III. Industry Analysis

Micro Fulfillment Market is expecting a progressive opportunity by 2030 worth ~$36 billion in the coming ten years with an installed base of ~6600 MFCs driven by dark stores, online grocery, and rapid delivery. Micro-fulfillment center (MFC) services themselves will contribute more than $1.6 Billion by 2030 in this growing space. It is expected to have over $6B in market revenue from Micro-Fulfillment automation from grocery omnichannel. Delivery service providers may collaborate with retailers or have their personal dark stores to automate the fulfillment process. It is expected that consumers will keep buying online groceries developed during the pandemic, and the delivery options may vary as In-Store Pick Up, Home Delivery, Curbside Pickup, Locker Delivery, etc. Advances in Machine Vision and AI are accelerating the development of MFCs.

The micro-fulfillment center (MFC) solutions market is expected to grow rapidly as per the research done on automated MFCs by analyst firm LogisticsIQ. The research was driven by rising eCommerce volumes, the changing geographical e-commerce demand, and expanding desire for same-day or same-hour delivery. Automated Urban warehouses will be key to meeting this demand with same-day delivery expectations, although the delivery fee is one of the key factors in deciding the digital channel in the long term. Global e-commerce giants demand that warehouses or micro fulfillment centers keep their goods intact in a reliable and clean place. The delay in sending the stock to the consumer will cause a loss of business, as the buyer might turn off the seller and opt for another shopping site. The goal of the online shopping giants is to offer the maximum profits out of their service, and without the micro fulfillment centers, they may not get it.