Structure of the UK Automotive Telematics Market
Key takeaways from the Structure of the UK Automotive Telematics Market Report
Automotive telematics is the technology of sending, receiving and storing data relating to vehicles and the way that they are operated using telecommunication devices. The information transmitted can include data on vehicle use, automotive servicing, maintenance requirements, crashes and accidents, and the location of stolen vehicles.
With growing concerns about hazardous driving behaviours and increases in deaths and injuries by road accidents the road safety telematics market is poised to grow rapidly in the coming years. This growth is expected to be compounded with developments in other market segments, such as fleet performance management, where although adoption is primarily driven by efficiency gains, solutions in this area typically deliver residual benefits in the area of road safety.
The metrics monitored are becoming increasingly standardised and usually include measures such as journey start and finish times, vehicle speed, location, acceleration, braking, cornering and lane handling. Monitoring approaches are also fairly consistent, usually utilising an event recorder or a full-journey recorder model. Possibly the most important, but least standardised, aspect of Telematics solutions is the feedback mechanism. Audio, visual and, in rarer cases, tactile feedback is used, however further research needs to be conducted into the most effective ways to provide feedback to drivers.
There are a large number of telematics solution providers established in the UK, ranging from large-multi-national corporates to innovative local SMEs. The majority of these providers are focused on serving the most developed market verticals of fleet operators (including local authority fleet operators) and insurance providers.
Read the IoUK report on Telematics in the UK for an understanding of the current market and an examination of barriers to entry for businesses.