Demand for refrigerated display cases is expected to expand at a compounded annual growth rate of just above 5% through 2020, according to London-based Technavio. The research company has issued a report that reviews the market in four regions: Asia-Pacific (APAC), Europe, North America and Rest of World (ROW). Among suppliers covered are AHT Cooling Systems, Carrier, EPTA and Metalfrio Solutions.
With a high percentage of women working outside of home in both developed and developing countries, the convenience of time saving frozen foods has rising appeal among many shoppers. This is prompting supermarkets and other retail outlets to offer more SKUs that require low-temperature merchandising cabinets and display cases to drive sales and maintain product integrity.
Asia-Pacific
APAC is the largest and the fastest-growing geographical segment in the refrigerated case market, with China and India leading the way. Economic development in the region has brought considerably increased disposable income to more people and transformed consumer lifestyles. Rising purchasing power has resulted in a steady increase in demand for frozen and other packaged foods.
Abhay Sinha, an analyst at Technavio, commented: “APAC will witness the fastest growth rate due to the expansion in retail and hotel industries. The major vendors in the market are focusing on product innovations to cater to the needs of customers. With changing consumer tastes and preferences, and rising average per capita income, demand for refrigerated cases in APAC will grow further over the forecast period.”
Europe
Europe is home to a large share of consumers, producers and exporters of commercial refrigerators. Refrigerated display cases represent the second largest segment of the commercial refrigeration business on the continent, after beverage coolers. While West European countries dominate the market, it is anticipated that Central and East European nations will see an increase in demand for commercial refrigerators.
North America
The market is expected to grow at a slower rate in highly developed North America. Expansion in the region will be driven by investments in equipment renovations and the replacement market.
There was a shift from restaurants and bars to more home-based entertaining among consumers in the USA and Canada during the 2008-09 recession. Despite gradual economic recovery, the trend has prevailed. This has led to release of products with innovative features, such as LED lighting, to stimulate impulse buying.
Rest of World
The ROW market is home to the most economically diverse populations on the planet, from high-income countries in the oil-rich Middle East to economically impoverished African nations. Food producers are catering to the needs of consumers from all backgrounds by introducing products selling at various price points.
The market in the Middle East will generate a compound annual growth rate of over 5.5% during the forecast period. High disposable income in the UAE, Kuwait, Qatar and Saudi Arabia has improved the lifestyle of consumers, driving the demand for packaged food items and other convenience products.
Samples of Technavio’s report are available by visiting www.technavio.com
