Zebra gallops ahead in APAC, driven by automation and e-commerce

Mobile computing provider Zebra Technologies is experiencing strong traction across the Asia-Pacific (APAC) region, fuelled by a surge in e-commerce, increasing automation and the need to improve productivity in sectors like retail and manufacturing.

Speaking at a media briefing on the sidelines of a company event in Perth, Ryan Goh, Zebra’s senior vice-president and general manager for APAC, highlighted India and Japan as key growth markets, as well as the company’s broader success across the region.

“We started to see progress in our earnings in the second half of last year, and the growth is broad-based across all APAC countries,” he said. “We believe that momentum will continue.”

Goh noted that while customers initially over-bought during the pandemic, they are now starting to deplete stock, leading to renewed demand. “We’re cautiously optimistic about our growth this year,” he added.

For one thing, India’s burgeoning e-commerce market and rapid manufacturing growth are propelling Zebra’s expansion in the country. “Manufacturing in India is going to grow exponentially,” said Goh, adding that the compound annual growth rate for electronics manufacturing in India is expected to be 24%, a huge boost to the country’s manufacturing output.

In e-commerce, he cited the example of Tata-owned quick-commerce platform BigBasket delivering an iPhone in 10 minutes using Zebra’s TC2 series mobile computers, underscoring the increasing demand for logistics capabilities. This rapid delivery model is driving a surge in the number of warehouses, micro-fulfilment centres and delivery riders, creating significant opportunities for Zebra, said Goh.

In Japan, labour shortages exacerbated by an ageing workforce and new laws limiting overtime are pushing companies towards automation. “Japan is facing some serious labour challenges,” said Goh. “We believe that automation will be exactly what a lot more Japanese companies are looking to innovate on, for them to improve productivity and efficiency.”

Zebra’s value proposition revolves around three key areas. First, radio frequency identification (RFID) technologies are transforming inventory management. Goh highlighted the Indonesian bookstore chain Gramedia, one of the largest in the country, as a successful example of a retailer leveraging RFID to optimise inventory and facilitate self-service checkout by customers.

Second, Zebra’s range of tablets is empowering businesses across various sectors. AirAsia, for instance, recently adopted Zebra’s ET4 series tablets for in-flight transactions, allowing passengers to order and pay for food and duty-free items. This helps to speed-up inventory updates, as well as improve customer experience and aircraft turnaround time.

Third, Zebra’s industrial scanners and machine vision technology are finding applications in diverse industries. Goh detailed how these applications are helping manufacturing companies such as those producing window frames, ensuring quality control by precisely aligning components and identifying defects before shipment.

He added that while traditional handheld scanners remain relevant, there is a growing trend towards hands-free automation using ring scanners and fixed industrial scanners for increased efficiency in high-volume environments such as warehouses.

Such devices are increasingly being infused with artificial intelligence (AI) capabilities to further improve efficiency. Tom Bianculli, Zebra’s chief technology officer, described a co-developed “merchandising assistant agent” with a major North American retailer that leverages AI to identify shelf gaps, misplaced items and pricing discrepancies.

The information is then relayed to an AI agent that recommends actions, such as replenishment or substitution, and automatically assigns tasks to the appropriate personnel. “Automating steps in the workflow, even if you’re not automating the entire workflow, is what’s really insightful and valuable to our customers,” he said.