Examples of companies present on the rental and leasing market consist of the fleet management solution suppliers Webfleet, PowerFleet and Geotab.
“Geotab has established itself as a leading telematics provider in the leasing and leasing market and has actually a set up base of more than 600,000 telematics subscribers in this segment in the 2 areas”, said Mr Cederqvist.
Extra notable telematics service providers in the leasing and leasing telematics market include Targa Telematics, CalAmp, Octo Telematics, Airmax, IMS and Zubie as well as specialized business such as RentalMatics, HQ Rental Software, Kirrk and TSD Mobility Solutions. Telematics data combination in between automobile OEMs and rental and leasing business have actually ended up being progressively typical and it is anticipated that the involvement of automotive OEMs will speed up in the rental and renting telematics market in the coming years.
“Examples of automotive OEMs that have direct telematics combination with rental and leasing companies consist of for instance GM, Ford, Stellantis (Free2Move), Tesla and Toyota”, included Mr Cederqvist.

The set up base of telematics gadgets in the vehicle rental and renting market in Europe and North America reached 5.6 million in 2021 according to a brand-new marketing research report from the IoT expert company Berg Insight.
The uptake of telematics in the industry is thought to be driven by requirements for fleets to increase fleet usage, the emergence of new mobility services and the basic electrification pattern in the automotive industry.
The COVID-19 pandemic has additionally pushed the need for digital business designs, increasing the uptake of telematics in both the rental and leasing markets.
The overall active installed base is forecasted to reach 12.6 million by 2026 throughout the vehicle leasing and leasing fleets in the two regions.
The telematics penetration rate across the vehicle rental fleets in Europe and North America is expected to grow from 38 percent in 2021 to 86 percent in 2026. The telematics penetration rate in the total population of renting cars in the two areas reached 35 percent in 2021 and is anticipated to reach 61 percent by 2026.
A number of categories of telematics applications are today used in the context of automobile rental and leasing. “The main benefit of releasing telematics amongst automobile leasing and leasing business is enhanced control over properties”, said Martin Cederqvist, IoT Analyst at Berg Insight.
Fleet managers have an apparent interest in tracking the location of their cars and monitoring their status in order to prevent scams, theft and mistreatment. In the long run, this causes decreased operational costs and likewise possibly lower insurance premiums.
Mr Cederqvist continued:
” Telematics technology may also allow brand-new organization models or services such as long-lasting pay-per-use agreements for private automobiles or automated mileage reporting for business automobiles in addition to digital and contactless vehicle leasing and carsharing experiences.”
The cars and truck rental companies have likewise had difficulties to fulfill an increasing need for rental vehicles in the last year due to semiconductor shortages and production disturbances in the automotive industry, which in turn has actually had a positive effect on telematics adoption as astute usage of telematics systems has actually proven to contribute to optimal fleet usage.
The telematics worth chain covers multiple industries consisting of a large environment of business, including hardware professionals, software professionals and end-to-end option companies. Telematics players active on the automobile leasing and leasing market include telematics specialists which are only or primarily active in the leasing and leasing area, providing solutions for digital gain access to or lorry fleet management.