connected truck trends · fuel, driver wages, maintenance, and tires together hold about 62% of the...
TRANSCRIPT
“We Accelerate Growth”1
Craig Parker, Research Director – Africa & Middle East
Connected Truck Trends
2
Connected Truck
Session Agenda
1. Numbers and Trends
2. Connected Truck:
Transformational Shifts
and Disruptors
2018
Numbers and Trends
4
Regional connected truck outlookKey global drivers are OEM impact, impending regulations, telematics awareness and technological
advancement
5
India and LATAM to emerge as key markets with South Africa deepening
advanced services
6
Among other telematics services that dominate the South African market,
driver behavior, stolen vehicle recovery, and fuel monitoring top the chart
7
Cartrack has gradually increased its overall percentage composition in
fleet management from less than 35% in 2012 to more than 61% in 2017
8
Improved contributions from portable solutions such as plug and play and
OBD II dongles will boost telematics adoption in the LCV segment
2018
Connected Truck:
Transformational Shifts and
Disruptors
10
Types of telematics solutions
11
Types of business models
12
What is Connected Truck?Fuel, driver wages, maintenance, and tires together hold about 62% of the total cost of fleet operation; a
‘Connected Truck’ plays a huge role in significantly optimizing these factors.
Benefits After Effective Deployment of Fleet Management System
10-15%Increase in
Productivity
10-15%
Overtime
Reduction
20-25%
Reduction in
Fuel Expenses
5-10%
Reduction in
Total Miles
20-30 minutes
Day/Driver
Labour Savings
15-20%
Increase in
Vehicle Utilization
20-30%
Reduction in
Vehicle Idle Time
Oth
ers
(Tax
, In
tere
st)
22%
Dri
ver
wag
es
30%
Fu
el
26%
Ma
inte
nance
Tire
s
Insu
rance
De
pre
cia
tion
5% 1% 6% 10%
13
Eco-system partnersAll value chain partners (from OEM to tire / component manufacturers) are assessing to offer their own
FMS solution; Consolidation drives this trend
IT Specialist -
Software and
Application
Providers
14
Future Opportunity
FuelMgt.
DriverMgt.
VehicleManagement
DriverBehaviour &
Driver Training
Be
ne
fits
to
OEM
or
Val
ue
C
hai
n P
artn
ers
Rev
en
ue
Ge
ne
rato
r
OrderManagementWarranty
Optimisation
PreventiveMaintenance
Advanced DriverAssistance System
Integration
Automated Driving/ Platooning
Dealer / ServiceMaximization
Be
ne
fits
to
Cu
sto
me
r
15
Potentially disruptive business models
16
Potentially disruptive business models
17
A growing number of component suppliers, including transmission, wheel-
end, automotive systems, safety, and tire manufacturers, are expected to
make inroads with their respective telematics solutions
18
Top Trends Driving the Connected Truck Telematics Market Notable market consolidations are highly likely in 2018; open telematics and the impact of security and
privacy regulations may become influential drivers for 2018
19
Trend 1—Entry of Non-traditional Telematics CompaniesSuppliers of components such as safety systems, powertrain, vehicle control systems, engines, and tires
are expected to introduce telematics systems to initiate intelligent and smart aggregates
20
Trend 2—Telematics will Shape the Future of Smart Cities Developed cities will look for partners that can provide real-time smart insights; Los Angeles’ Vision Zero
initiative targets zero traffic deaths by 2025 using the data-driven approach
21
Trend 3—Open Platform Telematics; Disruption within the Value Chain Significant disruption that drives telematics suppliers, OEMs, and even tier 1 suppliers, who will
introduce their own open architecture platforms – RIO (Volkswagen), Cummins, and Daimler Fleetboard
22
Trend 4—Platooning Gears Up for Commercial Applications Peloton, an on-highway platooning enabler, is likely to look for multiple partnerships in addition to the
existing one with Omnitracs; other companies like TuSimple and Embark will also follow this trend
2018
Truck-as-a-Service
24
Digitization Enabling Service/Solution Model EvolutionConfluence of technologies in the industry providing platform for various stakeholders to build service
and solution-based revenue models
25
Leveraging Big Data and Digital TechnologiesOEMs are leveraging Big Data and Digital technologies to transition from focusing on just product or
service development to cater to the overall customer experience
2018
Electric Truck
27
Over the last year, OEM activity in full-electric powertrain solutions for medium-
heavy duty trucks has risen rapidly with Daimler AG commercially launching its MD
eCanter in US, EU and Japan
28
Electric Driveline—Architectures in ConsiderationeAxle is gaining traction in heavy-duty trucking applications. Dana and Meritor are incumbents working on the eAxle
product offering. Bosch is trying to gain foothold in the CV market through its partnership with Nikola Motor
29
Change is coming soon
30
Contact Details for more information…
CRAIG PARKER
Research Director – Africa & Middle East
Tel : + 27 (0)21 680 3292
Email : [email protected]
www.frost.com
PETER DE BEER
Relationship Manager Africa Mobility
Tel : +27 (0) 21 680 3572
Email : [email protected]
www.frost.com