The vehicle tracking system market comprises products such
as global positioning system (GPS), global navigation satellite system (GNSS),
and global system for mobile communication (GSM) that help track vehicles and
fleet across locations. Vehicle tracking systems offer real-time monitoring of
vehicles and deliver insights on parameters like engine hours, speed, mileage,
and location through software platforms accessible on computers and mobile
apps.
They help transport and logistics companies effectively
manage fleet movement and ensure safer and secured Vehicle
Tracking System Market Trends of cargo. The growing e-commerce industry
is significantly contributing to the expansion of the logistics sector,
augmenting the demand for effective vehicle tracking solutions. Furthermore,
vehicle tracking systems help reduce operational costs by efficient routing,
timely maintenance & repairs, and lesser fuel usage. They provide live
updates on driver behavior and assistance during emergencies.
The Global
Vehicle Tracking System Market is estimated to be valued at US$ 13.5 Billion in
2024 and is expected to exhibit a CAGR of 12% over the forecast period
2024-2029.
Key Takeaways
Key players operating in the vehicle tracking system market are CalAmp,
Cartrack, AT&T Intellectual Property, Cisco Systems, Inc., TomTom
International BV., Verizon, and Geotab Inc.
The growing e-commerce industry is leading to rapid fleet expansion among
logistics companies. Vehicle tracking solutions help transporters seamlessly
handle the scaling demands while optimizing delivery timelines.
Technological advancements like integrated telematics control units, advanced
GPS capabilities, and AI-powered driver monitoring systems are enhancing the
functionalities of vehicle tracking platforms. Cloud-based solutions are
enabling real-time vehicle management from any location.
Market Trends
Integration of IoT sensors is allowing fleet managers to access deeper analytic
insights about asset health and predictive maintenance needs. This is improving
operations efficiency.
Usage-based insurance models based on driving behavior data collected via
telematics devices are gaining popularity. Insurers provide lower premiums to
safe drivers measured through risk parameters like speeding, hard braking.
tracking routes.
Market Opportunities
Expansion of commercial transportation through electric vehicles presents
growth prospects. Tracking solutions facilitate efficient e-fleet administration
and charging infrastructure optimization.
Adoption in non-commercial segments like private cars, school buses will
increase with lower system costs and advanced features addressing privacy
concerns of private asset tracking.
The COVID-19 pandemic has significantly impacted the growth of the vehicle
tracking system market. During the pre-COVID era, the market was growing
steadily owing to increasing vehicle thefts and road accidents across the
globe. However, the imposition of lockdowns and mobility restrictions affected
the demand for vehicle tracking systems temporarily.
With people staying indoors and commercial vehicles off the roads, the need for
real-time vehicle location monitoring reduced significantly. This led to paused
or delayed projects for fleet operators and logistic companies who are major
adopters of vehicle tracking systems. Manufacturing facilities were also shut
down affecting the production of these systems.
However, as lockdowns eased, the demand started reviving gradually. Commercial
vehicles were back on roads to transport essential goods and emergency service
vehicles needed to be tracked. With rising concerns over safety and security,
individual owners also resumed installing tracking devices in personal
vehicles.
Fleet operators realized the importance of optimizing fleet utilization and
monitoring driver behavior through location-based services. This encouraged
them to adopt advanced telematics solutions for fleet management on a larger
scale. Furthermore, tech upgrades for contactless tracking and integrated
features like geofencing aided compliance with social distancing norms.
The North American region holds the major share of the vehicle tracking system
market in terms of value. This is attributed to large vehicle parc and strict
regulations regarding fleet safety and efficiency. European nations also record
high adoption driven by initiatives toward intelligent transport systems. On
the other hand, the Asia Pacific region is witnessing fastest growth supported
by initiatives for smart cities and rising automotive production in China,
India and South Korea.
Though short term impacts were noted, the pandemic has long emphasised the need
for connected vehicles and driver monitoring solutions. With mobility expected
to surge post pandemic, the vehicle tracking system market is anticipated to
further grow worldwide driven by demand across industries and geographies. OEM
partnerships, value added services and IoT integrations will be key focus
areas.
Get More
Insights on- Vehicle
Tracking System Market
For Deeper
Insights, Find the Report in the Language that You want:
About
Author:
Ravina
Pandya, Content
Writer, has a strong foothold in the market research industry. She specializes
in writing well-researched articles from different industries, including food
and beverages, information and technology, healthcare, chemical and materials,
etc. (https://www.linkedin.com/in/ravina-pandya-1a3984191)
