The commercial vehicle telematics market in the Americas is expected to post a CAGR of more than 17 percent during the period 2019-2023, according to the latest market research report by Technavio.
A key factor driving the growth of the market is cost-savings due to adoption of telematics-enabled UBI. Regulations play a crucial role in the adoption of insurance in the automotive segment. Regulations for mandatory motor insurance are becoming a crucial driver for the UBI adoption. UBI allows insurers to create risk profiles for individual customers based on real-time driving behavior tracked by onboard units. As UBI benefits both insurers and drivers, it is registering high growth in developed regions like Europe and North America. Hence, it will be beneficial for fleet operations to adopt UBI and reduce the premium amounts by encouraging safe driving behavior.
Commercial vehicle telematics market in the Americas: Usage of advanced analytics to optimize fleet efficiency
Modern fleets are operated with more than one system, which requires information sharing across platforms. Modern vehicles are the source of large amounts of data in the form of GPS location and vehicle diagnostic data. By integrating this data into software applications enabled by an application protocol interface (API), the data collection process can be streamlined to gain quicker insights.
“Fleet operators receive large amounts of data related to their daily operations through various channels, such as documents from employees and technicians, fuel bills, routes traversed by vehicles and work order performance reports. Integration of this data into the enterprise resource planning system improves workflows and operational analysis. Software applications enable an efficient management of data and reduce the probability of manual errors by automating the fleet management process. Additionally, the availability of big data and its analytics would allow fleet managers to access, analyze, and strategize fleet operations to attain maximum asset utilization for optimum operating efficiency,” says a senior analyst at Technavio for research on automotive electronics.
To view a sample of this report and learn more about this study, visit technavio.com.