On-Demand Warehousing Market Report 2026

The on-demand warehousing market size has grown rapidly in recent years. It will grow from $130.92 billion in 2025 to $149.47 billion in 2026 at a compound annual growth rate (CAGR) of 14.2%. The growth in the historic period can be attributed to growth of e-commerce fulfillment needs, seasonal inventory fluctuations, increasing logistics outsourcing, limited availability of permanent warehouse space, rising demand for short-term storage solutions.

The on-demand warehousing market size is expected to see rapid growth in the next few years. It will grow to $251.38 billion in 2030 at a compound annual growth rate (CAGR) of 13.9%. The growth in the forecast period can be attributed to expansion of omnichannel retail strategies, growing adoption of digital inventory management, rising focus on supply chain agility, increased demand from small and medium enterprises, growing investment in automated on-demand warehouses. Major trends in the forecast period include increasing adoption of flexible storage models, rising demand for scalable warehouse capacity, growing use of cloud-based inventory platforms, expansion of shared warehousing networks, enhanced focus on cost-optimized logistics operations.

The growth of e-commerce is expected to drive the expansion of the on-demand warehousing market. E-commerce involves buying and selling goods or services online through digital platforms and electronic payments. Its growth is fueled by increased smartphone and internet penetration, allowing consumers to browse, compare, and purchase products conveniently from anywhere. On-demand warehousing supports e-commerce by offering flexible, short-term storage and fulfillment solutions that help businesses scale quickly and meet fluctuating customer demand without long-term commitments. For example, in February 2025, the US Census Bureau reported that e-commerce sales in Q4 2024 rose by 9.4% compared to Q4 2023, surpassing overall retail sales growth of 3.8% and representing 16.4% of total retail sales.

Companies in the on-demand warehousing market are developing solutions such as real-time inventory visibility to optimize operations, improve supply chain efficiency, reduce storage costs, and enable faster, more accurate order fulfillment. Real-time inventory visibility allows instant tracking and monitoring of stock levels across multiple locations for precise inventory management. For instance, in June 2024, Kinaxia Logistics Limited, a UK-based warehousing and transport company, launched a nationwide on-demand warehousing service. The service provides retailers, manufacturers, wholesalers, and importers with scalable storage and dispatch solutions during seasonal peaks, promotional events, or urgent storage needs, integrating warehousing, e-commerce fulfillment, and distribution for a more efficient logistics network.

In September 2025, BWT Logistics, a U.S.-based provider of logistics services, acquired RAZR Logistics for an undisclosed sum. Through this acquisition, BWT Logistics sought to broaden its nationwide logistics presence and enhance its contract logistics and on-demand warehousing offerings to more effectively support customers looking for flexible and scalable supply chain solutions. RAZR Logistics is a U.S.-based firm specializing in on-demand warehousing, contract logistics, and integrated fulfillment services delivered through a flexible network of warehouse facilities.

Major companies operating in the on-demand warehousing market are 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., Saltbox Inc., CubeWork Logistics Inc., Waredock Estonia OÜ, Wareflex Inc., ZhenHub Technologies Ltd., MyWarehouse.online Inc., WareIQ Inc., Stockarea Inc., Flowspace Inc., Darkstore Inc.

North America was the largest region in the on-demand warehousing market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the on-demand warehousing market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the on-demand warehousing market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The on-demand warehousing market includes revenues earned by entities by providing services such as platform subscriptions, real-time warehouse booking services, value-added services, data analytics, and consultancy. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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