Product Code: 65020
The robotic process automation market was valued at USD 2094.3 million in 2020 and is expected to reach USD 9416.82 million by 2026, at a CAGR of 27.7% over the forecast period 2021 - 2026. With the recent outbreak of COVID-19, the robotic process automation market is expected to witness significant growth, owing to an increased usage of robotic process automation solutions by increase in social distancing norms. Due to the recent outbreak of COVID-19, the human resource crunch observed by enterprises in industries is expected to further influence the adoption of RPA during the next two years, thus, driving the demand for such solution vendors.
- Robotic process automation (RPA), also called as intelligent automation or smart automation, basically refers to advanced technologies that can be programmed to perform a series of tasks, like data manipulation, triggering responses, and creating necessary communication with other process and systems, which previously required human intervention. Market vendors are also enhancing their offerings, by adding new features in areas, such as automation lifecycle management, workload management, SLA-based automation, credential management, and Citrix automation, as well as adding new data APIs. These enhancements are attracting new industries that are looking for higher operational and security capabilities.
- The increase in the adoption of Artificial Intelligence and cloud-based solutions for internal efficiency among SMEs is thriving the market growth. According to Vistage, among the 13.6% of SMBs leveraging AI, a prominent share is using it to improve business operations, followed by customer engagement.
- Growing deployment of SaaS, IaaS, and PaaS offerings for customer relationship management, cloud computing, enterprise resource management, open source resources, cooperative robot learning, network connectivity, and other financial applications is also developing a market for RPA solutions.
- The rising trend of the shift toward cloud-based solutions and increasing adoption of robot-based solutions, throughout various end-user industries, are expected to create new opportunities for establishment of robotic process automation, globally.
- The adoption of software robots for managing routine work carried out by temporary or seasonal staff, or for staff bursts that are required by regulatory spikes, new product launches, or some new operation being introduced, is further developing the market growth.
Key Market Trends
Retail is expected to hold major share
- Returns processing, workflow management, customer support management, accounting and finance, ERP management and marketing, and consumer behavior analysis are some of the applications in the retail sector, with RPA playing an important role. It has been estimated that more than USD 2 trillion can be saved in a global workforce by automating almost half of the tasks performed by humans, especially in an emerging industry, like retail.
- Rapid growth in the e-commerce industry is an essential factor adding to the growth of the RPA market. Online sales in the United States are expected to double, by 2023, reaching approximately 20 to 25% of the overall retail sector. According to The Census Bureau of the Department of Commerce, the estimate of US retail e-commerce sales for the fourth quarter of 2019, adjusted for seasonal variation, was USD 158.0 billion, which was an increase of 2.6% from the third quarter of 2019. Within the United Kingdom (UK), retail plays an important role in shaping the economy and employs nearly 3 million people.
- Along with adopting innovative practices to attract and engage more customers, the players in the retail industry have been using newer technologies for retail automation to smoothen their processes and gaining a growth momentum to counter various challenges.
- The growing number of warehouses is making the retail sector to use robotic process automation in order to do the tasks more efficiently and effectively. According to the Bureau of Labor Statistics, the number of warehouses in the United States were 18,182 in the year 2018. A study conducted by Zebra Technologies on the anticipated future trends in the retail sector revealed that around 60% of the retailers are expected to adopt automation across all the key functions by 2021.
United States Expected to Hold Significant Market Share
- The United States, which is among the leading innovators and pioneers in terms of adoption of robotics, is one of the largest markets. Robot use in the region continues to grow, which is helping make the US companies more competitive and leading to new job growth. Further, according to the Robotic Industries Association (RIA), the most significant driver of the year-to-date growth of industrial robots was an 83% increase in units purchased by automotive OEMs for process automation.
- According to the Association for Advancing Automation, over 180,000 robots have been dispatched to various American companies since 2010, and more than 1.2 million new manufacturing jobs have been created during this time. According to MIT, automotive manufacturing accounted for the significant portion of the demand for industrial robots in the United States, followed by electronic and plastics and chemical manufacturing. This is anticipated to augment the growth of the robotic process automation (RPA).
