Global Cold Chain Sensors Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Global Cold Chain Sensors Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

A cold chain is an uninterrupted supply system that maintains the quality of products from production through to transportation, distribution, storage, and retail by using temperature-controlled environments. It provides a safe, temperature-controlled environment for sensitive items such as fresh &frozen food products, pharmaceutical products, biologics, chemicals, and vaccines. At present, the cold chain system uses sensor-based technology which allows sophisticated real-time data tracking by enabling real-time logistic management of every link in the chain. Multiple export industries depend on the vital links provided by connected sensors to identify incidents immediately and help mitigate any damages or delays with reactive responses.

Market Overview:


The latest research study on the global Cold Chain Sensors market finds that the global Cold Chain Sensors market reached a value of USD 1342.43 million in 2022. It’s expected that the market will achieve USD 2000.19 million by 2028, exhibiting a CAGR of 6.87% during the forecast period.

The pandemic of COVID-19 has had a favorable influence on the cold chain sensors business, with demand for such items quickly increasing. Aside from that, the medical industry played a critical role throughout the pandemic, ensuring that medical facilities and hospitals did not run out of medications. Not only that but there was a massive import and export of pharmaceuticals all over the world. Furthermore, the demand for cold chains is expanding as vaccinations are distributed. To scale up to the capacity to meet the global reach of COVID-19 vaccines, many government agencies adapt their infrastructure, methods, and resources to effectively respond to the massive global healthcare logistical issues. Besides, UNICEF plays an important role on behalf of the COVAX Facility in supporting the transportation and delivery operations of COVID-19 vaccines to developing and underdeveloped economies. As a result, the COVID-19 pandemic has accelerated the demand for cold chain monitoring solutions, which also include cold chain sensors.

The trend of IoT-Enabled Cold Chain Management

Cold chain management solutions utilize IoT-enabled sensors to monitor and manage the environment of temperature-sensitive packages to prevent spoilage and waste as they move through the supply chain. With the advent of the connected supply chain, implementing IoT sensors can assist with automating stock replenishment orders. This solution helps enable optimized inventory levels, collect demand data in response to real-time market conditions, and unlock cold chain supply management. Deploying a solution that uses IoT sensors allows organizations to leverage Industry 4.0 to optimize the supply chain and safely deliver temperature-sensitive products to customers when they are needed.

Increasing global demand for temperature sensitive-drugs

There is an increase in demand for temperature-sensitive drugs such as vaccines and products that are dependent on particular temperature ranges for chemical stability. According to the International Institute of Refrigeration (IIR), the demand for heat-sensitive health products such as drugs, vaccines, insulin, derived blood products, and oncology products is rising globally every year. Hence, the transportation of these drugs is the most critical phase in the cold chain due to the possibility of unforeseen environmental variations. Any change in temperature during transportation can affect the medicines, losing their potency to cure the ailments they are meant for, thereby leading to ineffective treatment in many cases. To avoid the degradation of any pharmaceutical product, it is crucial to maintain parameters concerning the product-specific environment, including air quality levels and temperature ranges.

Increasing demand for fresh food and beverages

The demand for fresh food and beverages has escalated the development of innovation and concentration on health, quality, and integrity. Additionally, the interest in healthy foods and the growth in middle-class people in spots like China are forcing cold chains to globalize. Consumers now ask for products at a higher end like Alaskan Salmon that must travel extended distances and ship speedily to ensure quality and freshness. Therefore, sustaining prime temperature is essential for cold chain products to circumvent changes in texture and taste when a shipment drifts outside recommended temperatures. Hence, the increasing demand for fresh food and beverages drives the market demand for cold chain sensors.

Complexities involved in the installation and monitoring of cold chain monitoring solutions

Deploying cold chain sensors and putting the connectivity network in place requires a high cost. Shipping high-value consignments over long distances within their prescribed temperature range requires a huge investment. Therefore, companies involved in cold storage and cold transportation remain skeptical about spending on developing monitoring networks. Cost is the major hindering factor to introducing real-time cold chain monitoring systems, particularly for small- and medium-sized players, and many participants in the food industry are SMEs, which are often operating on lean margins.

