As of 2018, the global market share of storage racks in the United States is $8.2 billion. It is estimated that this figure may reach a united annual growth rate of 3.6% from 2019 to 2025. The increasing demand for capacity expansion in storage facilities and warehouses is expected to boost the market for storage rack systems during the forecast period.

Increasing awareness of rational utilization of spaces in supply channels such as distribution centers, storage facilities, and warehouse areas will contribute to the industry's growth. Storage racks offer cost-effective and systematic storage solutions for heavy and delicate loads. Furthermore, the popularity of profiled uprights, which are an essential component of both heavy-duty and light-duty rack systems, is expected to increase during the forecast period.

In the United States, selective pallet rack systems emerged as a dominant category in 2018. Well-organized distribution channels and the booming online e-commerce industry in the country contribute to the growth of the storage sector, positively impacting market expansion. Moreover, the acceptance of automated modern equipment systems in storage systems has stimulated demand for drive-in (accessible heavy-duty rack systems).

Storage rack systems are primarily produced using structural steel and other metals like iron and aluminum. Technical innovations in profiled uprights, pallets, and related products introduced by manufacturers have extended the life of storage racks. These factors are highly likely to increase product demand in heavy industrial applications such as industrial machinery and automotive sectors.

These systems, or storage systems, are cost-effective and efficient stacking management techniques. The pallets used in these systems have the capability to handle heavy loads. These systems are easy to maintain, can be easily repositioned, and can be rebuilt according to warehouse sizes.

To improve existing storage systems and make use of them, changing consumer preferences leaning towards stacking racks from traditional shelf systems are expected to contribute to the market. Storage rack systems can be installed according to the desired storage form and the available warehouse surface. Furthermore, it is anticipated that the reconfiguration feature of these types of racks will be in demand considering the dimensions of a product.

PRODUCT INFORMATION

In 2018, selective pallet rack systems became the largest product category. These systems not only allowed for easy reinstallation and placement of components that prevent structural damage but also provided the flexibility to adjust metal trusses carrying pallets to different heights. Ensuring easy movement of products in this rack system, coupled with its simple design, has generated significant demand.

The Drive-In system, an accessible rack system that allows for easy maneuvering of products between racks using forklifts and hydraulic machinery, is gaining popularity worldwide. However, the high installation cost of these racks has been a hindrance to the growth of this product market.

Cantilever rack systems are prominent rack systems for stacking long and heavy objects such as pipes, panels, and sheet metal in large warehouses. These rack systems, known for their ability to be used on both sides and easy access for forklifts and other carrying mechanisms, have captured consumers' attention and become a focal point. With the increasing demand in the construction sector for metal bars, pipes, and panels, it is expected that the market for these rack systems will be significantly impacted.

As of 2018, the demand for pallet flow systems in the European continent is valued at $115.5 million, and considering the total annual growth rate of this demand, it is projected to increase by 22% from 2019 to 2025. Effortless management and usage of pallet flow systems when transporting and relocating products are expected to drive demand. However, the movement of pallets in these rack systems, along with the possibility of other pallets getting in the way of the desired item, can complicate or disable tracking, which may not have a positive impact on demand within the forecast period.

APPLICATION INFORMATION

In 2018, the retail sector took the highest share in the usage of storage rack systems on a sectoral basis, and considering the annual compound growth rate of the industry, this rate is expected to increase to as much as 5.2% during the forecasted period. Online retailers, hypermarkets, supermarkets, grocery stores, and retail food products in the industry's sub-segments are likely to contribute significantly to industrial development. Additionally, the global automotive market's growth has created an activity area for the construction of new warehouses.

The growth in demand for spare parts in the automotive industry is assumed to contribute proportionally to the growth of warehouses, thereby positively affecting the sector.

In 2018, the food and beverage sector took its place as the second-largest user of storage racks in the global market. The increasing consumption of packaged and processed food products, especially in vast regions like North America and the Asia-Pacific, is expected to support industrial growth during the forecast period. Rapid growth in the retail sector due to urbanization, the popularity of disposable products, and an increase in diet-related products are expected to boost demand for warehouses, thereby contributing positively to the sector.

Rapid growth is observed in industrial production in regions with large areas worldwide. To improve the distribution networks of manufactured products, companies are focusing on the establishment of distribution or logistics centers expected to contribute to the storage rack market. The improvement of transportation and warehouse costs along with supply channels is likely to increase demand for storage racks.

REGIONAL INFORMATION

In 2018, North America became a leading player in the global market for storage racks. A well-established distribution network, quick adoption of storage racks, and continuous innovations for storage area improvements have resulted in high demand for rack systems in the region. The growing retail sector and food industry in the region are significant factors expected to drive demand and contribute to the construction of new warehouses.

The United States has emerged as a key consumer of rack systems due to a well-established industrial sector. Various rack systems are used in warehouses to facilitate the transportation of goods. Furthermore, the rapid adoption of automation technology in storage facilities has highlighted forklifts and hydraulic lifting vehicles, positively impacting the country's economy.

In Europe, demand for pallet flow systems is expected to reach a total annual growth rate of 3.6% during the forecast period. The presence of distribution centers and the construction of new warehouses in the United Kingdom, Germany, and Spain are likely to support the market. Additionally, the region is a major automotive manufacturing hub, making the automotive industry an important consumer of storage racks in the region.

In the Asia-Pacific region, it is believed that the food and beverage industry will be one of the significant consumers of storage and rack systems during the forecasted period. The rapid population growth in countries like India and China, where there is a high demand for packaged food products, is expected to significantly impact the retail sector in these countries. This is also expected to positively contribute to the storage rack market.

Major Companies and Market Share Information

Among the leading companies in the market, Daifiku Co, Mecalux, S.A, Kardex Group, Hannibal Industries, Emrack International, and Jungheinrich AG can be mentioned. These companies compete globally in the storage rack sector in terms of material quality, design, and pricing structure. Furthermore, they focus on introducing rack components with increased durability and high load capacity to sustain their presence in the fiercely competitive market.

These key players also aim to enhance their portfolios by providing assembly and design services for storage racks. For example, Daifiku Co designs various storage, material handling, and sorting solution systems for manufacturing, distribution, and airport management systems. They also offer automation technologies for rack systems in places where products and materials are efficiently transported.

Sections Included in the Report

This report forecasts revenue growth globally, regionally, and by country and provides an analysis of industrial trends in each sub-segment from 2014 to 2025. To achieve its purpose, the research divides the global storage rack market report into segments such as product, application, and region.

Product Forecast (Revenue, US$ Million 2014-2025)

• Selective Pallet
• Drive-In
• Push Back
• Pallet Flow System
• Cantilever Rack Systems
• Others

Application Forecast (Revenue, US$ Million 2014-2025)

• Automotive
• Food and Beverage
• Retail
• Packaging
• Manufacturing
• Others

Regional Forecast (Revenue, US$ Million 2014-2025)

• North America (USA, Canada, Mexico)
• Europe (UK, Germany, Spain, Italy, Russia)
• Asia/Pacific (China, Japan, India)
• Central and South America (Brazil)
• Middle East and Africa (Saudi Arabia)