The number of fleet management systems deployed in commercial vehicle fleets in Europe is forecast to rise from 2.5 million at the end of 2011 to 5.7 million by 2016, according to a new report from analyst firm Berg Insight.
The increase equates to a compound annual growth rate of 17.9%.
Although the fleet management industry has been affected by the financial crisis in Europe, Berg expects the number of systems to increase by 10–20% this year, driven by a group of international aftermarket solution providers.
Berg ranks Masternaut as the largest player overall, in terms of installed base, with close to 260,000 units deployed today. It says TomTom Business Solutions was the fastest growing vendor in 2011 and has now surpassed 200,000 subscribers, while Digicore and Trimble have also joined the exclusive group of fleet management providers in Europe with more than 100,000 active devices in the field.
Meanwhile, Transics is number one in the heavy trucks segment, with an estimated 75,000 active units installed.
“Nine major mergers and acquisitions took place among the vendors of fleet management systems in Europe during 2010 and the first half of 2011,” said Johan Fagerberg, senior analyst, Berg Insight. “In the past 12 months there has been a slowdown of M&A activities and no major events occurred.”
Fagerberg expects market consolidation to continue in what it describes as a “still overcrowded industry”, with a second wave of transactions likely to occur in 2013.
A major development in the past year has been the announcements regarding standard line fitment of fleet management solutions. Since the end of 2011, the Scania Communicator has become standard in all European markets, with a four-year basic service subscription.
The new generation of the Actros trucks from Mercedes-Benz has included the FleetBoard vehicle computer as standard in all EU27 countries since October 2011. Volvo is going in the same direction, offering Dynafleet as standard in some markets, while MAN TeleMatics has been standard for the new truck model TGX EfficientLine since July 2012.