Vehicle tracking – a changing market.
Simplytrak have long been established as one of the most adaptive companies in the industry. In fact, this industry moves so quickly sometimes we wonder how any of the larger companies in the marketplace can ever expect to make any money at all – with the speed at which the leviathons take to turn.
Back in the day, GSM and GPS were the way to go for the originators of this industry. Add to that basic locally held mapping software, dedicated PC’s and single or multiple dial up modems and it might as well have had a hamster running in a wheel shouting instructions to the user. But back then it was all that there was. Then came broadband and GPRS. With broadband came faster Internet and with GPRS came multi-unit updating. ‘Live’ tracking became more, well, live – though many companies charged extra for faster updating. Faster than the 10 minutes that you got when you signed up to headline rates anyway!
Customers changed from logistics companies to white van man, from the courier to the service engineer. Nowadays sales fleets and landscape gardeners are just as likely to have vehicle tracking as Eddie Stobart; Peninsula Business Services as likely as UPS. But it is not just about vehicles anymore either. All kinds of assets from trailers to generators, horseboxes to caravans are tracked too.
Software is expected to be 100% web accessible now. Google maps and Virtual Earth with satellite and street views are more likely to be found than maps held on local computers. Everyone logs in via username and password protected web pages. Software is old hat and java rules the waves.
Third party lease providers, ING, Shire and GE Capital have had their cake throughout the history of tracking. Now that credit is crunched and companies that relied on up front income have fallen thick and fast. It is the sort of radical change that big companies can struggle with, yet the smaller and more agile quickly adapt.
CanBus has become more standardised too. Over-revving, harsh braking and impact sensing are all possible. Now Formula 1 telematics is starting to hit the mainstream. If this pace keeps up then you can expect to be dialled in to on-board camera action before you know it.
And all this has happened within a few short years. Sea changes in methodology, hardware and software, financing, data delivery and in-vehicle information. Faster, everything must be faster. And that is the key and the reason that the big players will always struggle. What they do best is sales. However, with so many niche players offering specialised services now, their traditional market is squeezed and adaptation is difficult.You cannot turn an oil tanker around on a dime.
The old business models no longer work now. Only the swift will survive. Consolidation has been mooted as the way forward. But we don’t think so. Specialisation is the way to go. The market is more likely to be dominated by niche players than leviathons by the end of this decade… and the end of this decade is just around the corner.
If you think you have seen the last of the big names disappearing then think again. Watch out for the specialist providers. They are the ones to fear.
Tags: asset tracking, Simplytrak, Vehicle Tracking