SA’s fleet telematics market poised for growth
The number of active fleet management systems deployed in commercial vehicle fleets in South Africa reached an estimated 2.1 million in Q4 2022.
This is according to a new research report from internet of things analyst firm Berg Insight, which notes that growing at a compound annual growth rate of 12.2%, this number is expected to reach 3.8 million by 2027.
The firm points out that SA is a relatively mature telematics market and the penetration rate is comparably high from an international perspective.
It adds that full-scale advanced fleet management solutions are, however, still not mainstream. A notable share of the installed fleet telematics systems on the South African market is represented by comparably low-end tracking systems, such as light fleet management solutions, including stolen vehicle recovery systems extended with basic fleet management features, it says.
According to the report, the South African fleet management market is dominated by five domestic players with broad telematics portfolios that together represent 70% of the total number of fleet management systems in use in the country.
“Berg Insight ranks Cartrack, Tracker and MiX Telematics as the largest providers of fleet management solutions in South Africa,” says Rickard Andersson, principal analyst at Berg Insight.
He adds that Cartrack alone has more than half a million active fleet management units in the country. “The remaining top five players are Ctrack and Netstar.”
Other top 10 players include local providers such as Bidtrack (Bidvest Group), Digicell and GPS Tracking Solutions (Eqstra Fleet Management), as well as international players, including Webfleet (Bridgestone) and Gurtam.
Lytx, Autotrak, Digital Matter, Scania and Powerfleet (Pointer SA) are additional top 15 providers, all having estimated installed bases of at least 15 000 fleet management units in the country, says Berg Insight.
Players just outside of the top list include Key Telematics/Radius Payment Solutions, Geotab, Mtrack (Electronic Tracking Systems), iCAM Video Telematics, FleetCam and Globaltrack, it adds.
“In addition to Scania, comparably large installed bases of OEM [original equipment manufacturer] fleet telematics systems in South Africa have also been achieved by manufacturers such as Daimler Truck, UD Trucks and Volvo Trucks,” says Andersson.