The Global Hospitality Robots Market Anticipated to Register a Revenue of $17,10,879.9 Thousand, Growing at a CAGR of 25.7% from 2021 to 2028Download Sample Reports Overview
According to the hospitality robots market forecast, the global market size is estimated to cross $17,10,879.9 thousand by 2028, growing from $2,81,500.0 thousand in 2020, at a healthy CAGR of 25.7%.
COVID-19 Impact on Hospitality Robots Market
Global hospitality robots market is projected to register an incline in the growth throughout the pandemic period. The tourism sector has fueled again, and multiple hotels & restaurants have offered isolation time for their guests. As the majority of the nations have opened their borders, hoteliers are also taking care of tourists by implementing innovative, hygienic, and touch-free robots.
Moreover, tech giant companies operating worldwide are coming up with novel product launches to strengthen their prominent position. For instance, in July 2020, OMRON Asia Pacific, a key player in industrial automation solutions across Asian-Pacific countries, announced the official launch of LD UVC, a completely safe and 360° pathogen disinfection robot. These robots allow establishments like hotels, hospitals, event venues, malls, corporate office, and airports to fight against the spread of COVID-19 infection conveniently & effectively. Such product developments have surged the global hospitality robots market, during the outbreak period.
Global Hospitality Robots Market Analysis
Massive improvisation in the travel & tourism and hospitality sectors along with notable adoption of robotic automation in the restaurant, bar, hotels, and event industries are significantly fostering the growth of the hospitality robots market, throughout the analysis period. In addition to this, noticeable rise in concern for hotel premises safety and hygiene along with increase in utility of the robots particularly in events, restaurants, and hotel are accelerating the growth of the hospitality robots market, throughout the analysis timeframe.
Contrary to this, high cost associated with hospitality robots is projected to restrain the growth of the global market, throughout the projected period. Moreover, lower penetration of hospitality robots across restaurants/malls in middle or low-income nations is also hampering the global hospitality robots market growth.
In recent several years, the introduction of disinfecting robots in the hospitality sector has notably increased. These robots are fully autonomous, mobile, and built with large number of disinfection-specialized apps to disinfect against harmful bacteria and viruses. Tech giant companies like LG Electronics have also developed an autonomous robot that may use ultraviolet (UV-C) light in order to disinfect high-traffic areas, high-touch, including hallways and hotel lobbies. These robots play crucial role in tourism, restaurants, and event industries for cleaning purpose. All these hospitality robots market trends may further create huge opportunities in the global market
Global Hospitality Robots Market, Segmentation
The global hospitality robots market is segmented based on type, end-user, and region.
The type segment is further classified into front desk robots, delivery robots, cleaning robots, and others.
Among these, the delivery robots sub-segment is predicted to have the significant growth and cross $5,47,392.7 thousand by 2028, with the rise from $86,383.6 thousand in 2020.
Delivery robots are efficient, safe, reliable, and enable staff focus on their guests. In addition to this, hotels operating in emerging nations like China and India are facing serious problems such as labor shortages and soaring labor costs. Hence the demand for delivery robots in the hotel/restaurant sector is expected to increase exponentially as they are best replacement for low value-added redundant, and sometimes dangerous human work.
The end-user segment is further classified into hotels, restaurants & bars, and travel & tourism industry. Among these, the hotels sub-segment is projected to have the highest share of the hospitality robots market size and register a revenue of $7,39,408.2 thousand by 2028.
Improvisation in the hotel industry after COVID-19 pandemic along with surged need in the touch-free and hygienic robots in hotels are some of the factors accelerating the adoption of robots in hotel end-users. Also, hotel robots such as Savioke robots significantly help in enhancing hotel's performance by minimizing the long wait time in lines, less likelihood of making errors, and collecting interesting customer behavioral patterns. These elements are fueling the hotel end-user growth.
Hospitality robots market for Asia-Pacific region is extremely competitive and prominent players in the industry are adopting several strategies to gain largest APAC hospitality robots market share. Asia-Pacific hospitality robots market accounted $61,367.0 thousand in 2020 and is expected to register a revenue of $3,93,502.4 thousand by 2028.
The notable growth of Asia-Pacific hospitality robot industry is mainly driven by increased foreign tourist arrivals. Furthermore, amazing tourist destinations and strong presence of local hospitality players, namely Southern Pacific, Shangri-La, and Prince Hotels across the Asian countries are also showing significant growth in the Asia-Pacific hospitality robots market.
Key Players in the Global Hospitality Robots Market
Some of the leading global hospitality robots market players are
- Travelmate Robotics
- Aethon Inc.
- Softbank Robotics
- Ubtech Robotics, Inc.
- Connected Robotics
- Starship Technologies Inc.
Along with the company profiles of the key players in the market, the report includes the Porter’s five forces model that gives deep insights into the competitive environment of the market.
Porter’s Five Forces Analysis for the Global Hospitality Robots Market
- Bargaining Power of Suppliers: The suppliers of global hospitality robots market are high and more globalized. So, there will be less threat from the supplier. Thus, the negotiation power of suppliers of hospitality robot decreases.
Hence, the bargaining power of the supplier is low.
- Bargaining Power of Buyers: Buyers have high bargaining power, mainly because of increasing buyers’ demand for advanced hospitality robots in lower cost. Thus, multiple suppliers are providing best yet cost-efficient hospitality robots. Hence, the buyers can select the service that best fit their preferences.
The bargaining power of the buyer is high.
- Threat of New Entrants: The startups entering this market are providing advanced solutions to clients. Moreover, these organizations are mainly focusing on the implementation of multiple strategies, brand development, product innovation, and many others.
Thus, the threat of the new entrants is high.
- Threat of Substitutes: There is no alternative equipment available.
Therefore, the threat of substitute is low.
- Competitive Rivalry in the Market: The ventures operating in the global hospitality robots industry are opting for multiple business development strategies to stronghold their market position in the industry. Also, the key players like Hyundai Robotics Co., Ltd, Knightscope, Inc, and Maidbot are investing heavily to provide integrated robots to the customers.
Therefore, competitive rivalry in the market is high.