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The Fleet Management Market is Anticipated to Generate US$ 37300.17 Million by 2033

Software helps manage shipments of export cargo and import cargo in international trade. fleet

The Fleet Management Market is Anticipated to Generate US$ 37300.17 Million by 2033

In 2023, the global fleet management market is likely to hit a value of US$ 13,868.2 million. According to Future Market Insights (FMI), the market may rise steadily at a CAGR of 10.4% between 2023 and 2033, as end-use industries around the world demonstrate considerable demand for fleet management to improve transportation network operations. The global fleet management market may reach US$ 37,300.17 million by 2033.

The growing concern about fleet safety, required government laws for vehicle maintenance and tracking, the requirement for operational competency in fleet management, and a boom in the adoption of wireless technology due to its low cost and availability, all make significant contributions to the fleet management software market growth.

Low Signal Strength and Employee Backlash to Slow Market Development Fleet

The limiting element that prevents the fleet management software market from expanding is atmospheric inference, which has caused problems with GPS connectivity. Yet for the signal to reach mobile phones, it must travel a great distance, endure various air conditions, and switch between numerous satellites. As additional satellites are added or removed, the precision of the signal declines, which limits market expansion.

Windows of Opportunities in the Market

Factors such as the expansion of transportation in the logistics industry, the adoption of intelligent modes of transportation, and the improvement of communication networks present several chances for the fleet management market growth throughout the projection period.

Mobility industries and government agencies are embracing the mobility-as-a-service approach to optimize traffic and carbon emissions. They are providing ride-hailing, carpooling, automobile sharing, and other alternatives for commuting to drive their car. The fleet management software is supposed to aid in getting insights into pick-ups, drop-offs, automotive telematics, and payment practices.

Key Takeaways

  • The software category in the component segment of the fleet management software market is expected to thrive at an 11.6% CAGR between 2023 and 2033, surpassing US$ 6,612.9 million by 2023.
  • The consulting & advisory category in the professional services segment in the fleet management market is anticipated to progress at a CAGR of 7.3% between 2023 and 2033, gaining US$ 103.8 million by 2023.
  • The trucks/cars/buses segment is projected to expand at a CAGR of 13.6% between 2023 and 2033, hitting US$ 5,788.4 million by 2023.
  • The driver behavior monitoring sector is expected to blossom at a CAGR of 14.9% between 2023 and 2033, exceeding US$ 1,745.5 million by 2023.
  • The transportation category is likely to develop at a CAGR of 13.7% between 2023 and 2033, achieving US$ 5,583.2 million by 2023.
  • By component segment, the hardware sector may possess a 47.7% market share by 2023.
  • By 2023, the support & maintenance sector in the professional services segment can grasp a market share of 59.8%.
  • By fleet type, the trucks, cars, and buses segment may capture a 41.7% market share by 2023.
  • Fleet tracking and geofencing are likely to achieve a market share of 43.4% by application category by 2023.
  • By industry sector, the transportation sector is likely to gain a 40.3% market share by 2033.
  • The market in North America may reach US$ 4,228.5 million by 2023 and register a CAGR of 9.5% between 2023 to 2033.
  • Throughout the years 2023 to 2033, the Latin American market is expected to expand at a CAGR of 8.1%, approaching US$ 834 million by 2023.
  • From 2023 to 2033, the Europe fleet management software market may expand at a CAGR of 13.8%, with a potential peak of US$ 3,726.4 million in 2023.
  • The market in South Asia and the Pacific may flourish between 2023 and 2033 at a CAGR of 9.2% and could total US$ 1,970.3 million by 2023.
  • The market in East Asia might sprout between 2023 and 2033 at a CAGR of 8.7%, with a potential value of US$ 2,566.0 million by 2023.
  • Between 2023 and 2033, the fleet management software market in the Middle East and Africa is likely to evolve at a CAGR of 7.4% and reach US$ 543.0 million by 2023.

Outlook of the Fleet Management Market

TomTom N.V. United States, Fleetmatics Group PLC, General Services Administration, Freeway Fleet Systems, IBM Corporation, Telogis, AT&T Inc., Grupo Autofin de Monterrey, and Navico I.D. are some notable participants in the fleet management market research.

