Fleet management is handling all the facets of a vehicle in a company. Fleet management solution have three basic components that are material monitoring & production monitoring, location and equipment task & optimization. Fleet management services includes features such as vehicle tracing, driver behavior and mechanical diagnostics. It integrates telematics, energy management, risk management, telematics, mishap management, fleet vehicle financing, etc. The fleet management solutions market was projected at USD 7.71 billion in 2015, and is expected to reach USD 34.56 billion by 2022, with a CAGR value of 23.90%. Key drivers for the market are advantages of automated scheduling and reminders rise in fuel cost, increase in pollution issues, connectivity costs, high demand for operational effectiveness and declining management system components. Fleet management has many benefits such as maintenance planning, vehicle routine measure, driver safety, scheduling of fleet appropriate transmitting which lead to cost effective operations for the fleet owners, fleet security and consumer satisfaction. However, challenges are driver’s security matters, fleet data integration to current software systems, compliance standards, lesser integrity of data, and higher productivity hopes can turn into restraints if not provided to at the right time. These challenges can be overcome by proper approach of management, coaching, engaging working people and understanding of risk.
The fleet management market is segmented by deployment, solution, connectivity technology, service, vertical, and geography. On the basis of deployment market further classified in cloud services, on premises services and hybrid services. On the basis of solution market is segmented into operation management, asset management and driver management. Operation management solution on solution based segment holds the highest share of the fleet management market in 2016. The growth is mainly by the rising demand for supply chain optimization and workforce management. ON connectivity technology market is segmented into satellite Gnss and cellular system. On the basis of services market is segmented into professional services, integration and deployment services and managed services. Vertically market is segmented into manufacturing process, government, transportation & logistics, energy and utilities, retail market, construction and other market. Manufacturing hold the highest share of the fleet management market under vertical segment in 2016. The growth is driven by the requirement for global locating systems and tracking need of several systems involved in the verticals.
The global fleet management market geographically segmented on the basis of regions into North America, Europe, Asia-Pacific (APAC), and RoW. The North America expected to lead the market and Europe, is estimated to become the highest income generating region for fleet management vendors in 2016. This is largely because in the developed economies like US and Canada, there is high emphasis on innovations obtained from research & development and technology. The Asia Pacific region is expected to be the fastest mounting region in the global fleet management market. The growth in this region mainly driven by the increasing acceptance of web- and mobile-based business applications.
Some of the major players of the market include AT&T Inc. Fleetmatics Group, ID Systems Inc., Mix Telematic, Telogis, Trimble Navigation Ltd., Verizon Communications, Workwave LLC, Zonar Systems etc. Innovation and expansion, technology development and technical collaboration are some of the key strategies being adopted by the market players. Companies are adopting such strategy to develop the market and capture the more market share.