Airport Baggage Handling System Market Expected to Reach $17.5 Billion by 2032

According to a new report published by Allied Market Research, titled, “Airport Baggage Handling System Market, by Airport Class (Class A, Class B, and Class C), Type (Conveyors, and Destination Coded Vehicles), Services (Self-Services, and Assisted Service), and Technology (Barcode, and RFID): Global Opportunity Analysis and Industry Forecast, 2023–2032." The airport baggage handling system market was valued at $9.5 billion in 2022, and is garner to reach $17.5 billion by 2032, growing at a CAGR of 6.6% from 2023 to 2032.

The main factor behind airport baggage handling system industry (BHS) expansion is the ongoing increase in air travel worldwide. Airports are under pressure to manage increased checked baggage volumes in an effective manner while maintaining fast flight turnaround times. The passenger experience is a top priority for airports, and effective baggage handling is essential. Passenger pleasure is increased by technologies like self-service bag drops, automated check-in kiosks, and real-time baggage tracking systems. Automation, robotics, artificial intelligence (AI), and data analytics are developing quickly, and they are changing airport BHS. Baggage handling processes are optimized by robotic loaders, automated baggage sorting systems, and predictive maintenance technologies.

Airport baggage handling system industry is adopting modern baggage screening technologies due to strict security rules and the necessity to identify and prevent security concerns. This involves combining explosive detection systems (EDS) with computed tomography (CT) scanners. Furthermore, airports aim to achieve sustainability and operational efficiency. Reduced operational expenses and environmental effect are achieved through the use of eco-friendly materials, energy-efficient conveyor systems, and streamlined luggage handling workflows. Moreover, airports want baggage handling system to be seamlessly integrated into all aspects of airport operations. Airport efficiency is increased with integrated baggage handling systems that enable efficient baggage flow between terminals, gates, and ground transportation.

The idea behind smart airports is to improve overall airport operations by utilizing digital technologies. To optimize airport baggage handling system market size and raise overall operating efficiency, this includes implementing cloud computing, big data analytics, and Internet of Things (IoT) devices. Global expenditures in airport renovation and expansion projects are driving demand for cutting-edge BHS systems that can keep up with rising passenger volumes and changing aviation regulations. Furthermore, the necessity for advanced airport baggage handling systems that can manage a wide range of passenger demands and international baggage transfer regulations is fueled by the expansion of international travel and trade. Airport operators, airlines, technology vendors, and regulatory agencies work together to drive innovation and industry standardization in Airport BHS, which in turn drives market expansion and technological breakthroughs.

The class A segment attained the highest market share in 2022 in the airport baggage handling system market size. This was due to their high passenger traffic, Class A airports manage a significant amount of baggage from passengers. This results in an increased need for reliable and effective baggage handling systems that can handle huge volumes of bags without causing traffic jams or delays. Class A airports need sophisticated baggage handling systems that can handle complex routing, sorting, and transfer operations since they frequently have several terminals, concourses, and connected flights. To guarantee effective luggage movement around the airport, these systems must blend in well with the various airport infrastructure components.

The assisted service segment attained the highest market share in 2022 in the airport baggage handling system market share. Assisted service systems offer flexibility in handling different types of baggage and catering to diverse passenger needs. These systems can accommodate special requirements such as oversized luggage, fragile items, or unique baggage handling instructions, which may not be efficiently handled by fully automated systems alone. Furthermore, assisted service systems involve human operators who can provide oversight and quality control throughout the baggage handling process. This ensures that baggage is properly handled, sorted, and delivered to the correct destinations, reducing the risk of errors or mishandling.

The conveyors segment attained the highest market share in 2022 in the airport baggage handling system market analysis. This is attributed to the fact that airport terminal baggage transportation can be made incredibly effective and dependable with the use of conveyors. They make it possible for bags to be moved continuously from check-in counters to places for sorting bags, via security checks, and finally to the assigned departure gates or baggage claim areas. Furthermore, conveyor systems can handle different passenger volumes at different airports, from small regional hubs to huge international airports, due to their expandable. They can be tailored to meet the design and functional requirements of various airport terminals, facilitating effective luggage flow and making the best use of available space. Moreover, conveyors are a perfect match for automated technologies including robotic loaders, luggage screening devices, and sorting systems. By eliminating human luggage handling, this integration improves overall operating efficiency, minimizes errors, and increases throughput.

The barcode segment attained the highest market share in 2022 in the airport baggage handling system market opportunity. This is attributed to the fact that Barcode technology is relatively inexpensive to implement compared to other tracking technologies such as RFID (Radio Frequency Identification. This cost-effectiveness makes it a preferred choice for airports seeking efficient baggage tracking solutions without substantial investment. Furthermore, barcodes are easy to generate and apply to baggage tags. They can be quickly scanned using handheld or fixed barcode scanners, enabling rapid identification and tracking of luggage at various checkpoints within the airport.

Key Findings of the Study

• On the basis of airport class, the class A segment is anticipated to exhibit significant growth in the near future.
• On the basis of service, the assisted service segment is anticipated to exhibit significant growth in future.
• On the basis of type, the conveyors segment is anticipated to exhibit significant growth in future.
• On the basis of technology, the barcode segment is anticipated to exhibit significant growth in future.
• On the basis of region, the North America is anticipated to exhibit significant growth in future.

Key players operating in the global airport baggage handling system market include Beumer Group, Daifuku Co. Ltd., Fives Group, G&S Airport Conveyor, Glidepath group, Grenzebach Group, Logplan LLC, Pteris Global Limited, Siemens AG, and Vanderlande Industries B.V.They have adopted strategies such as contracts, agreements, acquisition, product launch, and others to improve their market positioning.