary sources were referred to in the secondary research process to identify and collect information pertinent to this study. The secondary sources include annual reports, press releases, and investor presentations of companies; white papers, certified publications, and articles by recognized authors; directories; and databases. Secondary research has been mainly carried out to obtain key information about the supply chain of the warehouse management system industry, the value chain of the market, the total pool of the key players, market classification, and segmentation according to the industry trends to the bottom-most level, geographic markets, and key developments from both market- and technology oriented perspectives.
Primary Research
In the primary research process, various primary sources, from both supply and demand sides, were interviewed to obtain qualitative and quantitative information for this report. Primary sources from the supply side included experts such as chief executive officers (CEOs), vice presidents, marketing directors, technology and innovation directors, SMEs, consultants, and related key executives from the major companies and organizations operating in the warehouse management system market.
After the complete market engineering process (which includes market statistics calculations, market breakdown, market size estimations, market forecasting, and data triangulation), extensive primary research was conducted to gather information and verify and validate the critical market numbers.
Several primary interviews were conducted with experts from both the demand and supply sides across four major regions—North America, Europe, Asia Pacific, and RoW. This primary data was collected through questionnaires, emails, and telephonic interviews.
To know about the assumptions considered for the study, download the pdf brochure
Market Size Estimation
Both top-down and bottom-up approaches have been used to estimate and validate the total size of the warehouse management system market. These methods have also been extensively used to estimate the sizes of various market subsegments. The research methodology used to estimate the market sizes includes the following:
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Identifying verticals that are either using or will use warehouse management systems.
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Tracking leading companies and system integrators operating across various industries.
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Deriving the size of the warehouse management system market through the data sanity method; analyzing revenues of more than 25 key providers through their annual reports and press releases and summing them up to estimate the overall market size.
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Conducting multiple discussions with key opinion leaders to understand the demand for warehouse management systems and analyzing the break-up of the scope of work carried out by each major company
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Carrying out the market trend analysis to obtain the CAGR of the warehouse management system market by understanding the industry penetration rate and analyzing the demand and supply of warehouse management systems in different industries
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Assigning a percentage to the overall revenue or, in a few cases, to each company's segmental revenues to derive their revenues from the sale of warehouse management systems. This percentage for each company has been assigned based on their product portfolios.
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Verifying and crosschecking estimates at every level through discussions with the key opinion leaders, including CXOs, directors, and operation managers, and with domain experts at MarketsandMarkets
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Studying various paid and unpaid information sources such as annual reports, press releases, white papers, and databases
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Tracking the ongoing and identifying the upcoming warehouse management system market implementation projects by companies and forecasting the market size based on these developments and other critical parameters
Market Size Estimation Methodology-Bottom-up Approach
Market Size Estimation Methodology-Top-Down Approach
Data Triangulation
After arriving at the overall size of the warehouse management system market from the market size estimation processes explained above, the total market has been split into several segments and subsegments. The market breakdown and data triangulation procedures have been employed, wherever applicable, to complete the overall market engineering process and arrive at the exact statistics for all segments and subsegments. The data have been triangulated by studying various factors and trends. Along with this, the market size has been validated using top-down and bottom-up approaches.
Market Definition
A warehouse management system (WMS) is a software application that helps manage warehouse operations most efficiently and productively. Functions of these systems include inventory control, labor management, yard management, and dock management, among others. A WMS can be deployed on-premises or can be accessed through cloud servers maintained by WMS vendors.
Stakeholders
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Associations, forums, and alliances related to warehouse management systems
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End users from industries such as 3PL, e-commerce, automotive, chemicals, food & beverages, metals & machinery, and electricals & electronics
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Manufacturers of material handling systems, such as robots, AGVs, ASRS, cranes, and conveyors and sortation systems
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Research organizations and consulting companies
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System integrators
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Venture capitalists and private equity firms
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Warehouse management system software designers and developers
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Warehouse management system service providers
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Cloud service providers
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Market research and consulting firms
Research Objectives
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To describe and forecast the warehouse management system market, in terms of value, by offering, deployment, tier, end user, and region
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To forecast the warehouse management system market size, in terms of value, for various segments with respect to four main regions—North America, Europe, Asia Pacific, and RoW.
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To provide a detailed overview of the functions of warehouse management systems
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To offer a detailed overview of different hardware components (material handling equipment) integrated with WMS software
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To strategically analyze micromarkets1 with respect to individual growth trends, prospects, and contributions to the overall market size
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To give detailed information regarding the major factors influencing the growth of the warehouse management system market (drivers, restraints, opportunities, and challenges)
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To analyze the market ecosystem, trends/disruptions impacting customers' businesses, technology analysis, pricing analysis, Porter's five forces analysis, key stakeholders & buying criteria, case study analysis, trade analysis, patent analysis, key conferences & events, investment & funding scenario; and tariff & regulations related to the warehouse management system market
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To analyze opportunities for stakeholders in the warehouse management system market by identifying high-growth segments
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To provide a detailed overview of the supply chain of the WMS ecosystem
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To strategically profile the key players and comprehensively analyze their market positions in terms of their ranking and core competencies2
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To analyze competitive growth strategies such as product launches, acquisitions, expansions, contracts, and partnerships in the warehouse management system market
Available Customizations:
MarketsandMarkets offers the following customizations for this market report:
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Further breakdown of the market in different regions to the country level
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Detailed analysis and profiling of additional market players (up to 5)
Thomas
Sep, 2020
Nice brief, as already mentioned as question below: the potential of ECommerce growth is not even represented in your numbers, keeping in mind that only the biggest of companies can afford the mentioned solutions, no the average merchant that has 5-20 people inside his warehouse. Imagine what the real market size and potential is in fact.Best regards, Thomas Kircheis, PULPO WMS.
User
Sep, 2019
The e-commerce industry is expected to grow at a high rate owing to the increasing number of online shoppers. The e-commerce sales in APAC is predicted to be the twice the size of Western Europe and North America combined in 2020. Have you covered the impact of e-commerce industry on the WMS market in your study?.
User
Sep, 2019
Implementation cost of high-end on-premise WMS solutions is high, which is limiting its adoption in many small and midsized enterprises. Does your report covers the cost analysis and its impact on the growth of WMS market? .
User
Sep, 2019
Multinational companies with warehousing facilities across the world are constantly looking for advanced solutions to instantly track their inventory. The dynamic nature of the global supply chain networks has increased the need for adaptable warehousing solutions. Have you considered this factor while studying the global spread of the WMS market?.
User
Sep, 2019
Cloud computing is transforming operational activities of a warehouse and supply chain management. We would like to understand the impact of cloud computing on WMS market across the world..
User
May, 2019
Businesses today need to face challenges related to seasonal changes, price changes, fashion changes, and competitive product launches to remain competitive in the market. Thus, they need different types of forecasting models to fulfill customer orders on-time and provide them with a prediction of short- and long-term prices. Have you considered the forecasting models in this study?.