Commercial Vehicle Telematics Market - Forecast(2023 - 2028)

Report Code: ATR 0110 Report Format: PDF + Excel

Commercial Vehicle Telematics Market Overview

Automotive Telematics is the convergence of telecommunications with information and communications technology. The Commercial Telematics market is anticipated to grow at a CAGR of 7.6% during 2021-2026 and generate revenues worth $34.5 Billion by 2026. The increasing demand for connected vehicles for better safety management as well as deployment of navigation systems and fleet tracking and monitoring solutions is expected to further drive the market. The sensors components dominated the Commercial Automotive Telematics market with share of over 23%. Majority of the demand was generated from the North American region given the huge amount of research and development taking place in the connected automotive segment. The use of Commercial vehicle for logistics industry, construction industry and others have increased in the regions such as Europe and APAC which is driving the commercial vehicle market and in turn Telematics market is expected to have growth in these regions. The rising demand for mall trucks, pick-up vans, and other light commercial vehicles is expected to boost the demand for safety management solutions, insurance telematics and fleet tracking systems as this telematics market depends on vehicle demand. 

Report Coverage

The report: “Commercial Vehicle Telematics Industry Report– Forecast (2021-2026)”, by IndustryARC covers an in-depth analysis of the following segments of the Commercial Vehicle Telematics market research.
By Technology : Embedded, Tethered and Integrated.0.
By Sales Channel : OEM, Aftermarket.
By Solution : Safety and Security, Entertainment, Naviagiation, UBI, Fleet Management, Local Searcha dn Concierge, Billing Service and Others.
By Vehicle Type : LCV, HCV.
By Vehicle Fuel Type : ICE (Diesel, Petrol), BEV, HEV, BHEV and Others.
By Geography : North America (U.S, Canada, Mexico), Europe (Germany, UK, France, Italy, Spain, Russia and Others), APAC(China, Japan India, SK, Aus and Others), South America(Brazil, Argentina and others), and RoW (Middle east and Africa).

Key Takeaways

  • The commercial vehicle Telematics market is estimated to witness substantial growth over the forecast period primarily due to the growing demand for small trucks, pick-up vans, and other light commercial vehicles.
  • Rising in production of commercial vehicles is expected to boost up the market for safety Telematics as well as infotainment Telematics. However safety Telematics are expected to propel more when compared to cabin Telematics.
  • APAC to have largest market share into the commercial vehicle Telematics market. North America is estimated to witness growth during the forecast period 2021-2026.

Commercial Vehicle Telematics Market, By Vehicle Type
Commercial Vehicle Telematics Market
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Commercial Vehicle Telematics Market Segment Analysis - By Applications

The Fleet Management Market will record the highest growth during the forecast period at 8.8%. The telematics system is used in this segment as a tracking and maintenance tool. GPS devices, navigation systems and diagnostic systems are used in the fleet management telematics. Fleet management solutions are being used to enhance efficiency by reducing the costs, improving reliability and performance. The Insurance Telematics segment will dominate the Consumer Telematics Market in the coming years. This is followed by the Infotainment, navigation, and location based telematics solutions. These segments are expected to generate huge revenues in the future. Media and entertainment and healthcare sectors are also expected to adopt consumer telematics. 

Commercial Vehicle Telematics Market Segment Analysis - By Vehicle Fuel Type 

BEV segment is growing at a highest CAGR of 15.5% in the forecast period 2021-2026. Initially, the shorter driving range was one of the major disadvantages of BEVs. However, with advancements in technology, the driving range of BEVs increased significantly. For instance, including all variations of the Nissan LEAF and Tesla Models, the average battery range is 253 miles. BEV sales are also increasing, which is attributed to government incentives to OEMs for increasing electric vehicles in their fleets. Moreover several companies have been investing heavily for the Production of electric vehicles including battery EVs. In 2018, Ford Motor has committed to increase its investments in electric vehicles to $11 billion by 2022. Similarly, Volkswagen has committed to invest $66.3 billion in the next five years in digitization as well as producing more electric vehicles. Hence increase in the production of Electric or Battery Electric vehicles will provide opportunities for automotive telematics in the forecast period 2021-2026. 

