The global internet of things in warehouse management market size was valued at USD 11.26 billion in 2024 and is expected to expand at a CAGR of 8.3% from 2025 to 2030. The growth is attributed to increasing demand for automation and efficiency in supply chain operations. As companies strive to enhance their operational capabilities, the integration of internet of things (IoT) technologies allows for real-time monitoring and management of inventory, which is crucial for maintaining competitive advantage.
The rapid digital transformation across various industries has further driven the IoT in the warehouse management industry. Organizations are increasingly recognizing the importance of data-driven decision-making and operational visibility, leading to a surge in the adoption of IoT-enabled devices such as sensors and RFID tags. These technologies facilitate improved tracking and management of goods within warehouses, resulting in reduced operational costs and enhanced accuracy. The shift toward e-commerce further amplifies this trend, as companies require agile and efficient warehouse operations to meet consumer expectations.
Moreover, regulatory pressures regarding safety and compliance are encouraging businesses to adopt IoT solutions that ensure adherence to industry standards. As governments implement stricter inventory management and logistics regulations, organizations invest in technologies that enhance transparency and traceability within their supply chains. This trend is particularly evident in healthcare and food distribution sectors, where compliance with safety standards is paramount.
Furthermore, IoT connectivity and sensor technology advancements have made these solutions more accessible and cost-effective for businesses of all sizes. Smaller enterprises can leverage IoT technologies to optimize their warehouse operations as implementation costs decrease. This democratization of technology is expected to drive further growth in the IoT in the warehouse management industry as more organizations recognize the potential benefits of integrating IoT into their logistics strategies. Overall, the combination of these factors positions the global IoT in the warehouse management industry for robust expansion over the coming years.
The IoT sensing devices segment in IoT in warehouse management industry accounted for a significant revenue share in 2024, due to the increasing need for real-time inventory tracking and management. These devices, including RFID tags and smart sensors, provide critical data that enhances visibility and accuracy in warehouse operations, allowing businesses to continuously monitor stock levels and conditions. Companies that utilize IoT sensors have reported a reduction in inventory errors, which directly translates into cost savings and improved customer satisfaction. In addition, the growing emphasis on automation and efficiency in supply chains drives the adoption of these technologies, as they facilitate streamlined processes and reduce reliance on manual labor.
The IoT connecting gateways segment is expected to grow at the highest CAGR over the forecast period due to the increasing demand for seamless data integration and communication within warehouse management systems. These gateways serve as critical links between IoT devices and central management systems, enabling real-time data transmission and analytics that enhance operational efficiency. For instance, a warehouse utilizing IoT gateways can instantly relay information about inventory levels and equipment status, allowing managers to make informed decisions quickly. The growing complexity of supply chains and the need for improved visibility are driving businesses to adopt these gateways, as they facilitate better coordination among various stakeholders. In addition, advancements in connectivity technologies, such as 5G, are further enhancing the capabilities of IoT gateways, making them essential for modern warehouse operations that rely on real-time data to optimize processes and reduce costs.
The inventory optimization segment dominated the IoT in the warehouse management industry, with the largest revenue share in 2024 due to the increasing need for real-time visibility and accuracy in inventory management. Businesses are leveraging IoT technologies, such as RFID tags and smart sensors, to track inventory levels and movements throughout the supply chain, significantly reducing errors associated with manual processes. In addition, the ability to automate reordering processes based on real-time data prevents stockouts and overstock situations, allowing businesses to optimize their inventory levels effectively.
The asset tracking segment is expected to grow at the fastest CAGR over the forecast period due to the increasing demand for real-time visibility and management of assets across complex supply chains. Companies are recognizing the importance of accurately tracking equipment and inventory to reduce losses and improve operational efficiency. For instance, businesses utilizing IoT-based asset-tracking solutions can monitor the location and condition of their assets in real-time, leading to a reduction in equipment loss. In addition, advancements in IoT technologies, such as RFID and GPS, enable more precise tracking capabilities, allowing organizations to optimize resource allocation and streamline logistics processes. As e-commerce continues to expand, the need for efficient asset management becomes critical, driving investments in IoT solutions that enhance transparency and accountability throughout the supply chain.
The large enterprise segment dominated the IoT in the warehouse management industry, with the largest revenue share in 2024 due to their substantial investments in advanced technologies and automation solutions. Large enterprises typically have more resources to implement comprehensive IoT systems that enhance operational efficiency, streamline processes, and improve supply chain visibility. For instance, a major retail giant utilizing IoT technology for real-time inventory tracking has reported a significant reduction in stock outs and overstock situations, leading to improved customer satisfaction. In addition, these companies benefit from economies of scale, allowing them to optimize their logistics operations effectively.
