Global Cold Chain Monitoring Market Size, Market Research and Industry Forecast Report, 2019-2025 (Includes Business Impact of COVID-19)

                                          
Industry Insights, Market Size, CAGR, High-Level Analysis: Global Cold Chain Monitoring Market


The global cold chain monitoring market size was valued at USD 14,064.4 million in 2018 and is expected to register a CAGR of 18.1% from 2019 to 2025. The demand for cold chain monitoring solutions is expected to grow as several governments around the world are emphasizing on enhancing the efficiency of the supply chains of the processed food, frozen food, dairy products, and pharmaceutical products, and other products that need cold chain monitoring solutions. Stringent regulations regarding the storage and shipment of pharmaceutical products are also expected to trigger the demand for cold chain monitoring solutions. Moreover, rising private and government investments in building refrigerated warehouses and government efforts to reduce spoilage of food and other temperature-sensitive goods are expected to drive the growth of the market for cold chain monitoring over the forecast period.
The growing demand for pharmaceutical products, particularly in developing countries, is expected to drive the growth of the market for cold chain monitoring. Some pharmaceutical products happen to be extremely temperature-sensitive and effective temperature monitoring technologies are required to maintain them at desired temperatures throughout the supply chain. Temperature monitoring technologies can help in preventing product spoilage by maintaining the temperature at desired levels throughout the shipment. Other regional markets, such as the U.S. and Canada, are also expected to drive the growth of the market for cold chain monitoring as these regional markets already boast a well-developed transportation and distribution network.

Modern cold chain monitoring solutions are designed to track and monitor products throughout the storage and transportation cycles. They can track temperature-sensitive products, such as processed food, frozen food items, and other eatables, in real time. At this juncture, the growing trade of perishable products across the developed and developing economies bodes well for the growth of the market for cold chain monitoring. Advances in connected devices technologies, such as Radio Frequency Identification (RFID) and the Internet of Things (IoT), is also expected to open opportunities for the development of innovative cold chain monitoring solutions.

An RFID-enabled supply chain can be considered as an efficient supply chain in terms of product visibility. Hence, incumbents of industry verticals, such as processed food, livestock, chemicals, and pharmaceuticals, are aggressively the RFID technology for tracking and tracing products throughout the supply chain. RFID can also be combined with smart sensors to predict the shelf life of the products and raise alerts in case the products are not stored at desired temperatures. All these factors bode well for the growth of the market for cold chain monitoring.

Component Insights of Global Cold Chain Monitoring Market

Based on the component, the market for cold chain monitoring has been further segmented into hardware and software. Monitoring components are becoming inseparable parts of the cold chain as ensuring the integrity, efficacy, and security of shipments is getting of paramount importance. Software and hardware components play a major role in the effective management of cold chain monitoring. The commonly used hardware components for tracking and tracing activities include RFID devices, sensors data loggers, networking devices, and telematics and telemetry devices. The telematics & telemetry devices segment is expected to register the fastest growth over the forecast period. Telematics solutions allow managers to gain full control over cold chain fleets by tracking the vehicles and monitoring the temperature and humidity levels of the refrigerated cargo during the transit.

Software components decide the way the hardware components involved in a cold chain monitoring process interact with each other and log the data. The software segment has been segmented further into on-premise and cloud-based. The cloud-based segment is expected to register the fastest growth over the forecast period. Cloud-based software enables real-time monitoring of temperature and reporting of the status. Cloud-based software also helps in enhancing the efficiency and efficacy of the cold chain, particularly during long-distance transits. Cloud-based inventory management software, robotics, barcode scanners, and RFID technology can accelerate the processes of product identification and cut down the expenses by significantly reducing the operational cost per unit.

Logistics Insights

Based on logistics, the market for cold chain monitoring has been further segmented into storage and transportation. The storage segment emerged as the largest segment in 2018 and would continue being the largest segment over the forecast period owing to the growing preference for packaged food across the globe. Packaged food and medicines need to be stored at consistent temperature levels. Various sensors and control devices are used for monitoring the storage temperature of packaged food and drugs. The storage segment is expected to grow at a significant rate in line with the growing demand for remote monitoring of cold storages.

