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Telematics Sales to Soar in India with the Government Giving Priority to the Installation of Telematics in CVs Finds Frost & Sullivan - Infrastructure development will be critical to market development and innovation - Automotive.Frost.com
Telematics Sales to Soar in India with the Government Giving Priority to the Installation of Telematics in CVs Finds Frost & Sullivan

 

PRZOOM - /newswire/ - Mumbai, India, 2015/01/28 - Infrastructure development will be critical to market development and innovation - Automotive.Frost.com.

   
 
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Even though telematics established a toe hold in the Indian commercial vehicle (CV) market nearly 12 years ago, it is yet to find significant uptake outside of the large fleet segment. Fleet owners’ technology shyness, combined with the country’s inadequate infrastructure, has caused market fragmentation, with multiple players providing customized solutions. Nevertheless, the Government’s vision for greater use of vehicle tracking systems in its 11th Five Year Plan and state governments’ desire to use telematics in passenger information systems will give a huge boost to the market in the future.

New analysis from Frost & Sullivan, Commercial Vehicle Telematics Market Outlook in India, finds that the market had an installed base of 233,708 units in 2014, and is likely to reach in 1.3 million units by 2021.

For complimentary access to more information on this research, please visit: corpcom.frost.com/forms/AT_CVTOI

As a pilot project, the states of Tamil Nadu and Chhattisgarh have already installed vehicle tracking systems to track the movement of vehicles transporting targeted public distribution system (TPDS) commodities. Additionally, municipal transport corporations are taking steps to equip buses with location-based services. The market will gain additional thrust from India’s planned infrastructure investments of nearly INR 59 trillion, and the construction of 10,000 kilometres of national highway as part of the 12th Five Year Plan. This infrastructure development will fuel competition among current market players as well as encourage the influx of participants from other industry verticals, which, ultimately, will result in the offer of competitive packages to customers.

“In such a vibrant market, original equipment manufacturers (OEMs) will benefit from the rising number of collaborations between truck manufacturers and aftermarket telematics vendors,” said Frost & Sullivan’s Automotive & Transportation Research Analyst. “The products offered through such alliances help combine truck manufacturers’ vehicle expertise and telematics vendors’ transport business expertise.”

Apart from OEMs and third parties, telcos could also stake a claim to the market by delivering value-added services by leveraging their core competencies. Participants need to especially focus on choosing the right mix of customers and targeting key industries. In due course, there could be greater demand for vehicle tracking from the public transport sector assuming manufacturers enhance important product features such as security. Cost, which has traditionally been a vital purchase factor in the Indian market, is also likely to recede in importance with the growing availability of low-cost products from China, Taiwan and South Korea.

Overall, the rising awareness levels among end users will stoke aggressive market growth, without sudden spikes. An effective roadmap by the Government and intensifying competition will ensure that the market is constantly expanding.

Commercial Vehicle Telematics Market Outlook in India is part of the Automotive & Transportation (automotive.frost.com) Growth Partnership Service program. Frost & Sullivan’s related studies include: Market Forecast and Key Trends in the Passenger Vehicle Market in India, Forecast of the Indian Commercial Vehicles (CV) Market, Analysing the Potential of the Luxury Vehicle Market in India, and Strategic Assessment of Electric and Hybrid Vehicles Market in India. All studies included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants.

About Frost & Sullivan
Frost & Sullivan (frost.com), the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today's market participants. Our “Growth Partnership” supports clients by addressing these opportunities and incorporating two key elements driving visionary innovation: The Integrated Value Proposition and The Partnership Infrastructure.

The Integrated Value Proposition provides support to our clients throughout all phases of their journey to visionary innovation including: research, analysis, strategy, vision, innovation and implementation.

The Partnership Infrastructure is entirely unique as it constructs the foundation upon which visionary innovation becomes possible. This includes our 360 degree research, comprehensive industry coverage, career best practices as well as our global footprint of more than 40 offices.

For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector and the investment community. Is your organization prepared for the next profound wave of industry convergence, disruptive technologies, increasing competitive intensity, Mega Trends, breakthrough best practices, changing customer dynamics and emerging economies?

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Commercial Vehicle Telematics Market Outlook in India / MA57-18

 
 
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Telematics Sales to Soar in India with the Government Giving Priority to the Installation of Telematics in CVs Finds Frost & Sullivan

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