Market Scenario
China ice cream freezer market was valued at US$ 208.45 million in 2023 and is projected to hit the market valuation of US$ 430.79 million by 2032 at a CAGR of 8.48% during the forecast period 2024–2032.
The demand outlook for ice cream freezers in China is experiencing a notable upswing, driven by several critical factors that shape the market landscape. A key driver is the rapid expansion of China's middle class, with disposable incomes rising by 8% annually, which brings a heightened appetite for premium and diverse ice cream products. This economic shift is complemented by the accelerated urbanization process, fostering the development of supermarkets and convenience stores, which are expanding at a rate of 14% annually. These establishments require sophisticated cold storage solutions. Additionally, the cultural shift towards Western lifestyles, particularly among younger generations, is boosting the popularity of ice cream and frozen desserts, contributing to a 10% increase in Western dessert consumption, thereby amplifying the need for reliable and advanced ice cream freezers.
Technological advancements in refrigeration are making ice cream freezers more energy-efficient and cost-effective, with sales of these models increasing by 18%, appealing to both commercial enterprises and residential consumers in the ice cream freezer market. The Chinese government's initiatives to improve cold chain logistics, which have seen a 25% surge in investments, are another significant factor. These policies aim at reducing food wastage and ensuring food safety, thereby encouraging investments in high-quality refrigeration infrastructure. The rise of e-commerce and online grocery delivery services, reporting a 20% rise in frozen dessert sales, has further bolstered demand, as these platforms require dependable cold storage to maintain product quality during transit. The ongoing impact of the COVID-19 pandemic has also shifted consumer behavior, with more households investing in home freezers, leading to a 30% increase in purchases to enjoy a variety of frozen treats.
Furthermore, urban households are showing a 15% increase in home freezer ownership, reflecting a broader trend toward home consumption of frozen goods. Premium ice cream brands are penetrating the market at a rate of 12% annually, driven by the desire for higher-quality products. Government policies enhancing cold chain infrastructure by 22% are creating a more robust and reliable supply chain for the ice cream freezer market, essential for maintaining the integrity of frozen goods. Technological advancements have also reduced operational costs of freezers by 15%, making them more accessible to a broader consumer base. Collectively, these factors and trends highlight a dynamic and promising market for ice cream freezers in China, driven by economic growth, regulatory support, and shifting consumer preferences towards convenience and premium products.
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Market Dynamics
Driver: Rising Disposable Income and Urbanization Fueling Ice Cream Freezer Demand
The rapid increase in disposable income and urbanization in China is a significant driver for the ice cream freezer market. In 2023, China's per capita disposable income reached ¥36,883, marking a 7.3% increase from the previous year. Urbanization has surged, with 64.7% of the population residing in urban areas in 2023, compared to 59.6% in 2018. This urban population is expected to grow to 70% by 2030, driven by the government’s urbanization policies. As disposable incomes rise, consumers are more willing to spend on premium and diverse ice cream products, necessitating advanced freezing solutions. The ice cream market in China was valued at ¥168 billion in 2022, with an annual growth rate of 6.5%, reflecting enhanced consumer spending.
Moreover, urbanization contributes to the proliferation of convenience stores and supermarkets, which are vital points of sale for ice cream. The number of convenience stores in urban areas increased by 8% annually from 2018 to 2023, reaching 160,000 stores. Supermarkets have also seen a 5.2% annual growth rate in urban regions. These retail outlets require efficient and reliable ice cream freezers to cater to the growing demand. Sales of commercial ice cream freezers grew by 7% in 2022, reaching over 1.5 million units. Additionally, the Chinese middle class, which constitutes 39% of the population, is a major consumer segment for ice cream, driving the market further.
Trend: Health and Wellness Trend Transforming Ice Cream Freezer Market
The health and wellness trend is significantly shaping the ice cream freezer market in China. As of 2023, 68% of Chinese consumers reported a preference for healthier food options, compared to 54% in 2019. This shift has led to a substantial increase in demand for low-fat, low-sugar, and organic ice cream products. Sales of low-calorie ice cream surged by 12% in 2022, while organic ice cream sales saw a 9% increase. This trend is driving manufacturers to innovate and produce a broader range of healthier ice cream options, which in turn necessitates specialized freezing technology to maintain the quality and taste of these products.
In response, the ice cream freezer market is adapting with advanced technologies such as blast freezers and energy-efficient models. The market for energy-efficient ice cream freezers grew by 8% in 2022, reflecting consumer and retailer demand for sustainability. Furthermore, the production of ice cream using natural ingredients increased by 15% from 2019 to 2023, requiring freezers that preserve the integrity and freshness of these ingredients. The health-conscious segment of the market, comprising 45% of urban consumers, continues to expand, pushing the industry towards innovation and adaptation. As a result, the ice cream freezer market in China is expected to grow at CAGR of 8.4% from 2023 to 2032.
