Market Trends of India Fleet Management Software Industry
IoT Deployment is expected to Witness Significant Growth
- The vendors in the market are opting for cloud offerings due to their offered benefits, such as faster time to market, High efficiency, more features, and lower cost as compared to On-premise. IoT is essential in enabling drivers, logistics managers, and fleet managers to make well-informed decisions in close to real-time. Processing data at the edge, also known as gathering and analyzing data as it is generated, makes this possible. The fleet manager, the cloud, and the vehicle are connected via network connectivity using IoT-enabled devices with integrated processor capabilities.
- For instance, Zoho Corporation is banking on technologies such as the cloud, the Internet of Things (IoT), and artificial intelligence (AI) to leverage IRDA's estimates. For instance, WebNMS enhanced its fleet management solutions with AI and machine learning and claimed that a midsized fleet with 25-50 vehicles could benefit from 10-15% fuel savings by using its offerings. The company, in addition, has collaborated with a bike manufacturer in India to monitor and manage their test vehicles. Location, condition, and, among others, can be tracked, reported, and analyzed to minimize operational costs and improve product quality.
- For instance, edge-enabled IoT telematics solutions may gather, store, and analyze information about the state of a car and the condition of the road through GPS, AI-enabled computer vision technologies, and onboard diagnostics. Giving this information to fleet owners and managers can aid them in keeping an eye on driver performance, vehicle upkeep, and cargo management.
- Startups additionally form an emerging yet key vendor for the Indian fleet management software market. The use of advanced technologies, such as cloud-based GPS tracking systems and radio-based frequency identifying software, will offer a competitive advantage while competing with global players that are already present.
- For instance, LocoNav, a startup offering fleet solutions earlier, recently evolved into an integrated vehicle management platform. The company offers Fleet Management Solutions, Vehicle Tracking systems, FASTag, and AIS 140 Certified GPS Trackers services. Via intelligent analytics and IoT as the core of their offerings, the startup is able to achieve lower running costs of vehicles, greater security, and repeated sales.
- In 2025, the transport industry is expected to have cellular Internet of Things connections around the world, with a predicted 12 percent market share overall. A number of factors contribute to this, such as increased demand for fleet management software and the use of 5G technology. This can be another factor in driving market growth in India.
Understand The Key Trends Shaping This Market
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Logistics is Expected to Witness Significant Growth
- According to the World Bank's Logistics Performance Index, India has the largest logistics sector in the world, with a total value of USD 160 billion and 22 million direct jobs. By 2022, this was expected to grow at a 10% annual growth rate, reaching USD 215 billion. Fleet management practices are extremely important in the current scenario, with a significant impact on business efficiency as well as the safety of vehicles and drivers.
- The adoption of new technologies, in particular AI and IoT, will have a profound impact on the Indian logistics sector. This change has already started to take place, as a number of companies have developed smart solutions that help fleet owners and operators run their businesses more effectively. For instance, LocoNav provides fleets in India and throughout the world with a bespoke, total SaaS fleet management solution that benefits several fleet owners and drivers.
- The rising concern about fuel efficiency and fuel theft activity in the country is supporting the emergence of global players to offer sophisticated solutions in the market. For instance, Aeris Communications partnered with Omnicomm to launch a fuel monitoring solution in India. The collaboration is expected to add fuel monitoring features from Omnicomm to the former's portfolio of packaged IoT solutions. With the target audience being logistics & transportation, construction equipment, and locomotives, the company will address fuel pilferage in India.
- At the same time of the month, Shell Fleet Solutions, with the aim of lowering the total cost of ownership (TCO) of the fleet owners and increasing efficiency, entered India with its portfolio of products and services, namely Shell Fuels, Shell Fleet Prepaid program and Shell Telematics. These three main segments of the Fleet Solution are said to provide better control over operations and increased protection against fraud.
- Logistic companies, on the other hand, are observed to have entered the market by offering fleet management solutions. Companies like Kale Logistics offer Helios Fleet, a comprehensive fleet maintenance software catering to fleet owners and operators. The software is capable of managing activities ranging from trip sheets, driver settlement, fuel tracking, and vehicle turn-around time to billing and invoicing.
- According to the market capitalization of about INR 413 billion (USD 4965280110) on July 2023, Container Corporation of India is the leading logistics company in India. In this period, Blue Dart Express was the second most important logistics company in the country.
