RSSAccording to a new research report, 'Fleet management in the Americas', from 3849 Berg Insight, the number of fleet management systems deployed in commercial vehicle fleets in North America was 2.8 million in Q4-2011. Growing at a compound annual growth rate (CAGR) of 15.9 per cent, this number is expected to reach 5.9 million by 2016. In Latin America, the number of installed fleet management systems is expected to increase from 1.3 million in Q4-2011, growing at a CAGR of 16.6 per cent to reach 2.8 million in 2016.
Increasingly advanced fleet management functionality is offered by the manufacturers of commercial vehicles active in the region. “Aftermarket fleet management providers still largely dominate the marketplace, but the truck manufacturers are well-positioned to reap market shares either independently or by partnering with telematics providers,” said Rickard Andersson, telecom analyst, Berg Insight. A change in the market dynamics can be the result of this development, which potentially could shrink the addressable market for aftermarket solution providers in the longer term. “We are likely to see standard line-fitment of fleet management systems on all new heavy commercial vehicle models within five to ten years,” says Andersson.
New regulations related to road transport activities also have a major impact on the market environment. High-risk motor carriers are identified by the CSA safety scoring system and fleet owners can use FM applications to ensure proper behaviour. Distracted driving regulations banning cell phone use are further fostering increased adoption of alternative communication and job dispatching solutions. The much-debated mandate to use electronic on-board recorders for hours-of-service logging has not yet been enforced, but Berg Insight anticipates that it is likely to come in place starting in 2013. In Brazil, the pending mandate to install tracking units in all new vehicles is also an important influencer of the development in this region.
Increasingly advanced fleet management functionality is offered by the manufacturers of commercial vehicles active in the region. “Aftermarket fleet management providers still largely dominate the marketplace, but the truck manufacturers are well-positioned to reap market shares either independently or by partnering with telematics providers,” said Rickard Andersson, telecom analyst, Berg Insight. A change in the market dynamics can be the result of this development, which potentially could shrink the addressable market for aftermarket solution providers in the longer term. “We are likely to see standard line-fitment of fleet management systems on all new heavy commercial vehicle models within five to ten years,” says Andersson.
New regulations related to road transport activities also have a major impact on the market environment. High-risk motor carriers are identified by the CSA safety scoring system and fleet owners can use FM applications to ensure proper behaviour. Distracted driving regulations banning cell phone use are further fostering increased adoption of alternative communication and job dispatching solutions. The much-debated mandate to use electronic on-board recorders for hours-of-service logging has not yet been enforced, but Berg Insight anticipates that it is likely to come in place starting in 2013. In Brazil, the pending mandate to install tracking units in all new vehicles is also an important influencer of the development in this region.
