Skip to main content

Fleet managers ‘likely to opt for brands that offer predictive technologies’

Fleet management systems (FMS) have an established presence in France, Germany, UK, Italy and Benelux, with 70 per cent of fleet managers claiming familiarity with FMS – 37 per cent are already using it and 33 per cent are testing it. In general, fleet owners display a positive attitude toward FMS, and 35 percent of respondents in a recent Frost & Sullivan survey consider it an absolute necessity. Large fleets are keener to adopt these solutions than small and medium fleets, clearly indicating a lack of awa
December 18, 2013 Read time: 3 mins
Fleet management systems (FMS) have an established presence in France, Germany, UK, Italy and Benelux, with 70 per cent of fleet managers claiming familiarity with FMS – 37 per cent are already using it and 33 per cent are testing it. In general, fleet owners display a positive attitude toward FMS, and 35 percent of respondents in a recent 2097 Frost & Sullivan survey consider it an absolute necessity. Large fleets are keener to adopt these solutions than small and medium fleets, clearly indicating a lack of awareness on the benefits offered by FMS among the latter.

Frost & Sullivan’s new customer research study, 2012 European Fleet Managers' Willingness to Pay for FMS, summarises the findings of the survey of 155 decision-makers and key influencers for FMS in Europe. The research revealed that fleet managers are satisfied with the FMS currently offered. In fact, productivity and fleet security – two of the top three criteria used during purchase – exceed expectations. On the other hand, fleet managers are dissatisfied with the savings made on insurance premiums and the lack of new services.

“Presently, vehicle management as well as fleet security and control are the most widely-used services in Europe,” said Frost & Sullivan customer research consultant Agnieszka Wolf. “However, offering driver and order management services will help FMS vendors retain existing customers as 35 percent of respondents are looking to buy these solutions in the next 36 months.”

Key points of interest (POI) in navigation systems include gas stations, repair stations, and speed restrictions. Respondents working in medium commercial vehicle (MCV) fleets were keen on all POI with particular interest in truck parking slots, road gradients, and restaurants.

Interestingly, respondents indicated that they would prefer dealing with one supplier per solution. Two out of three also said that they would choose brands offering prognostic technologies, which help predict the impending failure of a commercial vehicle.

No clear overall preference for a particular FMS vendor type was seen, although significant vendor preferences exist according to solution and country. While respondents in Germany, Italy and UK are more aware of systems from truck original equipment manufacturers (OEMs), only Germany and UK favour truck OEMs for all solutions. Fleet managers in Italy, France and Benelux favour specialised third-party or logistics and supply chain providers. Among specialised FMS providers, 1692 TomTom and 5635 Transics received the highest ratings.

“The survey reveals that the key decision maker for FMS purchase in fleets is top management,” said Wolf. “However, driver and trade unions appear to influence decisions in Italy and Benelux, especially in the case of large fleets with more than 100 vehicles.”

In terms of payment, general willingness to spend on fleet Telematics services is low. Fleet owners in France are most willing to pay for these services whereas those from Benelux are least inclined. Readiness to pay is also higher in MCV and heavy commercial vehicle fleets than light vehicle fleets. Profit-sharing business models too are gaining acceptance, particularly in France. In Benelux, the market is quite polarised and there is no clear penchant for profit sharing.

Related Content

  • July 25, 2013
    Ethernet to tap new synergies for connected cars
    Ethernet could be catalyst for bringing the automotive industry a step closer to connected vehicles. The latest report from Frost and Sullivan indicates that the need to integrate multiple consumer electronic devices into the car offering connected services and maintaining brand identity has led to a situation where original equipment manufacturers (OEMs) are shifting toward higher connectivity options which could power prioritised and personalised services, catering to varied consumer needs. With the parad
  • January 24, 2012
    In-vehicle automation of safety compliance and other traffic violations
    David Crawford explores new initiatives in enforcement. Achieving the EU’s new road safety target of reducing road traffic deaths by 50 per cent by 2020 depends on removing legal and institutional barriers to the deployment of new enforcement technologies, stresses Jan Malenstein. The senior ITS Adviser to Dutch National Police Agency the KLPD, and a European-level spokesperson on road and traffic safety, points to the importance of, among other requirements, an effective EUwide type approval process for fr
  • February 2, 2012
    Need for performance standards for road user charging systems
    GNSS-based road use metering systems need performance metrics, as well as ways to test and reliably compare them. Bern Grush and Joaquín Cosmen write about the function of the GNSS Metering Association for Road-use charging (GMAR), recently set up to address this issue
  • January 17, 2013
    Predictive analytics aid Cologne’s congestion management
    The City of Cologne, Germany, and IBM have completed a smarter traffic pilot to predict and manage traffic flow and road congestion in the city. The pilot demonstrates how the city of Cologne can anticipate, better manage, and in many cases, avoid traffic jams and trouble spots across the city using analytics technology. Germany’s fourth largest city, Cologne has a population of just over one million, is a retail centre, hub for trade shows and a cultural center with many museums and galleries. The increas