Fleet Management Market by Solution (Operations Management, Vehicle Maintenance and Diagnostics, Performance Management, Fleet Analytics and Reporting), Service, Deployment Type, Fleet Type, Vertical and Region - Global Forecast to 2027
[288 Pages Report] The fleet management Market size is expected to grow from USD 25.5 billion in 2022 to USD 52.4 billion by 2027, at a Compound Annual Growth Rate (CAGR) of 15.5% during the forecast period. The primary factor driving the growth of the fleet management market is the rising fleet safety concerns. Fleet management solutions are increasingly sought after by businesses to enhance fleet safety by offering real-time data on driver behavior, vehicle location, and other contributing factors to accidents. Accidents involving fleet vehicles can result in substantial costs for businesses. Apart from vehicle repairs and medical expenses, businesses may face legal liabilities and potential lawsuits. Fleet management solutions help mitigate accident risks and minimize associated costs.
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Fleet Management Market Dynamics
Driver: The increasing focus of fleet owners on operational efficiency
Fleet management solutions are becoming increasingly popular as businesses look for ways to improve their fleets' efficiency, safety, and profitability. These can help businesses to improve efficiency by tracking the location of vehicles, managing fuel usage, and monitoring driver behavior. This information can ensure that vehicles are on schedule, identify drivers who are wasting fuel, and implement fuel-saving measures. Fleet management solutions improve operational efficiency by optimizing various aspects of fleet operations. These solutions streamline processes, enhance resource utilization, and increase productivity, leading to overall operational effectiveness.
Restraint: Atmospheric interference causing problems with GPS connectivity
Atmospheric interference in fleet management can disrupt GPS connectivity, affecting signal transmission between satellites and vehicle receivers. Factors such as adverse weather conditions, physical obstructions, electromagnetic interference, and ionospheric activity can weaken GPS signals and lead to inaccuracies or signal loss. To address these challenges, measures such as strategic antenna placement, signal amplification, integration with other positioning technologies, and regular system maintenance can be implemented to optimize GPS performance and mitigate the impact of atmospheric interference on fleet management operations.
Opportunity: Development of transportation in the logistics industry and growth in fleet size
The rising demand for transportation in the logistics sector is creating favorable circumstances for adopting fleet management solutions. As logistics operations expand to cater to the growing needs of e-commerce, global trade, and intricate supply chains, there is a heightened requirement for efficient management and optimization of vehicle fleets. Fleet management solutions provide the necessary tools and technologies to monitor, control, and enhance fleet operations, including route optimization, shipment tracking, driver behavior management, and overall operational efficiency improvement. By embracing these solutions, logistics companies can effectively address the challenges of an evolving transportation landscape and gain a competitive advantage.
Challenge: Inaccurate geocoding
Inaccurate geocoding poses challenges in fleet management, leading to routing errors, delivery issues, resource wastage, increased costs, and customer dissatisfaction. Fleet management systems rely on accurate geocoding through up-to-date mapping data and advanced algorithms to mitigate these challenges. Overcoming inaccurate geocoding is vital for efficient operations, cost savings, improved customer satisfaction, and streamlined delivery processes.
Fleet management Market Ecosystem
Prominent companies in this market include a well-established, financially stable provider of fleet management market. These companies have been operating in the market for several years and possess a diversified product portfolio, state-of-the-art technologies, and strong global sales and marketing networks. Prominent companies in this market include Geotab (Canada), Verizon Connect (US), Donlen (US), Inseego (US), Teletrac Navman (US), and Holman (US).
By Vertical, the Government sector to grow at the highest CAGR during the forecast period
The adoption of fleet management solutions in the government sector is expected to continue to grow in the coming years. Government agencies that are looking to improve efficiency, reduce costs, and improve the safety of their fleets should consider adopting a fleet management solution. Fleet management solutions provide government agencies with tools to improve efficiency by tracking vehicle location, fuel usage, and driver behavior. This information can be used to ensure that vehicles are where they need to be when they need to be there, identify drivers who are wasting fuel, and implement fuel-saving measures.
By Commercial Fleet type, the light commercial vehicle segment is expected to hold the largest market size during the forecast period
The demand for fleet management in light commercial vehicles (LCVs) is growing rapidly. LCVs are becoming increasingly popular for various applications, such as last-mile delivery, logistics, and transportation. Businesses operating LCV fleets are looking for ways to improve efficiency and safety, and fleet management solutions can help them. By using fleet management solutions, businesses can improve the efficiency and safety of their LCV fleets, reduce costs, and improve customer satisfaction.
