Rental and leasing car telematics to grow at a CAGR of 15.7% in next 5 years, says Berg

The installed base of telematics devices in the car rental and leasing market reached 5.0 million in 2020 according to a new market research report from the IoT analyst firm Berg Insight.

The COVID-19 pandemic and its effects on the world economy lately are believed to drive demand for digital business models, which is good news for the uptake of telematics in both the rental and leasing industries. The total active installed base is forecasted to reach 10.5 million by 2025 across the car rental and leasing fleets in Europe and North America.

Several categories of telematics applications are today used in the context of car rental and leasing. “The main benefit of deploying telematics among car rental and leasing companies is improved control over assets”, says Martin Svegander, senior analyst at Berg Insight.

Fleet managers have an obvious interest in tracking the location of their vehicles and monitoring their status in order to prevent fraud, theft and mistreatment. In the long run, this leads to reduced operational costs and also potentially lower insurance premiums.

“Telematics technology may also enable new business models or services such as long-term pay-per-use contracts for private vehicles or automated mileage reporting for company cars as well as contactless car rental and carsharing experiences”, Mr Svegander continued.

The telematics value chain spans multiple industries including a large ecosystem of companies. Telematics players active on the car rental and leasing market can on a high level be categorised into two broad categories.

One is telematics specialists which are only or mainly active in the rental and leasing space, offering solutions for digital access or vehicle fleet management. Examples of companies present on this market include the fleet management solution vendors Webfleet Solutions, PowerFleet, Masternaut and Geotab.

“Geotab has established itself as a leading telematics service provider in the rental and leasing industry and had an installed base of more than 600,000 telematics subscribers in this segment in 2020”, says Mr Svegander. Additional notable telematics service providers in the rental and leasing telematics market include IMS, Octo Telematics, Targa Telematics and Zubie as well as specialised companies such as RentalMatics and Liberkee.

Telematics data integration between automotive OEMs and car rental companies have become increasingly common and it is anticipated that the involvement of automotive OEMs will increase in the rental and leasing telematics industry in the coming years.

“Examples of automotive OEMs that have direct telematics integration with rental and leasing companies include for example GM, Ford, Stellantis (Free2Move) and Toyota”, Mr Svegander added.

Download report brochure: Telematics for Rental and Leasing Fleets

Comment on this article below or via Twitter: @IoTNow_OR @jcIoTnow


Aeris Intelligent IoT network provides System Loco with reliable connectivity for worldwide track and trace of sustainable IoT-enabled smart pallets

Posted on: July 5, 2022

Aeris, the global Internet of Things (IoT) solutions provider, announced that System Loco, a global provider of supply chain and asset tracking solutions, has selected the Aeris Intelligent IoT Network to provide next generation connectivity to support and manage the worldwide track and trace of smart pallets employed by System Loco’s customers throughout the world.

Read more

Removing IT bottlenecks: The key’s simplicit

Posted on: July 5, 2022

A report by Mulesoft found that the IT teams of just 37% of organisations completed all of their assigned projects last year. Digitalisation can gather valuable data insights and optimise processes, but progress is often held back by the large IT workload such projects create. Here, Johan Jonzon, CMO and co-founder in edge analytics for

Read more

9 IoT applications that will change everything

Posted on: September 1, 2021

Whether you are a future-minded CEO, tech-driven CEO or IT leader, you’ve come across the term IoT before. It’s often used alongside superlatives regarding how it will revolutionize the way you work, play, and live. But is it just another buzzword, or is it the as-promised technological holy grail? The truth is that Internet of

Read more

Which IoT Platform 2021? IoT Now Enterprise Buyers’ Guide

Posted on: August 30, 2021

There are several different parts in a complete IoT solution, all of which must work together to get the result needed, write IoT Now Enterprise Buyers’ Guide – Which IoT Platform 2021? authors Robin Duke-Woolley, the CEO and Bill Ingle, a senior analyst, at Beecham Research. Figure 1 shows these parts and, although not all

Read more

CAT-M1 vs NB-IoT – examining the real differences

Posted on: June 21, 2021

As industry players look to provide the next generation of IoT connectivity, two different standards have emerged under release 13 of 3GPP – CAT-M1 and NB-IoT.

Read more

IoT and home automation: What does the future hold?

Posted on: June 10, 2020

Once a dream, home automation using iot is slowly but steadily becoming a part of daily lives around the world. In fact, it is believed that the global market for smart home automation will reach $40 billion by 2020.

Read more

5 challenges still facing the Internet of Things

Posted on: June 3, 2020

The Internet of Things (IoT) has quickly become a huge part of how people live, communicate and do business. All around the world, web-enabled devices are turning our world into a more switched-on place to live.

Read more

What is IoT?

Posted on: July 7, 2019

What is IoT Data as a new oil IoT connectivity What is IoT video So what’s IoT? The phrase ‘Internet of Things’ (IoT) is officially everywhere. It constantly shows up in my Google news feed, the weekend tech supplements are waxing lyrical about it and the volume of marketing emails I receive advertising ‘smart, connected

Read more
IoT Newsletter

Join the IoT Now online community for FREE, to receive: Exclusive offers for entry to all the IoT events that matter, round the world

Free access to a huge selection of the latest IoT analyst reports and industry whitepapers

The latest IoT news, as it breaks, to your inbox