- The increasing initiatives by the government and the regulated authorities to boost the adoption of RPA across the various industries is expected to fuel the market growth over the forecast period. According to UiPath, more than 30 agencies in the region are using its RPA eliminate compliance issues, improve throughput, and to reduce their backlogs.
- The 2018 Management Agenda and the Fiscal Year 2020 United States Budget Plan called out RPA as a tool for agencies to use and explore to address staffing and budgeting issues to deliver better services to the public. Also, the government announced its plans to utilize RPA in the OMB memorandum 18-23 (M-18-23). In May 2019, OMB issued a memorandum that stated that work performed by a software robot should be secure and is as critical and important as the work done by the employees of the government.
The robotic process automation market is moving towards consolidation, as various acquisitions and collaboration of large companies are expected to take place shortly.
- Feb 2020 - Automation Anywhere launched one of the first integrated artificial intelligence (AI)-driven process discovery solution that discovers business processes and creates bots to automate them. Automation Anywhere Discovery Bot uses AI and machine learning to automatically capture and analyze user actions to uncover common, repetitive process steps, as employees navigation between business applications.
Reasons to Purchase this report:
- The market estimate (ME) sheet in Excel format
- 3 months of analyst support
TABLE OF CONTENTS
- 1.1 Study Assumptions and Market Definition
- 1.2 Scope of the Study
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET DYNAMICS
- 4.1 Market Overview
- 4.2 Industry Attractiveness - Porter's Five Forces Analysis
- 4.2.1 Bargaining Power of Suppliers
- 4.2.2 Bargaining Power of Consumers
- 4.2.3 Threat of New Entrants
- 4.2.4 Intensity of Competitive Rivalry
- 4.2.5 Threat of Substitutes
- 4.3 Impact of COVID-19 on the industry
- 4.4 Market Drivers
- 4.4.1 Functional Benefits of RPA across Various End-user Industries
- 4.4.2 Adoption of AI- and Cloud-based Solutions for Internal Efficiency among SMEs
- 4.5 Market Restraints
- 4.5.1 Data Security Concerns
5 MARKET SEGMENTATION
- 5.1 Deployment
- 5.1.1 On-premise
- 5.1.2 Cloud
- 5.2 Solution
- 5.2.1 Software
- 5.2.2 Service
- 5.3 Size of Enterprise
- 5.3.1 Small and Medium Enterprises
- 5.3.2 Large Enterprises
- 5.4 End User Industry
- 5.4.1 IT and Telecom
- 5.4.2 BFSI
- 5.4.3 Healthcare
- 5.4.4 Retail
- 5.4.5 Manufacturing
- 5.4.6 Other End User Industries
- 5.5 Geography
- 5.5.1 North America
- 126.96.36.199 United States
- 188.8.131.52 Canada
- 5.5.2 Europe
- 184.108.40.206 United Kingdom
- 220.127.116.11 Germany
- 18.104.22.168 France
- 22.214.171.124 Rest of Europe
- 5.5.3 Asia Pacific
- 126.96.36.199 China
- 188.8.131.52 Japan
- 184.108.40.206 India
- 220.127.116.11 South Korea
- 18.104.22.168 Rest of Asia Pacific
- 5.5.4 Latin America
- 5.5.5 Middle East and Africa
6 COMPETITIVE LANDSCAPE
- 6.1 Company Profiles*
- 6.1.1 Automation Anywhere Inc.
- 6.1.2 Blue Prism Group PLC
- 6.1.3 Jacada Inc.
- 6.1.4 Pegasystems Inc.
- 6.1.5 UIPath Inc.
- 6.1.6 Kofax Inc. (Thoma Bravo LLC)
- 6.1.7 Be Informed BV (Hoogenberg Beheer BV)
- 6.1.8 Datamatics Global Services Limited
- 6.1.9 AutomationEdge Technologies Inc.
- 6.1.10 Jidoka
- 6.1.11 HelpSystems LLC (HGGC)
- 6.1.12 Nice Robotic Automation Ltd
- 6.1.13 CGI Inc.
7 INVESTMENT ANALYSIS
8 FUTURE OF THE MARKET