Global Fleet Management Market - 2021-2028
発行: DataM Intelligence
ページ情報: 英文 180 Pages
The Global Fleet Management Market is expected to grow at a high CAGR of 16.8% during the forecasting period (2021-2028).
Fleet management includes management of commercial motor vehicles, private vehicles, aviation machinery, ships, rail cars and non-powered assets.
The market is driven by the rising demand for fleet management solutions due to their efficiency in saving fuel, lowering the maintenance costs, and securing the management for the vehicle and customers
Fleet management is widely used by couriers, oil and gas delivery, utilities, repair, and service businesses to ensure responsible vehicle use with confirmed safety and enable real-time tracking. Effective fleet management helps in reducing fuel costs, optimizing the routes, increasing productivity, and enhancing customer satisfaction.
The market is witnessing the technological advancement for the development of fleet management solutions with wireless technology, obligatory incorporation of ELD, and other technologies. Consequently, there is an increase in the launch of novel fleet management solutions. For instance, in February 2020, Shell had launched fleet management solutions in India for reducing the total cost of ownership (TCO) for fleet owners. In July 2018, WABCO had launched the TRAXEE, its new fleet management system (FMS). This novel fleet management system is designed to meet the specific needs of operators of small to medium-size commercial fleets. TRAXEE FMS provides the smaller fleet operators several business-critical functions without incurring large capital investment or management overhead expenses. TRAXEE enables operators to better coordinate fleet capacity, manage driver activity, and improve administrative efficiency. The system provides real-time status updates on individual trucks and drivers while helping to address the tachograph legal compliance requirements across Europe and Turkey.
However, the low rate of adoption of the fleet management solutions among the small fleet owners is hindering the market growth. Several factors such as lack of awareness, limited operation scale, smaller budgets, limited compliance norms, high capital requirements, and a rise in operational costs have led to the low rate of adoption of the fleet management solutions among the small fleet owners.
COVID-19 Impact Analysis
The COVID-19 pandemic has disrupted the global economy. Consequently, the global fleet management market has also been negatively affected due to it. Apart from the disturbances in the supply-chain management, the production and manufacturing units have also been halted across the world. Many companies were forced to reduce its workforce in order to cope with the losses suffered due to COVID-19. For example, in January 2021, AT&T announced that around 300 jobs will get affected as it was planning to cut its workforce in Slovakia. But the pandemic also forced companies to shift to cloud-based systems, hence driving the cloud-based fleet management segment. For example, according to Synergy Research, enterprise spending on cloud infrastructure reached $65 billion in the third quarter of 2020, up 28% from the third quarter of 2019 and up 3% from what analysts expected before the pandemic hit, adding around $1.5 billion of spending for that quarter alone. The post-pandemic scenario is positive and the global fleet management market is projected to grow at a high rate.
The fleet management market is classified based on the deployment as the on-premises and cloud-based
The cloud segment is expected to grow at the highest CAGR during the forecasted period due to the growing usage of the cloud-based fleet management software solution due to its cost-efficiency and hassle-free integration. The cloud-based fleet management software solutions are useful for the operators to keep the vehicle manageable and roadworthy with a variety of instruments including driver and car management. These software-based solutions also help in conducting the inspection of equipment and machinery. The cloud-based fleet management software solutions aid the organizations in managing the fleet, maintaining the operation, and safety anytime and anywhere with the help of internet-enabled devices and retain service and security. Many companies are working to enhance their cloud software system to gain edge in their services. For example, in June 2021, Cisco unveiled its new hybrid cloud computing platform, the Cisco UCS X-Series, powered by Cisco Intersight, which is a major development in the cloud based system of the company. It will enable the cloud-based fleet management software to increase its efficiency and speed.
The global fleet management market is segmented based on the solution as operations management, asset management, information management, driver management, safety, and compliance management, risk management and others
The driver management segment accounts for the significant market share owing to the growing adoption of driver management solutions due to its efficacy in saving fuel, lowering the maintenance costs, and ensuring the secure management of the vehicle and customers. The driver management solutions study driver behavior and make necessary changes to driving styles which are essential for reducing fuel consumption and improving the vehicle's maintenance. These solutions monitor driver activities, driving patterns & vehicle utilization. The driver management solutions include applications such as driver registration, insurance risk management, and analysis. These solutions promote better driving behavior by sending the feedback indicating the driving style, with alerts. The driver management solutions provide access to up-to-date data including driver status, location, and safety habits.
By region, the global fleet management market is segmented into North America, South America, Europe, Asia-Pacific, Middle-East, and Africa
Among all of the regions, North America dominated the global fleet management market and is expected to grow at the highest CAGR during the forecasted period owing to the high adoption of the fleet management solutions for vehicle & driver tracking, asset management, two-way communication, driver safety & time management, after-sales services, customer relationship management, and others. Fleet management provides better access to plan maintenance of vehicles, enhanced driver safety, and proper routing of fleets. There is the presence of prominent market players providing fleet management solutions and services in various different public and private organizations. For instance, as of 2021, the US Department of Homeland Security has adopted fleet management solutions to provide its fleet managers access to data-driven insights for managing the daily operations of the fleet. There are several government regulations for the improvement of the management and enhance the performance of a fleet. For instance, as of 2021, the United States General Services Administration has provided centralized procurement for the federal government that is comprised of certain rules and regulations for the management of public sector fleet in the United States.
The Asia-Pacific region is expected to have positive market growth due to the growing investment and funding by several small and medium organizations for the adoption of technologically advanced solutions and cloud-based software services for fleet management for streamlining operations. There is growing awareness regarding the cost benefits of fleet management shall boost the demand for the fleet management solutions and services over the forecasted period.
The global fleet management market is highly competitive with the presence of several international and local markets. Product diversification, revenue generation, and opportunities intensify the market competition. AT&T, Inc., Cisco Systems, Inc., Fleetmatics Group Plc, Omnitracs LLC, IBM Corporation, Astrata Group, Tomtom NV, and Wheels Inc. are the leading market players with significant market share.
The companies are entering into collaborations, mergers, strategic partnerships, and acquisitions to increase the demand for fleet management and their expansion across the globe. For instance, in June 2020, Targa Telematics had entered into a multi-year agreement for fleet management solutions for business customers in the European market. The initiative covers all FCA connected models in the EMEA area.
In January 2020, General Motors had entered into the collaboration with Geotab to launch the new Geotab Integrated Solution for GM vehicles. This solution pairs up with the pre-embedded OnStar module found in GM vehicles that allows the fleet operators to access data from their GM fleet vehicles within the MyGeotab platform. This prevents the need for them to install an aftermarket system to track and manage their fleet vehicles, leveraging the OnStar module that already comes with the vehicle.
Overview: AT&T Inc. is the world's largest telecommunications company, and the second largest provider of mobile telephone services in the world.
Product Portfolio: Its products include satellites, televisions, mobile telephones, internet services broadband digital, IPTV (Internet Protocol Television), OTT (Over-the-top) services and others.
Key Developments: In 2018, AT&T Inc. acquired Time Warner Inc., bringing together Warner Bros., HBO and Turner under AT&T's leadership.
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