101 Guide to Pallet Storage [+ Tips for Efficient Handling]


Warehouse operations are changing quickly due to advances in technology and growing demands from global supply chains.

Today’s warehouses are more than storage spaces — they are complex facilities that should accurately manage inventory, orders, and logistics to keep up with dynamic consumer behavior.

To stay competitive, warehouses need to use automationrobotics, and other technologies to optimize warehouse operations, cut costs, and boost overall efficiency.

One solution is leveraging pallet storage.

We’ll explain everything about pallet storage, including its types and benefits. We’ll also answer frequently asked questions about this solution and share how Modula’s automated pallet storage systems can help maximize your warehouse processes.

Looking for automated pallet storage systems?

What Is Pallet Storage?

Pallet storage is a type of warehouse storage system that organizes large containers or boxes on pallets.

Pallets are flat structures, usually made of wood or plastic, that provide a stable and secure base for stacking and storing goods.

The most common pallet sizes are 48” x 40” (used in North America) and 1200mm x 800mm (Euro pallets used in Europe). These standard sizes facilitate easy handling and transportation.

While pallet racks come in different types, all of them allow for stacking palletized materials horizontally across multiple levels.

Types of Pallet Storage Systems

Pallet storage is essential for nearly every order fulfillment process, from housing inventory to transporting goods in the warehouse.

There are several types of pallets storage systems, designed to meet different warehouse needs, each with its own advantages and applications.

Common pallet storage systems include:

Selective Pallet Racking

Selective pallet racking, also known as static racking, is the most common storage system in warehouses since it’s both affordable and highly customizable.

It allows storage at various heights and provides direct access to every load, offering 100% selectivity.

Double Deep Pallet Rack

Double deep pallet racking systems use the same components as selective racking systems, but with a key difference — two rows of racks are installed side by side, allowing for higher storage density.

However, since the racks are two loads deep, you’ll need a double deep reach truck with an extendable pantograph to load and unload these systems.

Carton Flow Racking

Carton flow racks, or case flow racks, are storage systems that can manage smaller, lightweight items, such as totes or cases.

Similar to selective racks, they use uprights and beams, but their lower levels feature rollers on rails that move cartons from the loading to picking side.

This design gives ground-level workers easy access for loading and unloading cartons.

Double deep pallet rack and carton flow racking
Double deep pallet rack and carton flow racking

Cantilever Racking System

Cantilever racking is a highly resistant storage system that utilizes arms attached to upright posts to store long items such as pipes, carpet rolls and lumber.

Cantilever racking features vertical supports at the back and arms extending forward, allowing unobstructed loading from the front.

Mobile Pallet Racking

This system places pallet racks on mobile bases that can be moved along rails mounted on the floor. The racks can be compacted together to save space or opened to allow access to specific aisles.

This makes it an ideal solution for facilities with limited space or high storage density requirements.

Cantilever racking system and mobile pallet racking
Cantilever racking system and mobile pallet racking

Multi-tier Pallet Racking

Multi-tier pallet racking is a storage system that maximizes vertical space by offering multiple levels for manual picking and loading, connected by stairs.

Multi-tier pallet racks are ideal for handling small parts, such as those in auto parts and pharmaceutical industries.

The multiple levels allow for high-density picking, and typically, some type of conveying equipment is needed to transport picked goods out of the system.

Pallet Flow Racks

Pallet flow racks feature high-density storage structures with slightly sloped channels and rollers that allow pallets to slide into place.

Warehouse employees insert palletized loads at the highest part of the channel, and gravity moves them to the opposite end, where they are ready for removal.

Pallet flow racks are commonly used in storing products with expiration dates, such as perishable goods and medicine, ensuring that older stock is used before newer stock.

Multi-tier pallet rack and pallet flow racks
Multi-tier pallet rack and pallet flow racks

Drive-In Pallet Racks/ Drive through Pallet Racking

Drive-in pallet racks are high-density storage systems that allow forklifts to drive directly into the rack structure to place or retrieve pallets.

Drive-in racks have a single entry/exit point (LIFO), while drive-through racks have access from both ends (FIFO).