Companies including FAMSA, Troncalnet, Didi Chuxing, Grab, Cisco Systems, Uber Technologies, Trimble Transportation & Logistics, Ola Cabs, and Trimble Transportation & Logistics, among others, use the system.

There are tier-1, tier-2, and local players in the fleet management software market. To diversify their product offerings, the top market players make significant investments in cutting-edge research and software development. The companies are collaborating with technology vendors to enhance fleet management with state-of-the-art tracking, accurate GPS, and enhanced driver support.

Zebra Technologies Corp., Trimble Inc., Cisco Systems, Inc., GoFleet Corporation, Geotab Inc., Digital Matter, GPS Trackit, GoGPS, Wireless Links, Embitel, Gurtam, Teletrac Navman, Linxio, StreetFleet, TigerFleet, Ruptela, Trakm8 Limited, and WebEye Telematics Group are some of the other leading companies in the fleet management market.

Pivotal Competitive Advancements

  • LILEE Systems – January 2022

A provider of autonomous driving systems and transportation safety solutions debuted advanced fleet management software and an autonomous car at CES 2022 in the United States.

  • AUSA – November 2021

A producer of industrial vehicles debuted AUSA, online fleet management software, in the global market. It provides invested parties with real-time information regarding vehicle maintenance, technical issues, and performance tests.

  • Smart Drive – September 2020

Omillionitracs, LLC, has acquired a provider of video-based safety and transportation analytics. The business hopes to provide advanced fleet management solutions combining artificial intelligence (AI) and machine learning (ML), video safety technology, and risk analysis services through Smart Drive integration.

operator truck

So, You Want to be an Owner Operator?

Owner operators in the trucking industry run their businesses with small profit margins. In simple English, this means as money is coming in, money is also going out simultaneously. Because of the nature of the trucking industry, it is essential for owner operators to understand the many factors that can determine how profitable someone may be.

Drivers should consider several aspects before becoming an owner operator in the trucking industry. In this article we have listed some of the more prominent items to help a prospective owner gauge profitability.


Market Conditions

The rates that an owner operator is able to negotiate for hauling loads is a critical factor in determining profitability. In 2021, there was a significant shortage of truck drivers, which drove up rates. However, the industry has seen an increase in driver recruitment efforts since then, which has contributed to lower rates in some areas.

Economic conditions also impact supply and demand. In a recession, demand for trucking services tends to decrease, which can lead to lower rates and lower profitability.

Industry Trends

Emerging trends will impact the trucking market. For example, the rise of e-commerce has led to an increase in demand for last-mile delivery services, which has led to growth in the trucking market.

Technological advancements, such as autonomous vehicles and electronic logging devices, are changing the trucking industry as well. These advancements can lead to increased efficiency and lower operating costs but can also require significant investments in new equipment and training.


The trucking industry is highly competitive, and carriers must remain competitive to maintain profitability. Carriers may need to offer lower rates to win contracts, which can impact profitability. Especially as new entrants come into the industry, rates will decrease as competition increases.

An owner operator’s ability to effectively sell themselves can be very helpful. The experience and qualifications of a driver can impact the rate they can command for a load. Drivers with specialized skills or experience may be able to charge higher rates for certain types of loads.

Fuel Prices

Fuel is the largest expense for an owner operator, typically ranging anywhere from $30,000 – $70,000 in a year. Drivers need to find their truck’s cost per mile average by using the following equation:

(Average MPG) / (Fuel Cost per Gallon) * (Expected Miles) = Cost Per Mile

We share 8 ways to increase fuel efficiency in another article but there is only so much a driver can do there. The current cost of fuel will drastically impact an owner operator’s profit margins.

Equipment Costs

The truck is the second largest expense for an owner operator. According to a report by the American Transportation Research Institute (ATRI), truck ownership costs were the highest operating expense for owner operators in 2019, accounting for 43.5% of total operating costs.

Maintenance repairs also assume roughly $.10 – $.15 per mile. An article by FleetOwner states that maintenance and repair costs typically range from $15,000 to $20,000 per year. This is why it’s very helpful to either join a carrier like DVL Express with an on-site truck repair shop, or to be good friends with a shop owner.