The transportation segment is expected to emerge as the fastest-growing segment over the forecast period. The growth can be attributed to the growing trade of food products, beverages, and pharmaceutical products. The segment growth can also be attributed to the growing demand for remote monitoring and tracking of assets being transported in refrigerated trucks. Remote temperature monitoring solutions can help in preventing the spoilage of temperature-sensitive products and avoiding subsequent financial losses. Remote temperature monitoring solutions can also help in preventing any public health risks stemming from the consumption of food and drugs not stored at desired temperatures. As such, remote monitoring solutions can be of paramount importance for maintaining product quality and safety of products in transit.

Application Insights of Global Cold Chain Monitoring Market

Based on application, the market for cold chain monitoring has been further segmented into fruits & vegetables; fruit pulp & concentrates; dairy products; fish, meat & seafood; processed food; pharmaceuticals; bakery & confectionaries; and others. The processed food segment is projected to exhibit the highest CAGR over the forecast period. The growth can be attributed to the changing dietary preferences of people and the growing preference for processed food.  On the other hand, the fish, meat & seafood emerged as the largest segment in 2018 and is expected to continue dominating the market over the forecast period.

The pharmaceuticals segment is anticipated to grow at a considerable rate over the forecast period. The growth can be attributed to the stringent regulatory standards applicable in various parts of the world to ensure safe and secure storage and transport of pharmaceutical products. Some of the drugs and medicines tend to be highly temperature-sensitive and need to be stored and transported at consistent temperature levels. Hence, supply chain operators are particularly opting for cold chain monitoring solutions while storing and transporting pharmaceutical products.

Regional Insights of Global Cold Chain Monitoring Market

Based on the region, the cold chain monitoring market has been further segmented into North America, Europe, Asia Pacific, Middle East & Africa, and South America. Asia Pacific is expected to emerge as the fastest-growing regional market and open significant growth opportunities for the companies contemplating long-term investments.

Emerging economies, such as India and China, are expected to contribute to the growth of the regional market. The growing population, the rapid industrialization, the continued rollout of transportation and warehousing networks, and the rise in demand for processed and canned food items are expected to drive the growth of the regional market. India and China are expected to contribute significantly to the regional market growth.

The China regional market is expected to witness substantial growth over the forecast period. The growth can be attributed to various factors, such as advances in temperature monitoring technologies, the advent of smart sensors, and the growth of the pharmaceutical and processed food industries, among others. The growth of the biopharmaceutical industry in China is also expected to drive the demand for cold chain monitoring solutions in China. The stringent regulations laid down by the Chinese government to ensure the quality of food are also prompting cold chain operators to implement temperature monitoring solutions.

Cold Chain Monitoring Market Share Insights

Some of the key market players include Orbcomm, Sensitech, Berlinger & Co., Monnit, Controlant, Elpro-Buchs, Securerf Corporation, Savi Technology, Zest Labs, and Infratab, among others. Cold chain monitoring solution providers are adopting various strategies to strengthen their foothold in the market. They are also focusing on developing new and innovative products are part of the efforts to increase their market share. For instance, in August 2017, Orbcomm launched a next-generation cold chain monitoring solution called PT 6000. The solution guarantees logistics, fuel and temperature management, maintenance, and regulatory compliance for refrigerated assets in transit. The solution is available as a dual-mode satellite-cellular or LTE cellular or 3G version.

p2 Segments covered in the report

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, this market research report has segmented the global cold chain monitoring market report on the basis of component, logistics, application, and region:

Component Outlook (Revenue, USD Million, 2019 - 2030)

  
Hardware
  
RFID devices
  
Telematics and telemetry devices
  
Sensors and data loggers
  
Networking devices
  
Software
  
On-premise
  
Cloud-based

Logistics Outlook (Revenue, USD Million, 2019 - 2030)

  
Storage
  
Transportation

Application Outlook (Revenue, USD Million, 2019 - 2030)

  
Fruits & vegetables
  
Fruit pulp & concentrates
  
Dairy products
  
Fish, meat & seafood
  
Processed food
  
Pharmaceuticals
  
Bakery & confectionaries
  
Others