Asia Pacific is expected to have the highest growth rate during the forecast period
Asia Pacific has witnessed an advanced and dynamic adoption of new technologies and is expected to record the highest CAGR during the forecast period. A dense population, growing per capita income, and large-scale industrialization and urbanization are a few of the major factors driving the growth of the fleet management market in Asia Pacific. The Asia Pacific region boasts several prominent global economies, including China, India, and Japan, experiencing rapid growth. This economic expansion has resulted in a significant rise in the number of vehicles on the roads. Consequently, businesses in this region actively seek effective fleet management solutions to efficiently handle their expanding fleets.
Market Players:
Key and innovative vendors in the fleet management market are Geotab (Canada), Verizon Connect (US), Donlen (US), Inseego (US), Teletrac Navman (US), Holman (US), Azuga (US), Chevin (UK), GPS Insight (US), Masternaut (UK), Orbcomm (US), Trimble (US), Omnitracs (US), MiX Telematics (South Africa), TomTom (Netherland), Zonar Systems (US), Zebra Technologies (US), Motive (US), Samsara (US), Fleet Complete (Canada), ClearPathGPS (US), Titan GPS (Canada), Gurtam (Lithuania), Automile (US), Fleetonomy (Israel), Avrios (Switzerland), Fleetio (US), Fleetroot (UAE), Freeway Fleet (UK), and Ruptela (Lithuania). These players have adopted various growth strategies, such as partnerships, agreements and collaborations, new product launches and product enhancements, and acquisitions to expand their footprint in the fleet management market.
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Report Metrics |
Details |
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Market size available for years |
2017-2027 |
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Base year considered |
2021 |
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Forecast period |
2022-2027 |
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Forecast units |
Value (USD Million/USD Billion) |
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Segments covered |
By component, fleet type, deployment type, vertical, and region |
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Regions covered |
North America, Europe, Asia Pacific, Latin America, and Middle East and Africa |
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Companies covered |
Geotab (Canada), Verizon Connect (US), Donlen (US), Inseego (US), Teletrac Navman (US), Holman (US), Azuga (US), Chevin (UK), GPS Insight (US), Masternaut (UK), Orbcomm (US), Trimble (US), Omnitracs (US), MiX Telematics (South Africa), TomTom (Netherland), Zonar Systems (US), Zebra Technologies (US), Motive (US), Samsara (US), Fleet Complete (Canada), ClearPathGPS (US), Titan GPS (Canada), Gurtam (Lithuania), Automile (US), Fleetonomy (Israel), Avrios (Switzerland), Fleetio (US), Fleetroot (UAE), Freeway Fleet (UK), and Ruptela (Lithuania). |
This research report categorizes the fleet management market to forecast revenues and analyze trends in each of the following subsegments:
By Component:
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Solutions
- Operations Management
- Fleet Maintenance and Diagnostics
- Performance Management
- Compliance Management
- Fleet Analytics and Reporting
- Others*
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Services
- Professional Services
- Managed Services
By Fleet Type:
- Commercial Fleets
- Passenger Cars
By Deployment Type:
- On-premises
- Cloud
By Vertical:
- Retail
- Healthcare and Pharmaceutical
- Construction
- Transportation and Logistics
- Utilities
- Oil, Gas, and Mining
- Government
- Other Verticals
By Region:
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North America
- US
- Canada
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Europe
- UK
- Germany
- Italy
- Spain
- Poland
- Czech Republic
- Portugal
- Slovakia
- Slovenia
- Rest of Europe
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Asia Pacific
- China
- Japan
- India
- Rest of Asia Pacific
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Latin America
- Brazil
- Mexico
- Rest of Latin America
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Middle East and Africa
- Kingdom of Saudi Arabia
- South Africa
- Rest of the Middle East and Africa
Recent Developments
- In June 2022, Geotab launched Fleet Electrification Knowledge Center. It is a one-stop resource hub for fleet leaders to learn about the journey to electrification, from the initial adoption of Electric Vehicles (EVs) to streamlining and optimizing operations.
- In May 2022, Geotab partnered with General Motors to provide government agencies in the US with the integrated OEM solution, which provides instant connectivity via OnStar-equipped vehicles without the need for additional hardware installation, government fleets will benefit from real-time visibility, quick access to data, and the right to use all other technology innovations from Geotab.
