Installed Base of Fleet Management Systems in South Africa to Reach 1.9 Million Units by 2021
April 12, 2017 | Berg InsightEstimated reading time: 2 minutes
According to a new research report from the IoT analyst firm Berg Insight, the number of active fleet management systems deployed in commercial vehicle fleets in South Africa reached an estimated 1.1 million in Q4-2016. Growing at a compound annual growth rate (CAGR) of 12.6%, this number is expected to reach 1.9 million by 2021. The market is dominated by a group of aftermarket telematics players including Cartrack, MiX Telematics, Ctrack, Altech Netstar and Tracker which are all headquartered in South Africa and have installed bases of more than 100,000 fleet management units each on the domestic market. Notably, these top-5 players together represent as much as two thirds of the total number of active fleet management systems in use in the country today.
“Foreign telematics players have generally not managed to achieve any top-ranking market shares on the South African fleet management market so far”, said Rickard Andersson, Senior Analyst, Berg Insight. TomTom Telematics, Pointer Telocation and Geotab are all examples of international providers that are active in the country. “Most other foreign vendors have more limited presence and many renowned international players have not yet entered South Africa at all”, continued Mr. Andersson. He adds that the remote location and the relatively high telematics penetration on the market – combined with the presence of an abundance of local solution providers including an exclusive group of dominant domestic players – can act as barriers to entry for international fleet management providers eyeing the South African market.
The new edition of Berg Insight’s report on Fleet Management in South Africa for the first time also includes an outlook on the overall African market. Africa is clearly a highly diverse geographic region from a fleet management perspective. The continent can in general be divided into three subregions – South Africa, Sub-Saharan Africa (excluding South Africa) and Northern Africa. The South African fleet telematics market is far ahead of the rest of the continent in terms of adoption, whereas Sub-Saharan Africa is the least developed region if excluding South Africa. Northern Africa is comparably advanced and well ahead of Sub-Saharan Africa when it comes to fleet telematics penetration, though still quite a bit behind South Africa. The African fleet management market beyond South Africa is by many industry representatives described as challenging – though certainly also promising – for several reasons. The recent weak economic environment and foreign exchange rate fluctuations in combination with the unstable political climate makes the market a challenging business environment overall. There are however promising prospects for players adapting to the local market dynamics as the Rest of Africa market has considerably more untapped opportunity than what South Africa can offer at this stage.
About Berg Insight
Berg Insight is a dedicated M2M/IoT market research firm based in Sweden. We have been specialising in all major M2M/IoT verticals such as fleet management, car telematics, smart metering, smart homes, mHealth and industrial M2M since 2004. Our vision is to be the most valuable source of intelligence for our customers. Berg Insight offers numerous market reports, detailed market forecast databases and advisory services. We provide custom research tailored to your requirements including focussed research papers, business case analysis, go-to-market strategies and bespoke market forecasting. We have provided analytical services to 850 clients in 70 countries on six continents to date. Our customers range from many of the world’s largest mobile operators, IT companies and telecom vendors, to venture capitalists, technology start-ups and specialist consultants.
Suggested Items
EDA Market to Grow $8.7 Billion (2024-2028) with AI's Rising Impact on Trends
09/19/2024 | PRNewswireThe market is estimated to grow at a CAGR of 10.26% during the forecast period. Growing significance of eda in electronic design process is driving market growth, with a trend towards machine learning disrupting global eda market
Global PC Monitor Market Delivers Third Consecutive Quarter of Growth in Q2 2024
09/18/2024 | IDCThe global PC monitor market ended the second quarter of 2024 with 5.9% growth in unit shipments compared to the same quarter a year ago.
ROCKA Solutions Announces Strategic Partnership with Asteria to Support Global Expansion
09/18/2024 | ROCKA SolutionsROCKA Solutions is proud to announce a new strategic partnership with Asteria Sales & Marketing. This collaboration will provide additional professional resources to sustain and enhance ROCKA’s remarkable growth across the USA and internationally.
Taiwan's PCB Industry Sees Growth, Optimism for Q2 2024
09/18/2024 | TPCATaiwan’s PCB industry recorded a total output value of NT$372.2 billion in the first half of 2024, bolstered by strong demand in AI servers, satellite communications, and vehicle electronics. Industry experts remain optimistic about continued growth for the remainder of the year.
Singapore PC Market Shrank 7.7% YoY, Shipping 216 Thousand Units in 2Q24
09/17/2024 | IDCSingapore’s traditional PC market (inclusive of desktops, notebooks, and workstations) recorded 216 thousand units in 2Q2024, with a drop of 7.7% year-over-year (YoY), according to recent data from the International Data Corporation (IDC) Worldwide Quarterly Personal Computing Device Tracker.