Insurance Costs

Insurance is another significant cost for owner operators, with premiums varying based on factors such as the type of freight being transported, the driver’s age and experience, and the owner operator’s driving record. According to the ATRI report, insurance costs accounted for 7.7% of total operating costs for owner operators in 2019. The typical insurance types include bobtail, cargo and liability, occupational, physical damage, and health insurance.

Food & Drink Costs

Food expenses may fly under the radar, but they will really add up. If a driver averages $30-50 a day on food/drink, this will result in spending over $14,000 each year! To help mitigate these costs, a lot of drivers will pre-make meals and store them in the truck refrigerator.

Other Costs/Fees

Owner operators need to budget for fees like licensing fees, permits, and tolls. According to the ATRI report, these expenses accounted for 3.7% of total operating costs for owner operators in 2019. It may also be helpful for owner operators to hire an outside professional to handle their taxes.

Before becoming an owner operator, drivers should do a cost/benefit analysis involving these factors which can impact profitability within the trucking market. And everyone, whether already an owner or not, may need to adjust their operations at times to maintain profitability.


fleet managers

What are the Best Ways Fleet Managers Can Reduce Costs?

Effective fleet management can be expensive. To keep vehicles operational requires spending on labor, fuel costs, maintenance and telematics. Managers also must consider external factors — like driver behavior and weather — that can further impact fleet performance.

When facing tight fleet budgets, it’s important to know how simple adjustments to vehicles and driver practices can reduce costs. These are some of the best strategies fleet managers can use tWhen facing tight fleet budgets, it’s important to know how simple adjustments to vehicles and driver practices can reduce costs. These are some of the best strategies fleet managers can use to do that.

1. Track Driver Behavior

How drivers use fleet vehicles can have a significant impact on fuel economy and vehicle lifespan.

Many modern telematics systems make it easy to track events like harsh braking and idling — practices that can increase vehicle wear and tear and fuel consumption. They can even put drivers in violation of certain city ordinances. These systems can help any business reduce unsafe and wasteful driving practices.

2. Keep Vehicles Maintained and Road-Ready

Proactive vehicle maintenance ensures vehicles are ready for use and less likely to break down on the road — reducing potential downtime.

The correct care can also have a significant impact on vehicle handling and the longevity of different components.

Properly inflated tires, for example, can make many vehicles easier to control and can also help tires last longer. Under-inflated tires tend to run much hotter, according to studies on tractor-trailer tire performance, and just 20% under-inflation can decrease tire lifespan by 30%.

Because tires naturally deflate over time — and because tire pressure can increase or decrease as temperatures change — it’s not unusual for vehicle tires to become under-inflated.

The right grade of motor oil can provide similar benefits for lifespan and fuel economy.

Preventive maintenance is more expensive than repairing vehicles as problems arise, but it can help fleet managers drive down overall upkeep costs in the long run.

Advanced telematics systems can provide fleet managers with instant notification on unusual performance or behavior, allowing them to schedule inspections or repairs as quickly as possible.

For example, networked tire pressure sensors can provide managers with a real-time view of fleet-wide tire pressure readings. Data from engine control units or similar onboard sensors can alert managers when components begin to fail or flag warnings.

In the near future, these systems may also enable predictive maintenance, a maintenance strategy that uses vehicle performance data and AI algorithms to determine when care will be needed.

3. Shop Based on Lifetime Costs

It’s not unusual for a fleet manager to primarily base purchasing decisions on a vehicle’s sticker price. While price will have a major short-term impact on budgets, it doesn’t always reflect how much it will cost in the long term.

Maintenance and fuel costs, downtime, taxation, and insurance can significantly impact a vehicle’s lifetime and recurring expenses. Opting for vehicles that are more expensive but reliable and cheaper to maintain can reduce fleet costs significantly.

When buying a new vehicle, consider reviewing weight and size, vehicle maintenance schedule and customer reviews. Owners may also want to investigate the possible savings alternative fuel vehicles may provide by eliminating the need for gasoline and diesel.

Adopting a forward-looking approach to vehicle and equipment purchasing can help in other ways, as well.

For example, the construction industry currently faces rising demand for almost every type of equipment as the economy recovers from COVID-19. Demand significantly outpaces the industry’s current workforce capacity and supply of resources and heavy equipment.

After a weak year, demand for heavy machinery recovered and then hit record highs in 2021. Many machines are in especially high demand as both residential and non-residential construction starts continue to trend upwards to pre-pandemic levels.