The small and medium enterprise segment is expected to grow at the fastest CAGR over the forecast period due to the increasing accessibility of IoT technologies and the rising demand for operational efficiency among smaller businesses. Small retailers are implementing an IoT-based inventory management system that can significantly reduce stock discrepancies and enhance customer satisfaction by ensuring product availability. In addition, as e-commerce continues to expand, SMEs are investing in IoT technologies to streamline their warehouse operations and compete effectively in the market. The affordability of IoT devices and cloud-based solutions further encourages SMEs to adopt these technologies, allowing them to optimize their processes without substantial upfront investments.
The manufacturing segment dominated the IoT in the warehouse management industry with the largest revenue share in 2024 due to its significant reliance on efficient inventory management and automation solutions. Manufacturers increasingly adopt IoT technologies to enhance operational efficiency, streamline supply chain processes, and improve visibility across their operations. For instance, leading automotive manufacturers that utilize IoT devices for real-time monitoring of inventory levels have reported a decent increase in production efficiency by minimizing downtime and optimizing resource allocation. The integration of IoT solutions allows manufacturers to track machinery performance and predict maintenance needs, reducing unexpected failures and ensuring smoother production flows.
The healthcare segment is expected to grow at the fastest CAGR over the forecast period due to the increasing demand for efficient inventory management and real-time tracking of medical supplies and equipment. As healthcare facilities strive to enhance patient care and operational efficiency, IoT technologies enable them to monitor inventory levels, expiration dates, and usage patterns in real time. Hospitals utilizing IoT-enabled asset tracking systems can significantly reduce waste and ensure that critical supplies are always available when needed, leading to improved patient outcomes. In addition, the growing emphasis on compliance with regulatory standards and the need for enhanced safety measures further drive the adoption of IoT solutions in healthcare. By leveraging these technologies, healthcare providers can optimize their supply chains, reduce operational costs, and ultimately deliver better services to patients, making the healthcare segment a key focus area for IoT investments in warehouse management.
The North America IoT in warehouse management market dominated with the largest revenue share of 34.8% in 2024, due to its advanced technological infrastructure and high adoption rates of automation solutions. The region is home to numerous leading technology providers and innovative companies that are actively integrating IoT solutions into their operations, enhancing efficiency and productivity. In addition, the increasing demand for e-commerce and logistics services has driven businesses to invest heavily in IoT technologies to streamline their supply chains. The favorable regulatory environment, substantial investments in digital transformation, and a strong emphasis on operational efficiency make North America an important participant in the global IoT market for warehouse management.
The U.S. IoT in warehouse management market dominated North America in 2024, driven by the increasing demand for automation and efficiency across various industries. As companies face inventory accuracy and operational cost challenges, the shift towards IoT solutions to enhance warehouse management processes is also rising. In addition, the presence of leading technology providers and a favorable regulatory environment in the U.S. further facilitate the adoption of IoT solutions. The rapid growth of e-commerce also compels businesses to optimize their logistics operations, reinforcing the need for advanced IoT applications that enable better visibility and data-driven decision-making in warehouse management.
Asia Pacific IoT in warehouse management market is expected to grow at the highest CAGR of 11.4% over the forecast period due to rapid industrialization and the increasing adoption of advanced technologies across various sectors. Countries such as China and India are investing heavily in digital transformation initiatives, including integrating IoT solutions to enhance operational efficiency and streamline supply chains. In addition, the booming e-commerce sector in the region drives demand for efficient warehousing solutions as businesses seek to optimize their logistics operations to meet consumer expectations. Government initiatives promoting automation and smart technologies further support this growth, making Asia Pacific a key player in the global IoT in warehouse management market.
The China IoT in warehouse management market dominated Asia Pacific in 2024 with the largest revenue share, driven by rapid industrialization and significant investments in digital transformation. The Chinese government’s "Made in China 2025" initiative has reinforced the adoption of advanced IoT technologies across various sectors, particularly logistics and manufacturing. In addition, the booming e-commerce sector in China demands efficient warehouse operations to meet consumer expectations for quick deliveries. The integration of IoT devices enables businesses to optimize their supply chains, reduce operational costs, and improve inventory accuracy.
Europe IoT in warehouse management market is expected to grow significantly over the forecast period, due to the increasing demand for automation and efficiency in logistics operations. In addition, the growing trend toward smart warehouses, supported by advancements in technology such as AI and big data analytics, further drives the adoption of IoT solutions. As companies seek to enhance operational efficiency and reduce costs amid rising labor expenses, the integration of IoT technologies becomes essential, positioning Europe as a key player in the global warehouse management landscape.
