Commercial Vehicle Fleet Management System Market Growth, Size, Trends, Analysis Report by Type, Application, Region and Segment Forecast 2022-2026

The commercial vehicle fleet management system market share is expected to increase to USD 8.16 billion from 2021 to 2026, and the market's growth momentum will accelerate at a CAGR of 7.64%.

This commercial vehicle fleet management system market forecast report extensively covers segmentation by:

• Product - Third party and OEM
• Geography - North America, APAC, Europe, South America, and Middle East and Africa

The commercial vehicle fleet management system market report covers details of key vendors, including AT and T Inc., Azuga Inc., Faststream Technologies, Fleetx Technologies Pvt. Ltd., Geotab Inc., Jaama Ltd., Masternaut Ltd., Microlise Group Plc, Numadic Ltd., Omnitracs LLC, Rolta India Ltd., TomTom International BV, Trimble Inc., TUV SUD, VAMO Systems Pvt. Ltd., Continental AG, Garmin Ltd., and Verizon Communications Inc. among others. Furthermore, our analysts have provided valuable insights on the post-COVID-19 impact on the market, which will help companies evaluate their business approaches for the coming years.

What will the Commercial Vehicle Fleet Management System Market Size be During the Forecast Period?

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Commercial Vehicle Fleet Management System Market: Key Drivers, Trends, and Challenges

The high-cost pressure on fleet operators is notably driving the commercial vehicle fleet management system market growth, although factors such as high cost associated with FMS may impede the market growth. Our research analysts have studied the historical data and deduced the key market drivers and the COVID-19 pandemic impact on the commercial vehicle fleet management system industry. The holistic analysis of the drivers will help in deducing end goals and refining marketing strategies to gain a competitive edge.

Key Commercial Vehicle Fleet Management System Market Driver

One of the key factors driving growth in the commercial vehicle fleet management system market is the high-cost pressure on fleet operators. Rising cost pressure, owing to price fluctuation of fuels and inefficiency of fleet operation, has become a crucial challenge for fleet operators. Therefore, they are adopting cost optimization strategies. Improved transmission design and technology also add to better mileage and fuel efficiency. As FMS helps in the remote monitoring of vehicle components, data generated by each of the components will be a valuable source of information to improve the design parameters of the components. Advanced diagnostic technology in FMS, such as prognostics, is gaining popularity among fleet operators because of its ability to predict component RUL, which reduces unexpected downtime and cost. Several trucks are made to run for a longer period than their recommended economic life, which results in poor fuel efficiency. The prognostic system estimates the optimum time for a replacement part by monitoring real-time data. Thus, it is possible to avoid the replacement of certain parts before their actual economic life is over. This system helps reduce maintenance costs.

Key Commercial Vehicle Fleet Management System Market Trend

The growing popularity of 360deg fleet management system (FMS) is a commercial vehicle fleet management system market trend that is expected to have a positive impact in the coming years. In recent years, FMS has evolved from a mere vehicle tracking system to a holistic driving performance solution. The introduction of camera technology as a support system for the FMS to monitor various activities has increased the scope of FMS in enhancing fleet efficiency. The camera technology allows fleet managers to efficiently interpret safety-related issues. For instance, SmartDrive released SmartDrive 360 in 2017 which expands on-demand video capability by triggering up to four cameras based upon safety risks such as collisions. The feed from these cameras is analyzed by an expert driving analyst within an hour and confirmed collisions and alerts are sent to customers so that they can react quickly to the incident. As a result, fleet operators can improve their safety programs and reduce claim processes. 

Key Commercial Vehicle Fleet Management System Market Challenge

The high cost associated with FMS will be a major challenge for the commercial vehicle fleet management system market during the forecast period. Initial costs of setting up FMS include license, setup, and installation fee, in addition to the payment for customization and integration with current systems. In addition, the license fee must be renewed periodically, which adds to the overall cost. Moreover, integration or customization can be more expensive than the price of telematics devices and license fees. For instance, the hardware cost of FMS offered by Verizon is $3500-$6500 per year for a fleet of 10 vehicles, with a monthly fee of $35 for a one-year subscription. The charges for a subscription per month go up to $60 for advanced FMS offerings. Hidden costs can also pose a challenge to market growth. Companies also charge in situations involving vehicle replacement and end-contractual equipment termination. The involvement of all these costs negatively affects the decision-making process of customers. In the current price-sensitive market, it has become difficult for manufacturers to shift the pricing pressure onto their customers. Therefore, manufacturers are compelled to keep their margins low.

This commercial vehicle fleet management system market analysis report also provides detailed information on other upcoming trends and challenges that will have a far-reaching effect on the market growth. The actionable insights on the trends and challenges will help companies evaluate and develop growth strategies for 2022-2026.

Parent Market Analysis

Technavio categorizes the global commercial vehicle FMS market as a part of the global air freight and logistics market within the global transportation market. Our research report has extensively covered external factors influencing the parent market growth potential in the coming years, which will determine the levels of growth of the commercial vehicle fleet management system market during the forecast period.

Who are the Major Commercial Vehicle Fleet Management System Market Vendors?

