Off-road Commercial Fleet Telematics Global Study
OEMs are in a dominant position regarding connectivity
OEMs dominate the global off-road commercial fleet telematics market in terms of the volume of connected vehicles, however in contrast, Telematics Service Providers (TSPs) dominate the commercial fleet telematics market from a revenue perspective, as PTOLEMUS Consulting Group has found in its Off-road Commercial Fleet Telematics Global Study.
This disparity has primarily been driven by the majority of OEMs adopting the strategy of offering free, but often time-limited, telematics solutions with new vehicle or machinery purchases, John Deere being a good example, with the manufacturer switching to this “freemium” approach in 2021.
PTOLEMUS forecasts that 78% of all connected off-road vehicles will be reliant on embedded telematics by 2024, and OEMs’ integrations with TSPs are on the rise. For example, John Deere with Geotab, Samsara, Trimble and Verizon.
TSPs hold a key role, and will not easily be displaced
But whilst this will position OEMs´ as the defacto data provider, and supplant aftermarket hardware, PTOLEMUS also finds that there is a clear and fundamental requirement for third-party TSPs in the market, and this is underpinned by our findings of where revenue is generated now and in the future for this growing industry.
The study will answer 11 key strategic questions