New market study on commercial refrigeration equipment

Freedonia has published a new market study on commercial refrigeration equipment:

Demand for commercial refrigeration equipment in the US is forecast to rise 3.9 % annually through 2012, reaching USD 9.2 billion. Advances will slow from the historical pace due to rising fuel and food prices, but opportunities will still exist for suppliers due to continued growth in the number of foodservice operators and food retailers. In addition, the average amount of floor space at food retail outlets will rise, creating potential for more refrigeration equipment per store. Consumer demand for a wider range of refrigerated food products will create opportunities both in the retail and foodservice markets. Advances will be strongest for commercial refrigeration equipment firms that offer energy efficient equipment, since food industry operators seek out equipment that can improve their margins by lowering operating costs. The aftermarket segment, which consists of repair and replacement of currently used equipment, is important, and comprises about 70 % of demand. Foodservice is expected to remain the largest market for commercial refrigeration equipment through 2012. About 49 % of consumer food expenditures in 2007 occurred outside the home at foodservice outlets such as restaurants, bars and cafeterias, and this share is expected to rise, benefitting commercial refrigeration equipment demand. The food and beverage retail market will post gains, due to the rising number of food retailers in the US. In addition, consumers’ growing appetite for a widening range of refrigerated foods (such as organic meat) will increase the amount of refrigeration equipment per store.

Commercial refrigeration products expected to experience the best demand growth are cryogenic equipment, display cases and transportation equipment. Cryogenic equipment will benefit from the rising level of expenditures on health care in the US, as well as from increasing medical and scientific research. Display cases will benefit from the need of retailers to maintain new, aesthetically pleasing displays to encourage impulse purchasing. In addition, the number of display cases per store is expected to rise as the average size of food stores rises. Transportation refrigeration equipment will continue to be the largest product segment, due to the high unit cost of this equipment and to the rising level of refrigerated food shipped within and from the US. Gains in this segment will be adversely affected by high fuel prices, which will continue to affect profit margins for fleet operators.

Price for the 205 pages study is USD 4,500.00.