The report analyzes the market's competitive landscape and offers information on several market vendors, including:

 

• AT and T Inc.
• Azuga Inc.
• Faststream Technologies
• Fleetx Technologies Pvt. Ltd.
• Geotab Inc.
• Jaama Ltd.
• Masternaut Ltd.
• Microlise Group Plc
• Numadic Ltd.
• Omnitracs LLC
• Rolta India Ltd.
• TomTom International BV
• Trimble Inc.
• TUV SUD
• VAMO Systems Pvt. Ltd.
• Continental AG
• Garmin Ltd.
• Verizon Communications Inc.

 

This statistical study of the commercial vehicle fleet management system market encompasses successful business strategies deployed by the key vendors. The commercial vehicle fleet management system market is fragmented and the vendors are deploying growth strategies such as adopting competitive pricing strategies to improve market penetration and compete in the market.

Product Insights and News

• att.com - The company fleet management enables to optimize fleet routes, integrate compliance tools and help minimize regulatory violations and reduce fuel and maintenance costs.

• att.com - The communications segment provides wireless and wireline telecom, video, and broadband services to consumers located in the US or US territories and businesses globally. It also includes mobility services, wireless services, and equipment such as handsets, wirelessly enabled computers, and wireless data cards manufactured by various suppliers of the company.

To make the most of the opportunities and recover from post COVID-19 impact, market vendors should focus more on the growth prospects in the fast-growing segments, while maintaining their positions in the slow-growing segments.

The commercial vehicle fleet management system market forecast report offers in-depth insights into key vendor profiles. The profiles include information on the production, sustainability, and prospects of the leading companies.

Commercial Vehicle Fleet Management System Market Value Chain Analysis

Our report provides extensive information on the value chain analysis for the commercial vehicle fleet management system market, which vendors can leverage to gain a competitive advantage during the forecast period. The end-to-end understanding of the value chain is essential in profit margin optimization and evaluation of business strategies. The data available in our value chain analysis segment can help vendors drive costs and enhance customer services during the forecast period.

Which are the Key Regions for Commercial Vehicle Fleet Management System Market?

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37% of the market's growth will originate from APAC during the forecast period. China, India, and Japan are the key markets for commercial vehicle fleet management systems in APAC. Market growth in this region will be faster than the growth of the market in other regions.

The increased demand for fleet management and vehicle tracking services will facilitate the commercial vehicle fleet management system market growth in APAC over the forecast period. This market research report entails detailed information on the competitive intelligence, marketing gaps, and regional opportunities in store for vendors, which will assist in creating efficient business plans.

COVID Impact and Recovery Analysis

The episode of COVID-19 seriously affected the coordinated auto industry in this region in 2020. The spread of the COVID-19 pandemic contrarily affected the market partially, due to disruptions in supply chain network, as a result of the extended closure of assembly plants in this region and placed intense pressure on the auto and auto ancillary industries' demand in this region. However, the gradual recovery of the automotive industry from 2021 onwards owing to the relaxation in lockdown restrictions and resumption of operation across plants and the new investments in the automotive industry is expected to drive the growth rate of the industry.

What are the Revenue-generating Product Segments in the Commercial Vehicle Fleet Management System Market?

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The commercial vehicle fleet management system market share growth by the third-party segment will be significant during the forecast period. The third-party FMS segment will continue its dominance over the global commercial vehicle FMS market and will gain more market share during the forecast period as the fleet operators are adopting FMS for their existing CVs, which will drive the growth of the segment. With the growing popularity of FMS, fleet owners are equipping their existing fleets with FMS through third-party providers. This will drive the growth of the third-party FMS segment during the forecast period.

This report provides an accurate prediction of the contribution of all the segments to the growth of the commercial vehicle fleet management system market size and actionable market insights on the post-COVID-19 impact on each segment.

 

Commercial Vehicle Fleet Management System Market Scope
Report Coverage	Details
Page number	120
Base year	2021
Forecast period	2022-2026
Growth momentum & CAGR	Accelerate at a CAGR of 7.64%
Market growth 2022-2026	$8.16 billion
Market structure	Fragmented
YoY growth (%)	7.42
Regional analysis	North America, APAC, Europe, South America, and Middle East and Africa
Performing market contribution	APAC at 37%
Key consumer countries	US, China, India, Japan, and Germany
Competitive landscape	Leading companies, Competitive strategies, Consumer engagement scope
Key companies profiled	AT and T Inc., Azuga Inc., Faststream Technologies, Fleetx Technologies Pvt. Ltd., Geotab Inc., Jaama Ltd., Masternaut Ltd., Microlise Group Plc, Numadic Ltd., Omnitracs LLC, Rolta India Ltd., TomTom International BV, Trimble Inc., TUV SUD, VAMO Systems Pvt. Ltd., Continental AG, Garmin Ltd., and Verizon Communications Inc.
Market dynamics	Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, and Market condition analysis for the forecast period.
Customization purview	If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.

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What are the Key Data Covered in this Commercial Vehicle Fleet Management System Market Report?

• CAGR of the market during the forecast period 2022-2026
• Detailed information on factors that will drive commercial vehicle fleet management system market growth during the next five years
• Precise estimation of the commercial vehicle fleet management system market size and its contribution to the parent market
• Accurate predictions on upcoming trends and changes in consumer behavior
• The growth of the commercial vehicle fleet management system industry across North America, APAC, Europe, South America, and Middle East and Africa
• A thorough analysis of the market's competitive landscape and detailed information on vendors
• Comprehensive details of factors that will challenge the growth of commercial vehicle fleet management system market vendors

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