Markets

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Fulfillment market

Automation and lowest-cost handling are key to remain profitable when processing high-volumes. The Chinese Singles Day event has the highest fulfillment volume in the world and also during Black Friday and Cyber Monday sales are much higher in comparison to other days of the year. The challenge here is to operate those big volumes for just 1 or 2 days and in the most cost-efficient way as the customer is highly price sensitive. Flexible automation is the solution; the ability to scale-up for a short period of time and scale back down to regular shipping volumes for the remainder of the year and to flexibly sort small and large items. Especially for 3PL parties who operate the last mile as well, an optimal sorting process is required, including up-to-date information where the receiver would like to receive the shipment.

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Courier Express Parcel market

From the past decade, the courier, express, and parcel (CEP) industry has been witnessing high growth rates across the world. Fulfillment is the major growth driver of the CEP market, generating significant revenues for the industry. In recent years, growth in fulfillment business was leasing to an increase in business opportunities for shipping goods. Within the CEP market, it is crucial to be able to handle large peaks in volume, triggered by holiday seasons and the recent phenomena of sales events such as Black Friday, Singles Day and Cyber Monday, and meet expectations relating to smarter services such as tracking, status and redirection. Controlling unit costs via well targeted automation is a key challenge for many operators in this market.
Additionally, companies need automation solutions that can handle the increasing cross-border fulfillment volume and process shipments in a compliant way. Foreign languages, limited manifest data and customs clearance are often a big problem.

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Postal market

The Postal market is characterized by a decline in letter volumes. This decrease causes higher demand for automation of the sorting process in order to become more cost efficient and reduce unit cost.

Due to considerable margin pressures, it is wise to routinely audit whether your operational strategy is the best fit for volumes handled. Sometimes the answer is more automation, however, sometimes the most efficient solution is a manual process augmented by technology to ensure speed and quality control.

Although the number of letters has declined over the past few years, the global postal automation system market is expected to increase by an average of 6.3% per year between 2017 and 2023.