Global Underbars Refrigeration Market Size By Type (Bottle Coolers, Chillers and Fosters), By Application (Food, Vegetables), By Region, And Segment Forecasts, 2023 to 2032

The Global Underbars Refrigeration Market was valued at approximately USD 1.8 billion in 2023 and is projected to reach USD 2.9 billion by 2031, expanding at a CAGR of 5.7% over the forecast period from 2023 to 2031. Underbars refrigeration units are widely adopted in the hospitality industry, particularly in bars, restaurants, and cafes, for efficient and accessible cooling solutions. This market growth is attributed to the increase in the foodservice industry, rising demand for compact and space-efficient refrigeration solutions, and advancements in energy-efficient cooling technologies.

Drivers

Expansion of the Foodservice Industry: The growth of the hospitality and foodservice sectors, driven by urbanization and lifestyle changes, is a primary driver of demand for underbars refrigeration.

Demand for Energy-Efficient Solutions: Innovations in energy-efficient cooling technology have become a significant driver as establishments look to reduce energy consumption and environmental impact.

Compact and Space-Saving Design: The demand for compact and efficient designs in limited-space environments, especially in urban areas, further propels the market.

Restraints

High Initial Investment: While underbars refrigeration provides long-term benefits, the initial setup cost remains a barrier, especially for small businesses.

Maintenance and Repair Costs: The frequent maintenance required for optimal performance may limit adoption among smaller establishments with budget constraints.

Opportunity

Expansion in Emerging Markets: Rapid urbanization and the growth of the hospitality sector in emerging economies present significant growth opportunities for the underbars refrigeration market.

Technological Advancements: New product launches with smart features and IoT integration, such as temperature monitoring and automation, offer potential for market growth and differentiation.

Market by System Type Insights

The market is segmented based on system type into self-contained and remote systems. The self-contained systems segment dominated the market in 2023 due to its ease of installation and portability, making it popular in small bars and cafes. However, remote systems, which offer quieter operations and higher cooling efficiency, are anticipated to witness higher growth during the forecast period.

Market by End-use Insights

End-users in the market primarily include bars, restaurants, cafes, and clubs. The restaurant segment held the largest market share in 2023, driven by the sector's continuous expansion and need for efficient cooling in high-traffic environments. Bars are projected to experience substantial growth due to rising consumer spending on dining and social experiences.

Market by Regional Insights

North America accounted for the largest market share in 2023, with high adoption due to a robust foodservice industry and established restaurant chains. However, Asia-Pacific is expected to exhibit the fastest growth rate over the forecast period, driven by increasing investments in the hospitality sector and a growing trend of urbanization in countries such as China, India, and Southeast Asia.

Competitive Scenario

Prominent players in the Global Underbars Refrigeration Market include True Manufacturing, Beverage-Air, Continental Refrigerator, Turbo Air, and Hoshizaki. These companies focus on product innovation, energy-efficient designs, and strategic partnerships to strengthen their positions. Recent developments include:

In 2023: True Manufacturing introduced a new line of eco-friendly underbars refrigerators with R290 refrigerant.

In 2024: Beverage-Air announced a partnership with a major restaurant chain to supply customized underbars refrigeration units with enhanced digital control features.

Scope of Work – Global Underbars Refrigeration Market

Key Market Developments

January 2023: Continental Refrigerator launched a smart underbars refrigeration solution integrated with IoT for temperature and energy monitoring, enhancing operational efficiency.

April 2024: Turbo Air expanded its production facilities to accommodate the growing demand for eco-friendly refrigerants in its underbars refrigeration units.

FAQs

What is the current market size of the Global Underbars Refrigeration Market?

The Global Underbars Refrigeration Market was valued at approximately USD 1.8 billion in 2023.

What is the major growth driver of the Global Underbars Refrigeration Market?

The primary growth driver is the expansion of the foodservice industry, coupled with rising demand for energy-efficient refrigeration solutions.

Which is the largest region during the forecast period in the Global Underbars Refrigeration Market?

North America held the largest market share in 2023; however, Asia-Pacific is expected to witness the highest growth rate.

Which segment accounted for the largest market share in the Global Underbars Refrigeration Market?

The restaurant segment accounted for the largest share, given its demand for efficient cooling solutions in high-traffic areas.

Who are the key market players in the Global Underbars Refrigeration Market?

Key players include True Manufacturing, Beverage-Air, Continental Refrigerator, Turbo Air, and Hoshizaki.