- In January 2022, Geotab, a company that specializes in Internet of Things (IoT) and connected transportation, has been given a contract by the United States Air Force (USAF) to provide its fleet management technology. The contract, which has a potential value of up to USD 100 million, will see Geotab deploy its technology on over 21,000 general-purpose vehicles used by the USAF.
- In May 2021, Verizon Connect launched a compact, discreet asset-tracking solution with a built-in GPS receiver for real-time location tracking and an integrated accelerometer to monitor its movement and status. This combination of features enables the detection of tampering or theft and facilitates the identification of any potential issues pertaining to the asset.
Frequently Asked Questions (FAQ):
What is the definition of fleet management market?
Fleet management, a discipline of asset management, enables companies to manage the entire fleet operation, resulting in controlled costs, maximized profitability, improved fleet efficiency, and fleet-related risk mitigation and compliance with government regulations. The fleet management solution assists in organizing, managing, and coordinating fleet operations from a centralized information system. It uses connectivity technologies to enable data and information flow between fleets and the back-end systems, accessible by fleet owners and managers.
What is the market size of the fleet management market?
The fleet management market size is expected to grow from USD 25.5 billion in 2022 to USD 52.4 billion by 2027, at a Compound Annual Growth Rate (CAGR) of 15.5% during the forecast period.
What are the major drivers in the fleet management market?
The rising fleet safety concern and increasing focus of fleet owners to improve fleet safety is the major drivers of the fleet management market. The growing concern for fleet safety is a key driver for the fleet management market. Organizations recognize the importance of implementing robust solutions to mitigate risks, comply with regulations, reduce costs, protect their reputation, and prioritize the well-being of drivers. As a result, the demand for fleet management systems that prioritize safety is expected to continue to rise.
Who are the key players operating in the fleet management market?
The major players in the fleet management market are Geotab (Canada), Verizon Connect (US), Donlen (US), Inseego (US), Teletrac Navman (US), Holman (US), Azuga (US), Chevin (UK), GPS Insight (US), Masternaut (UK), Orbcomm (US), Trimble (US), Omnitracs (US), MiX Telematics (South Africa), TomTom (Netherland), Zonar Systems (US), Zebra Technologies (US), Motive (US), Samsara (US), Fleet Complete (Canada), ClearPathGPS (US), Titan GPS (Canada), Gurtam (Lithuania), Automile (US), Fleetonomy (Israel), Avrios (Switzerland), Fleetio (US), Fleetroot (UAE), Freeway Fleet (UK), and Ruptela (Lithuania).
What are the opportunities for new market entrants in the fleet management market?
Telematics data can be any data transferred between a telematics system and the central collection point. It can be drivers' data, inspection data, or diagnostic data. The data can be harnessed using analytics to gain valuable insights into driving patterns, fuel levels, engine health, and route deviations. Insurance companies are early adopters of telematics solutions for risk assessment. From December 21, 2012, insurance companies have adopted unisex or gender-neutral pricing for the same insurance products on the European Court of Justice's guidance.
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This research study involved the extensive use of secondary sources, directories, and databases, such as D&B Hoovers, Bloomberg Businessweek, and Factiva, to identify and collect information useful for this technical, market-oriented, and commercial study of the fleet management market. Other market-related sources, such as journals, including white papers and those from associations, have also been considered while conducting extensive secondary research. Primary sources were industry experts from the core and related industries and preferred system developers, service providers, system integrators, resellers, partners, and organizations related to various segments of this industry’s value chain. In-depth interviews were conducted with various primary respondents, including key industry participants, subject-matter experts, C-level executives of key market players, and industry consultants to obtain and verify critical qualitative and quantitative information and assess the prospects.
Secondary Research
In the secondary research process, various secondary sources were referred to for identifying and collecting information for the study. The secondary sources included annual reports, press releases, investor presentations of companies; white papers, journals, and certified publications; and articles from recognized authors, directories, and databases. The market trends and initiatives in various countries were extracted from government associations, such as the American Trucking Associations (ATA), National Association of Fleet Administrators (NAFA), Automotive Fleet Leasing Association (AFLA), International Organization of Motor Vehicle Manufacturers (OICA), European Automobile Manufacturers Association (ACEA), European Car Remarketing Association (CARA), Australasian Fleet Management Association (AFMA), and Japan Automobile Manufacturers Association (JAMA). Secondary research was majorly used to obtain key information related to the industry insights, the market’s monetary chain, the overall pool of key players, market classification and segmentation according to industry trends to the bottom-most level, regional markets, and key developments from both market- and technology-oriented perspectives.
