Are Cobots Worth It? Real Savings & ROI Stories

A Shop Owner’s Guide from Industrial Tool, Inc. (ITI)

If you're a shop owner or manufacturing decision-maker looking to boost productivity, reduce labor strain, or improve process quality, collaborative robots (cobots) might be your best next move. Cobots are ideal for high-mix, low-volume environments—like job shops, packaging lines, inspection tasks, and machine tending—not for high-speed, fully automated lines. They’re easy to deploy, work safely alongside people, and in many cases, pay for themselves in less than a year. Here’s a breakdown of how cobots deliver real value—and how to know if one’s right for your business.

Real-Life Cobot Success Stories

Raymath, a metal fabrication shop in Ohio, implemented Universal Robots cobots for TIG/MIG welding and CNC machine tending. They saw welding output increase 200% and machine tending rise by 600%, with full ROI in under 12 months. Raymath

DCL Logistics integrated a UR10e cobot into their pick-and-pack operation. The result: 500% faster throughput, 50% labor savings, and 100% order accuracy—all with a 3-month payback. Universal Robots

PSA Group (makers of Peugeot and Citroën) added cobots to assist with screwdriving in final assembly—not on the main high-speed lines. The cost savings were €2–8 per car, resulting in up to €1.6M saved, and ROI was achieved within 6 to 12 months. Screw Driving | UR10 at GROUP PSA | Cobot Case Stories

Coty, a global cosmetics manufacturer, used UR3e and UR5e cobots on mobile carts to automate dusty packaging tasks. The cobots saved $500,000 annually and allowed 13 workers to move into higher-value roles. Collaborative robots deliver Half a Million Dollars in Annual Savings

Yokoyama Kogyo, an auto parts supplier in Japan, installed an AUBO cobot with an OnRobot gripper to tend presses. It reduced costs by 35%, maintained high part quality, and improved workplace safety during a labor shortage. Solving Labor Shortages in Automotive Industry | OnRobot

SMEW Textile Machinery, a small manufacturer in India, implemented cobots for part production. Output increased by 300% and the system paid for itself in less than a year, showing how small firms can achieve major gains. universal-robots

How to Calculate Your Cobot ROI

ROI Formula: ROI (%) = (Annual Gains ÷ Total Investment) × 100

Estimated Costs:

  • Cobot hardware: $30,000–$50,000
  • Integration & setup: $5,000–$15,000
  • Tools & sensors: $3,000–$10,000
  • Training: Often minimal

Total project range: $40,000–$75,000

Example Annual Gains:

  • Labor reduction: ~$50,000 per shift
  • Output increase: ~$30,000
  • Scrap savings: ~$10,000

Total benefit: $80,000/year

Payback example: $70,000 ÷ $80,000 = ~10.5 months ROI: ($80,000 / $70,000) × 100 = 114%

Use this ROI calculator to run the numbers for your specific application: https://www.industrial-tool.com/roi-calculator

Why ITI?

At Industrial Tool, Inc. (ITI), we go beyond just cobots. We design full turnkey systems that combine robotic arms with custom fixtures, CNC integration, and controls—all under one roof. As a FANUC Authorized Integrator with decades of experience, we support industries including:

Our team helps you pick the right cobot, calculate ROI, and implement a fully engineered solution that delivers measurable results.

So, Are Cobots Worth It?

If your operation deals with repetitive, variable, or ergonomically challenging tasks, the answer is yes. Cobots are:

  • ROI-friendly with payback often under 12 months
  • Ideal for job shops and small-batch production
  • Easy to deploy, flexible, and safe to use alongside people
  • Proven to reduce costs and increase throughput

Want to find out if cobots are right for your operation? Let us help