Captivating Growth: Global Indoor Robot Market Expands at 14.88% CAGR

In the past, robots used in factories and warehouses were designed to operate in highly structured environments. Automation engineers would modify the surroundings and ensure that people were kept at a distance, allowing the robots to carry out repetitive tasks in isolation. However, thanks to significant advancements, the traditional paradigm is gradually shifting.  

On the other end of the spectrum, we have the home environment. Homes are notorious for being unstructured and dynamic. They undergo constant changes and exhibit a wide range of variability, accommodating numerous individuals of different ages, pets, clutter, stairs, and unreliable communication systems. The complexity and unique challenges posed by the home, make it an inherently difficult space for robots to navigate and operate in successfully. 

In recent years, robot manufacturers have identified a significant market opportunity between these two different environments. commercial spaces including hotels, hospitals, offices, retail stores, banks, schools, nursing homes, malls, and museums. These commercial spaces offer several advantages over homes and can serve as a crucial stepping stone toward the development of general-purpose indoor robots. As a result, autonomous indoor robots specifically designed for commercial spaces have emerged in the market.  

Definition of indoor robots 

An indoor robot refers to a robotic system or device designed to operate and perform tasks specifically within indoor environments. These robots are engineered to navigate and interact with their surroundings, which typically include indoor spaces such as homes, offices, factories, hospitals, or other indoor settings. 

Indoor robots can vary in size, shape, and functionality, depending on their intended purpose. They can be small, autonomous robots designed for household chores, such as vacuuming or mopping floors. Other indoor robots may be larger and more complex, used in industrial settings for tasks like material handling, assembly, or inspection.  

Indoor robots vs industrial robots 

Both indoor and industrial robots operate in a closed, indoor environment but indoor robots are optimized for navigation and interaction in dynamic confined spaces that are less structured such as homes, hospitals, restaurants, shopping malls, etc. On the other hand, industrial robots are primarily designed for use in manufacturing or industrial settings such as factories or warehouses. They are built to handle more demanding tasks and operate in larger, often more hazardous, environments. 

When it comes to design, indoor robots are typically smaller and more compact, allowing them to navigate and maneuver easily in confined indoor spaces. Industrial robots, on the other hand, can be much larger and have higher payload capacities to handle heavy materials or perform tasks that require significant strength. 

Industrial robots are typically designed for specific tasks such as welding, painting, assembly, or material handling in industrial production processes. They are often highly specialized and optimized for efficiency and precision in these specific applications. In contrast, indoor robots have a broader range of applications and perform tasks such as cleaning, delivery, assistance, inspection, or surveillance in various indoor settings. 

Moreover, indoor robots often emphasize human-robot interaction and collaboration. They are engineered to work alongside humans, providing assistance and improving daily life tasks. These robots prioritize safety features, including collision detection, obstacle avoidance, and responsive behaviors, enabling them to coexist and cooperate with humans in shared spaces. In comparison, industrial robots are typically isolated or work within restricted areas, separated from human workers due to safety considerations. Their focus is on high-speed, precise, and autonomous operations to maximize productivity and minimize risks. 

Global indoor robot market 

Based on data from Apollo Research Reports, the indoor robot market achieved a valuation of USD 20.7 billion in 2022, with a projected compound annual growth rate (CAGR) of 14.88% from 2023 to 2032. By 2032, the market is anticipated to reach USD 82.5 billion, fueled by the increasing demand for robots in the hospitality, retail, and entertainment sectors. Additionally, reduced price of robotic technology as well as the development of smaller size of mobile robots have further pushed the growth of the global indoor robot industry.  

Source: Statzon/ Apollo Research Reports

Among the regions, in 2022, North America emerged as the leader in the global indoor robot market generating USD 7.1 billion in revenue. This can be attributed to the robust economies of the US and Canada, which heavily invest in research and development of robotics, artificial intelligence (AI), machine learning, and cognitive technologies. The region's market growth is further propelled by the growing adoption of indoor robots for various domestic and commercial applications, including cleaning, cooking, and medical surgeries. 

Asia Pacific (APAC) is poised to exhibit significant growth with a CAGR of 17.3%. The region is experiencing a surge in the adoption of robots for security and monitoring purposes, as well as a rising demand for personal assistant robots capable of controlling other devices and performing diverse tasks. By 2032, APAC is expected to surpass North America, with the APAC indoor robot market projected to reach USD 32.7 billion, while North America is expected to reach USD 26.1 billion.  

Global indoor robot market by type 

Based on type, the indoor robot market is segmented into seven different categories: medical robots, cleaning robots, educational robots, public relations robots, entertainment robots, personal assistant robots, and research robots. Among these segments, cleaning robots are projected to be the highest contributors to the market. In 2022, the cleaning robot segment was valued at USD 6.14 billion and is expected to reach USD 23.68 billion by 2032, growing at a CAGR of 14.55%. The entertainment robot segment is anticipated to reach USD 3.57 billion by 2032, exhibiting the highest CAGR of 18.02%. 

The use of robots in the entertainment industry has become increasingly prominent. Robotics technology has found applications in various aspects of entertainment, including film and TV production, amusement parks, and more. In the realm of film and TV, robots have been utilized as stunt doubles, enhancing scenes and capturing unique camera angles. This application has proven to be successful, providing innovative solutions and contributing to the advancement of the entertainment industry. 

The medical robot segment holds a market value of USD 4.5 billion in 2022, indicating its substantial presence and potential for growth. Medical robots have revolutionized healthcare by assisting in surgeries, delivering medications, and providing precise diagnostics, among other applications. These robots offer enhanced precision, dexterity, and the ability to perform complex procedures, ultimately improving patient outcomes and streamlining healthcare processes. 

The research robot segment also plays a crucial role, with a market value of USD 3.4 billion in 2022. And yet another significant segment is personal assistant robots, valued at USD 3.1 billion in 2022. Personal assistant robots leverage artificial intelligence (AI) and natural language processing (NLP) technologies to understand and respond to human commands and interact intelligently with their users. 

Global indoor robot market by end-users 

The indoor robot market when segmented based on end-users is divided into two groups: commercial and residential sectors. The residential segment is expected to contribute the most to this market, with a market value of USD 12.012 billion in 2022. It is projected to reach USD 47.333 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 14.78%. 

Source: Statzon/ Apollo Research Reports

The rise of robots for domestic household tasks, such as robot vacuum cleaners, has been remarkable. These robots have become widely produced and sold globally. According to researchers, automation in common household tasks is expected to increase significantly in the next 10 years. Experts predict that grocery shopping is likely to see the highest level of automation, while tasks related to caring for the young or elderly are less likely to be impacted by artificial intelligence (AI). It is estimated that technology could reduce up to 60% of the time spent on grocery shopping. However, only 28% of care work, including activities such as teaching or taking care of family members, is predicted to be automated. 

The commercial segment is anticipated to reach USD 35.145 billion by 2032. Both the commercial and residential segments are expected to witness significant growth rates during the forecast period, with the commercial segment exhibiting a CAGR of 15.02% and the Residential segment a CAGR of 14.78%. This indicates a promising market outlook for indoor robots in both commercial and residential settings.  

Source: Statzon, BBC, IEEE Spectrum