Ideal for warehouses storing large quantities of homogeneous products with lower turnover rates

Push Back Pallet Racks

Push back pallet racks are storage systems that allow you to store pallets two to six deep on either side of an aisle, offering high storage density.

Push back pallet racks are ideal for storing frequently accessed products, as items use gravity to move the next group of materials forward.

With front access to all items, push-back racks employ the last-in-first-out (LIFO) method and require fewer pick aisles.

Boxes stacked on pallet racks​
The different types of pallet storage include double deep pallet racks, multi-tier pallet racks, pallet flow racks and more​

Automated Storage and Retrieval Systems (ASRS)

ASRS uses robotic shuttles or cranes to automatically place and retrieve pallets from storage. These systems are fully automated and can be integrated with warehouse management systems (WMS).

The main types of ASRS for pallets are:

  • Unit Load ASRS: Designed to handle large, heavy loads (typically full pallets), Unit load ASRS systems use cranes or stacker cranes that move along aisles to pick up or deposit pallets in high-density storage racks, reaching 100 feet or more tall.
  • Mini Loads: Operating similarly to a unit-load AS/RS, a mini-load AS/RS handle lighter loads, usually weighing less than 1,000 pounds and uses smaller cranes or shuttles to manage inventory in the storage racks
  • Shuttle-Based ASRS: Shuttle-based ASRS systems use robotic shuttles that move along rails within the storage racks. These shuttles carry pallets to and from storage locations, allowing for deep-lane storage and flexible retrieval.
  • Vertical Lift Modules (VLMs) for Pallets: are vertically oriented systems that store pallets on trays. The system automatically retrieves the tray containing the required pallet and delivers directly at ground level to the operator, eliminating the need for forklifts. ASRS is particularly useful in environments where high throughput, accuracy, and space utilization are critical.

Preconditions When Using Pallet Storage

To effectively utilize pallet storage, you should consider different key elements, including:

  • Pallet Racking System: A sturdy and well-organized pallet racking system is essential for safely storing and organizing pallets. This system allows for efficient use of vertical space, providing easy access to stored goods while ensuring stability and safety.
  • Pallet Jack: A type of warehouse equipment that is essential for moving pallets within the warehouse. Pallet jacks can transport smaller and lighter pallets over short distances.
  • Forklift: Also known as a fork truck, it lifts and transports heavy pallets and materials across the warehouse. Forklifts make it easier to load, unload and stack items at different heights.

Key Benefits of Pallet Storage

Here are the key benefits of pallet storage, from efficiency to cost-effectiveness and beyond.

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Optimizes space

Pallet storage systems maximize warehouse space by stacking goods vertically. For example, in warehouses where floor space is at a premium, utilizing the full height of the building with pallet racks can dramatically increase storage capacity without expanding the facility’s footprint.

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Improves efficiency

Pallet storage systems enhance operational efficiency by enabling quicker retrieval and placement of goods. With direct access to each pallet, warehouse employees can quickly load and unload goods.

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Organizes inventory

Pallet storage streamlines inventory management by creating organized rows that are easy to navigate. This setup facilitates quicker access to items and simplifies stock tracking. For example, a warehouse using a first-in-first-out (FIFO) pallet system can efficiently manage perishable goods, ensuring older inventory is used first.

Reduces product damages

Pallet storage can keep your inventory safe through elevated stacking. It also provides better protection from potential floor-level hazards. For example, electronics or glass items stored on dedicated pallets are less likely to be damaged compared to floor stacking, which in turn reduces the likelihood of costly product returns.

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Cost-efficient solution

Pallet storage is a cost-effective way to store and transport goods, requiring less handling and transportation costs. In addition, the standardized size and shape of pallets streamline loading and unloading processes, further reducing labor costs.

Interested in automated pallet storage systems?

FAQs About Pallet Storage

Have more questions about managing pallet storage? Find answers below.

What is the stacking limit of pallets?

The ideal stacking limit of pallets shouldn’t exceed 15 feet in height.

However, this limit can vary depending on the stability of the materials on the pallets. If the items are stable and sturdy, multiple full pallets can be stacked higher.

Keep in mind that your warehouse employees should only handle these tall stacks with the proper equipment.

How do you organize pallets in a warehouse?

