On-Demand Warehousing Market Set to Reach $220.96 Billion by 2029

The Business Research Company

The Business Research Company's On-Demand Warehousing Market Set to Reach $220.96 Billion by 2029

LONDON, GREATER LONDON, UNITED KINGDOM, October 1, 2025 /EINPresswire.com/ -- "Get 30% Off All Global Market Reports With Code ONLINE30 – Stay Ahead Of Trade Shifts, Macroeconomic Trends, And Industry Disruptors

What Is The Expected Cagr For The On-Demand Warehousing Market Through 2025?
The size of the on-demand warehousing market has seen significant expansion in the last few years. With an expected growth from $114.50 billion in 2024 to $130.92 billion in 2025, it boasts a compound annual growth rate (CAGR) of 14.3%. The impressive growth observed in the past years is credited to factors such as the escalation in peak-season and omnichannel fulfillment challenges, evolving consumer demand for speedy delivery, a greater necessity for geographic accessibility to customers, spiraling cost burdens on stationary warehousing, and a surge in the use of adaptable logistics technology or platforms.

The market size of on-demand warehousing is predicted to experience substantial expansion in the subsequent few years. The projection is for growth to reach $220.96 billion in 2029, with a compound annual growth rate (CAGR) of 14.0%. This positive outlook for the forecast period is credited to a heightened interest from third-party logistics providers and adaptive models, an increased customer inclination towards pay-per-use business models, the escalating globalization of supply chains, amplified requirement for returns management and reverse logistics, and the rise of small and medium-sized businesses' involvement in e-commerce. Noteworthy trends during the forecast period consist of advancements in supply chain visibility tools, the amalgamation of digital platforms and marketplaces, the advent of technology-enabled automation and robotics, progress in data analytics and predictive modelling, improvements in cloud-based warehouse management systems, and the incorporation of blockchain technology.

Download a free sample of the on-demand warehousing market report:
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What Are The Key Factors Driving Growth In The On-Demand Warehousing Market?
The surge in e-commerce is projected to fuel the expansion of the on-demand warehousing market in the future. E-commerce refers to the online transaction of goods or services, facilitated by digital platforms and e-payment systems. Its growth is attributable to the rise in smartphone and internet usage, enabling consumers to easily browse, select, and buy products at their convenience. On-demand warehousing services aid in this e-commerce wave by providing adaptable, short-term storage and order fulfillment solutions, facilitating businesses to swiftly scale operations and cater to altering customer requirements without long-term warehouse obligations. For example, as per the Census Bureau, a US government organization, in February 2025, e-commerce sales in the fourth quarter (Q4) of 2024 saw a boost of 9.4% in comparison to the same duration in 2023. This rise exceeded the overall growth of retail sales at 3.8% and constituted 16.4% of the total retail sales. Thus, the progression of e-commerce is catalyzing the development of the on-demand warehousing market.

What Are The Top Players Operating In The On-Demand Warehousing Market?
Major players in the On-Demand Warehousing Global Market Report 2025 include:
• Allcargo Logistics Ltd.
• Emiza Supply Chain Services Pvt. Ltd.
• ShipMonk Inc.
• Xpressbees Logistics Pvt. Ltd.
• ShipBob Inc.
• Stord Inc.
• Red Stag Fulfillment LLC
• Flexe Inc.
• Murphy Warehouse Company Inc.
• Extensiv Inc.

What Are The Key Trends Shaping The On-Demand Warehousing Industry?
Key players in the on-demand warehousing market are innovating with strategies such as real-time inventory visibility to streamline warehouse operations, boost supply chain competency, cut down storage expenses, and ensure swift and precise order delivery. The strategy of real-time inventory visibility implies the capacity to instantly track and oversee stock levels at all sites, facilitating efficient inventory management through precise, current insights. To illustrate, Kinaxia Logistics Limited, a warehousing and transportation services organization based in the UK, rolled out a countrywide on-demand warehousing service in June 2024. This service equips retailers, manufacturers, wholesalers, and importers with a flexible and expandable solution for the effective storage and shipment of goods during high-demand seasons, promotional activities, or immediate storage requirements. With its seamless integration with customer systems and adjustable order call-offs at the SKU or pallet level, this launch has bolstered Kinaxia's end-to-end logistics provision, fusing warehousing, e-commerce fulfillment, and countrywide distribution into a robust, efficient and customer-focused solution.

Comprehensive Segment-Wise Insights Into The On-Demand Warehousing Market
The on-demand warehousing market covered in this report is segmented

1) By Service Type: Storage And Warehousing, Fulfillment And Distribution, Inventory Management, Transportation And Logistics, Packaging And Labeling
2) By Warehouse Type: Dry Storage, Cold Storage, Climate-Controlled Storage
3) By Deployment Mode: Cloud-Based, On-Premises
4) By Enterprise Size: Small And Medium Enterprises, Large Enterprises
5) By Industry Vertical: Manufacturing, Retail And E-commerce, Healthcare, Food And Beverage, Automotive, Other Industry Verticals

Subsegments:
1) By Storage And Warehousing: Cold Storage, Bonded Warehousing, General Warehousing, Automated Warehousing, Specialized Warehousing
2) By Fulfillment And Distribution: Order Fulfillment, Last Mile Delivery, Cross Docking, Pick And Pack, Reverse Logistics
3) By Inventory Management: Stock Auditing, Demand Forecasting, Replenishment Management, Safety Stock Management, Inventory Tracking
4) By Transportation And Logistics: Freight Management, Route Optimization, Fleet Management, Shipment Tracking, Third Party Logistics
5) By Packaging And Labeling: Custom Packaging, Standard Packaging, Label Printing, Barcode Labeling, Eco Friendly Packaging

View the full on-demand warehousing market report:
https://www.thebusinessresearchcompany.com/report/on-demand-warehousing-global-market-report

Global On-Demand Warehousing Market - Regional Insights
In the On-Demand Warehousing Global Market Report 2025, North America ranked as the dominant region for 2024. It is anticipated that the Asia-Pacific region will experience the most rapid growth in the forecast period. The report encompasses regions including Asia-Pacific, Western Europe, Eastern Europe, North America, South America, the Middle East, and Africa.

Browse Through More Reports Similar to the Global On-Demand Warehousing Market 2025, By The Business Research Company

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Warehousing And Storage Global Market Report 2025
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General Warehousing And Storage Global Market Report 2025
https://www.thebusinessresearchcompany.com/report/general-warehousing-and-storage-global-market-report

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