Cold storage

“We have a hard time getting regular deliveries into Madison
because of the DOT rules. So, we need to order larger volumes which are difficult to store because we have no warehouse. If there is a mistake in an order, we are sometimes without a product for several days. Finding a warehouse solution is
important, but we can’t afford one on our own.” -- retailer interview

As of 2019, there are 54 cold storage facilities in the region, with five in Dane County operating at capacity.

Refrigerated warehouses are used as a flexible storage option for manufacturers and wholesalers. These businesses are looking for inbound and outbound services such as blockchain, order picking, repacking, shared food safety programs, and cross docking.

Midsize farmers and independent retailers are a secondary market for shared cold storage. Farmer demand is seasonal and they use cold storage to extend marketing windows and to preserve value-added processed items. Smaller retailers are unable to take advantage of lower-cost bulk purchasing items because they lack access to sufficient cold storage.

Cold storage facilities provide services in three categories, in order of importance:

• Storage – pallet, bin and other bulk storage on a short- or long-term basis at varying temperatures
• Handling – picking, moving, loading, packaging, marking
• Transportation and other services – first/last mile distribution, logistics, data and communication services

For more on cold storage see the Madison Terminal Market report.