Organizing pallets in a warehouse involves several key steps to ensure efficiency, safety, and optimal use of space:

  • Install a pallet racking system: Maximize vertical storage space by setting up a suitable pallet racking system, such as selective, drive-in or push-back, depending on your inventory needs.
  • Label and categorize pallets: Clearly label each pallet and assign it to a specific location within the warehouse. Organize pallets by product type, size or frequency of use for easy access.
  • Create an organized floor plan: Design an efficient layout with designated areas for receiving, storage, picking and shipping. Make sure your aisles are wide enough for forklifts and pallet jacks to pass through, and there’s sufficient space for safe loading and unloading operations.
  • Implement First-In, First-Out (FIFO): Manage inventory by applying a FIFO system, ensuring older stock is used or shipped before newer stock to prevent obsolescence or spoilage.
  • Inspect and maintain regularly: Regularly inspect your pallet racking system and equipment, replace damaged pallets and address any structural issues, such as bent beams, to maintain safety.
  • Train your warehouse employees: Provide extensive training for all warehouse staff on pallet handling and safety protocol to help reduce the risk of accidents, such as overexertion.
Pallet Organizing Infographics

How can you secure loose inventory on pallets to prevent accidents in the warehouse?

To secure loose inventory on pallets and prevent accidents in the warehouse, use the following methods:

  • Stacking Patterns: Utilize interlocking or brick stacking patterns for the boxes to add stability and prevent shifting.
  • Stretch Wrapping: Apply plastic stretch wrap around the items on the pallet. This holds the items tightly together and prevents movement during transport or storage.
  • Strapping: Use straps or bands to secure the items to the pallet. This is particularly effective for heavier or irregularly shaped items that might shift more easily.
  • Edge Protectors: Place edge protectors at the corners and along the edges of boxes to prevent damage from straps and stabilize the load.
  • Load Binders: Use load binders on top of the load to compress and secure the items firmly.
  • Shrink Wrapping: For additional security, especially for fragile items, use shrink wrap to encase the entire pallet.

How often should you inspect pallets for wear and tear?

It’s advisable to schedule professional inspections by a health and safety executive (HSE) at least once a year.

However, regular internal inspections are equally important to ensure your pallets remain in optimal condition and to catch any signs of wear and tear before they become a safety hazard.

  • Daily Checks: Quick visual checks should be done daily, especially for pallets in active use, to spot any immediate or obvious issues like broken planks or protruding nails.
  • Detailed Monthly Inspections: Conduct a more thorough monthly inspection to assess the overall condition of the pallets. Watch out for cracks, warping or any structural weaknesses.
  • Annual Audits: Perform an annual review of your entire pallet inventory to determine the need for repair or replacement.

Explore Modula Pallet for Efficient Ground-Level Pallet Handling

Modula introduces Modula Pallet

Modula Pallet is a cutting-edge warehouse solution that safely manages euro pallets (1,200mm x 800mm) right from the ground, eliminating the need for forklifts.

This system operates entirely at ground level, maximizing vertical space and minimizing the risks when it comes to lifting and storing items at height.

Designed for efficiency, the Modula Pallet offers flexible storage options.
It supports piece picking through a side window bay and can handle a variety of storage needs, including bulk products, pallets and goods without pallets.

Modula Pallet Benefit

Warehouse Kitting: save space
Efficient Use of Space
Make the most of your warehouse space by storing pallets vertically, freeing up floor space for additional operations.
Ground-Level Pallet Handling
Enhance efficiency with safe, easy pallet handling at ground level, eliminating the need for forklifts.
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Piece Picking
Access inventory easily through the side window of the loading bay, without needing to move the entire pallet.
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Store a Variety of Inventory
Increase storage versatility with a dual bay design: one for pallets and another for depalletized or individual items.
Combine Multiple Units
Place multiple units side by side, using a single bay with an internal shuttle to move loads between units to optimize space.
Technological Integration
Easily integrate Modula Pallet with automated systems, such as AMRs, AGVs & roller conveyors using Modula WMS.

Need more details about pallet storage and how our storage solutions can help? Contact us to see how our technology can benefit your operations.

Optimize your pallet handling.