North America Beverage Refrigeration Market size was valued at USD 1.07 billion in 2017 and is expected to witness growth of more than 5% CAGR from 2018 to 2024.
U.S. Beverage Market, By Product, 2013 – 2024 (USD Million)
Growing consumption of both alcoholic and non-alcoholic beverages is the key driver shaping the market. The region has witnessed an increase in the number of pubs, bars and outlets serving beverages owing to the high demand from the millennial populace. Moreover, the preference towards craft beer and healthy refreshment drinks has created a spur in demand for refrigerators bolstering the market.
The technological advancement in the product offerings such as reduction in overall cooling time and ease of handling will further assist the market growth. Consumers are investing heavily in appliances that enable them to retain the quality and flavour for an extended period. Additionally, refrigerators providing good storage and planning of space with ease of maintenance will spur the market growth.
Although the growing cases of lifestyle diseases leading to a shift in consumer preference to a healthy lifestyle may hamper the rapid growth of the market. However, the stringent regulations over the usage and replacement of fluorocarbon refrigerants will create substantial growth opportunities for the players as the consumers seek environment-friendly cooling solutions.
Under counter beverage refrigerator held the largest share in the product segment accounting for USD 463.1 Million in 2017. It is recognized for wet or dry bar storage capabilities with the ability to protect wine & other beverages from attaining early maturity via temperature control. They offer an internal temperature range of 35 to 65 degrees providing effective storage for beer, soda, water and wine. The product also adds to the aesthetic appeal making them ideal for pubs and bars, restaurants, professional kitchens, convenience stores and home bars.
U.S. accounted for the revenue size of over 83% in 2017 and is estimated to grow at a CAGR of 5.2% over the forecast period. The stringent regulations on fluorocarbon refrigerants and energy efficiency in the region will create a spur in demand for beverage refrigeration as consumers replace older products for modern alternatives. Furthermore, the positive macroeconomic outlook coupled with increasing consumer spending on the beverage industry will bolster the market growth in the U.S. over the coming years.
Key industry players in North America market are General Electrics, Danby, Koolatron, HABCO, Electrolux, Avanti, Whirlpool Summit Appliances and Haier. Companies are heavily focused on reducing the operational costs via increased presence across the value chain. Forward, backward and full integration strategies have been heavily employed by the major players. The companies are also shifting their attention towards e-commerce services to enhance the consumer experience and gain market share.
Growing consumer awareness of technological advancements in refrigeration such as operational and temperature controls will spur the beverage refrigeration market. Increase in the number of hypermarkets, supermarkets and specialty food outlets will contribute to a positive market outlook.
Improved range of product offerings under alcoholic and non-alcoholic beverages from the beverage manufacturers will spur the demand for refrigeration as consumers opt for solutions that can retain the quality and flavour for an extended period of time. Furthermore, the changing preference of the millennial populace towards consumption of drinks at home will augment the market growth over the coming years.