Commercial Vehicle Telematics Market Segment Analysis - By Geography 

APAC is expected to dominate the market with a largest share in forecasted period at 36% in 2020 and the region is estimated to witness the highest growth during the forecast period, 2021-2026. The United States is expected to have highest market share of North America vehicle Telematics and is estimated to have substantial growth in forecasted period. Safety Telematics resulted for substantial market share of North America vehicle Telematics market. However infotainment Telematics also play an important role in the market. The demand for commercial vehicles in APAC is rapidly increasing and due to presence of large number of commercial vehicle the Telematics market is also expected to have substantial growth in APAC during the forecasted period. Smart phones and Tablets have become a part of our daily routine, these devices are being integrated with the vehicles in order to transfer the on board information to the smartphones for easy assessment of real-time information. This allows the vehicle owners to monitor the speed-related accidents, control maintenance costs, and decrease fuel bills, etc.

Commercial Vehicle Telematics Market Drivers

Increase in vehicle production

Commercial vehicle such as pick up van, small trucks and other light commercial vehicle are rapidly increasing due to easy commute, for instance rise in logistic industries and e-commerce businesses resulting to increase in production of commercial vehicle which in turn expected to boost the growth of Telematics market. However vehicle manufactures are increasing heavy trucks and containers for construction industries and other which are also driving the commercial vehicle Telematics market. Thus increase in vehicle production will lead to increase in consumption of Telematics and is expected to have substantial growth into the market.

Advancement in technology

Government initiatives will drive the growth of the consumer telematics market. In Europe and America, for instance, the governments have been offering tax credits for telematics customers in the fleet insurance and management sectors. Advanced technologies will reduce the production costs of telematics products during the forecast period, thereby driving the growth of the telematics industry. The automotive industry has witnessed an increase in the number of unit sales even while recovering from recession. This factor indicates that there will be no dearth of demand for telematics solutions in the near future. The rising number of smartphone users will drive the growth of the commercial telematics market. Government regulations for higher security measures and growing amplified market penetration of smartphones will propel the commercial telematics market.

Commercial Vehicle Telematics Market Challenges

Impact of Covid-19

Due to the COVID-19 impact many organizations have declared work from home but the Transportation and Logistics industries are facing extreme challenges due to emergency and supply chain disruptions. The communication with the drivers as a fleet manager through SMS, mail, radio and phone often becomes challenging. As the fleet managers deals with the drivers out on the road not onsite. Miscommunications is common between fleet managers and their teams. Furthermore, Fuel is the major cost for any organization that runs the fleet. These factors are the major constraints of Fleet Management Software Market.

Commercial Vehicle Telematics Market Landscape

Product launches, acquisitions, and R&D activities are key strategies adopted by players in the commercial vehicle Telematics market. The commercial vehicle Telematics market is dominated by major companies such CalAmp Corp, Astrata Group (Omnitracs), Masternaut, Descartes, Fleetmatics, Qualcomm, Intel among others.

Acquisitions/Technology Launches

  • In December 2020, TVS Motor Company is acquiring 100% stake in Intellicar Telematics for Rs 15 crore. Intellicar provides a one stop integrated IoT solution with fleet tracking, predictive maintenance and remote access solutions applicable to a wide range of vehicle types.
  • In July 2020, Tata Motors launched “Fleet Edge” which is a next-generation connected vehicle fleet management solution. The Fleet Edge provides real-time tracking and tracing of its commercial vehicles, fuel efficiency, fuel-loss alerts and others.