Some key players in the IoT in warehouse management market are HCL Technologies Limited, International Business Machines Corporation (IBM), Software GmbH, Oracle, and others. These companies in the Internet of Things (IoT) in warehouse management market leverage various strategies to maintain a competitive edge, including the development of advanced automation solutions that enhance operational efficiency. They focus on integrating IoT technologies such as smart sensors and real-time tracking systems to optimize inventory management and reduce operational costs.
IBM Corporation specializes in advanced IoT solutions that enhance warehouse management through real-time data integration and analytics. By leveraging its Watson IoT platform, IBM enables businesses to connect devices and collect valuable insights, optimizing inventory tracking and resource allocation.
Oracle Corporation offers comprehensive IoT solutions tailored for warehouse management, enhancing operational efficiency and supply chain visibility. Its cloud-based applications integrate IoT data with existing systems, enabling businesses to monitor inventory levels, track shipments, and optimize logistics in real-time. Oracle's advanced analytics capabilities help organizations make informed decisions by providing actionable insights into warehouse operations.
The following are the leading companies in the internet of things in warehouse management market. These companies collectively hold the largest market share and dictate industry trends.
In November 2023, Tecsys, a Canadian supply chain software company, launched its Elite Warehouse Management System (WMS) specifically designed for the healthcare sector. This new system aims to assist healthcare distribution companies in complying with the regulations outlined in the Drug Supply Chain Security Act (DSCSA). By streamlining operations, Tecsys WMS eliminates the need for businesses to operate multiple programs simultaneously, thereby reducing dual-entry workflows.
In May 2023, PTC introduced its AI-powered augmented reality solution, Vuforia, to enhance visual inspections in warehouse settings. This Step Check platform lets workers view physical objects with overlaid inspection instructions, facilitating real-time guidance during inspection. This innovative system alerts users to errors such as improper assembly or missing components and automatically records inspection results, generating dashboards for trend analysis.
Report Attribute |
Details |
Market size value in 2025 |
USD 12.03 billion |
Revenue forecast in 2030 |
USD 17.93 billion |
Growth Rate |
CAGR of 8.3% from 2025 to 2030 |
Base year for estimation |
2024 |
Historical data |
2018 - 2023 |
Forecast period |
2025 - 2030 |
Report updated |
January 2025 |
Quantitative units |
Revenue in USD billion and CAGR from 2025 to 2030 |
Report coverage |
Revenue forecast, company ranking, competitive landscape, growth factors, and trends |
Segments covered |
Device, application, enterprise, end use, and region |
Regional scope |
North America, Europe, Asia Pacific, Latin America, MEA |
Country scope |
U.S., Canada, Mexico, Germany, UK, France, China, Japan, India, Australia, South Korea, Brazil, South Africa, Saudi Arabia, UAE |
Key companies profiled |
PTC Inc., Tecsys, Inc., HCL Technologies Limited, International Business Machines Corporation (IBM), Software GmbH, Oracle, Zebra Technologies Corp., Zyter, Suntist Labs Pvt. Ltd., Argos Software |
Customization scope |
Free report customization (equivalent up to 8 analysts working days) with purchase. Addition or alteration to country, regional & segment scope. |
Pricing and purchase options |
Avail customized purchase options to meet your exact research needs. Explore purchase options |
This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global internet of things in warehouse management market report based on device, application, enterprise, end use, and region:
Device Outlook (Revenue, USD Million, 2018 - 2030)
IoT Sensing Devices
IoT Connecting Gateways
Others
Application Outlook (Revenue, USD Million, 2018 - 2030)
Asset Tracking
Inventory Optimization
Warehouse Automation
Workforce Management
Predictive Maintenance
Others
Enterprise Outlook (Revenue, USD Million, 2018 - 2030)
Small and Medium Enterprise
Large Enterprise
End Use Outlook (Revenue, USD Million, 2018 - 2030)
Retail & E-Commerce
Manufacturing
Transportation & Logistics
Food & Beverages
IT & Telecommunication
Healthcare
Others
Regional Outlook (Revenue, USD Million, 2018 - 2030)
North America
U.S.
Canada
Mexico
Europe
Germany
UK
France
Asia Pacific
China
Japan
India
Australia
South Korea
Latin America
Brazil
Middle East and Africa (MEA)
South Africa
Saudi Arabia
UAE
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