Chill out: Manufacturers struggled early on, but growing per capita disposable income will provide the industry with steady revenue growth

Sharp declines in per capita disposable income greatly reduced overall demand for manufactured ice early in the five years to 2015. Because demand for manufactured ice is fairly elastic, many consumers were quick to suspend all purchases of ice and instead freeze their own ice cubes through their home refrigerators. Over the five years to 2020, stable input costs and gradual increases in per capita disposable income will generate steady growth. Although the industry has struggled with consolidation following several mergers, bankruptcies and declines in industry wage payments, ice manufacturing activities have become increasingly lean, and operators have been able to take advantage of cost-effective ice manufacturing equipment...purchase to read more.

Industry Statistics & Market Size
Revenue
$745m
Annual Growth 11-16
-1.4%
Forecast Growth 16-21
Profit
Employment
4,683
Businesses
440

Industry Threats & Opportunities

  • Stable input costs and gradual increases in per capita disposable income will generate steady revenue growth
  • Industry companies that choose only to produce packaged ice have struggled most over the past five years
  • The industry is poised to experience gradual but consistent revenue growth in line with increasing per capita disposable income
  • Industry Report - Starting a New Business Chapter

    Barriers to entry in the Ice Manufacturing industry are high. New operators must make significant capital investments in machinery to produce ice on a mass scale. Most operators must also develop their own distribution channels to bring ice to customers. Manufacturers must be able to afford purchases or leases of trucks, drivers and mobile refrigeration to deliver products to market. Furthermore, their production processes must meet standards set forth by the Food and Drug Administration which has established rules and regulations to ensure the safety of ice. Startup costs are likely to prevent new entrants from offering competitive prices, which presents a serious barrier within an industry that offers highly similar products...purchase to read more.

    Additional Insights for the Ice Manufacturing Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Ice Manufacturing Industry are

  • Strong leadership
  • Economies of scale
  • Use of most efficient work practices
  • IBISWorld analysts also discuss how external factors such as Demand from grocery wholesaling and Per capita disposable income in the Ice Manufacturing industry impact industry performance..

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    What's in this report

    What is the Ice Manufacturing Industry?

    This industry primarily manufactures ice. Companies in the industry freeze water into varying forms of block and cubed ice to be sold in bags. This industry does not include the production of dry ice.

    Industry Products
  • Cube ice
  • Block ice
  • Flake ice
  • Tube ice
  • Plate ice
  • Exports
  • Industry Activities
  • Block ice
  • Cube ice
  • Shaved and flaked ice
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Demand from grocery wholesaling
  • Per capita disposable income
  • Price of plastic materials and resin
  • Trade-weighted index

  • Current Performance
  • Industry warming up
  • Cutting costs and consolidation
  • Minimal global trade
  • Chart: Revenue Growth

  • Industry Outlook
  • A leaner industry
  • Stabilizing trade
  • Table: Ice Manufacturing Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Ice Manufacturing Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Grocery Wholesaling
  • Supermarkets & Grocery Stores
  • Convenience Stores
  • Bars & Nightclubs

  • Key Selling Industries
  • Local Freight Trucking
  • Plastic Products Miscellaneous Manufacturing
  • Printing
  • Water Supply & Irrigation Systems

  • Products & Services
  • Cube ice
  • Tube ice
  • Flake ice
  • Exports
  • Plate ice
  • Block ice
  • Chart: Ice Manufacturing Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Supermarkets and mass merchants
  • Convenience, gas station and liquor stores
  • Other channels
  • Distributors
  • Chart: Major Market Segmentation for the Ice Manufacturing Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Wages
  • Marketing
  • Other
  • Chart: Cost Structure Benchmarking – Sector vs Ice Manufacturing

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Ice Manufacturing Industry

  • Industry Globalization
    Arctic Glacier Inc., Reddy Ice, The Home City Ice Co.,
  • Table: Arctic Glacier Inc. - financial performance
  • Table: Reddy Ice - financial performance
  • Table: The Home City Ice Co. - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Ice Manufacturing Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Ice Manufacturing Industry
    Includes:
  • Industry Revenue (2007-2021)
  • Industry Gross Product (2007-2021)
  • Establishments (2007-2021)
  • Businesses (2007-2021)
  • Employment (2007-2021)
  • Exports (2007-2021)
  • Imports (2007-2021)
  • Wages (2007-2021)
  • Price of plastic materials and resin (2007-2021)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Artificial Snow
  • Snow that is produced by forcing water and pressurized air through cannons in order to supplement natural snow cover on ski slopes
  • Microbes
  • Living microorganisms such as bacteria and archaea that, if found in certain food and drink, may be pathogenic and can cause disease
  • Reefer
  • Industry term used to describe refrigerated containers that have been equipped to ship frozen goods during intermodal freight transport
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s industry research report on Ice Manufacturing provides up-to-date sales and market data, allowing you to identify the product and customer segments driving revenue growth. The report identifies the leading companies in the industry, and offers strategic analysis of the key factors influencing the market. Our data forecasts are accompanied by full analysis to illustrate how the market is responding to dominant and emerging trends.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Ice Manufacturing:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Ice Manufacturing market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Ice Manufacturing, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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