Continuous price reductions and intense competition among manufacturers

Price competition has always remained a serious issue in the cold chain sensors market. Cold chain sensor manufacturers recognize the growth potential in emerging economies, such as India and China, and resort to low pricing to penetrate these markets. While the widespread application of sensors in cold chains leads to increased shipments of these sensors, sales growth is significantly restrained by price erosion. This is partially a result of the intense competition among the rising number of sensor manufacturers, which leads to rapid innovation in new cold chain sensors.

The high initial cost involved in advanced sensors

Manufacturers in the cold chain sensors market require raw materials such as cobalt, nickel, manganese, iron alloy, and copper. These manufacturers depend on third-party suppliers to procure these materials. High volatility in the prices of these raw materials and the lack of continuous availability of supply has a significant impact on the profitability of temperature sensor manufacturers. Fluctuations in raw material prices are attributed to the volatile global economy and availability of raw materials, trade tariff wars, other political events, increases in global demand, natural disasters, and the volatility in foreign currency exchange rates.

Region Overview:


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. North America is the largest market for cold chain sensors in the Americas at present and is likely to exhibit a similar trend during the forecast period. Increasing demand for chilled and frozen food products in North American countries is likely to trigger the demand for cold chain sensors in the region. The escalating demand for dairy products, vegetables, and fruits is increasing the imports, as well as exports of exotic vegetables and fruits and dairy products, which is also boosting the demand for cold chain sensors. The pharmaceutical and healthcare industries also have noteworthy contributions toward the cold chain sensors market growth in the region. The pharmaceutical industry is subject to stringent regulations aimed at ensuring safety and good storage and distribution practices. Stringent government regulations toward food safety and Global Cold Chain Alliance (GCCA) initiatives help shape the environment in this region, which indirectly impacts the cold chain sensors market.

Asia Pacific is expected to emerge as the fastest-growing regional market and open significant growth opportunities for 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 sensors in China. The stringent regulations laid down by the Chinese government to ensure the quality of food is also prompting cold chain operators to adopt cold chain sensors.

Company Overview:



Sensitech

Since 1990, Sensitech has helped to maintain the quality, integrity, and security of customers' valuable products at every step in their journey, all around the world. Leading companies in the food, pharmaceutical, industrial, consumer goods, and other industries rely on innovative IoT monitoring products and expert services to help protect their products-and their bottom lines. Sensitech provides customers around the world with global visibility of their products in transit and storage.

Testo

Testo is a world leader in the design, development, and manufacture of portable test and measurement instrumentation and solutions. Backed by 60 years of measuring engineering experience, Testo's mission is to provide the best quality, service, and value in the industry. In addition, Testo is recognized as the leading worldwide manufacturer of portable combustion efficiency analyzers and air emission analyzers. Testo has become a major supplier of HVAC, critical HVAC, refrigeration, airflow, and environmental monitoring instruments for markets as diverse as chemical, food service and production, pharmaceutical and biotechnology, and residential HVAC suppliers. The company was founded in 1957 in Lenzkirch, in the Black Forest region of Germany. Testo has been privately owned since its inception. Today, Testo consists of 33 subsidiaries and over 60 agents around the world.

Rotronic

Rotronic is part of Process Sensing Technologies (PST). PST brings together well-established brands, each of which is trusted for the precision and reliability of its products, strong innovation, and focus on customer service. Rotronic offers industry-leading measurement devices for relative humidity, temperature, carbon dioxide, differential pressure, and water activity used in all industries where superior measurement accuracy, stability, and reliability are essential. With over 55 years of experience, the Rotronic brand stands for Swiss precision specialized in measurement instrumentation and innovation, such as RMS, a modular real-time environmental monitoring system that enables regulated pharmaceutical customers to meet specific FDA/EU regulations and also supports customers within industrial applications to focus on product quality.

