All You Want to Know about Advanced Tracker
With the gradual popularization of cellular IoT technology, the demand for asset tracking around people, vehicles and animals will become more urgent and diverse in the future. McMasters Consulting reports that the global GPS tracking devices market is expected to grow to US$2.89 billion by 2023, growing at a compound annual growth rate ( CAGR) of up to 12.91% from 2017 to 2023. Among them, advanced tracking is expected to achieve the highest CAGR during the forecast period.
Advanced trackers have the highest market value and the applications are expected to extend from the vehicle to more fields
Advanced tracking devices are usually installed in vehicles, goods and containers. They can not only rely on GPS to provide vehicle positioning information, but also collect engine diagnosis through various sensors, as well as various parameters of logistics that require temperature control, and transmit them via cellular communication technology. The information about vehicle performance obtained by these devices is of high value. Therefore, the application rate of advanced asset trackers is higher than basic GPS trackers.
Advanced trackers are a type of M2M (machine-to-machine communication) device, which essentially enables the transmission of the information at the item end. Advanced trackers are well established in the transport sector and have been used on a large scale since 2000, mainly for telematics, fleet management, commodity, cargo monitoring and route optimization. Its M2M technology and functionality also meets the needs of industry, healthcare, construction and utilities, and may rapidly penetrate these areas in the future.
1.Vehicle tracking: The penetration rate of the commercial vehicle market is gradually increasing, and UBI opens up a broad market for passenger vehicles
In the field of vehicle tracking, advanced tracker technology has been widely used in industrial enterprises, logistics enterprises and the vehicle insurance industry. In fleet management applications, it is ultimately installed in commercial vehicles; in vehicle insurance applications, it is suitable for all types of vehicles (including commercial and passenger vehicles).
1.1 Commercial vehicle market size
According to WardsAuto, there are currently approximately 1.3 billion vehicles in the world and 195 million commercial vehicles worldwide. Overall, the penetration of in-vehicle M2M devices in the commercial vehicle sector is currently low, at around 10%. Assuming a saturation rate of 80% is achieved in the next 5 years, the market space will be $31.5 billion over the next 5 years.
1.2 Passenger car market size
UBI is targeted at the entire passenger car ownership market, based on global car ownership of approximately 1.3 billion and new car sales of 90 million in 2017, UBI is still in its emerging period and is mainly used in Europe and the U.S. The increased penetration of the UBI market is the driving force behind the growth of the corresponding market for advanced trackers. Globally, 292 UBI projects were conducted in 39 countries worldwide in 2017, with a total of 15.4 million UBI policies, accounting for around 17% of new car sales in that year. UBI is about to enter a phase of rapid growth.
2. Asset tracking: sharing economy triggers demand
The tracking of assets, or MRM (Mobile Resource Management), is an important application area for advanced asset tracking devices, such as monitoring rental equipment for leasing companies, medical equipment shipment management, hazardous waste container monitoring, and vending machine merchandise replenishment management. Mobile asset management services (MRM) originated from Europe and the United States, and the market in Europe and the United States has been greatly developed, and the market in the Asia Pacific is in a rapid development stage. According to Berg insight's data, the space for the enterprise-level asset tracking market alone is USD 1 billion.
The demand for asset tracking has reached a climax under the prevalence of the sharing economy model. The "China Car Sharing Travel Market Analysis and Forecast Report 2018" released by RolandBerger in 2016 pointed out that the global sharing economy market size will reach US$520 billion in 2018. In the past two years, the sharing economy has gradually extended from travel and accommodation to more industries and subdivisions, such as shared rechargeable batteries, shared umbrellas, shared basketball, etc., involving life, fitness, learning, express delivery and other fields.
The core of the sharing economy is "sharing", which means that through face-to-face or online connect, gather and form a community, each person's goods are matched, turning a "point-to-point" scattered demand into a "many-to-many" platform. The sharing economy brings the separation of ownership and user rights, and the owners have the need to track the status and location of the shared items in real time, which brings a large market for mobile asset tracking devices.
3. Animal tracking: It is expected to extend from livestock to pets
With the progress of science and technology, developed countries began to adopt information technology means to record and trace the origin of animals and breeding, epidemic prevention, quarantine, supervision and other aspects, and then the establishment of animal products traceability means as a trade barrier measures to limit the import of animal products. At the same time, the World Organization for Animal Health has recognized the animal identification and disease traceability system and has increased its research and promotion efforts.
In the future, based on the asset tracking technology, the object of animal tracking is expected to extend from livestock to pets. Pet trackers are similar to children's smartwatches, which can realize real-time positioning, route tracking, electronic fencing and other functions to prevent pets from being lost.
Concox started from vehicle tracking products and gradually penetrated into the field of asset tracking, personal tracking and animal tracking. In terms of vehicle tracking, our products have been widely used in fleet management, intelligent logistics, auto finance, UBI, intelligent transportation, auto security and other fields; in terms of asset tracking, they are used in container transportation, item anti-theft and large equipment management; in terms of personal tracking, they have entered the government domestic violence prevention project and delivery man management project, etc.; in terms of animal tracking, we have cooperated with large ranches strategically.