Telematics technology is strengthening its roots in the global societies even better than before.
The increasing responsiveness of the customers has led the market to grow at rapid pace. Telematics is mainly a concept that synchronizes the commercial vehicle with the telecommunication infrastructure through wireless connectivity. The technology can also be termed as a fusion of telecommunication network and technologies to provide various solutions. Telematics bring different telecom devices into play for sending, receiving and managing information into the vehicle. The culture of adopting Telematics technology with the aim to mitigate business expenses by saving fuel costs, but many companies use Telematics to mitigate their long-haul commercial vehicle insurance expenses as well.
Connectivity through Telematics can vary from machine-to-machine or machine-to-human depends upon the obligations and business nature. The primary use for installing Telematics in commercial vehicle is to tracking, navigation through satellite and ensuring to stamp out security concerns of drivers and passengers. The telematics market is further segmented into services (safety, navigation, and information), products (Embedded, portable and integrated telematics system) and vehicle (light and heavy weight commercial vehicles, private vehicles).
According to market research company (Visiongain), the market for global commercial vehicle Telematic got the mark of $11.2 billion in 2014 resulting in lifting up the demand of tracking and security of logistics that will lead to deep prevalence within commercial fleet vehicles. Telematic technology was first adopted by huge trucks industry in the U.S., but non-trucking commercial fleet vehicles is likely to enhance their vehicles counts with telematic technology to become equivalent with the trucking industry at the end of 2014. However, Non-trucking industry is forecasted to lead the global commercial fleet vehicle by equipping 50 million units with telematic technology till 2019.
Non-trucking industry mainly consist of numerous verticals for instance utilities and services, private vehicles (taxis, rental cars and private cars), emergency services, local delivery markets, government and public divisions and public transportation. All of these economical vertical are experiencing similar issues such as rising fuel expenses, need to augment vehicle fleets, curtail down the payroll expenses and strongly adhere to care requisites to their workers.
However, there are certain sectors that have their specific dilemmas and requirements for instance, in an increasing cutthroat service division; the customer service is a dominant section where the disappointment of timely presence of service personnel is a major concern. The customers want service providers to adopt pro-active measures to facilitate them within a little or no extra charges. As a result, service companies increasingly installing telematic equipments for a solution and get an edge all together. Similarly, in construction and mining sector where over speeding challenges hoist because of driver’s attitudes and Telematic technology cater the companies by providing ultimate solutions through observance and keep up the normal fleet management. The governmental departments are also taking best of it by active monitoring like public municipalities to explain their tasks whether they properly collect the garbage or road gritting functions have been performance in a satisfactory manner.
The industry analysts have critically scrutinized the market and came up with the prediction that global commercial fleet telematic industry is ready to drive the striking growth rate of 16.57% during 2013 to 2018, articulating the true potential of this industry.
