IoT fleet management market to grow by more than 20 per cent by 2021

A new report by MarketsandMarkets estimates that the Internet of Things (IoT) fleet management market will grow fromUS$3.16 billion in 2016 to US$8.28 billion by 2021, at a CAGR of 21.26 per cent. According to the report, the key factors driving the growth of the IoT fleet management market are increased demand for optimised business operations, real-time fleet monitoring and a growing number of government mandates for fleet safety. Routing management accounted for the largest share of the IoT fleet managem
April 24, 2017 Read time: 3 mins
A new report by 6418 MarketsandMarkets estimates that the Internet of Things (IoT) fleet management market will grow fromUS$3.16 billion in 2016 to US$8.28 billion by 2021, at a CAGR of 21.26 per cent.


According to the report, the key factors driving the growth of the IoT fleet management market are increased demand for optimised business operations, real-time fleet monitoring and a growing number of government mandates for fleet safety.

Routing management accounted for the largest share of the IoT fleet management market. The growth of this segment can be attributed to rising global road freight traffic and constant R&D activities to develop innovative products. According to the road freight transport statistics of 1690 European Commission (EC), European countries’ road freight transport increased by 2.2 per cent in 2015, as compared to 2014 and was the highest in the last five years. Also, the continuous R&D activities by fleet solution providers to develop advanced products helps fleet companies to provide the shortest and less crowded route to fleet vehicles to avoid unnecessary overtime costs.

The managed services segment is expected to dominate the IoT Fleet management market from 2016 to 2021. Managed services not only offer flexibility but also allow efficient multiple function handling and therefore reduce overall operational cost. These also help to provide the desired operation as per the client's specific needs, resulting in enhanced customer satisfaction. Further, these services allow work allocation as per the expertise and centralisation of various applications within the data centre. The increasing role of IoT in fleet management along with the integration of IoT is resulting in the increased usage of these services. The difficulty for companies to focus on other support functions other than their core business processes has also increased the significance of managed services.

The Americas region is expected to hold the largest share in the IoT fleet management market. The growth of the market in this region can be attributed to increasing sales of fleet vehicles, high adoption rate of advanced technological products, and regulatory developments by the government. The increasing number of fleet vehicles propels the demand for IoT fleet management solutions.

In addition, some original equipment manufacturers in this region, such as 5874 Volvo Trucks and 2069 Daimler Trucks North America have begun offering telematics solutions either independently or in partnership with fleet solution providers. In addition, in 2015, Daimler Trucks successfully completed the testing of truck platooning concept, while US government regulations for electronic logging devices makes fleet management solutions a necessary tool for commercial trucks.

Location Based Systems

Related Content

  • Fleet management market worth US$30.45 billion by 2018
    December 18, 2013
    MarketsandMarkets recently conducted a study on the "Fleet Management Market (Fleet Analytics; Vehicle Tracking & Fleet Monitoring; Telematics; Vendor Services) By Vehicles (Trucks; Light Goods; Buses; Corporate Fleets; Container Ships; Aircrafts) Worldwide Market Forecasts and Analysis (2013 - 2018)", which analysed and studied the major market drivers, restraints and opportunities in North America, Asia-Pacific, Europe, Latin America, and Middle East and Africa. The study indicates that the fleet manageme
    Read More
  • Market for semi-autonomous vehicles to reach 7.84 million units by 2021, say researchers
    May 11, 2017
    The latest research published by MarketsandMarkets indicates that the global market for semi-autonomous vehicles is estimated to be 3.17 million units in 2016, and is projected to grow at a CAGR of 19.85 per cent from 2016 to 2021, to reach 7.84 million units by 2021. However, the global market for autonomous vehicles is estimated to be 0.18 million units in 2025, and is projected to grow at a CAGR of 41.26 per cent per cent from 2025 to 2030, to reach 1.01 million units by 2030. The report says the growth
    Read More
  • Europe expected to hold the largest share in smart transportation by 2021 say researchers
    April 7, 2017
    According to a new market research report from MarketsandMarkets, Europe is expected to hold the largest share of the smart transportation market, which is expected to grow from US$72.05 billion in 2016 to US$220.76 billion by 2021. The major drivers for an upsurge in demand for smart transportation include the rising requirement for integrated security and safety to enhance public safety and government initiatives to incorporate smart technologies into the existing transportation infrastructure. The
    Read More
  • EV charging infrastructure market predicted to grow by almost 50 per cent by 2025
    May 19, 2017
    The global electric vehicle charging infrastructure market is expected to reach US$45.59 billion by 2025, growing at a CAGR of 46.8 per cent from 2017 to 2025, according to a new report by Grand View Research. Governments around the world are encouraging the adoption of electric vehicles and incentive programs, such as tax rebates, grants, and subsidies, have been launched to promote the same. The increasing adoption of electric vehicles is expected to be more in the passenger cars segment, in comparison wi
    Read More

Highlighted Content