Demand for concrete pumps is expected to rise to meet the need for new foundations and infrastructure investments. At the same time, tight supply has already caused significant price increases for skid steer loaders, tractors, earthmovers and other types of construction equipment.

Considering the state of the market and likely future demand will help managers make additional purchases in the future, when prices are higher and vehicles are harder to come by.

4. Optimize Driver Routes

Efficient route planning is one of the best ways to reduce fuel costs and keep operating expenses low. Many modern fleet scheduling and management solutions offer tools that help managers find the fastest possible route for each given job.

The tool uses information like vehicle location, fuel economy, traffic and even weather conditions to automatically schedule routes so drivers reach jobs as quickly as possible, with minimal fuel consumption.

Savings from optimized routes can add up over time, helping teams cut down on one of the most significant fleet expenses.

5. Know How and When to Right-Size

Fleet right-sizing is the process of purging underutilized or overly specialized vehicles from a fleet. These vehicles are likely not necessary for operations or can be replaced by more useful models. They can significantly increase maintenance, storage and fuel costs while they remain with a business.

The right-sizing process typically follows a few steps, some of which can help managers identify underperforming vehicles in any fleet:

1. Break the fleet down into major vehicle groups or classifications.

2. Calculate average utilization for each vehicle or machine (often a measure of business mileage over a year-long period, or hours in use).

3. Identify vehicles with particularly low utilization — typically in the bottom 25 or 50 percent.

4. Identify low-utilization vehicles that are still necessary for operations.

5. Create a list of nonessential vehicles and right-size.

Other important metrics to use alongside utilization may include fuel consumption, maintenance costs and average hours in use. These metrics can be useful when the miles traveled metric does not accurately reflect the utility of a fleet vehicle.

The right disposal practices can help to make a business’s right-sizing more cost-effective. Selling vehicles as soon as possible after they are identified as being underutilized is important due to the high depreciation rate.

A formal disposal strategy that includes gathering users’ manuals and shop guides and cleaning and removing equipment can streamline the process.

How Fleet Managers Can Reduce Fleet Costs and Streamline Operations

Operating a fleet will always be expensive, but managers can use these practices to keep expenses within budget. Because driver behavior and maintenance costs are significant expense generators, telematics systems and procedures that track and minimize these expenses will typically be a good investment.

Management practices that take advantage of route optimization software and right-sizing strategies will also ensure minimal operating costs.

As alternative fuel vehicles become more common and practical, they may also be a good investment for fleet managers. The electricity these vehicles need is often cheaper than gasoline or diesel, and fewer moving parts can make for lower maintenance costs.


Emily Newton is an industrial journalist. As Editor-in-Chief of Revolutionized, she regularly covers how technology is changing the industry.

automotive payment

Automotive Industry Cyber Attacks: Trends and Threats to Watch Out For

A report released from Upstream Security estimates the automotive industry is at risk for losing $24 billion within five years all due to cyber hacks. The company specializes in cloud-based security and took reported cases at a granular level to understand cyber threats and trends to combat in 2019.

The findings were confirmed through a study conducted that analyzes over 170 cyber cases reported between 2010-2018. The study also revealed different ways hackers attack including physical and long-range and wireless strategies.

“With every new service or connected entity, a new attack vector is born” said Oded Yarkoni, Head of Marketing at Upstream Security. “These attacks can be triggered from anywhere placing both drivers and passengers at risk.

“Issues range from safety critical vehicle systems, to data center hacks on back-end servers, to identity theft in car sharing, and even privacy issues. The risk is immense. Just one cyber-hack can cost an automaker $1.1 billion, while we are seeing that the cost for the industry as a whole could reach $24 billion by 2023.”

Key highlights from the report include:

-Back-end application servers are directly involved in 42 percent of automotive cyber security incidents

-Tier 1 suppliers, fleet operation, telematic service providers car sharing companies and public/private transportation providers are experiencing increased threat rates for cyber security issues.

-Multi-layered security tactics such as in-vehicle, automotive cloud security and network security are recommended to reduce risk.

-Fraud and and data privacy are primarily impacted by the two new cyber attack methods.

To read the full report, visit Upstream Security.

Source: Upstream Security