Segmentation Overview:



Temperature Sensor

A temperature sensor is an electronic device that measures the temperature of its environment and converts the input data into electronic data to record monitor or signal temperature changes. Temperature sensors read the temperature at a specific location within a cold room, freezer room, refrigerator, or freezer unit. Sensors may be connected individually or collectively to a logger unit or directly to a base station. Temperature sensors may also be integrated into a logger unit (internal sensor device). Temperature sensors are reshaping cold chain logistics for the better.

Humidity Sensor

A humidity sensor is an electronic component that senses, measures, and reports water vapor and air temperature. The humidity sensor functions by carefully monitoring environmental conditions and alerting the user of any alarming conditions. It detects any change in the electrical currents or temperature in the air. In a word, Humidity sensors can sense the levels of moisture present in the air in real time with high accuracy. Humidity sensors are very important in cold chain logistics and transportation, to ensure the humidity environment in the cabin to a greater extent, and to reduce losses with product quality.

Hybrid Sensor

Hybrid sensors refer to temperature and humidity sensors that can measure air temperature and relative humidity at the same time. These sensors have been designed to measure the humidity as well as the temperature of the environment in cold chains.
Other sensors in the cold chain include distance sensors, location sensors, tracking sensors, and more.

Application Overview:



Restaurant and Food Service

The Restaurant and Food Service industry encompasses any establishment that serves food to people outside their homes. This includes restaurants, cafeterias, university dining halls, catering and vending companies, hotels, inns, etc. As consumers seek fresh food, refrigerated food delivery for restaurants and food services by cold chains is critical.

Retail

Retail is the sale of goods and services to consumers. Accurate inventory and order processing along with product quality is essential to any retailer's operations. In the retail industry, a cold chain is an uninterrupted chain of temperature-controlled environments used in perishable food products to maintain their quality and extend their shelf life.

Medical and Pharmaceutical

Whatever the circumstances, the pharmaceutical industry must provide a high level of quality, from the manufacturing of health products to their dispensing to patients. As they are sensitive to temperature fluctuations, drugs require different types of attention, such as temperature-controlled transport, which is generally handled by logistics service providers through cold chain sensors. In addition, humidity sensor solutions are also widely used in ventilators, incubators, and human respiratory system monitoring devices.

Logistic

The logistics here refers to the means of transportation used in the cold chain transportation process, such as vehicles, ships, planes, and temporary refrigerated warehouses. For many years, cold chain logistics has been an essential part of transporting perishable food, medicine, and supplies from one place to another.

Key Companies in the global Cold Chain Sensors market covered in Chapter 3:

ADVANTECH
Teltonika
Wireless Links
Rotronic
Laird
Seemoto
Cold Chain Science Enterprises
Avery Dennison
TEKTELIC
Sensitech
AKCP
Testo

In Chapter 4 and Chapter 14.2, on the basis of types, the Cold Chain Sensors market from 2018 to 2029 is primarily split into:

Temperature Sensor
Humidity Sensor
Hybrid Sensor

In Chapter 5 and Chapter 14.3, on the basis of Downstream Industry, the Cold Chain Sensors market from 2018 to 2029 covers:

Restaurant and Food Service
Retail
Medical and Pharmaceutical
Logistic
Others

Geographically, the detailed analysis of consumption, revenue, market share and growth rate, historic and forecast (2018-2029) of the following regions are covered in Chapter 8 to Chapter 14:

North America (United States, Canada)
Europe (Germany, UK, France, Italy, Spain, Russia, Netherlands, Turkey, Switzerland, Sweden)
Asia Pacific (China, Japan, South Korea, Australia, India, Indonesia, Philippines, Malaysia)
Latin America (Brazil, Mexico, Argentina)
Middle East & Africa (Saudi Arabia, UAE, Egypt, South Africa)