Smart Fleet Management Market To Generate $849.1 Billion Revenue by 2030

The smart fleet management market size will witness a CAGR of 8.2% from 2024 to 2030 and reach USD 849.1 billion by 2030. This is ascribed to the rising demand for automobiles, cold-chain transportation, and cloud-based software. In addition, the increasing adoption of the telematics technology is driving the growth of the market.

Smart fleet management involves the tracking and maintenance of vehicles in a cost-effective, rapid, and accessible manner, along with driver management and other functionalities. It assists fleet owners in lowering the risks associated with expensive labor, business operations, and other aspects. Smart digital technologies enable fleet management to attain high levels of road safety. Additionally, it allows for real-time data tracking for engine diagnostics and related operations, in order to improve the safety of fleet operators. Moreover, these solutions are integrated with the latest technologies, such as analytics, cloud, big data, internet of things (IoT), Global Positioning System (GPS), and the related software, to make fleet operations more accurate and efficient.

Additionally, the demand for transportation through waterways is rising rapidly. Getting operational knowledge out of ship management data is crucial, as there is constant pressure on shipowners and managers to make operations leaner and increase efficiency. The need for marine fleet management solutions has increased as a result of this to manage a modern fleet efficiently, whether this means a few or hundreds of vessels.

An integrated-approach-based solution can offer the necessary insight to increase productivity, reduce OPEX, and maintain competitiveness in the marine industry. According to the UNCTAD, approximately 80% of the volume of international trade in goods is carried by sea, and the percentage is even higher for most developing countries.

Increasing Adoption of Telematics Technology

Telematics can help companies monitor their drivers and vehicle fleets, by integrating telecommunications and informatics, which is why it has become an essential tool in the trucking industry. With the use of GPS tracking and on-board diagnostics capabilities, the telematics system collects data directly from an asset, to provide detailed information on asset usage, driver behavior, fuel consumption, and diagnostic trouble codes (DTCs).

Moreover, the integration of the telematics technology helps reduce the likelihood of an accident, which is a key cause of death in many countries. For instance, on average, there are over 6 million passenger car accidents in the U.S. every year, resulting in more than 38,000 people losing their lives.

Additionally, connected technologies enable the vehicle to avoid traffic jams. Moreover, the rising rate of urbanization in developed and developing countries is increasing the number of commercial vehicles in operation, which is likely to boost the demand for these solutions in the coming years.

Rising Stringency of Governments’ Road Safety Regulations

Government regulations that focus on improving safety, reducing carbon emissions, and enhancing the transportation efficiency play a significant role in the market growth. In order to create such an environment, the demand for fleet management solutions has increased rapidly as they help fleet operators acquire data in the real time. This gives fleet owners the ability to make quick decisions, which improves operational efficiency and helps save the cost of operations and maintenance.

Asia-Pacific Generates Highest Revenue in Market

Globally, Asia-Pacific is the dominant market in 2023. This is mainly due to the rising demand for public transportation in developing nations, such as China and India, and the increasing investment by market players in new technologies. Moreover, the rising rate of urbanization and the increasing level of environmental pollution are driving the demand for smart fleet management solutions. This is because they can analyze the traffic and road conditions in real time, to optimize routes. This reduces the engine idling time, thus leading to lower fuel consumption and, consequently, reduced carbon emissions.

The most-significant smart fleet management market players are DENSO Corporation, Robert Bosch GmbH, Siemens AG, Continental AG, Cisco Systems Inc., IBM Corporation, Tech Mahindra Limited, CalAmp Wireless Networks Corporation, Infineon Technologies AG, and General Motors Company.