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Escalating Fuel Prices Likely to Boost Demand for Commercial Vehicle Telematics in Malaysia - New analysis from Frost & Sullivan, Malaysian Commercial Vehicle Telematics Markets, finds that total shipments in these markets were at 5,770 units in 2006 and this is expected to reach 15,327 units by 2013
Escalating Fuel Prices Likely to Boost Demand for Commercial Vehicle Telematics in Malaysia

 

PRZOOM - /newswire/ - Kuala Lumpur, Malaysia, 2007/08/16 - New analysis from Frost & Sullivan, Malaysian Commercial Vehicle Telematics Markets, finds that total shipments in these markets were at 5,770 units in 2006 and this is expected to reach 15,327 units by 2013.

   
 
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Demand for commercial vehicles (CV) telematics in Malaysia is expected to grow as benefits of the applications increase among end-users in areas such as security, safety and fuel consumption control.

“Most consumers are keen to embrace telematics as a way to control rising fuel costs as it provides an option to monitor fuel consumption and driving patterns. Telematics could be useful to maintain business efficiency,” notes Frost & Sullivan Consulting Analyst Mr. Edmund Leong.

New analysis from Frost & Sullivan (transportation.frost.com), Malaysian Commercial Vehicle Telematics Markets, finds that total shipments in these markets were at 5,770 units in 2006 and this is expected to reach 15,327 units by 2013.

Since the Malaysian CV telematics market is still at an early stage of development, there are ample opportunities for growth.

The logistics and trucking businesses in Malaysia are fragmented and highly competitive. The need for companies to improve their cost efficiency in order to have better control of productivity and resource management will spur demand for telematics applications.

“Fleet management features such as driving pattern and driver behavior profiling, fuel consumption, harsh braking monitoring could help to reduce operating cost,” Leong says.

“Sales of telematics applications are expected to pick up when more end users realize the benefits of telematics and utilize the data efficiently to improve their business performance,” he adds.

Challenges faced by the commercial vehicles telematics industry include the lack of standardization on infrastructure and hardware. End users could not switch service providers due to different systems' set up and design.

End-users are usually reluctant to make a huge investment in any telematics applications as they doubt the sustainability of CV telematics companies.

Leong says that many potential buyers also find the telematics system expensive as they normally need to install a number of units in their fleet. Since market is small, the price for telematics systems has not been adjusted much for the past 5 years.

As the market becomes more competitive, many telematics system providers are expected to launch new features soon in order to be different.

“Future growth of the CV telematics market really depends on how well companies are able to raise awareness levels among potential end users and educate them on the benefits of the various telematics systems,” Leong says.

Malaysian Commercial Vehicle Telematics Markets, part of the Automotive & Transportation Growth Partnership Service, provides an overview of these markets with extensive discussions on market drivers and restraints, industry challenges, and competitive structure. It also offers market forecasts and strategic recommendations as well as an analysis of end-user adoption. Interviews with the press are available.

If you are interested in a virtual brochure, which provides manufacturers, end users, and other industry participants with an overview of the latest analysis of Malaysian Commercial Vehicle Telematics Markets, then send an email to Alice Chia, Corporate Communications, at alice.chia[.]frost.com with your full name, company name, title, telephone number, fax number, and email address. Upon receipt of the above information, an overview will be sent to you by email.

About Frost & Sullivan

Frost & Sullivan, a global growth consulting company, has been partnering with clients to support the development of innovative strategies for more than 40 years. The company's industry expertise integrates growth consulting, growth partnership services, and corporate management training to identify and develop opportunities. Frost & Sullivan serves an extensive clientele that includes Global 1000 companies, emerging companies, and the investment community by providing comprehensive industry coverage that reflects a unique global perspective, and combines ongoing analysis of markets, technologies, econometrics, and demographics.

 
 
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Escalating Fuel Prices Likely to Boost Demand for Commercial Vehicle Telematics in Malaysia

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Contact: Alice Chia 
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