Primary Research
In the primary research process, various sources from both supply and demand sides were interviewed to obtain qualitative and quantitative information on the market. The primary sources from the supply side included various industry experts, including Chief Executive Officers (CEOs), Chief Technology Officers (CTOs); Vice Presidents (VPs); directors from business development, marketing, and product development/innovation teams; related key executives from fleet management solution vendors, system integrators, professional and managed service providers, and consultants; and key opinion leaders. Primary sources from the demand side included fleet managers, fleet management specialists, purchase managers, chief information officers, and subject matter experts from the automotive associations. Primary interviews were conducted to gather insights, such as market statistics, data of revenue collected from software and services, market breakups, market size estimations, market forecasts, and data triangulation. Primary research also helped understand the various technology, application, deployment, and region trends.
The breakup of Primary Research:
To know about the assumptions considered for the study, download the pdf brochure
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Company Name |
Designation |
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Lytx |
Manager |
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ERM Telematics |
GPS Tracking Devices |
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Nuron Fleet |
Fleet Management Services |
Market Size Estimation
Multiple approaches were adopted to estimate and forecast the fleet management market size. The first approach involves estimating the market size by summing up revenues generated by companies through the sale of solutions and services.
Both top-down and bottom-up approaches were used to estimate and validate the total size of the fleet management market. These methods were extensively used to estimate the size of various segments in the market. The research methodology used to estimate the market size includes the following:
- Analyzing the size of the global fleet management market by identifying segment and subsegment revenue related to the market
- Estimating the size of various fleet management solutions and services
- Estimating the revenue contribution of fleet management system providers in the ecosystem
Fleet Management Market Size: Botton Up Approach
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Fleet Management Market Size: Top Down Approach
Data Triangulation
After arriving at the overall market size, the fleet management market was divided into several segments and subsegments. A data triangulation procedure was used wherever applicable to complete the overall market engineering process and arrive at the exact statistics for all segments and subsegments. The data was triangulated by studying various factors and trends from the demand and supply sides. Along with data triangulation and market breakdown, the market size was validated by the top-down and bottom-up approaches.
Market Definition
Fleet management undertakes all the actions that need to take place to keep a fleet running efficiently on time and within budget. It is the process fleet managers use to monitor activities and make decisions about proper asset management, dispatch and routing, and vehicle acquisition and disposal. Fleet management helps ensure a fleet meets compliance requirements, continuously improves efficiencies, and reduces costs. Fleet management, an asset management discipline, enables companies to manage the entire fleet operation, resulting in controlled costs, maximized profitability, improved fleet efficiency, and fleet-related risk mitigation and compliance with government regulations.
Key Stakeholders
- Senior Management
- Finance/Procurement Department
- R&D Department
- End User
Report Objectives
- To determine and forecast the global fleet management market based on components, solutions, services, deployment types, fleet types, and regions from 2022 to 2027, and analyze the various macro and microeconomic factors that affect the market growth
- To forecast the size of the market segments with respect to five key regions: North America, Europe, Asia Pacific (APAC), Latin America, and Middle East and Africa (MEA)
- To provide detailed information related to the major factors (drivers, opportunities, and challenges) influencing the growth of the fleet management market
- To analyze each submarket with respect to the individual growth trends, prospects, and contributions to the total fleet management market
- To analyze opportunities in the market for stakeholders by identifying the high-growth segments of the fleet management market
- To profile the key market players comprising top vendors and startups, provide comparative analysis based on business overviews, regional presence, product offerings, business strategies, and key financials, and illustrate the market’s competitive landscape
- To track and analyze competitive developments, such as mergers and acquisitions, product developments, partnerships and collaborations, and Research and Development (R&D) activities, in the market
Available Customizations
Along with the market data, MarketsandMarkets offers customizations as per the company’s specific needs. The following customization options are available for the report:
Product Analysis
- Product Matrix which gives a detailed comparison of the product portfolio of each company
Company Information
- Detailed analysis and profiling of additional market players (up to 5)
Generating Response ...
Growth opportunities and latent adjacency in Fleet Management Market