Voice Picking Solution Market Size, Share & Trends Analysis Report By Component, By Industry Vertical (Food & Beverage, Retail & E-commerce, Healthcare & Pharma, Logistics & Transportation, Automotive), And Segment Forecasts, 2019 - 2025

Report Overview

The global voice picking solution market size was valued at USD 1.19 billion in 2018 and is expected to grow at a compound annual growth rate (CAGR) of 14.7% from 2019 to 2025.  The growing adoption of voice-directed warehousing systems for increasing employee productivity and warehouse efficiency is expected to drive the growth of the market for voice picking solutions. Warehouses are playing different roles across different industry verticals. A consumer-driven market is prompting operators to roll out decentralized warehouses operating in a fast-paced environment. However, a face-paced warehouse environment requires software and tools that can ensure high efficiency and accuracy in warehouse operations. A voice picking solution can be ideal at this juncture.

A conventional approach envisages warehouses workers tracking multiple things simultaneously, which however increases the chances of inaccurate picking and the resultant errors. A voice picking solution can eliminate these errors because rather than looking at the screen and working on it, a voice picking solution allows users to listen to the instructions that are being played through the headset. User interfaces driven by voice instructions allow users to communicate with host systems using portable headset terminals. These interfaces guide the users throughout their everyday routine and help users in monitoring and tracking all the processes in real-time. A voice picking solution can thereby maximize the productivity of warehouse workers and hence the operational efficiency of warehouses.

Training workers on a voice picking solution is often easier than training workers on any other solution. A picking solution driven by voice instructions can be programmed to provide real-time visibility into the warehouse, deliver live updates on shortages, assess the inventory levels, and raise alerts about damages. Hence, a voice picking solution is often preferred over conventional solutions, such as RF scanning and paper-picking processes. The flexibility of using voice-based services for replenishment, loading, receiving, put-away, and cycle counting coupled with enhancement in safety and reduction in unfavorable events are propelling their adoption and are expected to drive the market growth.

A voice picking solution can also be deployed to assist warehousing operations in meeting the rising demand and creating real-time processes that can increase warehouse efficiency. Once a voice picking solution is deployed, it can enhance customer satisfaction by delivering the right product at the desired time. It can also increase productivity and accuracy while reducing errors, lowering costs, and eliminating inefficiencies. Other benefits, including improved inventory management, increased warehouse throughput, better traceability, and accurate information to compliance requirements, associated with a voice picking solution are expected to drive the market growth.

Component Insights

Based on component, the voice picking solution market picking solutions based on voice instructions has been further segmented into software and services. The software segment covers on-premise deployment and cloud deployment while the services segment covers training, consulting, implementation & integration, and maintenance & support. The software segment dominated the market in 2018 while the services segment is expected to register the highest CAGR from 2019 to 2025. The integration of advanced services in software is emerging as a key trend in the market.

The growing demand for speech-based solutions in warehouses has been driving the purchase of software subscription, thereby translating into a higher market share for the software segment. A software allows warehouse operators to gain real-time supply chain visibility, take stock of the available inventory, and identify vacant space on the warehouse floor, among other capabilities. These capabilities are expected to drive the growth of the software segment. On the other hand, the highest CAGR of the services segment can be attributed to the growing need for services related to software and hardware.

Industry Vertical Insights

Based on industry vertical, the market has been further segmented into food & beverage, retail & e-commerce, healthcare & pharmaceutical, logistics & transportation, automotive, and others. When it comes to retail & e-commerce, a voice picking solution can help in multi-order picking, direct-to-customer order fulfillment, prioritizing and grouping, and improving on-shelf availability. A voice picking solution can also enable advanced processes, such as pick-and-pack, to help retailers in delivering superior customer experience. Hence, the retail & e-commerce segment is expected to account for the largest market share over the forecast period. The growing demand for voice-directed warehousing systems is expected to drive the growth of the segment.

The food & beverage industry is widely using voice-directed warehousing systems to manage supply chain operations and efficiently handle chilled & frozen products and delicate products. These systems can support multiple methods, such as pick-by-line, base layer picks, pick-by-cube, pick-by-order, and split cages. They can also help in categorizing and picking products based on their weights and expiry dates. Hence, the food & beverage segment is expected to exhibit the highest CAGR over the forecast period. Warehouse operators catering to other industry verticals are also deploying a voice picking solution in some or the other form to reduce the operating costs, enhance the customer service levels, and augment profitability.

Regional Insights

The North America regional market accounted for more than 30% market share in 2018. This can be attributed to the growing emphasis of warehouse operators in the region on reducing training time and enhancing productivity. For instance, in July 2018, Honeywell International Inc., a multinational conglomerate, signed a contract with the U.S. Defense Logistics Agency. The contract envisages Honeywell International Inc. implementing a picking solution based on voice instructions for workers working across all the distribution centers of the U.S. Defense Logistics Agency. The system would reduce training time, simplify the user interface, and increase safety and productivity for the U.S. Defense Logistics Agency.

The Asia Pacific regional market is expected to register a high CAGR over the forecast period. Organizations in the region are focusing aggressively on reducing the operational costs and managing inventories in real-time while enhancing customer service levels. Initiatives, such as Produce Traceability Initiative (PTI), are also driving the adoption of some or the other kind of voice picking solution across other geographies. As such, the market is expected to witness moderate growth in Europe, South America, and the MEA regional markets.

Key Companies & Market Share Insights

Market players are focusing on increasing their customer base to gain a competitive edge in the market and are hence collaborating with organizations across various industry verticals to help businesses in gaining operational efficiency. For instance, in May 2019, Card Factory, a retailer of greetings cards based in the U.K., collaborated with Voiteq, a voice-directed work solutions provider. Voiteq happens to be a subsidiary of Centriq Group, an IT solutions provider. The collaboration envisages Card Factory deploying Voiteq’s VoiceMan Warehouse Execution System to help in picking accurate products and subsequently increase its warehouse efficiency. Such strategies are helping market players in augmenting revenues and gaining a winning edge in the market. Some of the prominent players in the voice picking solution market include:

• Bastian Solutions, Inc.

• Dematic

• Ehrhardt + Partner Solutions Limited

• Honeywell International Inc.

• Ivanti

• Lucas Systems

• Voiteq

• Voxware

• Zebra Technologies Corp.

• ZETES

Voice Picking Solution Market Report Scope

Segments Covered in the Report

This report provides forecasts for revenue growth at the global, regional, and country levels and analyses of the latest industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, Grand View Research has segmented the global voice picking solution market report based on component, industry vertical, and region.

• Component Outlook (Revenue, USD Million, 2014 - 2025)

  • Software

    • On-Premise

    • Cloud

  • Services

    • Training

    • Consulting

    • Implementation & Integration

    • Maintenance & Support

• Industry Vertical Outlook (Revenue, USD Million, 2014 - 2025)

  • Food & Beverage

  • Retail & E-commerce

  • Healthcare & Pharmaceutical

  • Logistics & Transportation

  • Automotive

  • Others

• Regional Outlook (Revenue, USD Million, 2014 - 2025)

  • North America

    • The U.S.

    • Canada

    • Mexico

  • Europe

    • U.K.

    • Germany

    • France

  • Asia Pacific

    • China

    • Japan

    • India

  • South America

    • Brazil

  • Middle East and Africa (MEA)