A modular friction drive system and method for use with a palletized conveyor. The drive system includes drive assemblies located at opposite sides of both a load end and unload end of the palletized conveyor. Each drive assembly comprises at least one drive unit and at least one take-up unit, which are connected by a drive belt. One or more idler units may reside between the drive unit(s) and take-up unit(s). Each drive assembly is provided with an actuating means for pressing the drive belt tightly against the side walls of associated conveyor pallets. Each of the drive unit, take-up unit, and idler unit is preferably modular in nature and can, therefore, be added to or removed from a drive assembly independently of the other unit(s).