Challenge: Supply Chain Disruptions and Raw Material Volatility Challenge Market Growth
Supply chain disruptions and raw material price volatility present significant challenges to the ice cream freezer market in China. In 2022, global supply chain disruptions caused by the COVID-19 pandemic resulted in a 10% increase in manufacturing costs for ice cream freezers. Additionally, the price of key raw materials such as steel and refrigerants increased by 15% and 12% respectively. These cost increases are passed on to consumers, leading to a 6% rise in the average price of ice cream freezers in 2023. The ongoing trade tensions between China and the United States also contributed to a 5% tariff on imported components crucial for freezer manufacturing.
Moreover, logistical challenges are exacerbating the situation. The average shipping time for raw materials increased by 20% in 2022 due to port congestion and transportation bottlenecks. This delay impacts the production schedules and availability of ice cream freezers in the market. In 2023, 18% of manufacturers reported supply chain-related delays, up from 12% in 2019. The volatility in raw material prices is expected to persist, with steel prices forecasted to rise by another 8% in 2024. These challenges necessitate strategic planning and risk management by manufacturers to maintain market stability and growth. Despite these hurdles, the ice cream freezer market is projected to grow, albeit at a slower pace.
Segmental Analysis
By Type
Based on type, the China's ice cream freezer market is dominated by batch freezer with revenue share of over 66.43% due to the country's unique market demands and evolving consumer preferences. One of the key drivers is the rising demand for artisanal and premium ice cream products, which batch freezers are uniquely suited to produce. Unlike continuous freezers, batch freezers offer greater control over the texture and quality of the ice cream, allowing for the incorporation of natural ingredients and intricate flavors. This aligns with the Chinese consumer's growing preference for high-quality, health-conscious, and bespoke ice cream options. Additionally, the flexibility of batch freezers supports small-scale and boutique ice cream producers, who are increasingly popular in urban centers like Beijing, Shanghai, and Guangzhou.
Supporting this trend, recent China ice cream freezer market data reveals substantial growth in the artisanal ice cream sector. For instance, the number of small-scale ice cream parlors utilizing batch freezers has increased to over 10,000 units in 2023. Moreover, the demand for natural and organic ice cream has surged, with sales of these products reaching 1.2 billion units last year. Additionally, domestic production of batch freezers has seen significant expansion, with 800 new manufacturing units established in 2023 alone. Market reports also show that investments in premium ice cream brands relying on batch freezers amounted to 5 billion yuan, reflecting their profitability and market appeal. Consumer surveys further indicate a strong preference for the texture and flavor of ice cream produced by batch freezers, with 7 out of 10 consumers favoring these products over those made with continuous freezers. These factors collectively justify the prevailing preference for batch freezers, underscoring their critical role in shaping the future of China's ice cream market.
Price Range
Based on price range, the $2,000 and $5,000 segment is dominating the market with revenue share of over 32.38% and is also projected to keep growing at the highest CAGR of 9.37% in the years to come. The dominance of ice cream freezers priced between $2,000 and $5,000 in China's ice cream freezer market is driven by a combination of technological advancements, economic factors, and consumer preferences. One primary factor is the balance between cost and quality. Freezers in this price range often incorporate advanced cooling technologies, energy efficiency, and durability, which are crucial for maintaining the quality of ice cream in a highly competitive market. The Chinese consumer market values reliability and longevity, which these mid-range freezers provide. Additionally, with China's expanding middle class and increasing disposable income—evident as the number of urban households with annual incomes exceeding $20,000 surpassed 300 million in 2023—businesses are willing to invest in equipment that ensures product quality without the excessive costs associated with high-end models.
China's urbanization rate has led to a surge in demand for premium cold chain logistics, including efficient ice cream storage solutions, with the cold chain logistics market size reaching over 500 million cubic meters in 2023. The rise of domestic brands focusing on premium ice cream has prompted a need for better storage facilities, as the domestic premium ice cream market expanded by 50 million liters in 2023. As a result, the ice cream freezer market is witnessing strong growth momentumThe government’s push for improving food safety standards has made businesses more inclined to invest in reliable storage equipment. Fourthly, the success of local ice cream enterprises hinges on maintaining product quality, making mid-range freezers a practical choice, reflected in the surge of sales to 150,000 units in 2023. The average lifespan of mid-range ice cream freezers, reported at 8-10 years, aligns with business needs for long-term investments. These factors collectively justify the prominence of ice cream freezers in the $2,000 - $5,000 price range, highlighting their essential role in sustaining the industry's growth and meeting evolving consumer expectations.
By Installation
Based on installation, floor mount freezers are dominating the China's ice cream freezer market with revenue contribution of 61.53% and is driven by several key factors. The rapid urbanization and expansion of retail spaces in China have significantly increased the demand for efficient and large-capacity storage solutions. Floor Mount Freezers are particularly favored in urban retail environments due to their ability to store substantial quantities of ice cream while maintaining optimal temperature controls, ensuring product quality and longevity. With the ice cream market in China experiencing a substantial rise in consumption, retailers are prioritizing equipment that can handle high volumes and withstand continuous use. For instance, the average commercial freezer capacity in urban supermarkets has reached a notable volume of 1,200 liters, which suits the high-demand environment. Furthermore, the number of retail outlets equipped with advanced refrigeration systems has surged to over 500,000, reflecting the growing infrastructure to support ice cream sales.
