Telematics subscriptions for the bus and coach estimated to grow at CAGR of 23%
ABI Research reports global telematics subscriptions for the bus and coach segment are expected to grow at a CAGR rate of 23% from 0.22 million in 2013 to 0.61 million in 2018.
“While public transportation is forecast to remain a subset of the much larger commercial telematics space, it presents opportunities for companies to extend and customize current offerings to open up this market. Typical requirements include driver behavior monitoring, fuel consumption monitoring and efficiency improvement, passenger information systems and improved customer service, and claims and complaints management,” says ABI Research, VP and practice director Dominique Bonte.
ABI says commercial telematics technology for public transport is also closely linked to the area of Intelligent Transportation Systems (ITS) and, by extension, smart cities of which it is an important component. Local, national, federal, and regional governments are key stakeholders in promoting the use of telematics to make public transport safer, easier to use, and more environmentally friendly, as per ABI.
ABI finds commercial telematics for public transport is still an emerging commercial telematics segment with a relatively limited ecosystem. However, some markets are already reaching a mature state, with Mix Telematics and GreenRoad being leading providers in the United Kingdom, and specialized vendors of real-time passenger information systems finding a quickly developing market in the US, currently mainly focused on school buses, according to ABI. Daimler has made inroads into the bus and coach segment with its factory-installed and smartphone-enabled Fleetboard version for buses, adds ABI.