We recently published Interim Findings, including estimates, forecasts, and regional vendor shares, as part of our coverage of the global market for Stationary Thermal Barcode Printers. Vendors generated close to $1.3B for the segment during the year with VDC forecasting a 4% revenue growth in 2017. VDC predicts the market to post a CAGR of 5% through 2021, reaching $1.6B. This growth will primarily come from the following – desktop printers, the transportation & logistics (T&L) vertical, and Asia. I will now outline the reasons why in the section below:
- The product mix will increasingly shift from industrial printers to lower cost desktop solutions in the forecast period, with the latter accounting for 78% of global unit shipments by 2021. VDC’s conversations with enterprise end users and solution providers indicate that this form factor’s applicability to a broad range of application environments will drive increased adoption and investment.
- E-commerce sales growth and shoppers’ increasing use of non-traditional retail channels have transformed logistics, perhaps forever. Such a shift in consumer trends has a direct impact on the technology investments made by retailers and logistics service providers, prompting them to direct more of their budgets towards revamping warehouse/DC infrastructure. VDC expects rising investments in barcode labeling solutions to support supply chain functions including inventory management, purchasing, order picking, sorting, shipping, and distribution.
- Asia is especially interesting due to the presence of strong, competitive local hardware vendors, all of whom contribute significantly to the region’s market leading revenue contribution for this product segment. Government initiatives will put special emphasis on automation in the industrial supply chain to maintain the region’s price competitiveness. VDC forecasts a 6+% CAGR here through the forecast period; Australia, China, Japan, and South Korea will lead much of the barcode labeling investments to support rising demand from both manufacturing as well as T&L verticals.
The global competitive landscape for barcode label printers is highly fragmented with several vendors from across the world vying for a slice of the $1.3 Billion in revenues that this market generates. For more information on VDC’s Stationary Thermal Barcode Printers report and the research deliverables, view the 2017 AutoID & Data Capture Research Outline or contact us at firstname.lastname@example.org.