Moreover, the technological advancements in refrigeration have made Floor Mount Freezers in the China’s ice cream freezer market more energy-efficient and reliable, which is crucial in a market where operational costs are a significant concern. Recent industry reports indicate that China's commercial refrigeration equipment market has seen substantial growth, driven by the need for advanced, energy-saving solutions. Additionally, the integration of smart technology in Floor Mount Freezers allows for better inventory management and temperature monitoring, providing retailers with a competitive edge. Supporting this dominance, recent data highlights that the average floor area dedicated to ice cream storage in Chinese supermarkets has increased significantly. Specifically, there has been an introduction of over 10,000 new smart Floor Mount Freezers in the past year alone, and leading retail chains have reported that their sales of ice cream have consistently exceeded 1 million units per store annually due to improved storage capabilities.
By Capacity
On the basis of capacity, the 150-300 liters segment is leading China's ice cream freezer market with market share of 29.36%. This capacity range strikes a balance between storage efficiency and space utilization, making it ideal for both small and medium-sized retail outlets. These freezers are large enough to store a significant variety of ice cream products, which is crucial given the rising demand for diverse flavors and types of ice cream in China. Additionally, the size is manageable for retailers who need to optimize their floor space while still offering a broad selection of products to attract customers. For instance, the number of convenience stores in China has reached 150,000, each requiring reliable and efficient storage solutions for ice cream products.
Moreover, the competitive landscape of the ice cream freezer market, dominated by local ice cream giants like Yili and Mengniu, necessitates efficient storage solutions to maintain product quality and meet consumer demand. The 150-300 liter freezers are particularly effective in maintaining the ideal temperatures for different types of ice cream, ensuring that products remain fresh and appealing to consumers. The Chinese ice cream market turnover is estimated at over $12 billion, with a volume of 6 billion liters, indicating a substantial demand for efficient storage solutions. Additionally, the retail segment, which heavily relies on these freezers, holds the largest revenue share in the market. The integration of digital tools and AI in freezers by companies like Unilever further enhances the efficiency and appeal of these units. The number of new ice cream product launches in China reached 1,200 in the past year, necessitating adaptable storage solutions. This capacity also supports the trend of impulse purchases, which are a significant driver of sales in the ice cream sector. Notably, the average Chinese consumer now purchases ice cream 10 times per year, highlighting the need for readily available and well-maintained ice cream supplies.
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City Analysis
Shanghai and Beijing are set to capture over 45% of China's ice cream freezer market revenue share, solidifying their dominance in this rapidly growing sector. Shanghai and Beijing's economic might and consumer spending power are unparalleled in China. As of 2023, Shanghai's GDP reached 4.47 trillion yuan ($695 billion), while Beijing's hit 4.03 trillion yuan ($628 billion), making them the top two cities by economic output in China. This economic strength translates directly to consumer spending, with Shanghai's per capita disposable income reaching 79,610 yuan ($12,400) and Beijing's at 75,002 yuan ($11,680) in 2023, far exceeding the national average. The ice cream market in these cities is booming, with Shanghai's ice cream consumption growing by 13% year-on-year and Beijing's by 11% in 2023. This surge in demand has led to a proliferation of ice cream outlets, with Shanghai boasting over 8,000 ice cream shops and Beijing over 7,500, necessitating a vast number of commercial ice cream freezers.
On the other hand, both cities are at the forefront of China's retail modernization and cold chain logistics development in the China ice cream freezer market. Shanghai is home to over 7,200 convenience stores and 350 supermarket chains, while Beijing has more than 6,800 convenience stores and 320 supermarket chains as of 2023. These modern retail formats all require high-quality ice cream freezers. Moreover, the cold chain logistics market in Shanghai and Beijing is growing rapidly, with a combined market size of 89 billion yuan ($13.8 billion) in 2023, representing a 15% year-on-year growth. This sophisticated cold chain infrastructure supports the distribution and storage of ice cream products, further driving the demand for advanced freezing equipment.
Shanghai and Beijing serve as innovation hubs and test markets for new ice cream products and freezer technologies. In 2023, over 60% of new ice cream product launches in China occurred in these two cities, showing their prominence in the China ice cream freezer market. The presence of major domestic and international ice cream brands, such as Mengniu, Yili, and Unilever, who have established their R&D centers in these cities, further fuels innovation. For instance, Shanghai witnessed the launch of 127 new ice cream flavors in 2023, while Beijing saw 112 new flavor introductions. This constant product innovation necessitates advanced freezer technologies to maintain optimal storage conditions. Additionally, the smart retail trend is gaining traction, with over 500 unmanned ice cream vending machines deployed in Shanghai and 450 in Beijing in 2023, all requiring specialized freezing units. The focus on energy efficiency is also driving market growth, with sales of energy-efficient ice cream freezers in these cities growing by 25% year-on-year in 2023.
Top Players in China Ice Cream Freezer Market
Market Segmentation Overview:
By Type
By Price Range
By Installation
By Capacity
By Application
By Distribution Channel
By City
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