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1. Commercial Vehicle Telematics Market Overview
    1.1 Definitions and Scope
2. Commercial Vehicle Telematics Market  - Executive Summary
    2.1 Market Revenue, Market Size and Key Trends by Company
    2.2 Key trends By Technology 
    2.3 Key trends segmented by Geography
3. Commercial Vehicle Telematics Market – Market Landscape 
    3.1 Comparative Analysis
        3.1.1 Product/Company Benchmarking-Top 5 Companies
        3.1.2 Top 5 Financial Analysis
        3.1.3 Market Value Split by Top 5 Companies
        3.1.4 Patent Analysis
        3.1.5 Pricing Analysis (Comparison of General Price Offerings)
4. Commercial Vehicle Telematics Market – Industry Market Entry Scenario Premium (Premium)
    4.1 Regulatory Scenario
    4.2 Ease of Doing Business Index
    4.3 Case Studies
    4.4 Customer Analysis
5. Commercial Vehicle Telematics Market – Startup Company Scenario (Premium)
    5.1 Venture Capital and Funding Scenario
    5.2 Startup Company Analysis
6. Commercial Vehicle Telematics Market - Market Forces
    6.1 Market Drivers
    6.2 Market Constraints
    6.3 Porters five force model
        6.3.1 Bargaining power of suppliers
        6.3.2 Bargaining powers of customers
        6.3.3 Threat of new entrants
        6.3.4 Rivalry among existing players
        6.3.5 Threat of substitutes 
7. Commercial Vehicle Telematics Market – By Strategic Analysis (Market Size -$Million/Billion)
    7.1 Value Chain Analysis
    7.2 Opportunities Analysis
    7.3 Product Life Cycle/Market Life Cycle Analysis
    7.4 Supplier and Distributor Analysis
8. Commercial Vehicle Telematics Market – By Technology
    8.1 Embedded
    8.2 Tethered
    8.3 Integrated
9. Commercial Vehicle Telematics Market – By Vehicle Fuel Type
    9.1 Petrol/Gas Vehicle
    9.2 Diesel Vehicle
    9.3 Hybrid Vehicle
    9.4 Electric Vehicle
    9.5 Others
10. Commercial Vehicle Telematics Market – By Vehicle Type (Market Size -$Million/Billion)
    10.1 LCV
    10.2 HCV
11. Commercial Vehicle Telematics Market – By Sales Channel (Market Size -$Million/Billion)
    11.1 OEM
    11.2 Aftermarket
12. Commercial Vehicle Telematics Market – By Solution (Market Size -$Million/Billion)
    12.1 Safety and Security
        12.1.1 Driver behavior Monitoring
        12.1.2 Roadside Assistance
        12.1.3 Automatic Crash Notification/Emergency Calling
        12.1.4 Crash Reconstruction System
        12.1.5 Black box device/ On board Recorder
        12.1.6 Maintenance schedule/Remote Diagnostics
        12.1.7 Seat belt Usage Monitoring
        12.1.8 Fuel Monitoring
        12.1.9 Others
    12.2 Entertainment
        12.2.1 Satellite Television
        12.2.2 AM/FM Radio
    12.3 Navigation
        12.3.1 Infotainment Systems
        12.3.2 Location Based Services
    12.4 Local Search and Concierge
    12.5 Usage Based Insurance
    12.6 Fleet Management
    12.7 Billing Services
    12.8 Others
13. Commercial Vehicle Telematics Market – By Device Type (Market Size -$Million/Billion)
    13.1 Hardwired
    13.2 Plug and Play
    13.3 Smartphone Based
14. Commercial Vehicle Telematics Market – By Geography (Market Size -$Million/Billion)
    14.1 North America
        14.1.1 U.S
        14.1.2 Canada
        14.1.3 Mexico
    14.2 South America
        14.2.1 Brazil
        14.2.2 Argentina
        14.2.3 Chile
        14.2.4 Colombia
        14.2.5 Others
    14.3 Europe
        14.3.1 Germany
        14.3.2 France
        14.3.3 UK
        14.3.4 Italy
        14.3.5 Spain
        14.3.6 Russia
        14.3.7 Netherlands
        14.3.8 Others
    14.4 APAC
        14.4.1 China
        14.4.2 Japan
        14.4.3 South Korea
        14.4.4 India
        14.4.5 Australia
        14.4.6 Indonesia
        14.4.7 Malaysia
        14.4.8 Others
    14.5 RoW
        14.5.1 Middle East
        14.5.2 Africa
15. Commercial Vehicle Telematics Market - Market Entropy
    15.1 New product launches
    15.2 M&A's, collaborations, JVs and partnerships
16. Commercial Vehicle Telematics Market – Industry Competition Landscape (Premium)
    16.1 Market Share - Global
    16.2 Market Share by Region
    16.3 Market Share by Vehicle Type
    16.4 Market Share By Technology
17. Commercial Vehicle Telematics Market – Key Company List by Country Premium (Premium)
18. Commercial Vehicle Telematics Market - Company Analysis
    18.1 Company 1
    18.2 Company 2
    18.3 Company 3
    18.4 Company 4
    18.5 Company 5
    18.6 Company 6
    18.7 Company 7
    18.8 Company 8
    18.9 Company 9
    18.10 Company 10
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