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Commercial Vehicle Telematics Offers Multiple Benefits for Fleet Operators Finds Frost & Sullivan - During times of financial crisis and economic downturn, logistic and transportation companies as well as commercial fleets in other industries suffer from increasing fuel costs and shrinking revenues
Commercial Vehicle Telematics Offers Multiple Benefits for Fleet Operators Finds Frost & Sullivan

 

PRZOOM - /newswire/ - London, United Kingdom, 2009/07/02 - During times of financial crisis and economic downturn, logistic and transportation companies as well as commercial fleets in other industries suffer from increasing fuel costs and shrinking revenues.

   
 
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A large number of these companies must struggle to survive. In this context, an investment in commercial vehicle telematics truly pays off as it helps fleets boost their productivity while decreasing costs.

New analysis from Frost & Sullivan (automotive.frost.com), Commercial Vehicle Telematics is a Powerful Management Tool with a Clear Business Case and ROI for Fleet Operators- White Paper, finds that the market for telematics is more advanced in heavy trucks than in light commercial vehicle fleets. In 2007, the penetration rate for fleet management systems (FMS) in large fleets (more than 50 trucks) was 33.2 per cent; while in fleets of less than 20 trucks, the penetration rate reached 18.3 per cent in the same year. FMS will continue growing with an increasing share of the replacement market. The following technologies are covered in this research: track and trace, fleet management systems, navigation, commercial vehicle telematics and digital map data.

"By successfully implementing commercial vehicle telematics systems, fleets can become more competitive and improve their customer service," notes Frost & Sullivan Consulting Analyst Leonor Martinez. "This presents strong growth opportunities for commercial vehicle telematics suppliers."

As all telematics systems are based on digital map data, the map's level of detail and accuracy has a certain potential to accelerate the return on investment (ROI) that fleet operators can gain from telematics. However, different customer groups (for example, utilities and taxi services, among others) have different needs and requirements for their map data. By integrating more advanced map data for specific customers, telematics suppliers can leverage numerous growth opportunities.

A complete FMS offers fleet operators benefits both in the field and back office. For instance, the benefits of a basic black box with track and trace features include real-time tracking of vehicles and drivers in addition to improved route planning. An on-board computer with a FMS offers, in addition to the above benefits, more information gathered from the vehicles as well as a large set of back-office management tools. In addition, an on-board computer offers all these benefits as well as a proper in-vehicle user interface for the driver.

"A strong case for the ROI will drive telematics in heavy trucks and light commercial vehicles," remarks Michael Minich, Frost & Sullivan Consultant. "Fleet operators should understand that ROI is progressive over time, first providing direct cost savings and then evolving to revenue increase from customer satisfaction and retention," concludes Martinez.

If you are interested in a virtual brochure, which provides a brief synopsis of the research and a table of contents, please email Monika Kwiecinska, Corporate Communications, at monika.kwiecinska[.]frost.com, with your full name, company name, title, telephone number, company email address, company website, city, state and country. Upon receipt of the above information, a brief brochure will be sent to you by email.

Commercial Vehicle Telematics is a Powerful Management Tool with a Clear Business Case and ROI for Fleet Operators - White Paper is part of the Automotive & Transportation Growth Partnership Services programme, which also includes research in the following markets: European Light Commercial Vehicle Telematics Systems Markets, European Heavy and Medium Commercial Vehicle Telematics Systems Markets and, South Korean Commercial Vehicle Telematics Market. All research included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants.

Frost & Sullivan, the Growth Partnership Company, enables clients to accelerate growth and achieve best in class positions in growth, innovation and leadership. The company's Growth Partnership Service provides the CEO and the CEO's Growth Team with disciplined research and best practice models to drive the generation, evaluation, and implementation of powerful growth strategies. Frost & Sullivan leverages over 45 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from more than 35 offices on six continents.

Commercial Vehicle Telematics is a Powerful Management Tool with a Clear Business Case and ROI for Fleet Operators- White Paper / M399

 
 
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Commercial Vehicle Telematics Offers Multiple Benefits for Fleet Operators Finds Frost & Sullivan

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