Pallet in Europe: Key market research findings
- Western Europe dominates the market geographically
- Plastic pallets to undergo fastest growth
- Key vendors – CHEP, PGS Group, Rehrig Pacific, Schoeller Allibert, and SSI SCHAEFER
Technavio’s market research analysts predict the pallet market in Europe to grow at a CAGR of around 6% between 2016 and 2020. The growth of this market can be accredited to the cost-effectiveness brought about by pallet pooling. The pallet pooling companies offer real-time tracking and techniques such as closed loops, which provides suppliers or manufacturers with an optimized supply chain. The pallet pooling system also enables companies to focus on their core operation and make maximum use of pallets while keeping the wastage at a minimum. In 2015, Western Europe accounted for more than 74% of the overall market share to become the dominant shareholder in the overall European market. Trends such as urbanization, industrialization, and an increase in international trade are expected to impact the growth of the market’s growth positively.
The new market research report from Technavio presents a breakdown and analysis of the pallet segments based on the materials.
“The use of robotics in palletization is an upcoming trend in the European market. Robots help in basic pallet nailing, dismantling, and repair. The adoption of robots enhances the production speed and reduces the involvement of personnel in the pallet manufacturing process. Robotic solutions in this field include palletizing and depalletizing, the layer forming and inline palletizing, and mixed case palletizing which provides operational productivity and flexibility,” says Sharan Raj, Lead Analyst, Transportation & Logistics, Technavio Research.
The plastic segment will account for the fastest growth in the pallet market in Europe by growing at a CAGR of around 10% over the next few years. Plastic pallets are available in three styles: nestable, rackable, and stackable. Nestable pallets or distribution or downstream pallets are used by retailers for transporting and shipping of materials and products to retail outlets. Rackable pallets are durable and reliable and find application in stocking products on racks without sacrificing the storage space. Stackable pallets are used for storing and shipping as they provide maximum stability when stacked with products.
The key vendors in the pallet market in Europe include CHEP, PGS Group, Rehrig Pacific, Schoeller Allibert, and SSI SCHAEFER. Vendors in the market are likely to invest significantly in developing new pallets through the adoption of new technologies such as equipment tracking and by refining their service offerings. In addition, vendors are also likely to offer large scale pooling services to their customers. The increased adoption of modern logistics and the rapid growth of the retail industry will attract new vendors into the market during the forecast period.
A more detailed analysis is available in the Technavio report, Pallet Market in Europe 2016-2020.
We can customize reports by other regions and specific segments upon request.
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