The report "Warehouse Management System Market by Offering (Software, Services), Deployment (On-premises, Cloud-based), Tier (Advanced, Intermediate, Basic), End User (Automotive, E-commerce, Electricals & Electronics) and Region - Forecast to 2029" The US Warehouse Management System Market will grow from USD 0.97 billion in 2024 to USD 2.13 billion by 2029, growing at a CAGR of 17.0% from 2024 to 2029.
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The US warehouse management system (WMS) market has the largest share in the North American Market and is experiencing rapid growth, driven by the increasing presence of multinational companies with advanced manufacturing and warehousing facilities, shifting preferences towards cloud-based platforms, thereby providing a significant opportunity for the adoption of cloud WMS solutions. The e-commerce industry accounts for a significant share of total retail sales in the US in 2024. This growth in e-commerce and the 3PL industry will pave the way for the growing adoption of WMS in the US. Notable companies driving this market in North America are Manhattan Associates (US), Blue Yonder Group, Inc. (US), Oracle (US), IBM (US), Infor (US), and PTC Inc. (US).
WMS Services segment to drive the market growth during the forecast period
The US Warehouse Management System (WMS) market is experiencing increased demand for specialized services, owing to the increasing globalization and expansion of the e-commerce sector. Furthermore, the competitive US market has a strong emphasis on operational efficiency have surged the demand for training and consultation services, equipping organizations with the expertise and strategies required to fully harness the capabilities of WMS solutions. These factors result in the surge in demand for comprehensive WMS services, thereby illustrating the changing priorities of US organizations toward enhancing productivity and customer satisfaction in their logistics and supply chains.
Cloud-based WMS segment is expected to grow at an impressive pace during the forecast period
Cloud-based WMS is rapidly expanding in the US due to its adaptability to the nation's dynamic e-commerce sector. Its scalable, subscription-based model reduces upfront costs, appealing to businesses seeking financial efficiency. Real-time data access and remote capabilities address the needs of geographically spread supply chains. US companies prioritize data-driven decisions, which cloud WMS facilitates through seamless analytics integration. Automatic updates and robust security measures provided by cloud vendors further enhance its attractiveness. This alignment with the US business environment, emphasizing agility and cost-effectiveness, drives the accelerated adoption of cloud WMS. Companies such as Manhattan Associates and Oracle provide cloud-based WMS for improving operational efficiency.
3PL segment to hold significant market share in the WMS market
The 3PL segment leads the WMS market due to the high demand for e-commerce and complex supply chains. The increase in online shopping has boosted demand for streamlined order fulfillment and distribution networks, and hence 3PLs are the go-to choice for companies that require streamlined logistics solutions. Technological advancements in automation, and robotics have further led to the surge in 3PL functions, thereby enhancing precision and efficiency. According to the American Journal of Transportation, in the US, the 3PL providers manage and control almost 20% of the country's warehouse capacity, which henceforth leads to more inclination towards larger, automated warehouses. This further depicts the growing need for scalable distribution options. With its ever-changing technological innovations and strategic growth, 3PL continues to lead warehouse management, hence propelling efficiency and supply chain resilience. In May 2024, Softeon, a US-based company upgraded its WMS with new features, which the company developed a platform explicitly for multi-client 3PL setups, in which every aspect is customizable at the client level, thereby leading to the clients being able to perform their specific workflows.

Key Players
Manhattan Associates (US), Blue Yonder Group, Inc. (US), Oracle (US), Infor (US), Microsoft (US), Reply (Italy), PTC Inc. (US), and others are the major players in the US warehouse management system market. These players have implemented various strategies to extend their global reach and enhance their market shares.
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