According to market research firm MarketsandMarkets, the global refrigerated transport market is projected to reach over $93 million by 2019, at a CAGR of 15.2% from 2014.
It is no surprise that the industry is experiencing double digit growth. With more perishable foods coming from longer distances, a higher demand for high-protein and frozen foods, a push for reducing food spoilage in developing nations and more government initiatives, there is a greater demand for good refrigerated transportation solutions.
While there is a need to have good vehicles and services that can transport temperature-sensitive cargo, there is also a need to have good “reefer” tracking and monitoring solutions. Carrying refrigerated goods requires more management to ensure cargo stays at the appropriate temperature during the entire journey.
It also comes with additional costs, like higher fuel costs and maintenance costs to power and operate the transportation refrigeration unit (TRU). Providing a quality transportation service while keeping costs down is achievable with a telematics product that provides the required tracking and monitoring services.
Recently Werner Enterprises, a giant in the refrigerated transport market, selected ORBCOMM’s reefer tracking and monitoring solution for its comprehensive temperature, fuel management, maintenance, and logistical services. The aim was to improve the efficiency of their cold chain operation and gain a stronger competitive edge in customer satisfaction and regulatory compliance. Other companies are also making the decision to use ReeferTrak® for managing their refrigerated trailers and containers because fuel and food spoilage are driving their costs up and they need alarms, reports and analytics to keep informed of what is happening in their fleet.
I expect that at next month’s Truckload Carrier’s Association (TCA) annual convention in Kissimmee, Florida there are going to be many conversations about how to manage costs as well as upcoming initiatives like FDA’s FSMA. If you are going to be at the convention, let’s meet and we can talk about some of challenges that you are seeing in the market and I will share stories of how our customers are addressing their concerns.